22.404-8 Notification of improper wage determination before award
Source: FAR 22.404-8 on acquisition.gov
Contracting officers must promptly address DOL notifications of improper wage determinations before award to ensure contracts include the correct rates and avoid compliance issues.
Overview
FAR 22.404-8 outlines the procedures contracting officers must follow when notified by the Department of Labor (DOL) of an improper wage determination before contract award. This includes situations where the wrong wage determination or rate schedule is included in a solicitation, or when a wage determination is withdrawn. The regulation ensures that contracts are awarded with the correct wage determinations, protecting both the government and contractors from compliance issues.
Key Rules
- Immediate Effect of DOL Notifications
- Written notifications from the DOL about improper wage determinations are effective immediately if received before award, regardless of other FAR provisions.
- Sealed Bidding Procedures
- If notification is received before bid opening, the contracting officer must postpone bid opening if needed, obtain the correct wage determination, amend the solicitation, and allow bidders to amend their bids. If the new determination does not change wage rates, only the number and date need to be updated.
- If notification is received after bid opening but before award, the contracting officer must delay award and obtain the correct wage determination, following procedures in FAR 22.404-5(b)(2).
- Negotiated Acquisitions Procedures
- For negotiated acquisitions, the contracting officer must delay award if necessary and process the notification as prescribed for new wage determinations in FAR 22.404-5(c)(3).
Responsibilities
- Contracting Officers: Must act promptly upon DOL notification, amend solicitations, delay bid openings or awards as needed, and ensure the correct wage determination is incorporated.
- Contractors: Should monitor for solicitation amendments and be prepared to amend bids if wage determinations change.
- Agencies: Must ensure compliance with DOL notifications and proper wage determination procedures.
Practical Implications
- This section exists to prevent contracts from being awarded with incorrect wage determinations, which could lead to legal and financial complications.
- It impacts daily contracting by requiring vigilance and flexibility in the solicitation and award process.
- Common pitfalls include failing to amend solicitations or delaying awards when required, which can result in protests or noncompliance findings.
(a) The following written notifications by the Department of Labor shall be effective immediately without regard to 22.404-6 if received by the contracting officer prior to award:
(1) A solicitation includes the wrong wage determination or the wrong rate schedule; or
(2) A wage determination is withdrawn by the Administrative Review Board.
(b) In sealed bidding, the contracting officer shall proceed in accordance with the following:
(1) If the notification of an improper wage determination for the primary site of the work reaches the contracting officer before bid opening, the contracting officer shall postpone the bid opening date, if necessary, to allow a reasonable time to-
(i) Obtain the appropriate determination if a new wage determination is required;
(ii) Amend the solicitation to incorporate the determination (or rate schedule); and
(iii) Permit bidders to amend their bids. If the appropriate wage determination does not change any wage rates and would not warrant amended bids, the contracting officer shall amend the solicitation to include the number and date of the new determination.
(2) If the notification of an improper wage determination for the primary site of the work reaches the contracting officer after bid opening but before award, the contracting officer shall delay awarding the contract, if necessary, and if required, obtain the appropriate wage determination. The appropriate wage determination shall be processed in accordance with 22.404-5(b)(2)(i) or (ii).
(c) In negotiated acquisitions, the contracting officer shall delay award, if necessary, and process the notification of an improper wage determination for the primary site of the work in the manner prescribed for a new wage determination at 22.404-5(c)(3).