[Federal Register Volume 59, Number 69 (Monday, April 11, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-8583]


[[Page Unknown]]

[Federal Register: April 11, 1994]


-----------------------------------------------------------------------

DEPARTMENT OF LABOR
Office of Federal Contract Compliance Programs

 

Blaine Construction Co., Inc.; Debarment

AGENCY: Office of Federal Contract Compliance Programs, Labor.

ACTION: Notice of Debarment, Blaine Construction Company, Inc.

-----------------------------------------------------------------------

SUMMARY: This notice advises of the debarment of Blaine Construction 
Company, Inc. (hereafter ``Blaine''), as an eligible bidder on 
Government contracts and subcontracts and federally assisted 
construction contracts and subcontracts. The debarment is effective 
immediately.

FOR FURTHER INFORMATION CONTACT:
Annie Blackwell, Director Program Policy, Office of Federal Contract 
Compliance Programs, U.S. Department of Labor, 200 Constitution Ave., 
NW., room C-3325, Washington, DC 20210, (202-219-9430).

SUPPLEMENTARY INFORMATION: On March 9, 1994, pursuant to 41 CFR 60-
30.32(c), the Administrative Law Judge issued a Decision and Order: (1) 
Finding Blaine in violation of Executive Order 11246, as amended, 
section 503 of the Rehabilitation Act of 1973, as amended (29 U.S.C. 
793), and the Vietnam Era Veterans' Readjustment Assistance Act of 
1974, as amended (38 U.S.C. 2012), and their respective implementing 
regulations; (2) cancelling all Federal contracts and subcontracts and 
all federally assisted construction contracts and subcontracts of 
Blaine, and of its officers, (including Bruce T. Blaine, Ken Thompson, 
and R. Kirk Blosch), agents, servants, employees, direct or beneficial 
owners, divisions or subsidiaries, and those persons in active concert 
or participation with them who receive actual notice of the order by 
personal service or otherwise; declaring Blaine ineligible for 
extensions or other modifications of any existing Government contracts 
or subcontracts; and declaring Blaine and its successors, officers, 
agents, servants, employees, direct or beneficial owners, divisions or 
subsidiaries, and those persons in active concert or participation with 
them who receive actual notice of the order by personal service or 
otherwise ineligible for the award of any Government contracts or 
subcontracts for at least 180 days and thereafter, until Blaine 
satisfies the Deputy Assistant Secretary for Federal Contract 
Compliance Programs that is in compliance with Executive Order 11246, 
as amended, section 503 of the Rehabilitation Act and the Vietnam Era 
Veterans' Readjustment Assistance Act. A copy of the Decision and Order 
is attached.


    Signed April 1, 1994, Washington, DC.
Shirley J. Wilcher,
Deputy Assistant Secretary for Federal Contract Compliance Programs.
    In the matter of United States Department of Labor, Office of 
Federal Contract Compliance Programs, Plaintiff v. Blaine 
Construction Company, Inc., Defendant. Case No: 94-OFC-4.

Decision and Order

    By Motion received February 2, 1994 the Solicitor moved for Default 
Judgment and for Sanctions against defendant Blaine Construction 
Company, Inc., (BCC) for failure of BCC to request a hearing or to 
respond to the Complaint and Requests For Admission, or to file an 
Answer to the Amended Compliant.
    February 16, 1994 I issued an ORDER TO SHOW CAUSE, ordering BCC to 
show good cause, by March 4, 1994 why the Motions of the Solicitor 
should not be granted.
    No response has been received to the ORDER TO SHOW CAUSE. 
Accordingly, the motions of the Solicitor are granted, and default 
judgment is hereby entered.
    The Plaintiff's Proposed Findings of Fact and Conclusions of Law 
are attached hereto, made a part of this ORDER, and are approved.
    It is so Ordered.
Edward C. Burch,
Administrative Law Judge.

Service Sheet

    Case Name: U.S. Dept. of Labor v. Blaine Construction Co. Inc.
    Case No.: 94-OFC-4.
    Title of Document: Decision and Order.
    A copy of the above document was sent to the following:

Thomas S. Williamson, Jr., Office of the Solicitor, U.S. Department 
of Labor, Room N-2464, 200 Constitution Ave. NW., Washington, DC 
20210, Attn: L. Denise Galambos
Blaine Construction Co. Inc., 2180 South 2700 West Salt Lake City, 
UT 84119
Division of Civil Rights, Office of the Solicitor, U.S. Dept. of 
Labor, Room N-2464, 200 Constitution Ave. NW., Washington, DC 20210 
Attn: Counsel for Litigation
Tedrick A. Housh, Jr., Regional Solicitor, U.S. Department of Labor, 
2106 Federal Office Bldg., 911 Walnut Street, Kansas City, MO 64106
Solicitor of Labor, O/Solicitor--USDOL, Room S-2002, 200 
Constitution Ave. NW., Washington, DC 20210
Director, Office of Administrative Appeals, U.S. Department of 
Labor, Room S-4309, 200 Constitution Ave. NW., Washington, DC 20210
Special Counsel to the Assist. Secretary of Labor, U.S. Department 
of Labor, Employment & Training Admin., Room N-4671, 200 
Constitution Ave. NW., Washington, DC 20210
Office of Federal Contract Compliance Programs, U.S. Department of 
Labor, Room C-3325, 200 Constitution Ave. NW., Washington, DC 20210.

    Dated: March 9, 1994.
Mae Wong.

United States Department of Labor Office of Administrative Law 
Judges

    In the matter of: United States Department of Labor, Office of 
Federal Contract Compliance Programs, Plaintiff, v. Blaine 
Construction Company, Inc., Defendant. Case No. 94-OFC-4.

Plaintiff's Proposed Findings of Fact and Conclusions of Law\1\

1. Findings of Fact

    1. Blaine Construction Company, Inc. (``BCC'') is a general 
construction contractor specializing in cement mason work. Defendant's 
principal place of business is in Salt Lake City, Utah.
---------------------------------------------------------------------------

    \1\All the statements contained in this document have been drawn 
from the Amended Administrative Complaint and OFCCP's Requests for 
Admission. Because BCC never answered those requests, they should be 
deemed admitted.
---------------------------------------------------------------------------

    2. From at least February 1992, through March 1993, Defendant has 
held a Federal or federally assisted construction contract of $10,000 
or more.
    3. On or about January 15, 1992, Bruce T. Blaine, President of BCC, 
received a letter from OFCCP notifying him that his company would be 
subject to compliance review.
    4. On March 10, 1992, OFCCP commenced a compliance review of 
Defendant. The review period covered September 1991 through February 
1992.
    5. On March 20, 1992, OFCCP issued and hand delivered to BCC a 
Notice of Violation indicating its finding that Defendant was not in 
compliance with the requirements of Executive Order 11246, section 503, 
and VEVRA.
    6. On March 24, 1992, OFCCP and Defendant entered into a 
Conciliation Agreement resolving the deficiencies identified during the 
compliance review.
    7. Defendant agreed in the Conciliation Agreement to provide OFCCP 
with two personnel activity reports. The reports were to include 
information on the number of vacancies, the number of contacts with 
recruitment sources made to fill those vacancies, the number of 
applications received, the number of hires, and the number of regular 
and overtime hours worked by Defendant's employees. This information 
was to be broken down by craft and Defendant agreed to provide specific 
information on the number of women hired and the number of regular and 
overtime hours worked by women.
    8. The Conciliation Agreement was to remain in full force and 
effect until OFCCP determined that Defendant had submitted two 
acceptable reports as defined by the Agreement.
    9. The first personnel activity summary report was due on September 
15, 1992, and was intended to cover the period of March 1, 1992, 
through August 31, 1992.
    10. Defendant did not file a personnel report on September 15, 
1992.
    11. On September 16, 1992, Ken Thompson, Vice President of BCC, 
contacted OFCCP and stated that he did not know that a personnel 
activity report was required. Mr. Thompson told OFCCP that he would 
work with the controller of BCC to complete the report and that he 
would address the issue immediately.
    12. On or about September 18, 1992, BCC received a letter from 
Joseph Gallegos, District Director of OFCCP, requesting that the 
personnel activity report, which was due on September 15, 1993, be 
forwarded within five days.
    13. On September 24, 1992, BCC still had not provided OFCCP with a 
personnel activity report and did not return a phone call from OFCCP's 
investigator.
    14. On September 25, 1992, BCC failed to return a phone call from 
the OFCCP investigator inquiring about the report.
    15. By letter dated October 6, 1992, OFCCP notified Defendant that 
it was in violation of the Conciliation Agreement for failure to file a 
report. OFCCP provided Defendant 15 days in which to respond.
    16. BCC received OFCCP's letter on or about October 12, 1992.
    17. Defendant failed to demonstrate in writing that it had not 
violated the Conciliation Agreement.
    18. On October 14, 1992, the Vice President of BCC called OFCCP and 
stated that OFCCP would have the personnel activity report by November 
2, 1992.
    19. BCC failed to provide OFCCP with a personnel activity report on 
November 2, 1992.
    20. On November 6, 1992, the Vice President of BCC assured the 
District Director of OFCCP that he would have BCC's report by no later 
than 3:30 p.m. on November 9, 1992.
    21. BCC failed to provide OFCCP with the personnel report on 
November 9, 1992.
    22. On November 10, 1992, the Vice President of BCC spoke to the 
District Director of OFCCP and stated that the report would be 
delivered that day.
    23. BCC failed to deliver a report to OFCCP on November 10, 1992.
    24. Defendant has never filed with OFCCP the personnel activity 
report originally due on September 15, 1992.
    25. Under the terms of the Conciliation Agreement, the second 
personnel activity summary report was due on March 15, 1993, and was to 
cover the period of September 1, 1992, through February 28, 1993.
    26. Defendant failed to file a report on March 15, 1993.
    27. Defendant agreed in the Conciliation Agreement to notify 
employment and recruitment organizations when job vacancies arose. 
Those organizations included the Turning Point Program and the Utah 
State Job Service.
    28. BCC has failed to notify those employment and recruitment 
organizations of any job vacancies since signing the Conciliation 
Agreement on March 24, 1992.

2. Conclusions of Law

    1. The Office of Administrative Law Judges has jurisdiction over 
this matter pursuant to sections 201, 208, and 209 of Executive Order 
11246, and 41 CFR 60-1.26 and 41 CFR part 60-30 of the Secretary of 
Labor's implementing regulations. This Court is empowered to issue a 
final order determining whether BCC is in current violation of its 
contractual obligations under the Order and its implementing 
regulations and to recommend appropriate remedies and sanctions. 41 CFR 
60-30.32(c)
    2. Defendant is a Government contractor, subcontractor or Federally 
assisted construction contractor within the meaning of the Executive 
Order, Section 503 and VEVRA. At all material times BCC has been 
subject to the contractual obligations imposed on Government 
contractors and subcontractors by the Executive Order, section 503, 
VEVRA and the implementing regulations issued thereunder.
    3. At all times pertinent hereto, Defendant has been required to 
abide by the affirmative action requirements set forth in 41 CFR part 
60-4.
    4. Defendant breached its obligations under the Conciliation 
Agreement entered into on March 24, 1992.
    5. The actions described in paragraphs 1 to 28 supra violate 
Executive Order 11246, Section 503, VEVRA and the regulations 
promulgated thereunder.
    6. The Executive Order, and its implementing regulations authorize 
sanctions, including contract cancellation and debarment. See, section 
209 of the Executive Order and 41 CFR 60-250.28 and 41 CFR 741.28.
    7. Sanctions are appropriate when a contractor has failed to abide 
by the terms of conciliation agreement, and is in violation of the 
Executive Order.
    8. For these reasons, I order that all of BCC's Federal contracts 
and subcontracts immediately be canceled and that BCC, its officers, 
agents, subsidiaries, and successors, be declared ineligible to receive 
any Government contracts or subcontracts or for extensions or other 
modifications of any existing Government contracts or subcontracts, for 
a period of at least 180 days, and thereafter until BCC has 
demonstrated to the Director of OFCCP that it has established and will 
carry out employment practices in compliance with the Executive Order, 
Section 503 and VEVRA.
    OFCCP requests that these proposed Findings of Fact and Conclusions 
of Law be adopted by the Administrative Law Judge.

    Respectfully Submitted,
Thomas S. Williamson, Jr.,
Solicitor of Labor.
James D. Henry,
Associate Solicitor.
Debra A. Millenson,
Senior Trial Attorney.
L. Denise Galambos,
Attorney.

U.S. Department of Labor, Office of the Solicitor, Division of Civil 
Rights, 200 Constitution Ave., NW., Room N-2464, Washington, DC 
20210, (202) 219-8000.

Attorneys for Plaintiff.

[FR Doc. 94-8583 Filed 4-8-94; 8:45 am]
BILLING CODE 4510-27-M