Legal Corner

Construction & Public Contracts Group, Hinckley Allen, LLP Lisa Zaccardelli Partner Julianna Malogolowkin Associate

Actions Required for Federal Construction Contractors and Subcontractors

As discussed at last month’s UCANE’s Board of Director’s meeting, federal contractors and subcontractors need to create an account on the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (“OFCCP”) new online platform. The platform, referred to as the Notification of Construction Contract Award Portal (“NCAP”), launched on August 26, 2022 and was created to modernize how OFCCP receives required notifications.

Who is required to submit construction contract award notifications?

First, construction contractors are required to submit written notice to OFFCP within 10 working days of awarding any construction subcontract in excess of $10,000 at any tier of construction work performed under a federal or federally assisted construction contract. 41 CFR 40-4.2(d)(3). Second, federal contracting officers, applicants for federally assisted construction projects, and covered non-construction contractors are required to submit written notice to OFCCP within 10 working days of awarding construction contracts in excess of $10,000. 41 CFR 40-4.2(c). Guidance makes clear that awarding contracts and not award recipients are required to notify OFFCP. Additionally, if a company subcontracts a portion of an award in excess of $10,000 it then is required to notify OFCCP of that award. What this means?

Contracting officers, applicants, contractors and subcontractors need to set up a NCAP account to provide necessary notifications to OFFCP going forward. This can be done at login.gov. NCAP can be accessed at ncap.dol.gov. NCAP collects the information required on the OMB Form CC-314, so be sure to have that available when logging on to create an account. Additionally, parties that submit notification to OFFCP through NCAP must ensure that all solicitations for offers and bids and federal assisted construction contracts or subcontracts include the Standard Federal Equal Employment Opportunity Construction Contract Specifications set forth in 41 CFR 60.43. They also must include the notice set out in 41 CFR 60.42(d). Why does OFCCP collect this information? OFCCP collects this information as a source to determine contractors over which it may have jurisdiction. The notices provide an information source for neutrally scheduling construction contractors and subcontractors for compliance evaluations and is designed to allow the OFCCP to evaluate a company’s compliance with Affirmative Action Plan and Equal Employment Opportunity requirements. OFCCP receives name and contact information for all contractors and subcontractors that receive notice of requirement for affirmative action to ensure equal employment opportunity, which sets forth goals for minority and female participation in construction trades and covered areas. If you have any questions about this requirement the OFFCP has published a Q&A that answers questions about how to login and setup an account, as well as submitting notification of awards. https:// www.dol.gov/agencies/ofccp/faqs/Notification-ofConstruction-Contract-Award-Portal. n

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