FAR 52.222-7 - Withholding of Funds

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Prescribed in 22.407(a)

Effective Date:1 May 2014
Clause or Provision:Clause
Provision or Clause Number: 52.222-7 - Withholding of Funds

Principle Type And/Or Purpose of Contract:
Required:
Applicable:Cost Reimbursement, Construction; Fixed Price, Construction
Optional:Utility Services; Simplified Acquisition Procedures (Excludes Micro-Purchase); Facilities; Indefinite Delivery; Dismantling, Demolition or Removal of Improvements; Leasing of Motor Vehicles; Time & Material/Labor Hour; Fixed Price, Service; Cost Reimbursement, Supply; Cost Reimbursement, Service
Subject:Employment/Labor/Wages
ProcurementType:
Contract Threshold:
Prescription Overview:

Prescription

(a) Insert the following clauses in solicitations and contracts in excess of $2,000 for construction within the United States:

(2) 52.222-7, Withholding of Funds.

Clause Overview:

Clause

The Contracting Officer shall, upon his or her own action or upon written request of an authorized representative of the Department of Labor, withhold or cause to be withheld from the Contractor under this contract or any other Federal contract with the same Prime Contractor, or any other federally assisted contract subject to prevailing wage requirements, which is held by the same Prime Contractor, so much of the accrued payments or advances as may be considered necessary to pay laborers and mechanics, including apprentices, trainees, and helpers, employed by the Contractor or any subcontractor the full amount of wages required by the contract. In the event of failure to pay any laborer or mechanic, including any apprentice, trainee, or helper, employed or working on the site of the work, all or part of the wages required by the contract, the Contracting Officer may, after written notice to the Contractor, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds until such violations have ceased.

Important Notes/Requirements:
Subcontract Threshold:
Incorporated by Reference:Yes
Uniform Contract Format:I
Editor:Marshall

Personal notes.