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FEDERAL RESERVE BANK OF NEW YORK Fiscal Agent o f the United States J- Circular No. 7341 "1 |_February 11, 1974J E M P L O Y M E N T O F D IS A B L E D A N D V I E T N A M E R A V E T E R A N S Am endm ents to Treasury Departm ent Circulars Nos. 92 and 1079 To All Banking Institutions, and Others Concerned, in the Second Federal Reserve District: The following is an excerpt from a Treasury Department letter addressed to this Bank: T o im plem ent the provisions o f Public Law 92-540, 38 U.S.C. 2012, and Executive Order 11701 o f January 24, 1973, 38 FR 2675, the U.S. Departm ent o f L abor ruled (38 FR 2968) that there is to be included in every contract for $2,500 or more for non-personal services a provision that the contractor, in order to provide special em phasis to the em ploym ent o f qualified disabled and Vietnam era veterans, list at an appropriate local office o f the state em ploym ent service all suitable em ploym ent openings. T o apply these regulations to banks m aintaining Treasury tax and loan accounts, the Department o f the Treasury amended the depositary contract provisions o f 31 C F R Part 203 (Department Circular No. 92) by regulations published Decem ber 12, 1973, 38 FR 34181. This Departm ent also utilized this am endatory action to amend the depositary contract provisions to include specific reference to the amendment o f the Equal Em ploym ent Opportunity Executive O rder 11246 by Executive O rder 11375, which prohibits discrim ination in em ploym ent on grounds o f sex. Enclosed are copies o f the following docum ents, reflecting this ruling: (a) A m endm ent No. 3, dated January 2, 1974, to Treasury Departm ent Circular No. 92 (Second Revision), ‘ ‘ Regulations G overning Special Depositaries o f Public M oney.” (b) Am endm ent No. 1, dated January 2, 1974, to Treasury Department Circular No. 1079 (First Revision), “ Regulations Governing the Deposit o f Federal Taxes with Depositary Banks and Federal Reserve B anks.” In addition, printed on the following pages is an excerpt from the Federal Register o f April 17, 1973, containing the text o f provisions o f the General Serv ices Adm inistration regulations on the em ploym ent o f disabled and Vietnam era veterans. Additional copies o f this circular and its enclosures will be furnished upon request. ALFRED President. H AYES, Title 41— Public Contracts and Property Management CHAPTER I— FEDERAL PROCUREMENT REGULATIONS EMPLOYMENT OF DISABLED AND VIETNAM ERA VETERANS This amendment of the Federal pro curement regulations revises subpart 1 12.11 relating to the listing of employ m ent openings by Government contrac tors and subcontractors in order to give special emphasis to the employment of qualified disabled veterans and veterans of the Vietnam era. The amendment im plements provisions of Public Law 92-540, approved October 24, 1972, E x ecutive Order 11701, dated January 24, 1973, and rules and regulations of the Secretary of Labor issued pursuant thereto (41 CFR 50-250, 38 FR 2968, Jan. 31, 1973). It provides for the inclu sion of a contract clause in all procure ment contracts and first-tier subcon tracts which requires Government con tractors and subcontractors to offer for listing at an appropriate local office of the Federal-State employment service system all employment openings which occur at their facilities. PART 1-2— PROCUREMENT BY FORMAL ADVERTISING Subpart 1-2.2— Solicitation of Bids Section 1-2.201 is amended to revise paragraph (a) (3 0), as follows: § 1—2 .2 0 1 bids. * Preparation o f invitations for * * * o f E m p l o y m e n t O p e n in g s B idders and offerors sh ou ld note th at this s o lic ita tio n in clu d e s a p rov ision requ irin g the listin g o f em p loy m en t op e n in g s w ith th e local office o f th e F ederal-S tate em ploy m en t service system where a c o n tra ct award is fo r $2,500 or m ore. The table of contents is changed to provide a revised entry as follows: In q u iries m ents. on listing req u ire Subpart 1-12.11 is revised to read as follows: Subpart 1-12.11— Listing of Employment Openings g 1—1 2 .1 1 0 0 Seope o f subpart. This subpart sets forth policies and procedures relating to manpower re quirements for Federal contractors and subcontractors and implements Public Law 92-540, approved October 24, 1972 (86 Stat. 1097: 38 U.S.C. 2012), Execu General. Executive agencies shall cooperate with and encourage contractors and subcon tractors to utilize to the fullest extent practicable the U .S. Employment Service (U SES) and its affiliated local State em ployment service offices in meeting the contractors’ and subcontractors’ m an power (labor supply) requirements to staff new or expanding facilities, includ ing the recruitment of workers in all occupations and skills both from local labor market areas and through the Fed eral-State manpower clearance system. Local State employment service offices are operated in every State and in the District of Columbia, the Commonwealth of Puerto Rico, Guam , and the Virgin Islands. In addition to providing recruit m ent assistance to contractors and sub contractors who need and desire it, cooperation with the local State employ ment service offices will further the na tional program of maintaining continu ous assessment of manpower require ments and resources on a national local basis. § 1 -1 2 .1 1 0 2 -1 of em ploym ent Policy. In order to give special emphasis to the employment of qualified disabled veterans and veterans of the Vietnam era, Government contractors and firsttier subcontractors shall list all of their suitable employment openings with the appropriate local office of the State em ployment service system as required by Public Law 92-540, approved October 24, 1972 (86 Stat. 1097; 38 U.S.C. 2012), E x ecutive Order 11701, dated January 24, 1973, and the rules and regulations of the Secretary of Labor issued pursuant there to (41 CFR 50-250, 38 FR 2968, Jan. 31, 1973). § 1 -1 2 .1 1 0 2 -2 PART 1-12— LABOR Sec. 1-12.1102-4 § 1—1 2 .1 1 0 1 § 1—1 2 .1 1 0 2 Listing openings. * (a) * * * (30) The following provision regarding the employment of qualified disabled veterans and veterans of the Vietnam era shall be placed on the face of the invitation for bids or on a cover sheet where awards in the amount of $2,500 or more m ay result: L is t in g tive Order 11701, dated January 24, 1973, and rules and regulations of the Secre tary of Labor issued pursuant thereto (41 C FR 50-250, 38 FR 2968. Jan. 31, 1973) concerning employment oppor tunities with Federal contractors and subcontractors, with special emphasis on the employment of qualified disabled veterans and veterans of the Vietnam era. Clause. Unless otherwise provided in this sub part, executive agencies shall include, either directly or by reference, the con tract clause prescribed by this § 1 -1 2 .1102-2 in (a) all invitations for bids and requests for proposals for the procure ment of personal property and nonper sonal services (including construction), and (b) all contracts for the procurement of personal property and nonpersonal services (including construction), includ ing contracts resulting from unsolicited proposals, where it is anticipated that a contract will be for $2,500 or more. L is t in g o f E m p l o y m e n t O p e n in g s (T h is clause is applicable p u rsu a n t to 41 CFR 50-250 if this co n tra ct is fo r $2,500 or m ore.) (a ) T he co n tra cto r agrees, in order to p r o vide special em ph asis to th e em p loy m en t o f qu alified disabled veteran s and veterans o f the V ietn am era, th a t all su itab le em p lo y m ent op en in g s o f th e co n tra cto r w h ich exist at the tim e o f th e e x e c u tio n o f th is c o n tra ct and th ose w h ich o ccu r d u rin g the p e rfo rm ance o f th is co n tra ct, in clu d in g those n o t g enerated b y th is c o n tra ct and in clu d in g those o ccu rrin g at an esta b lish m en t oth er th a n the o n e w h erein th e c o n tra ct is bein g p erform ed b u t ex clu d in g th ose o f in d ep en d en tly op era ted corp orate affiliates, sh all be offered fo r listin g at an a p p rop riate lo ca l office o f th e S ta te em p loy m en t service system w herein th e op en in g o ccu rs and to provide su ch reports to su ch local office regardin g em p loy m en t op en in g s and hires as m ay be req u ired : P rovided, T h at if th is con tra ct is fo r less than $10,000 or if it is w ith a State or local govern m en t the reports set forth in paragraphs (c ) and (d ) are n ot required. (b ) Listing o f em p loy m en t op en in gs with the em p loy m en t service system p ursuant to this clause shall be m ade at least c o n cu rren tly w ith the use o f any oth er r ecru it m ent service or effort and shall involve the norm al ob lig a tion s w h ich atta ch to the pla cin g o f a bon a fide jo b order, in clu d in g the acceptan ce o f referrals o f veterans and nonveterans. T h is listin g o f em p loy m en t op enings does n ot require the h irin g o f any particular jo b a p p lican t or from any p a r ticu lar group o f jo b ap p lican ts, and n o t h ing herein is in ten d ed to relieve the c o n tra ctor from any requirem ents in any statutes, E xecutive orders, or regu lation s re garding n on d iscrim in a tion in em ploy m en t. (c ) The reports required by paragraph (a) o f th is clause shall in clu d e, b u t n ot be lim ited to, p eriod ic reports w h ich shall be filed at least quarterly w ith the appropriate local office or, where the con tra ctor has m ore th a n on e establish m en t in a State, w ith the central office o f the State em ploy m en t service. Such reports shall in d icate for each establish m en t (i) the nu m ber o f in d ividu als wTh o were hired d u rin g the reportin g period, (ii) the nu m ber o f those hired w ho were d is abled veterans, and (iii) the n u m b er o f th ose hired w h o were n on disabled veterans o f the V ietn am era. T he con tra ctor shall su b m it a report w ith in 30 days after the end o f each reportin g p eriod w herein any p er form a n ce is m ade un der this c on tra ct. The con tra ctor shall m a in tain copies o f the re ports su bm itted u n til the e x piration o f 1 year after final p aym en t u n der the con tra ct, d u rin g w h ich tim e they shall be m ade avail able, u p on request, fo r ex am in ation by amau th orized represen tatives o f the c o n tr a c t in g officer or o f the Secretary o f Labor. (d ) W henever the con tra ctor becom es c o n tra ctu a lly b ou n d by the listin g provision s o f th is clause, he shall advise the em ploy m en t service system in each State w herein he has establish m en ts o f the nam e and loca tion o f each such establish m en t in the State. As lon g as the con tra ctor is con tra ctu a lly bou n d to these p rovision s and has so advised the State em p loy m en t system , there is no need to advise the State system o f su bsequ en t con tra cts. The con tra ctor m ay advise the State system when it is no longer bou n d by this con tra ct clause. (e ) T his clause does n ot app'.y to the lis t ing o f em p loy m en t op en in gs w h ich occu r and are filed ou tsid e o f the 50 States, the D istrict o f C olum bia, the C om m onw ealth o f P u erto R ico, G u am , and the V irgin Islands. ( f ) T h is clause does not apply to o p e n ings w h ich the co n tra cto r proposes to fill from w ith in his ow n org an ization or to fill pu rsu a n t to a cu stom a ry and tra dition al em p lo y e r-u n io n h irin g arrangem ent. T h is ex clu sion does n ot apply to a particular op en in g on ce an em ployer decid es to c o n sider a p p lican ts ou tsid e o f his ow n organ i- UNITED STATES TREASURY DEPARTMENT Fiscal Service, Bureau of Accounts R e g u l a t i o n s G o v e r n i n g t h e D e p o s i t of F e d e r a l T a x e s w i t h D e p o s i t a r y B a n k s a n d F e d e r a l R e s e r v e B anks D e p a r t m e n t C i r c u l a r No. 1079 (First Revision) R e v i s e d D e c e m b e r 13, 1967 A m e n d m e n t No. 1 D e p a r t m e n t C i r c u l a r No. 1079 (First R e v i s i o n ) , d a t e d D e c e m b e r 13, 1967, is h e r e b y amended, e f f e c t i v e J a n u a r y 1, 1974, as follows: 1. By c h a n g i n g S u b s e c t i o n 214.5(c) t o re a d as follows: “(c) A g r e e m e n t — R e c e i p t by a d e p o s i t a r y of n o t i c e of a p p r o v a l of its a p p l i c a t i o n by the F e d e r a l R e s e r v e B a n k c o m p l e t e s the d e p o s i t a r y ' s q u a l i f i c a t i o n a n d c r e a t e s an a g r e e m e n t b e t w e e n it a n d the T r e a s u r y D e p a r t m e n t u n d e r w h i c h the d e p o s i t a r y a g r e e s to be b o u n d by all the t erms and p r o v i s i o n s of t h i s p a r t a n d the p r o v i s i o n s p r e s c r i b e d in s e c t i o n 202 of E x e c u t i v e O r d e r 11246, e n t i t l e d "Equal E m p l o y m e n t Opportunity,'* as a m e n d e d by E x e c u t i v e O r d e r 11 3 75 . " 2. By c h a n g i n g S u b s e c t i o n 214.5(d) to r e a d as follows: " (d) E x i s t i n g a g r e e m e n t s — E x i s t i n g a g r e e m e n t s b e t w e e n d e p o s i t a r i e s and the T r e a s u r y D e p a r t m e n t shall c o n t i n u e in e f f e c t w i t h o u t f u r t h e r a c t i o n until terminated.. A d e p o s i t a r y w h i c h a c c e p t s a d e p o s i t of F e d e r a l t a x e s u n d e r an e x i s t i n g a g r e e m e n t t h e r e b y a g r e e s to be b o u n d b y all the t e r m s a n d p r o v i s i o n s of thi s p a r t a n d the p r o v i s i o n s p r e s c r i b e d in s e c t i o n 202 of E x e c u t i v e O r d e r 11246, e n t i t l e d "Equal E m p l o y m e n t O p p o r t u n i t y , " as a m e n d e d by E x e c u t i v e O r d e r 11375." J o h n K. C a r l o c k Fiscal Assistant Secretary DATED: January 2, 1974 UNITED STATES TREASURY DEPARTMENT Fiscal Service, Bureau of Accounts R e g u l a t i o n s G o v e r n i n g S p e c i a l D e p o s i t a r i e s of P u b l i c M o n e y D e p a r t m e n t C i r c u l a r No. 92 (Second Revision) R e v i s e d O c t o b e r 9, 1967 A m e n d m e n t No. 3 D e p a r t m e n t C i r c u l a r No. 92 (Second Revision), d a t e d O c t o b e r 9, 1967, as a m ended, is h e r e b y f u r t h e r amended, e f f e c t i v e J a n u a r y 1, 1974, as follows: 1. B y c h a n g i n g S e c t i o n 2 0 3 . 4 to rea d as follows: "A s p e c i a l d e p o s i t a r y w h i c h a c c e p t s a d e p o s i t u n d e r t h i s p a r t e n t e r s into a c o n t r a c t of d e p o s i t w i t h the Treasury Department. T h e terms of the c o n t r a c t i n c l u d e a l l the p r o v i s i o n s o f this p a r t and the p r o v i s i o n s p r e s c r i b e d in s e c t i o n 202 of E x e c u t i v e O r d e r 11246, e n t i t l e d "Equ a l E m p l o y m e n t O p p o r t u n i t y , " as a m e n d e d b y E x e c u t i v e O r d e r 11375, and the p r o v i s i o n s of the G e n e r a l S e r v i c e s A d m i n i s t r a t i o n r e g u l a t i o n s for the p r o m o t i o n of e m p l o y m e n t o f d i s a b l e d and V i e t n a m era veterans, 41 C F R S u b p a r t 1-12.11, e x c e p t t h a t d e p o s i t a r i e s w h i c h n o t i f y t h e D e p a r t m e n t of the T r e a s u r y t h a t the g r o s s a n n u a l e a r n i n g v a l u e on t h e i r F e d e r a l d e p o s i t s is less than $ 2 , 5 0 0 are e x e m p t f r o m the a p p l i c a t i o n of the G e n e r a l Services Administration regulations." Fiscal Assistant DATED: January 2, 1974 Secretary za tion or e m p lo y e r -u n io n arrangem ent fo r th a t op en in g. (g ) As used in this cla u se: (1 ) “ All su itab le em p lo y m e n t o p e n in g s” Includes, b u t is n o t lim ited to, op en in gs w h ich oc cu r in the fo llo w in g Job categories: P ro d u c tio n an d n o n p r o d u c tio n ; p la n t and office; lab orers and m ech an ics; supervisory an d non su p erv isory ; te ch n ica l; and e x e cu tive, ad m in istra tive, and p rofession a l o p e n ings w h ich are com p en sa ted o n a salary basis o f less th a n $18,000 per year. T he term in clu d es fu ll-tim e em p loy m en t, tem porary e m p loy m e n t o f m ore th a n 3 d ays’ d uration, and p a rt-tim e em p loy m en t. It does n ot in clu d e op en in g s w h ich the co n tra cto r p ro poses to fill fro m w ith in his ow n organ iza tio n or to fill p u rsu a n t to a cu stom a ry and tra dition al e m p lo y e r -u n io n h irin g arrange m en t. (2) “ A ppropriate office o f the State e m p loy m en t service system ” m eans the local office o f the F ederal-S tate na tion al system o f p u b lic e m p lo y m e n t offices with assigned resp on sibility fo r serving the area o f the establish m en t where the em p loy m en t o p e n in g is to be filled, in clu d in g the D istrict o f C olu m bia, the C om m on w ealth o f P uerto R ico, G u am , and the V irgin Islands. (3 ) “ O penin gs w h ich the co n tra cto r p ro poses to fill fro m w ith in his ow n organ iza t io n ” m eans em p loy m en t op en in gs fo r w h ich n o con sid era tion will be given to persons ou tsid e the co n tra cto r's ow n organ ization (in clu d in g any affiliates, subsidiaries, and p arent c o m p a n ie s), and includ es any o p e n ings w h ich th e co n tra cto r proposes to fill fro m regularly established “ reca ll" or “ reh ire ” lists. (4 ) “ O penings w h ich the co n tra cto r p ro poses * * * to fill p u rsu a n t to a custom ary and tra d ition al e m p lo y e r-u n io n h irin g ar ra n g em e n t” m eans em p lo y m e n t op en in gs fo r w h ich n o con sid era tion w ill be given to per sons ou tsid e o f a special h irin g arrange m ent, in clu d in g op en in gs w h ich the c o n tra c tor proposes to fill fro m u n io n halls, w h ich is part o f the cu stom a ry and tra d ition al h irin g relation sh ip w h ich exists betw een the co n tra cto r and representatives o f his em ployees. (5) “ D isabled v eteran ” m eans a person en titled to d isability com p en sation u n der laws adm in istered by the V eterans A d m in is tra tion fo r a d isability rated at 30 p ercen tu m or m ore, or a person whose discharge or re lease from active d u ty was for a d isability incurred or aggravated in line o f d u ty. (6 ) “ V eteran o f the V ietn am era” m eans a person (A ) w h o (i) served on active d u ty w ith the Arm ed Forces fo r a period o f m ore th an 180 days, any part o f w h ich occu rred after A ugu st 5, 1964, and was d isch arged or released th erefrom w ith oth er th an a d is h on orable discharge, or (ii) was d isch arged or released from active d u ty fo r s e r v ice -co n n ected d isability if any part o f su ch d u ty was p erform ed after A ugust 5, 1964, and (B ) w h o was so d isch arged or released w ith in the 48 m on th s preced ing his a p p lica tion for em p loy m en t covered by this clause. (h ) I f any d isabled veteran or veteran o f the V ietn am era believes th a t the con tra ctor (or any first-tier siib co n tra cto r) has failed or refuses to com p ly w ith the provision s o f this c o n tra ct clause relatin g to giving sp e cial em phasis in em p loy m en t to veterans, su ch veteran m ay file a co m p la in t w ith the v eteran s' em p loy m en t representative at a local State em p loy m en t service office w h o w ill attem p t to in form a lly resolve the c o m p lain t and then refer the com p la in t w ith a report o n the a ttem p t to resolve the m atter to the State office o f the V eteran s’ E m p loy m en t Service o f the D ep artm ent o f Labor. S u ch co m p la in t shall th en be p rom p tly re ferred th rou g h the R egion al M anpow er A d m in istra tor to the Secretary o f Labor w h o shall investigate su ch com p la in t and shall take su ch action th ereon as the fa cts and circu m stan ces w arrant con sisten t w ith the term s o f this co n tra ct and the laws and reg u la tio n s a p p licab le thereto. (i) T he co n tra cto r agrees to p lace this clause (e x clu d in g this paragraph ( i ) ) in any su b co n tra ct d irectly un der this con tra ct. § 1—1 2 .1 1 0 2 —3 Deviations. Under the most compelling circum stances such as situations where the needs of the Government cannot reason ably be otherwise supplied, where listing of employment openings would be con trary to national security, or where the requirement of listing would otherwise not be in the best interests of the G ov ernment, a deviation from this subpart may be made, subject to the approval of the Secretary of Labor. Requests for any such deviations shall be addressed to the Secretary of Labor, U.S. D epart ment of Labor, 14th Street and C onsti tution Avenue N W ., W ashington, D.C. 20210, or to the Regional Manpower A d m inistrator-of the U.S. Department of Labor of the region wherein the contract is to be signed, and shall set forth the reasons for the request. § 1—1 2 .1 1 0 2 —4 Inquiries on quirem ents. listing re Contractors with inquiries regarding listing requirements shall be advised that such inquiries should be submitted to the appropriate Regional Manpower A d ministrator of the U.S. Departm ent of Labor. § 1—1 2 .1 1 0 2 —5 Failure to com p ly. Upon notice that a contractor or any of his first-tier subcontractors has failed to comply with the provisions of the List ing of Employment Openings clause in § 1-12.1102-2, the contracting officer shall take such action as may be appropriate under the default provisions of the con tracts concerned. (Sec. 2 0 5 (c ), 63 Stat. 390; 40 U.S.C. 4 8 6 (c ).) E ffe c tiv e d a te .— These regulations shall be effective M ay 30, 1973, but may be observed earlier. Dated April 10, 1973. A rthur F. S am pson, A c tin g A d m in istra to r o f G e n e r a l S erv ices. IFR D oc.73-7358 Filed 4 -1 6 -7 3 ;8 :4 5 am ]
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