Interim Internal Purchasing Guidelines > 9 Labor Guidelines > 9.5 Walsh-Healey Public Contracts Act

9.5 Walsh-Healey Public Contracts Act

9.5.1 General

The Walsh-Healey Public Contracts Act (41 U.S.C. 35-45) requires that certain contracts for the manufacture or furnishing of supplies must incorporate the Walsh-Healey Public Contracts Act requirements by reference. No contracting officer, supplier, or subcontractor may purchase quantities amounting to less than $10,000 to avoid compliance with the Act.

9.5.1.a If a contract for $10,000 or less is modified to exceed $10,000, the Act applies.

9.5.1.b If a contract that exceeds $10,000 is modified to $10,000 or less, the work performed after the modification is subject to the Act if both parties agreed to the modification.

9.5.1.c The Act applies to indefinite delivery contracts and ordering agreements if the aggregate amount of all orders is expected to exceed $10,000 during the year following award. Indefinite delivery contracts and ordering agreements not initially subject to the Act become subject to the Act if orders will exceed $10,000 during any year after the first year. Applicability must therefore be determined annually until the contracts or agreements become subject to the act.

9.5.2 Clause

All contracts subject to the Act (see 9.5.3) must include Clause 9-6, Walsh-Healey Public Contracts Act, which is incorporated by reference in Clause 4-2, and must be checked-off by the contracting officer as appropriate.

9.5.3 Exemptions

The following purchases are exempt from the Walsh-Healey Public Contracts Act:

9.5.3.a Noncompetitive purchases when delaying the purchase would seriously harm the Postal Service.

9.5.3.b Perishables, including dairy, livestock, and nursery products.

9.5.3.c Purchases of agricultural or farm products processed for first sale by the original producers.

9.5.3.d Commercially available items.

9.5.4 Other Responsibilities

When a contract subject to the Act is awarded, the contracting officer, under the regulations or instructions issued by the Secretary of Labor, must:

9.5.4.a Give the supplier a Department of Labor combination letter and poster (WH Publication 1313) explaining the Walsh-Healey Public Contracts Act; and

9.5.4.b Report any violation of the representations or stipulations required by the Walsh-Healey Public Contracts Act to the Secretary of Labor through the Inspection Service.

9.5.5 Exceptions to Required Stipulations

The Secretary of Labor may allow exceptions to the requirement that the representations and stipulations of the Act be included in contracts. The contracting officer must submit requests for exceptions to the Administrator, Wage and Hour Division, Department of Labor, through the Manager, Supply Management Infrastructure.