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taining a central office organization of the State highway department or of railroad or consultants' engineering organizations which may be utilized by the State in the conduct of the work under this act will be paid with Federal funds. Engineering charges reimbursable with Federal funds will be confined to the payment of salaries of individuals actually employed in the preparation of such plans and specifications. The funds apportioned shall not be available for the payment of any portion of the cost of surveys and the preparation of plans incurred prior to the approval of the allotment of funds for this purpose on May 16, 1935, and no part of the cost of the surveys, plans, and engineering supervision of construction will be paid to any State which restricts employment of engineers on such work to residents of the State. The design requirements for highway bridges as contained in the standard specifications for highway bridges adopted by the American Association of State Highway Officials shall obtain with respect to structures carrying highway traffic over the railroads. The design requirements of the American Railway Engineering Association shall obtain with respect to structures carrying railroad traffic. Railroad clearances in general shall conform to those in effect on the individual railroads concerned.

METHODS OF UNDERTAKING WORK

SEC. 8. Wherever feasible and practicable the contract method shall be followed in performing work of eliminating hazards to life at railroad grade crossings. Work necessary for the maintenance of railroad traffic including temporary-support trestles, track adjustment, signal adjustment, the rearrangement of telephone and telegraph lines on railroad right-of-way, and the adjustment of existing drainage facilities may be undertaken on a force-account basis by the railroad company with its own forces.

Where a State highway department is organized and equipped to undertake projects on a day-labor or force-account basis or desires to utilize the services of other efficient organizations similarly organized and equipped to undertake projects on this basis, approval may be given to this latter meod of undertaking the work on particular projects.

ADVERTISEMENT AND AWARD OF CONTRACTS

SEC. 9. Before contract is awarded for any project, bids shall be requested by advertisements inserted once a week for not less than 2 weeks in such newspapers and/or other publications as will insure adequate publicity. The award, if made, shall be to the lowest qualified bidder submitting a proposal in conformity with the specification requirements.

CONTRACTS AND CONSTRUCTION

SEO. 10. All contracts for the construction of Works Program grade-crossing projects shall be entered into by the State highway department, and no contract for any such project, or part thereof, shall be entered into or award therefor made by any State without prior concurrence in such action by the district engineer of the Bureau of Public Roads.

Approval will not be given to any procedure or requirement designed to prevent the award of contracts to qualified contractors nonresident of the State in which the work is located. All contracts shall contain special provisions prescribed by the Bureau of Public Roads to give effect to requirements respecting wages, hours of work, conditions of employment, etc., as prescribed by Executive orders and contemplated by these rules and regulations affecting such work.

WAGES OF LABOR

SEC. 11. All contracts for the construction of grade-crossing projects shall prescribe the minimum rates of wages as predetermined by the State highway department subject to the approval and in conformity with standards fixed by the Bureau of Public Roads, which contractors shall pay to the different classes of labor, and such minimum rates shall be stated also in the advertisement for bids and in proposals or bids which may be submitted. The wage rates so determined shall be a minimum rate for unskilled labor, a minimum rate for labor, intermediate grade, and a minimum rate for skilled labor. The classification of labor employed on grade-crossing work into the three classes mentioned shall be in accordance with instructions issued by the Bureau of Public Roads. The minimum wage rate established shall be reasonably comparable to the hourly

rates paid by the State highway department with its own funds for work of a similar character. In establishing wage rates to apply to different sections of a State, consideration may be given to the variation in living costs in the different sections of a State. All contracts for the construction of projects under these rules and regulations shall require that the wages of all labor shall be paid in legal tender of the United States. This condition will be considered satisfied if payment is made by a negotiable check, on a solvent bank, which may be readily cashed by the employee in the immediate community for the full amount, without discount or collection charges of any kind.

EMPLOYMENT OF LABOR

SEC. 12. Contracts for all projects shall provide that (except in executive, administrative, supervisory, and highly skilled positions) only persons certified for assignment to work by the United States Employment Service shall be employed, and that preference in the employment of persons certified by the United States Employment Service shall be given, when they are qualified, to those from the public relief rolls.

No person under the age of sixteen (16) years, and no one whose age or physical condition is such as to make his employment dangerous to his health or safety or to the health and safety of others shall be employed on any project. This paragraph shall not be construed to operate against the employment of physically handicapped persons, otherwise employable, where such persons may be safely assigned to work which they can ably perform.

No person currently serving sentence to a penal or correctional institution shall be employed on any project.

Except as specifically provided under this section, workers who are qualified by training or experience to be assigned to projects of this character shall not be discriminated against on any grounds whatsoever.

All contracts shall be conducted in accordance with safe working conditions, and every effort shall be made for the prevention of accidents.

The wages to be paid on projects under this act may not be pledged or assigned, and any purported pledge or assignment shall be null and void.

HOURS OF LABOR

SEC. 13. Contracts for all projects under this act shall contain a stipulation that the maximum hours of work for manual labor shall be 8 hours per day and 130 hours per month, and the maximum hours of work for clerical and other nonmanual employees shall be 8 hours per day and 40 hours per week. It shall not be considered practical and feasible to apply the 130-hour-per-month limitation to work located at points so remote and inaccessible that camps are necessary for housing and boarding practically all of the labor employed on the work as determined by the State highway department with the approval of the district engineer of the Bureau of Public Roads prior to advertisement, provided, however, that on all such isolated projects the maximum hours of work shall be 8 hours per day and 40 hours per week.

CERTIFIED PAY ROLLS TO BE FURNISHED

SEC. 14. The specifications for each project shall contain a provision requiring the contractor and all subcontractors to furnish to the State highway department, on forms to be prescribed and in accordance with instructions to be issued, copies of weekly pay rolls within 3 days after the payment of such pay rolls, and there shall be attached to such pay rolls an affidavit as required by the provisions of Public Act No. 324, Seventy-third Congress, approved June 13, 1934, which shall be included in and made a part of the special provisions. Each pay roll shall be accompanied by a statement indicating the approximate expenditures for the principal materials used or purchased for the work, itemized as may be required. The pay rolls shall be divided into four sections, under which shall be appropriately grouped:

(1) Executive, administrative, and supervisory employees.

(2) Skilled labor.

(3) Intermediate labor.

(4) Unskilled labor.

All employees shall be paid weekly and all pay rolls shall be submitted for each calendar week not later than the third day after the date on which employees are paid, which shall not be later than Wednesday of the week following the week covered by the pay roll.

The total number of hours of employment given under each of the four sections of the pay roll, together with the total amount paid under each section of the pay roll, shall be shown on each weekly pay roll, and the totals for both items shall be carried forward to succeeding pay rolls, so that the final pay roll will reflect the total hours of employment given to the different classifications of labor as well as the total amounts paid to each classification. from this procedure will not be permitted. The contractor's time book shall be open to inspection by the Secretary, or his authorized representative, and to authorized representatives of the State highway department at any time.

Deviation

A monthly report shall be prepared by the contractor on forms furnished by the Department of Labor for each calendar month, showing the number of persons on the pay rolls of the contractor and subcontractors on each project, the aggregate amount of such pay rolls, the man-hours worked during the month, and the approximate expenditures for materials during the month, itemized as may be required. This report in duplicate shall be furnished to the State resident engineer on the project within 5 days after the close of each calendar month and promptly transmitted by him to the district engineer of the United States Bureau of Public Roads.

The pay rolls shall show clearly whether or not the persons listed thereon as obtained from the Reemployment Service were listed as drawn from the relief rolls.

EMPLOYMENT AGENCIES

SEC. 15. All contracts for work to be done shall provide that labor required for such projects and appropriately to be selected through local employment services shall be selected from qualified workers referred by employment agencies designated by the United States Employment Service and in accordance with the required special provisions.

SUBLETTING AND SUBCONTRACTING

SEC. 16. All contracts for projects shall contain suitable stipulations designed to insure that not less than 80 percent of the work embraced in the contract, exclusive of items not commonly found in contracts for similar work, or which require highly specialized knowledge, craftsmanship, and/or equipment not ordinarily available in contracting organizations which perform work of the character embraced in the contract, shall be performed by the contractor with his own organization; provided, that a procedure may be approved whereby a contractor who states in his proposal a particular item or items which he proposes to sublet and names the subcontractor to whom he proposes to sublet such work, may, if such item or items do not constitute the major item or items of the contract, have such work performed by the subcontractor named notwithstanding the above limitation. The State highway department shall furnish

to the Bureau of Public Roads for transmittal to the Works Progress Administration and to the Department of Labor the names and addresses of all subcontractors on projects at the earliest date practicable.

USE OF DOMESTIC MATERIALS

SEC. 17. All contracts for projects shall provide that in the performance of the work the contractor, subcontractors, material producers, or suppliers shall use only such unmanufactured articles, materials, and supplies as have been mined or produced in the United States, and only such manufactured articles, materials, and supplies as have been manufactured in the United States substantially all from articles, materials, or supplies mined, produced, or manufactured, as the case may be, in the United States, unless articles, materials, or supplies of the class or kind to be used, or the articles, materials, or supplies from which they are manufactured are not mined, produced, or manufactured, as the case may be, in the United States in sufficient and reasonably available commercial quantities and of a satisfactory quality; provided, however, that if the Bureau of Public Roads shall find that in respect to some particular articles, materials, or supplies it is impracticable to make such requirement, or that it would unreasonably increase the cost, an exception shall be noted in the specifications as to those particular articles, materials, or supplies, and a public record shall be made of the findings which justified the exception.

DIRECT-LABOR OR FORCE-ACCOUNT WORK

SEC. 18. All work done by direct labor or force account shall be subject to these rules and regulations except work of this character necessary for the maintenance of railroad traffic and the adjustment of railroad facilities which may be performed by the railroad companies with their own forces in accordance with the working agreements between the railroad labor unions and the affected railroads. On such work the railroads will be reimbursed for actual costs incurred because of the project, and their accounts of such work must be kept in such way that they may be readily audited prior to reimbursement. Any material furnished by the railroad company for temporary work will be paid for at actual cost less fair salvage value when the material is released.

MATERIALS

SEC. 19. All contracts for the construction of grade-crossing projects which are paid for in whole or in part with Works Program grade-crossing funds shall require the contractor to furnish all materials entering into the work, and no requirement shall be contained in any contract in any State providing price differentials for or restricting the use of materials to those produced within the State; provided that in the event any arrangements are made by the Federal Government for the purchase of materials which the contractor could utilize in his work, the specifications shall list such materials, the prices at which the contractor will be charged therefor or at which he may purchase them, and the methods under which they will be made available; and the contractor shall have the option of obtaining such materials as may be required in his work, by such methods or of obtaining them through ordinary commercial channels, as may appear to his advantage.

On direct-labor or force-account work all materials shall be purchased under competitive bids, except that for minor quantities of materials which may be obtained locally from a number of independent sources, the receipt by the State of quotations from not less than three local dealers will be considered as sufficient means to secure economy and efficiency in the corresponding expenditure of public funds. Published advertisements shall be employed in the purchase of large quantities of materials and the award made on the basis of sealed bids publicly opened. In the event that arrangements are made by the Government for the purchase of materials which may be used on direct-labor or force-account work, the same option with respect to the use of such materials shall obtain as on contract work.

All materials, whether used on contract or force-account work, shall comply with approved specifications.

APPROVAL OF PLANS BY DISTRICT ENGINEER

SEC. 20. When, in the opinion of the district engineer of the Bureau of Public Roads, a State shall have filed a complete project statement for a project on an approved program and satisfactory plans, specifications, and estimates therefor, or for any part thereof, the district engineer may authorize advertisement of such project, or of such part thereof, and/or may recommend approval of such plans, specifications, and estimates, but shall not concur in the award of any contract until after the project statement has been approved. Projects of a high order of priority with respect to providing employment and eliminating hazards, and conforming to these rules and regulations to the extent of a reasonable percentage of the work permissible under the different classifications of projects may be approved by the district engineer for construction upon the submission of a project statement and satisfactory plans prior to formal action on a detailed program submitted by any State, provided clearance is obtained on such projects from the State director of the National Emergency Council and the State administrator of the Works Progress Administration.

HIGHWAY PLANNING PROJECTS

SEC. 21. With the approval of the Secretary, not to exceed 11⁄2 percent of the amount apportioned to any State for eliminating the hazards to life at railroad grade crossings may be used for surveys, plans, and engineering investigations of projects for future construction in such State or for the general planning of a complete highway system and program of highway improvement for such State. Such proposed surveys, plans, and engineering investigations shall be initiated by the State highway department in the same manner as other

projects by the submission of a project statement and, if approved by the Secretary, the work may be prosecuted under a project agreement. This section shall not apply to surveys, plans, or engineering investigations of construction projects to be financed with any regular Federal-aid funds immediately available.

[Section 22-"Alternate Plan for Utilization of Works Program Grade Crossing Funds "-is revoked in its entirety.]

STATE REGULATORY BODIES

SEC. 23. A State which has laws vesting control of grade-crossing matters in any other agency than the State highway department must necessarily effect cooperative arrangements between such agency and the State highway department for the purpose of carrying out the program of projects contemplated by the act. Controversies over the division of cost between a railroad and the State should not arise when Federal funds are available for paying 100 percent of the construction cost of grade-crossing projects. The approval of a public utilities commission or other governing body in a State to work of this character where agreement exists between the affected parties with respect to established grades, clearances, etc., and controversies are eliminated respecting division of costs, will be largely a matter of form. Every effort, therefore, should be made to prevent delay to the program because of the formality of clearing such matters through a State regulatory body.

CONTRIBUTIONS FROM RAILROADS

SEC. 24. Grade-crossing projects shall be undertaken on a basis that will impose no involuntary contributions on the affected railroads. State laws which impose a fixed contribution upon the railroad companies for work of this character shall be held not to apply to projects under the act. If any contribution by a railroad company is indicated for right-of-way or construction cost of any project, the record of such project shall be supplemented by a statement from the railroad company that the indicated participation is wholly voluntary.

MAINTENANCE OF SECONDARY OR FEEDER PROJECTS

SEC. 25. Project agreements for secondary or feeder-road projects shall provide for the maintenance of such projects by the State where the law permits the State to undertake such maintenance; otherwise the State shall submit, in the form prescribed by the Secretary, an agreement with the county or other political subdivision for such maintenance.

MAINTENANCE OF PROJECTS WITHIN MUNICIPALITIES

SEC. 26. Project agreements for projects within municipalities shall provide for the maintenance of such projects by the State where the law permits the State to undertake such maintenance; otherwise the State shall submit, in the form prescribed by the Secretary, an agreement with the municipality or other political subdivision for such maintenance.

AVAILABILITY OF FUNDS

SEC. 27. The funds apportioned to the State under the act are for use during the fiscal year 1936. They are available only to the extent that they can be used expeditiously under these rules and regulations.

STATES WITHOUT SATISFACTORY HIGHWAY DEPARTMENTS

SEC. 28. If the Secretary shall find that any State is without a satisfactory State highway department, as defined by the Federal Highway Act (Sec. 2), the administration of the apportionment to such State, pursuant to the Emergency Relief Appropriation Act of 1935, shall be subject to such special rules and regulations, authorized by law, as may be prescribed by the Secretary of Agriculture.

PAYMENT TO STATES

SEC. 29. No payments will be made to any State on account of work performed on any project which has not been done in accordance with these rules and regulations and the special provisions issued thereunder. The final voucher for each project shall be accompanied by a statement showing: (1) The total man

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