Mon Jan 30 23:30:09 EST 2023
HomeBlogPK Management: Concern Over Their Liability Instead Of The Contractor

PK Management: Concern Over Their Liability Instead Of The Contractor

We reported on here and the LinkedIn NPPG Group Thursday night that PK Management had issued a two page Vendor Time Assessment Survey (VTAS) to Contractors wanting their personal data.  PK Management wanted to know precisely how much time was spent upon site for Initial Inspections, Initial Services, Winterizations, Lawn Maintenance, Debris Removal, QC Inspections … well, you get the point.  Nowhere on the VTAS nor Letter included as a second attachment (if you really want to call it that) did it state why they wanted the information, what the information would be used for, and whether or not it was voluntary!  Folks, you know the drill here.  PK Management is not asking to you EVER do anything that is going to help you!!!!!!!

[From Les Stermberg, PKMG Director of Vendor Management]:  Yesterday we sent you a Vendor Time Assessment Survey. Please note that this is voluntary and is meant only to assess average time required to complete tasks across many states in an on-going effort to assess and maintain our compliance with the Service Contract Act and the requirements of same, as set out in the Subcontractor Agreement. As with any survey, you can decline responding by simply NOT responding. You will not be penalized in any way. If you choose to complete the survey, please note that we are gathering information on total “PERSON-HOURS” needed to complete a task. In other words, if two (2) workers each work one (1) hour then the proper response is 2 HOURS.

The above paragraph was sent out by Les Sternberg after our reporting.  Now, I doubt he was clarifying anything for us; perhaps he meant to include this information all along?  Yeah, right.  Sternberg is a lawyer!  Oh, you didn’t know that?  Yeah, our good buddy Les is a lawyer; the only Director of Vendor Management I have ever heard of having a law degree!  So, the aforementioned paragraph was not mistakenly omitted.  Now, the real question becomes why our Cold War Era pals want to begin tracking time on each and every Contractor, have the Contractors do this themselves and that such begin without any compensation whatsoever!  Shocked?  Well, you shouldn’t be.  PK Management has a history of screwing their own.  Matter of fact, back on 02 March, 2011, PK Management wassued by the United States Department of Labor over attempting to classify their own employees under a Commercial Services Exemption:

US Labor Department recovers $64,700 for 37 employees of Miami property management company performing under federal contracts

MIAMI — The U.S. Department of Labor has recovered $64,733 for 37 employees of P.K. Management Group in Miami after an investigator from the department’s Wage and Hour Division found violations of federal labor laws.

“When companies hold federal contracts, they are obligated to pay their employees as required under applicable federal labor laws,” said Will Garnitz, the Wage and Hour Division’s district director in Miami. “These laws were passed to protect employees of companies that benefit from federal contracts, and the Labor Department is committed to enforcing these rules.”

The property management company manages and renovates projects under contract to the U.S. Department of Housing and Urban Development. A total of $63,947 was paid to 36 employees, as the company misapplied a “commercial” services exemption allowed under the McNamara-O’Hara Service Contract Act that was not applicable in this case. The company also failed to correctly provide health and welfare fringe benefits to employees, and neglected to maintain a record of hours for its field employees. An additional employee is receiving $786 in back overtime payments because he was not paid the overtime premium due when he worked in excess of 40 hours in a week, as required by the Contract Work Hours and Safety Standards Act.

The McNamara-O’Hara Service Contract Act requires contractors and subcontractors performing services on federal contracts in excess of $2,500 to pay service employees in various classes no less than the wage rates and fringe benefits found prevailing in the locality, or the rates contained in a predecessor contractor’s collective bargaining agreement.

The Contract Work Hours and Safety Standards Act applies to contractors and subcontractors with federal service contracts, and federally-funded and assisted construction contracts over $100,000. Covered contracts include those entered into by the U.S.; any agency, instrumentality or territory of the U.S.; or the District of Columbia.

Look, my opinion along with that of other Contractors is that PK Management is being allowed to skirt the Prompt Payment Act and OMB 12-16.  I further believe that PK Management has the fix in with the United States Department of Housing and Urban Development.  While this is an opinion, I am working on a story to substantiate the fact that Atlanta HUD has had a far too cozy relationship with these Prime Vendors dating all the way back to the HMBI days when the Secretary of HUD, Alfonso Jackson, was forced to resign under indictments.  We are going to release an Article on the Robosigning by Atlanta HUD Procurement Officer and his immediate supervisors allocating tens of millions of dollars which will substantiate our HUD Claims.  The PK Management claims stand prima facie and we believe PK Management’s latest attempts to bully Contractors will never pass muster under close scrutiny.

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