3090-0080_SupportingStatement

Supporting Statement for Information Collection Submission

3090-0080 – Contract Financing Final Payment

(GSA Form 1142, Release of Claims)

A. Justification

1. Explain the circumstances that make the collection of information necessary.

Monthly payments of building service contractors may be adjusted if the services do not conform to contract requirements. The contractor is notified of the proposed deductions and may provide facts, which justify reconsideration and/or adjustment of the proposed amount to be deducted. However, payments are not delayed or withheld pending resolution of disputes regarding proposed deductions. The contracting officer shall insert the clause at GSAR 552.232-72, Final Payment in all solicitations and contracts for recurring building services. This clause requires building services contractors to submit GSA Form 1142, Release of Claims before final payment is made. A similar release is required for construction contractors under FAR clause 52.532-5, Payments Under Fixed Price Construction Contracts.

2. Indicate how, by whom, and for what purpose the information is to be used.

The contracting officer will not approve final payment on a construction or building service contract prior to receipt of GSA Form 1142, Release of Claims.

3. Describe whether, and to what extent, the collection of information involves the use of automated, electronic, mechanical, or other technological collection techniques.

Improved information technology to obtain this information has not been developed. GSA Form 1142, Release of Claims may be completed online and submitted electronically to the Contracting Officer. Savings potential is minimal due to the limited scope of this collection.

4. Describe efforts to identify duplication.

The nature of this requirement is such that it relates to a single contract and cannot be duplicated.

5. If the collection of information impacts small businesses or other small entities, describe any methods used to minimize burden.

The burden applied to small business is the minimum burden consistent with applicable laws, Executive Orders, regulations and prudent business practices.

6. Describe the consequence to Federal program or policy activities if the collection is not conducted or is conducted less frequently, as well as any technical or legal obstacles to reducing burden.

Collection of the information on a basis other than per contract is not practicable. GSA Form 1142, Release of Claims is used to achieve uniformity and consistency in the release of claims process. Completion of GSA Form 1142, Release of Claims ensures that construction and building services contractors are paid in accordance with their contract requirements and for work performed.

7. Explain any special circumstances for this information collection.

Collection of the information is not inconsistent with guidelines contained in 5 CFR 1320.6

8. Describe efforts to consult with persons outside the agency.

A notice published in the Federal Register at 83 FR 13280 on March 28, 2018. No comments were received. A 30 day notice published in the Federal Register at 83 FR 32295 on July 12, 2018.

9. Explain any decision to provide any payment or gift to respondents, other than remuneration of contractors or grantees.

Not applicable.

10. Describe any assurance of confidentiality provided to respondents and the basis for assurance in statute, regulation, or agency policy.

This information is disclosed only to the extent consistent with agency regulations and applicable statutes.

11. Provide additional justification for any questions of a sensitive nature.

No sensitive questions are involved.

12. Provide estimates of the hour burden of the collection of information.

The estimated number of respondents annually is 7,500 service contracts with each response requiring 6 minutes (.10) to complete the form, for a total of 100 hours annually. Based on aforementioned information, we estimate the total burden as follows:

Number of respondents: 7,500

Responses per respondent: x 1

Number of responses: 7,500

Avg. hours per response: x .10

Estimated hours: 750

13. Provide an estimate for the total annual cost burden to respondents or recordkeepers resulting from the collection of information.

The estimated annualized cost to the public is $20,625. (7,500 annual responses * .10 hours per response = 100 * $27.50 ($20.81+36.25% overhead).

Respondents: 7,500

Responses per respondent: x 1

Total annual responses: 7,500

Preparation hours per response: x .10

Total burden hours: 750

Average hourly wages($20.18+36.25% overhead): x $27.50

Total annual recordkeeping cost: $20,625

The cost of $27.50 per hour is based on the national mean hourly wage for a procurement clerk. (Occupational Employment and Wage, May 2016, U.S. Bureau of Labor Statistics, Effective May 2016), with fringe of 36.25% (OMB Memo M-08-13).

14. Provide estimates of annualized costs to the Federal Government.

The estimated cost to the Federal Government is $16,905. (750 estimated burden hours * $22.54).

Number of responses 7,500

Avg. hours per response x .10

Estimated Hours 750

Cost per hour x $ 22.54

Total annual Government cost $16,905

The cost of $22.54 per hour is based on the GS-7, step 5 salary. (Base Pay and Rest of US Locality Pay) (Salary Table 2018-GS, Effective January 2018), with fringe of 36.25% (OMB Memo M-08-13).

15. Explain the reasons for any program changes or adjustments reported in Items 13 or 14.

There has been an increase in the number of respondents due the inclusion of construction and building service contracts that were not accounted for previously. The data utilized for this information collection is pulled from the Federal Procurement Data System Next Generation (FPDS-NG).

16. For collections of information whose results will be published, outline plans for tabulation and publication.

The results will not be published.

17. If seeking approval to not display the expiration date for OMB approval of the information collection, explain the reasons that display would be inappropriate.

GSA is not seeking approval to not display the expiration date for OMB approval of the information collection.

18. Explain each exception to the certification statement identified in Item 19,

“Certification for Paperwork Reduction Act Submissions”.

There are no exceptions to the certification statement identified in item 19, "Certification for Paperwork Reduction Act Submissions".

B. Collections of Information Employing Statistical Methods

Not applicable. This collection does not employ statistical methods.