SAM Step 6: Reps and Certs: FAR Response 4 (~10 min)

25: Your wages v. commercial wages

Explanation: In general government contractors have to pay their employees the same amount as those people could make serving commercial customers (e.g. if a mechanic in your area makes $40/HR providing services to commercial customers, the government doesn’t want you to hire mechanics that are going to work on government projects for $25/HR). This is known as Service Contract Labor Standards (SCLS)

However, there are certain services that are exempt from the SCLS and this question asks if you provide one of those exempted services





27: Offshore ownership

Explanation: The government wants to make sure that you haven’t set up a weird legal structure to offshore profit and avoid taxes

28: Inverted corporation

Explanation: The government wants to make sure that you haven’t set up a weird legal structure to offshore profit and avoid taxes

30: Taxes

Explanation: The government wants to make sure that your company has paid its taxes

31: Felonies

Explanation: The government wants to know if you company has had major legal violations recently

32: Polluting

Explanation: The government wants to know if you are a polluter

33: Telecoms

Explanation: The government wants to make sure that you aren’t selling electronics that may be compromised by hostile governments