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Section 3610 of the Coronavirus Aid, Relief, and Economic Security Act Contractor Instructions

Section 3610 of the Coronavirus Aid, Relief, and Economic Security Act Contractor Instructions

General Information

Document Type:SNOTE
Posted Date:Apr 23, 2020
Category: Miscellaneous
Set Aside:N/A

Contracting Office Address



MEMORANDUM Date: April 23, 2020 From: Kimberly Y. Patrick, Senior Procurement Executive and Director � � � � � � �Environmental Protection Agency � � � � � � �Office of Acquisition Solutions Subject: Section 3610 of the Coronavirus Aid, Relief, and Economic Security Act Contractor Instructions EPA Contractor Community, Thank you for all you do to support EPA�s mission. The COVID-19 emergency has impacted all of us both personally and professionally in many ways. I am very much aware of the impact the COVID-19 emergency has had on many of you as EPA business partners. OMB Memorandum M-20-22 states that �maintaining the resilience of the federal contracting base requires a multi-faceted strategy to combat the significant disruptions, both to health and economic well-being, caused by COVID-19. Such strategy includes maximizing use of telework, extending performance dates if telework or other flexible work solutions are not possible, and, where appropriate, reimbursing contractors for paid leave or negotiating other forms of equitable adjustment necessary as a direct result of COVID-19.�I am reaching out to you to share EPA�s instructions on requesting reimbursement for paid leave pursuant to Section 3610 of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, PL 116-136, March 27, 2020, 134 Stat 281. Section 3610 of the CARES Act authorizes (not requires) federal agencies to reimburse contractors for paid leave under the following limitations: � � �� A contractor may only receive reimbursement if its employees or subcontractor employees: � � � � � (1) cannot perform work on a government-owned, government-leased, contractor-owned, or contractor-leased facility or site approved by the Federal Government for contract performance due to closures or other restrictions; and � � � � � (2) are unable to telework because their job duties cannot be performed remotely during the public health emergency declared on January 31, 2020, for COVID�19. � � �� Reimbursement is authorized only at the appropriate minimum rates under the contract for up to an average of 40 hours per week for contractor or subcontractor payments made for costs incurred, that are not otherwise reimbursable, not earlier than March 27, 2020, and not later than September 30, 2020. � � �� The Government must reduce the maximum reimbursement authorized by the amount of credit the contractor is allowed pursuant to division G of the Families First Coronavirus Response Act (Pub. L. 116�127) and any applicable credits the contractor is allowed under the CARES Act or other credit allowed by law that is specifically identifiable with the public health emergency declared on January 31, 2020 for COVID�19. For example, note that the Paycheck Protection Program established pursuant to Sections 1102 and 1106 of the CARES Act may provide, in some cases, a direct means for a small business to obtain relief. � � �� Reimbursement is contingent upon the availability of funds. OMB Memorandum M-20-22 also provides guiding principles for the implementation of Section 3610 of the CARES Act, and EPA supports these principles in its implementation. Attached please find EPA�s instructions for requesting reimbursement under Section 3610 of the CARES Act. I have encouraged the Agency�s community of contracting professionals to utilize Section 3610 of the CARES Act, and all other contracting tools and flexibilities, as applicable, to help to maintain our contractor base. If contract performance is affected due to the COVID-19 situation, such as the need for alternate work locations, travel, or schedule changes, please contact the cognizant contracting officer as s/he has the authority to discuss this information and develop solutions. I, and the entire Agency appreciate your continued support of the EPA mission.

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