cerning hours worked, overtime hours worked, pay, and 
any additions made to or deductions made from pay. 
(b) INDIVIDUALS DESCRIBED.—An individual de-
scribed in this subsection is any individual performing 
work under a contract or subcontract for which the con-
tractor or subcontractor is required to maintain wage 
records under— 
(1) the Fair Labor Standards Act of 1938 (29 
U.S.C. 201 et seq.); 
(2) subchapter IV of chapter 31 of title 40, 
United States Code (commonly referred to as the 
‘‘Davis-Bacon Act’’); 
(3) chapter 67 of title 41, United States Code 
(commonly known as the ‘‘Service Contract Act’’); or 
(4) an applicable State law. 
(c) EXCEPTIONS.— 
(1) EMPLOYEES EXEMPT FROM OVERTIME RE-
QUIREMENTS.—The document provided under sub-
section (a) to individuals who are exempt under sec-
tion 13 of the Fair Labor Standards Act of 1938 
(29 U.S.C. 213) from the overtime compensation re-
quirements under section 7 of such Act (29 U.S.C. 
207) shall not be required to include a record of the 
hours worked if the contractor or subcontractor in-
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forms the individual of the status of such individual 
as exempt from such requirements. 
(2) SUBSTANTIALLY
SIMILAR
STATE
LAWS.— 
The requirements under this section shall be deemed 
to be satisfied if the contractor or subcontractor 
complies with State or local requirements that the 
Secretary of Labor has determined are substantially 
similar to the requirements under this section. 
(d) INDEPENDENT CONTRACTORS.—If the contractor 
or subcontractor is treating an individual performing work 
under a covered contract or subcontract as an independent 
contractor, and not as an employee, the contractor or sub-
contractor shall provide the individual a document inform-
ing the individual of their status as an independent con-
tractor. 
SEC. 208. COMPLAINT AND DISPUTE TRANSPARENCY. 
(a) IN GENERAL.— 
(1) CONTRACTS.—The head of an executive 
agency may not enter into a contract for the pro-
curement of property or services valued in excess of 
$500,000 unless the contractor agrees that any deci-
sion to arbitrate the claim of an employee or inde-
pendent contractor performing work under the con-
tract that arises under title VII of the Civil Rights 
Act of 1964 (42 U.S.C. 2000e et seq.) or any tort 
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related to or arising out of sexual assault or sexual 
harassment may only be made with the voluntary 
consent of the employee or independent contractor 
after the dispute arises. 
(2) SUBCONTRACTS.—The head of an executive 
agency shall require that a contractor covered under 
paragraph (1) incorporate the requirement under 
such subsection into each subcontract for the pro-
curement of property or services valued in excess of 
$500,000 at any tier under the contract. 
(b) EXCEPTIONS.— 
(1) CONTRACTS FOR COMMERCIAL ITEMS AND 
COMMERCIALLY
AVAILABLE
OFF-THE-SHELF 
ITEMS.—The requirements under subsection (a) do 
not apply to contracts or subcontracts for the acqui-
sition of commercial items or commercially available 
off-the-shelf items (as those terms are defined in 
sections 103(1) and 104, respectively, of title 41, 
United States Code). 
(2) EMPLOYEES AND INDEPENDENT CONTRAC-
TORS NOT COVERED.—The requirements under sub-
section (a) do not apply with respect to an employee 
or independent contractor who— 
(A) is covered by a collective bargaining 
agreement negotiated between the contractor or 
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subcontractor and a labor organization rep-
resenting the employee or independent con-
tractor; or 
(B) entered into a valid agreement to arbi-
trate claims covered under such subsection be-
fore the contractor or subcontractor bid on the 
contract covered under such subsection, except 
that such requirements do apply— 
(i) if the contractor or subcontractor 
is permitted to change the terms of the ar-
bitration agreement with the employee or 
independent contractor; or 
(ii) in the event the arbitration agree-
ment is renegotiated or replaced after the 
contractor or subcontractor bids on the 
contract. 
SEC. 209. NEUTRALITY. 
(a) Costs incurred in maintaining satisfactory rela-
tions between the contractor and its employees on a cov-
ered contract or a subcontractor and its employees on a 
covered contract (other than those made unallowable in 
subsection (b) of this section), including costs of shop 
stewards, labor management committees, employee publi-
cations, and other related activities, are allowable. 
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(b) No Federal funds made available through a cov-
ered contract or covered subcontract may be used to en-
gage in activities undertaken to persuade employees, of 
any entity, to exercise or not to exercise, or concerning 
the manner of exercising, the right to organize and bar-
gain collectively through representatives of the employees’ 
own choosing or any other activities that are subject to 
the requirements under section 203(b) of the Labor-Man-
agement Reporting and Disclosure Act of 1959 (29 U.S.C. 
433(b)). Examples of unallowable costs under this sub-
section include, but are not limited to, the costs of— 
(1) preparing and distributing materials; 
(2) hiring or consulting legal counsel or consult-
ants; 
(3) meetings (including paying the salaries of 
the attendees at meetings held for this purpose); and 
(4) planning or conducting activities by man-
agers, supervisors, or union representatives during 
work hours. 
SEC. 210. IMPLEMENTING REGULATIONS. 
Not later than 9 months after the date of enactment 
of this Act, the Federal Acquisition Regulatory Council 
shall amend the Federal Acquisition Regulation to carry 
out the provisions of this title, including sections 207 and 
208. 
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SEC. 211. SEVERABILITY. 
If any provision of this title or the application of any 
such provision to any person or circumstance is held to 
be unconstitutional, the remaining provisions of this title 
and the application of such provisions to any person or 
circumstance shall not be affected by such holding. 
SEC. 212. RULES OF CONSTRUCTION. 
Nothing in this title shall be construed as— 
(1) impairing or otherwise affecting the author-
ity granted by law to an executive agency or the 
head thereof; or 
(2) impairing or otherwise affecting the func-
tions of the Director of the Office of Management 
and Budget relating to budgetary, administrative, or 
legislative proposals. 
TITLE III—AUTHORIZATION OF 
APPROPRIATIONS 
SEC. 301. AUTHORIZATION OF APPROPRIATIONS. 
There are authorized to be appropriated such sums 
as may be necessary to carry out the provisions of this 
Act, including any amendments made by this Act. 
Æ 
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