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29 CFR §215.7 The Special Warranty  

          (a) The Special Warranty mentioned in paragraph (b)(2) of §215.3 refers to the protective arrangements developed for application to the Other Than Urbanized program. The warranty arrangement represents the understandings of the Department of Labor and the Department of Transportation, reached in May 1979, with respect to the protections to be applied for such grants. The Special Warranty provides fair and equitable arrangements to protect the interests of employees and meets the requirements of 49 U.S.C. 5333(b). The Special Warranty Arrangement applicable to OTRB and Other Than Urbanized grants will be derived from the terms and conditions of the May 1979 Special Section 13(c) Warranty, and the Department's subsequent experience under 49 U.S.C. 5333(b). From time to time, the Department may update this Special Warranty Arrangement to reflect developments in the employee protection program.

          (b) The requirements of 49 U.S.C. 5333(b) for OTRB and “Other Than Urbanized” grants are satisfied through application of a Special Warranty Arrangement certified by the Department of Labor; a copy of the current arrangement will be included on the OLMS Website.

          (c) The Federal Transit Administration will include the current version of the Special Warranty Arrangement, through reference in its Master Agreement, in each OTRB and Other Than Urbanized grant of assistance under the statute.

          (1) The Federal Transit Administration will notify the Department that it is funding an OTRB or Other Than Urbanized grant by transmitting to the Department an information copy of each grant application upon approval of the grant.

          (i) Each grant of assistance for an Other Than Urbanized program will contain a labor section identifying labor organizations representing transit employees of each subrecipient, the labor organizations representing employees of other transit providers in the service area, and a list of those transit providers. A sample format is posted on the OLMS Website to facilitate the inclusion of this information in the grant application.

          (ii) OTRB grants of assistance will contain a labor section identifying labor organizations representing employees of the recipient.

          (2) The Department will notify labor organizations representing potentially affected transit employees of the approval of Other Than Urbanized and OTRB grants and inform them of their rights under the Special Warranty Arrangement.


Highlighted Provisions of the Special Warranty

  • As a precondition of the release of assistance by the Grantee/State Agency to any Recipient under the grant, the Grantee shall bind the Recipient to the Special Warranty.
  • If a Grantee fails to comply with the terms of the Warranty and fails to bind a Recipient as a precondition to the release of funds, the Grantee will be a guarantor of the required protections and the Grantee will be required to act as if it were the Recipient of funds unless and until the Grantee is able to secure the retroactive agreement of the Recipient to be bound by the terms of the Warranty.
  • The term “service area,” as used herein, includes the geographic area over which the Project is operated and the area whose population is served by the Project, including adjacent areas affected by the Project.
  • The term “Union,” as used herein, shall refer to any labor organization representing employees providing public transportation services in the service area of a Project assisted under the grant.
  • The term “employee,” as used herein, shall include individuals who may or may not be represented by a Union.
  • The term “Recipient,” as used herein, shall refer to any employer(s) receiving transportation assistance under the grant. 
  • The term “Grantee,” as used herein, shall refer to the applicant for assistance; a Grantee which receives assistance is also a Recipient.


5311 Grantee Forms for OLMS-DSP

 

Last Updated:07-02-18