What happens when a contractor does not meet the TSP requirements, such as a shortage of training hours?
If the contractor fails to meet the TSP requirements such as shortage of training hours, the TSP indicates “No payment shall be made to the contractor if either the failure to provide the required training or failure to hire the trainee as a journeyman is caused by the contractor and evidences a lack of good faith effort on the part of the contractor in meeting the requirements of this TSP.” (23 CFR Part 230, Appendix B to Subpart A) The amount of the sanctions or penalties will depend on the STA’s contract administration procedures. However, there may be situations beyond the contractor’s control whereby a trainee may not accrue the required hours indicated in the training program. It is incumbent upon the STA to determine whether the contractor demonstrated good faith in its efforts regarding the TSP.
