WHISARD Compliance Action Report US. Department of Labor Wage and Hour Division Case ID: 1426659 Local Filing Number. 2006-174-03609 WHMIS Case Number: 1 1/21/2005 1 1/23/2005 Registration Date: Assignment Date: Employer Information Address: 7268 South Tucson Way Englewood, 6080112 Investigation Information Period Investigated From: 12/07/2003 To: 12/07/2005 Full In vestigation Agree to Comply Investigation Type: Investigation Tool: Compliance Status: Recommended Action: Originating District: Lead Investigator: Trade Name: Bradley Petroleum aka Sav-O-Mat #6 and Legal Name: Denver CO District Office Investigating. District: Denver CO District Of?ce Bradley Petroleum, Inc em: County: Arapahoe NAICS Code: 447110 No. Of Employees: BNPI: Reinvestigation: Recun?ing Violation: Future Compliance Agreed: Involved in A0: EX Violation Compliance Status vmlauonsai I \l 'Itixi unzi DEUEI No Violation found for this act/ Compliance (no violations found) Date: 12/03/2014 10:20:30 AM Case ID: 1426659 Page 1 WHISARD Compliance Action Report Violation Compliance Status .leaimnsi?l?s Computed BWs Agreed LDS Computed LDS Agreed CM F's" Failure to pay proper I 1 1 $43.66 $43.56 $0.00: $0.00 overtime 1' Agree to Comply I Failure to keep accurate 1 0 . $0.00 $0.00 $0.00 $0.00 records Agree to Comply FLSA Totals: 1 1 $43.66 $43.60 $0.00 $0.00 Total Violations Under FLSA: 2 . $0.00 computed do not necessarily indicate assessed. Unduplieated Employee?s?Found: 1' . Unduplleated Employees Agreed: 1' Total Amount BWS Computed: $43.66 Total Amount BWS Agreed: $43.66 Total Amount LDS Computed: $0.00 Total Amount LDs Agreed: $0.00 Conclusions FLSA. Enterprise and individual Coverage applicable to all employees. ER didnot satisfy Reg 541 salary guidelines. ER TP one employee $43.66 in SW as one week was found to be in violation. Recommend admin closure upon receipt of the WH-50. WHI Signature: Date: 01/11/2005 Reviewed By: __Date: Dale: 12l03l20?14 10:20:30 AM Case ID: 1426559 Page 2 Bradley Petroleum aka Sav-O?Mat #6 and #2 Case ID: 1426659 BRADLEY PETROLEUM, INC 7268 Tucson Wy Centennial, Colorado 80112 TELEPHONE: (303) 733-4627 FACSIMILE: (303) 777?9052 Case I.D. Number 1426659 FEDERAL I-D- Corporation Established: Number of Employees Number of Locations 50?60 COVERAGE Subject is a family-owned service station company located throughout the State of Colorado. Subject sells gasoline, oil, brake fluids, and food products to the general public. Annual Dollar Volume exceeds $500,000.00 during the period of December 7, 2003 thru December 7, 2005. OWNER: Bradley H. Calkins Enterprise Coverage has been met under the guidelines of the mandated Five Hundred Thousand Dollars, and all employees use on a day-by?day basis equipment, supplies, telecommunication lines and credit cards services from inside and/or outside the State of Colorado. All employees are covered under Sec of the Act for Individual Coverage as the following was determined: Employees processed credit card authorizations within the United States. Page1 Bradle Petroleum aka v-O-Mat #6 and #2 Case ID: 142 Employees on a daily basis handle incoming phone calls, postal deliveries and invoices from within and/or outside of the State of Colorado. HISTORY: Extensive. See Whisard and Exhibit E?l. NOTE: Not all could not be extracted/printed from WHISARD as history is prior to the input into the WHISARD system. All Correspondence to be directed to: William R. Rapson Attorney at Law 821 17th St., Suite 500 Denver, Colorado 80202 TELEPHONE: 303-830?2500 FAX 303-832-2366 BRADLEY PETROLEUM, INC Case I.D. Number: 1426659 EXEMPTIONS l3(a)(l) not applicable to one service station manager as the $455.00 salary test was not met. See Exhibit B- STATUS OF COMPLIANCE Period of Investigation: 12/07/03 to 12/07/05 Page2 Bradle Petroleum aka Sav-O-Mat#6 and #2 Case ID: 1426659 Sec 6 ?Violations: None. Bradley Petroleum, Inc paid above the prevailing Minimum Wage. Sec '7 Violations: Violations. Subject (Mme employee under Reg 541 in the position of Station Manager for one week. Employee was hired as an hourly employee at the rate of $7.50 and was promoted to Station Manager during the same week. Employer's payroll system failed to change the status from hourly to manager. Therefore, employee didnot earn at least $455.00 in the first week of her employment. The following pay periods were pay above the $455.00 mandated guidelines. BW CALCULATIONS: Gross wages paid divided by number of hours worked in a work week regular rate of pay .5 (straight time was paid for all hours worked) i; the number' of hours over forty the additional half time compensation. One employee is due $43.66. See Exhibit A?l. Sec 11 Violations: No Violation. Employer did amintain all hours worked as prescribed under Reg 516. Records include, but not limited to, the following: (1) time cards; and (2) payroll records. Sec 12 Violations: No findings. Page3 Bradley Petroleum aka Sav-O-Mat#6 and #2 Case ID: 1426659 Page 2 BRADLEY PETROLEUM, INC Case I.D. Number: 1426659 *Overtime violations are owed to one employee in the amount of $43.66 *Number of employees is over EX4 *i ii a . . i *No litigation for 16(b) of the FLSA in effect *Payroll documents were in place *Employer was not found to be engaged in producing fraudulent documents, destroying documents, kickbacks, or retaliation *Minors were not employed DISPOSITION A telephonic Final Conference was held on January 9, 2006 with William R. Rapson, Legal Counsel for the Subject. An overview of the following was given: (1) Enterprise and Individual Coverage (2) Record keeping (3) overtime payment after 40 hours in a work week (4) each work week stands alone; (5) overview of the CL provisions; and the (6) $455.00 guidelines William R. Rapson, Legal Counsel, on behalf of the Subject one employee found due back wages in the amount of $43.66. Mr. Rapson, on behalf of his client, indicated the reason for the Page4 BradleyF Petroleu_m aka Sav-O-Mat #6 and #2 Case ID: 1426659 violation was an over sight as the employee was hired at an hourly rate and within the same week was promoted to ea Manager, and that payroll did not generate the correct wage for the employee. William R. Rapsonr Legal Counsel for the Subject indicated that all service station nmnagers have been makimg at least $455.00 or the Minimum Wage of $5.15 for all hours worked. William R. Rapson, Legal Counsel for Bradley Petroleum, Inc indicated back wage payment will be made no later than January 31, 2006 and will use the as proof of payment. Page 3 BRADLEY PETROLEUM, INC Case I.D. Number: 1426659 Recommendations Based on Employer's it is recommended that the case be administratively closed upon receipt of the PUBLICATIONS: WH-1282, WHrl318, and WH-1330. PageS Bradley Petroleum aka Sav-O-Mat #6 and #2 Case ID: 1426659 Investigator 01/09/06 Page 6 Bradley Petroleum eke Sev?O?Met #6 and #2 Case ID: 1426659 Page 4 Page 7" Bradley Petroleum aka Sav-O-Mat #6 and #2 Case ID: 1425659 Page 8 Brraudlewr Petroieum aka Sav-O-Mat #6 and #2 Case ID: 1426659 Page 9 WHJSARD Compliance Action Report U.S. Department of Labor Wage and Hour Division Case ID: 1552780 Originating District: Denver CO District Office Local Filing Number: 2009-174-06084 Investigating. District: Denver CO District Of?ce WHMIS Case Number: Lead Investigator: Registration Date: 07/20/2009 Assignment Date: 1 1/19/2009 Employer Information Trade Name: Bradley Petroleum Legal Name: Bradley Petroleum Inc. Address: 101 Main Street BIN: County: Delta NAICS Code: 447110 Delta, N0. Employees: Investigation Information Period Investigated From: 12/16/2007 To: 12/15/2009 Investigation Type: investigation Tool: Full Investigation Compliance Status: Agree to Comply Recommended Action: Violation Compliance Status Vio'at'onsiEEs Computedj1 BWs Agreed FD: Computed LDs Agreed BNPI: Reinvestigation: Recurring Violation: Future Compliance Agreed: Involved in A0: BEIGE No Violation found for this $000 00 act Compliance (no I violations foundTotals: a $0.00 $0.00 5 $0.00 $0.00: Date: 12/03/2014 10:21:45 AM Case ID: 1552780 Page 1 WHISARD Compliance Action Report FLSA Violation i Compliance Status ViolationleEs Computch BWs Agreed LDs Computed LDs Agreed CM P?s" Failure to pa],r Minimum 5 5 $255. 90 I $255.90: 00 $0.00 Wage 2' Agree to Comply I Failure to pay proper ?l 1 $36.45 $36.45 00 $0.00 overtime Agree to Comply I I Failure to keep accurate 1' 0 00 00 $0.00 $0.00 records 1' Agree to Comply FLSA Totals: 5 5 $292.35 $292.35 $0.00 $0.00 Total Violations Under FLSA 7 00 CMPs computed do not necessarily indicate CMPs assessed. Unduplicated Employees Found: 5 Unduplioated Employees Agreed: 5 Total Amount BWS Computed: $292.35 'I?otal Amount BWs Agreed: $292.35 Total Amount LDs Computed: $0.00 Total Amount LDS Agreed: $0.00 Conclusions Recommendations: Ent. Sec 6: 5 employees paid back cash register shortages brining them below MW. Sec 7: One EE not paid for travel on special one day assignments. The additional hours were OT hours. Sec 1 1: ER did not keep accurate record of HW for special one day assignments and did not have a record of deductions taken from pay. with Vice-President Buzz Calkins and legal rep Brett Painter via phone on 03/03/10. ER ATC and ATP by admin close upon POP. Pubs: HRG, 516,531,541, 735 W1 ll Signature: Date: 0319312010 Reviewed By: __Date:_ Date: 12i03l2014 10:21:45 AM Case ID: 1552780 Page 2 Bradley Petroleum Case ID: 1552780 Bradley Petroleum Case 15527 101 Main Street Delta, Q0 81416 Qpntagt: Buzz Calkins (pperating manager) Phone: 303-733-4622 Fax: 303-777-9052 resentative: i Phone: 303-892-7418 Fax: 303-893-1379 ??nd Epture 19: Bradley Petroleum Atty; Em Qalkins 2298 S, pgson Way centennial, CO 801 12 COVERAGE Bradley Petroleum is a chain pf convenience stores. The sole principle is President Bradley H. Calkins 100% of the cpmpany. The legal name 91 the ppmpany is Bmdley Inc, roleum was inco ra lorado in 74. Th establishment under investi ation in Del currently has seven Another company, ?av-Q-Mat Inc., is part of the entetprise under Sav?-Mat mg Bradley Petroleum are under pwnership of the same person, they are the game of business store], and they have uni?ed omrations and common control. The principles of Sav-O-Mat [pg at; President Bradley Qalkins who owns 59?19 Ed part-owner George he anie are rated the same o?ice in nni The difference etwe nthe two entities' av-O-Mats are usuall in rural areas and college tpwn? whereas Bradley Petroleum locatipns are in more ptban areas. The nt rise has48 locai in 0min sixi xico and 41 in Colorado. Thirt -?ve of he locations are under the legal entity of Bradley Petroleum and 13 are under the legal entig of Sav-O-Mat, Page 1 Bradley Petroleum Case ID: 1552780 Inc. {See exhibit C-1 and The company is covered by the LSA under section 1 for the pgriod of investigation 12/16/2007 12/15/2009. The annual dollar volume for the previous three years is as follows: in 2006, in 2007 and in 2998. All employees handle goods that have moved in commerce including food and beverages. All employees are also individually covered since they run credit cards as a regular pg: of their job. (See exhibit C- 1 1 The 31d} employer is Vice President Bradley ?Buzz? Calkins Jr. Buzz is the son of the owner of the company and he makes all the major business decisions and controls company policy and procedure. A handy reference gpide was given to the district manager of the western slope, at the initial conference.Asecondhand no o- u. 00"1? u. Calkins said that tp the extent of his knowledge no one er fild a colective actin uder 161 bx 1 against the company. (See exhibit C-1 and E-l) MODO: Since the em 10 er has re than one location and the head uarters is near Denver CO a MODO was done with the Denver District Of?ce. The MODO instructions were to handle local] and to und. exhibit D-l EXEMPTIONS 13 a 1 Executive Exem tion 541.100 was claimed and found a licable for: 0 Store mana er . he directl su ervi es all em 10 ees at the store. She makes the work schedules of all the em 10 ees. Em lo ees are instructed to call the store mana er 1f the have an ue ti or concerns while rkin at the store. She ha the authori to hire and ?re em 10 ees. She makes er week. see exhibit A-0 and 8-12 Page 2 Bradley Petroleum Case ID: 1552780 Viplation Summag: Minimpm wage violations fpund for ?ve employees because they paid back short in the local man which brou ht them elow minimu An overtime violatipn Egg l?ppnd for one because hours he ?pgkeg pver 40 were not paid fpr. Recprd keeping violatipns were found the employer did keep an accurate record worked for lo and did ke a record of deduc i taken in the form 463 1520721. There ge also many conciliatipns pf last py issues. ti ati in ent and form er acknowled ed that ontacted ractice of a in back ister shorta in be su nde occurred on a re ular All em 1 i ack cash re es ave verb ?on to use their in the investigation. 1?ee exhibits B-l 8-15) records were if? It access th rate Bradle ant, ?0 week was used minimum wa vi 1 i See exhibit A-l ne lo ee ked cluded in the a calculations. ?amplg Kimberlv Kettle paid back a $100. 00 shortage in cash in November 2009. EX4 Page 3 Bradley Petroleum Case ID: 1552780 Ex4 Total due in minimum wa violations: 255.90 due 5 em [0 ees Section 7: One em 10 ee was hired at Bradle Petroleum as a cashier. After he was hired and the district man er realized that he was a ood hand an? was instructed to drive to the Bradle Petroleum locations in Grand Junction and ?x the car washes. He had to do this twice. was onl aid for the time that he was at the store not the drive time from Delt CO to Grand Junction CO. Because this of travel was not art of his re ar duties it was a ecial one da assi ent he is owed for the time it to to 've to Grand Junction CO and back from Delta CO. It takes 45 minutes to drive from one town to the other. worked close to 40 hours er week so the extra hour were calculated on an overtime basis. Ex4 Total due in vertime violations: 36.4 due 1 em Io ee Section 11: Em lo er did not kee accurate record of deductions made from em 10 ees' a . 6 0rd of hours worked for Section 12: No a arent child lab violations were found. DEPOSITION InvgtigatorIEEI held a ?nal conference pver the phone on 2/24/2010 and 3/03/2019 with Vice President Bradlev ?Buzz? Calkins Jr. and legal representative Brett Painter. The Investigator explained Page 4 Bradley Petroleum Case ID: 1552780 coverege under the Fair Labor Standards Act, the investigative process, exemptions, minimum wage regulations, overtime regulations, record keeping regulations, and child labor regulations. Exemptions were discussed ?rst. The investigator de?ned executive exemption (541.1001 and explained how the exemption was indeed applicable to the position of store manager as currently de?ned. Next, minimum wege regplations were discussed. The investigator explained that everv employee eepteeted during the inves, tigation had stated that employees pay back cash register shortages in cash to avoid being suspended. The employer said that it was against company policy to ask for or pay a shortage back in cash. The investigator acknowledged that she had seen a copy of that company policy but that the fact that a policy existed did not mean that the practice did not exist at the local store level. The employer said that it was the intention of the company to comply with minimum wage regulations and that cash shortages were not allowed and neither he nor anvone else at the eotpprate level was aware that shortages were being paid back in cash at the local level. The emplover agteed to comply and said that he had scheduled an all-manager meeting for mid-March where he would announce a zero-tolerance policy for accepting cash payments for shortages from employees. He also said that he will increase the visibility of the whistle-blower policy which encourages employees at all levels to call the cor_porate of?ce when thev feel that a policy is not being followed at their store. (See exhibit E-l 1 The employer also agreed to implement a software program in the payroll system that will alert human resources if payr_nent for a uniform brings an employee below minimum wage for their first week of work. (See exhibit E-l 2 Next overtime re ulations were discussed. The investi ator ex lained that one em lo ee m: was asked to do maintenance work at a Bradley's Petroleum in Grand Junction, CO twice during his employment. Because these trips were special one day assigpments that were not an original part of his job description the time that he spent driving between Delta and Grand Junction, CO were hours worked and needed to be recorded and paid for. The employer said that allowing that to happen was not company policy and probably happened ?once in a blue moon?. The employer agreed to comply by making the district managers swam pt the issue and agteeing te keep track pf special pne day assignment drive time in the future. The investi ator ex lained that because Mr. o?en worked ri ht around fem hours per week that the additional hours were calculated at an overtime rate. The employer agreed Page 5 Bradley Petroleum Case ID: 1552780 with that method. Nex record kee in re ations were discussed. Th vesti ator ex laine the 10 er that th ppsitipn of assistant manager; at Bradley ngtipns as currently de?ned is not an exempt ppsitipn ther fore all the hat sistant man erforrns work must d. Durin the investigation it was Evident that several mapaggrs received phone calls away from work from and the time spent gigcussing a related or issue wa? recprded or paid fpr. The investigation found this time to be de minirpps in regards to the were contacted for i iew statem . 1 er edt lementin a lic wh re onl the nummrs of store managers wpuld be provided to the employees and if n?ded 19 call a ?pmg?or would to ?rst call the m?ager and if that wasn't available they Id call district someone at the te of?ce. See cxhi it E-l sti atort ld th er hatarec rd vi 1 tion was found ccau there was no rec rd fd ionstakenf eml es' a inth hortae mem 10 ee he u? ugJ-J' r? '00- 1.they could be held liablg ?gmething that they didp't know existed. The investigator explained that the employer is resmnsiple keeping an accurate record of deductions taken from employees' pay and it is evident that that pmpticg gping on at the mm, QQ lpcation and the deductions should have man recorded. The inve?tigator told the employer that he is resp_on?iblg all of the establishments wjthip the Bradley PetLQlem enterprise including the gpggunication muleep ppmrate and local levels 00,. Ir?uuo 0 our 0 ."nin ture and achievin i ce withi the no sh rta lic . /2010 Mr. Ca to lb 292 in back wa 4/ /2010. The WH-56 was sigped by Mr. Bradley Calkins Jr. No civil money penalties were fpund applicable. The ili a civil al sessment se uent investi ti discussed with employer and his legal repregntative. The investigator explained that civil money penalties could be agesgg at any establighmept within the Bradley and Sav-O-Mat because of their rel te business activiti ni?ed rati /c 111 control. EX EX 7(e) Page 6 Bradley Petroleum Case ID: 1552780 Public 'Irativel on roof of a en Page 7