Contract clause
Insert the Employment Eligibility Verification clause in all contracts over $150,000 unless specific exemptions apply, ensuring compliance with federal employment verification requirements.
Overview
FAR 22.1803 requires contracting officers to include the clause at 52.222-54, Employment Eligibility Verification, in all solicitations and contracts exceeding $150,000, with specific exceptions. The clause mandates contractors to use the E-Verify system to confirm the employment eligibility of employees working on federal contracts. However, contracts are exempt if the work is performed entirely outside the United States, the period of performance is less than 120 days, or the contract is solely for certain commercial items or services, including COTS (commercially available off-the-shelf) items, minor modifications to COTS, bulk cargo, or certain commercial services related to COTS items.
Key Rules
- Clause Inclusion Requirement
- The Employment Eligibility Verification clause (52.222-54) must be inserted in all applicable contracts and solicitations over $150,000.
- Exemptions
- Contracts are exempt if they are performed outside the U.S., are under 120 days, or are for specific commercial items/services as detailed in the section.
Responsibilities
- Contracting Officers: Must ensure the correct inclusion or exclusion of the clause based on contract value, performance location, duration, and item/service type.
- Contractors: Must comply with E-Verify requirements if the clause is included in their contract.
- Agencies: Oversee compliance and proper application of the clause in eligible contracts.
Practical Implications
- This section ensures that federal contractors verify the employment eligibility of their workforce, supporting compliance with immigration laws.
- Contractors must be vigilant about when the clause applies and understand the detailed exemptions to avoid non-compliance.
- Common pitfalls include overlooking exemptions or failing to implement E-Verify when required.