Sign In
  • Question

    Is this type of cost type contract exempt. Is there an exemption for any cost type contract above. $10 million.


    Answer

    You are on the right track when you refer FAR Subpart 22.8 as guidance regarding EEO requirements.   IAW FAR 22.801(a)(1), EEO Clause is required in ALL nonexempt contracts and subcontracts.  FAR 22.807 lists the exemptions to the EEO requirements.  DFARS 222.8 and DPGI 222.807(c) spells out the procedures for Government agencies to pursue when requesting exemption from the requirement of EO 11246 if the condition meets the exemption rules under FAR 22.807.

    If you look at list under FAR 22.807, it does not mention contract types (i.e. using cost type contract) or construction contracts as a specific condition for exemption purposes.  There is a $10,000 or less transaction rule that is exempt from the application of the EEO Clause. 

    Other than FAR Clause 52.222-26 Equal Opportunity (required for ALL non-exempt contracts & subcontracts), FAR Provision 52.222-23 and Clause 52.222-27 are also required for solicitation and contracts for construction expected in excess of $10,000.


    Open full Question Details