Reminder to Federal Contractors and Subcontractors: Certify Your AAP Compliance by June 29
As a reminder, and as we had reported in an earlier Blog Post, Federal Contractors and Subcontractors are asked to certify their compliance with the Affirmative Action Program obligations under Executive Order 11246, VEVRAA, and Section 503 of the Rehabilitation Act by no later than June 29, 2023 (the end of this month).
According to the Office of Federal Contract Compliance Programs (OFCCP), “[c]overed federal contractors and subcontractors must use the Contractor Portal to certify, on an annual basis, whether they have developed and maintained an AAP [(Affirmative Action Program)] for each establishment and/or functional/business unit, as applicable.” Certification is required by June 29, 2023, for all current contractors. New contractors have 120 days to develop their AAPs and are required to register and certify compliance via the Portal within 90 days of developing their AAPs; for this reason, the Portal will remain open this year after the June 29 certification date.
As a reminder, a “covered” contractor or subcontractor — one that is required to develop and maintain an AAP — includes any business that has 50 or more employees and a contract with a federal agency or department of $50,000 or more (for Plans under Executive Order 11246 (addressing minorities and women) and Section 503 of the Rehabilitation Act of 1973 (Section 503) (addressing persons with disabilities)) and/or $150,000 or more (for Plans under the Vietnam Era Veterans’ Readjustment Assistance Act (VEVRAA) (addressing protected veterans)).
According to the DOL, those contractors that fail to certify by the June 29 deadline will be “more likely to appear on OFCCP’s scheduling list” for a compliance audit. Copies of the compliance scheduling lists (CSALs) can be accessed here. The FY2023 CSAL for Supply & Service contractors contains 500 business sites. It is strongly recommended that all federal contractors and subcontractors carefully review the CSALs when released to determine whether your business is likely to be subject to an OFCCP audit this year. If an audit is likely, then a review of the latest Audit Scheduling Letter and Itemized Listing will provide you with the list of information that the OFCCP will request in conducting its desk audit review.