OFCCP has published a notice in the Federal Register extending the public comment period on its proposal to require federal contractors to submit an annual certification of their AAP compliance.  The new comment deadline is January 28, 2021.  While this notice does not state the reason for the extension, it appears the Agency received only 15 comments by the November 13, 2020 deadline.

As reflected in OFCCP’s original notice, it seeks regulatory authority to:

  • Require federal contractors to annually certify they have prepared AAPs via an online interface; and,
  • Institute “a secure method” to electronically submit AAPs when contractors are scheduled for an audit.

In a supporting document, OFCCP says it will use an online platform – the Affirmative Action Program Verification Interface (AAP-VI) – to execute a GAO recommendation “to collect and monitor Affirmative Action Programs (AAP) from covered federal contractors and subcontractors on a regular basis.”  This recommendation stems in part from GAO’s observation that OFCCP audits only about 2% of federal contractor locations each year.

OFCCP designed AAP-VI to increase contractor compliance by creating an annual certification process and to optimize the compliance review process by creating a tool for scheduled contractors to upload their AAPs electronically for OFCCP’s review.

AAP-VI will have five user interfaces for federal contractors, including an AAP Upload Interface and an Annual Certification interface.  Federal contractors would receive an OFCCP email with AAP-VI user registration instructions, which would also be posted on OFCCP’s website.

Once the process is effective, federal contractors would have 90 days to complete the certification process.   “After the initial certification year, OFCCP will set a date by which all existing contractors must renew their annual certification.”  New contractors would  have 90 days from development of their AAPs to make the certification.

The proposed certification process would require each federal contractor to annually select one of the following options in the AAP-VI interface:

  1. Entity has developed and maintained affirmative action programs at each establishment, as applicable, or for each functional or business unit. See 41 CFR Chapter 60.
  2. Entity has been party to a qualifying federal contract or subcontract for 120 days or more and has not developed and maintained affirmative action programs at each establishment, as applicable. See 41 CFR Chapter 60.
  3. Entity became a covered federal contractor or subcontractor within the past 120 days and therefore has not yet developed applicable affirmative action programs.  See 41 CFR Chapter 60.

Additionally, it is proposed that when scheduled for an audit, contractors would use AAP-VI to upload the applicable AAP(s) for the “scheduled establishment(s), functional business unit, or corporate headquarters.”

By January 28, 2021, OFCCP is seeking comments on a number of topics, including:

  • The frequency of the certification (the proposal is for annual certification, but some comments suggest every other year);
  • The type of information and level of detail to be required in the certification;
  • Whether certification would be practically useful to OFCCP in service of its mission, as compared to the burden on contractors; and,
  • Whether the estimated burden on contractors (36 minutes to certify) is accurate.

Contractors can submit their input to OFCCP via the federal e-Rulemaking portal at https://www.regulations.gov/ .

 

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Photo of Laura A. Mitchell Laura A. Mitchell

Laura Mitchell is a principal in the Denver office of Jackson Lewis P.C. and leads the firm’s Workplace Analytics and Preventive Strategies Pay Equity subgroup. She partners with employers to evaluate, develop and implement policies and practices that ensure workplace fairness while mitigating…

Laura Mitchell is a principal in the Denver office of Jackson Lewis P.C. and leads the firm’s Workplace Analytics and Preventive Strategies Pay Equity subgroup. She partners with employers to evaluate, develop and implement policies and practices that ensure workplace fairness while mitigating legal risk. Laura is a guiding force in the firm’s most specialized and technical practice areas where she leverages an analytics-focused approach to partner with her clients in building legally compliant programs around which they can anchor their workplaces achieving productivity and stability.

Laura understands that creating a competitive advantage for employers in today’s workplace involves using a data-driven approach to counsel companies on the development of proactive and equitable non-discriminatory practices in hiring, promotions, separations and pay—and where advancements in technology can create both opportunities for efficiencies and risk that can be measured. Committed to putting her clients’ organizational goals first and foremost while balancing legal risk, Laura views herself as an extension of her clients’ team, responsible for providing proactive guidance and engaging in transparent, ongoing communication. Staying the course with employers across their organizational journey while balancing legal compliance obligations throughout their employees’ lifecycle ensures Laura’s position as a go-to resource.

Laura works with companies across all industries—both new and well-established multi-national organizations of all sizes—to realize the combined vision of legal compliance, increased productivity and economic growth enhanced by a focus on pay equity.  As part of the pay equity journey, she advises employers on the evolving pay transparency landscape, working to align compliant practices with the practical realities of the business world.

Laura partners closely with government contractors to understand, implement and demonstrate compliance with their EEO regulatory and compliance obligations. She also works closely with non-government contractor clients to conduct risk assessments of their programs, policies, and training to align with federal and state anti-discrimination requirements.

Laura is the editor and a principal contributor of the GovCon Employment Exchange blog and presents on pay equity and government contractor obligations. To round out her days, Laura enjoys spending time with her family and friends attending sports events, working out, riding her bike, playing pickleball and taking in Colorado’s incomparable sunsets.