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FAR and DFARS › FAR Part 22: Application of Labor Laws to Government Acquisitions › Subpart 22.6

FAR 22.605 Rulings and interpretations of the statute.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This section explains rulings and interpretations from the Secretary of Labor about how the statute applies in certain situations. It matters to contractors because it clarifies when contract modifications, prime contractor roles, Government-owned facilities, and indefinite-delivery contracts trigger the statute's requirements, often based on a $20,000 threshold.

Applies to: Contracts and contractors subject to the statute described in FAR 22.605

What it requires

  • If a contract for $20,000 or less is modified to exceed $20,000, the contract becomes subject to the statute for work performed after the modification date.
  • If a contract for more than $20,000 is modified by mutual agreement to $20,000 or less, the contract is not subject to the statute for work performed after the modification date.
  • If a prime contractor is made an agent of the Government, the prime contractor must include the statute's stipulations in contracts over $20,000 awarded for and on behalf of the Government for supplies used in construction and equipment of Government facilities.
  • For indefinite-delivery contracts, basic ordering agreements, and blanket purchase agreements, a determination must be made annually if the contract or agreement is extended, and the contract or agreement modified if necessary.

Key terms: Secretary of Labor · statute · prime contractor · agent of the Government · indefinite-delivery contracts

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

(a) As authorized by the statute, the Secretary of Labor has issued rulings and interpretations concerning the administration of the statute (see 41 CFR 50-206). The substance of certain rulings and interpretations is as follows:

(1) If a contract for $20,000 or less is subsequently modified to exceed $20,000, the contract becomes subject to the statute for work performed after the date of the modification.

(2) If a contract for more than $20,000 is subsequently modified by mutual agreement to $20,000 or less, the contract is not subject to the statute for work performed after the date of the modification.

(3) If a contract awarded to a prime contractor contains a provision whereby the prime contractor is made an agent of the Government, the prime contractor is required to include the stipulations of the statute in contracts in excess of $20,000 awarded for and on behalf of the Government for supplies that are to be used in the construction and equipment of Government facilities.

(4) If a contract subject to the statute is awarded to a contractor operating Government-owned facilities, the stipulations of the statute affect the employees of that contractor the same as employees of contractors operating privately owned facilities.

(5) Indefinite-delivery contracts, including basic ordering agreements and blanket purchase agreements, are subject to the statute unless it can be determined in advance that the aggregate amount of all orders estimated to be placed thereunder for 1 year after the effective date of the agreement will not exceed $20,000. A determination shall be made annually thereafter if the contract or agreement is extended, and the contract or agreement modified if necessary.

(b) [Reserved]

Sections that refer to it

← 22.604-2 Regulatory exemptions. · 22.606-22.607 [Reserved] →

Rule changes for FAR Part 22

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

FAR 22.605 Rulings and interpretations of the statute · SpendQuery