FAR 22.1402—Applicability.
Plain-English Summary
FAR 22.1402 explains when the statutory requirements for equal opportunity for workers with disabilities apply in federal contracting and how the implementing clause is used. It covers two main topics: first, the general applicability of Section 503 of the Rehabilitation Act to Government contracts over $20,000 for supplies, services, and construction, subject to any waiver by the Secretary of Labor; and second, a special rule for contracts with State or local governments that limits the clause’s reach to only those agencies, instrumentalities, or subdivisions that actually participate in the contract work. In practice, this section tells contracting officers when to include FAR 52.222-36, Equal Opportunity for Workers with Disabilities, and helps contractors understand when disability nondiscrimination and affirmative action obligations attach. It also prevents overbroad application of the clause to nonparticipating parts of a State or local government entity. The section matters because it defines the threshold for coverage, identifies the controlling clause, and clarifies how the rule operates in multi-entity public contracts.
Key Rules
Coverage above $20,000
Section 503 applies to all Government contracts exceeding $20,000 for supplies and services, including construction. If the contract is at or below that threshold, this section does not require application of the clause unless another authority independently applies.
Secretary of Labor waiver
The applicability of Section 503 is subject to waiver by the Secretary of Labor. A waiver can remove or limit the normal coverage in appropriate circumstances, so contracting personnel must check whether a waiver exists before applying the clause.
Clause implements the statute
FAR 52.222-36, Equal Opportunity for Workers with Disabilities, is the contract clause that implements Section 503. When the statute applies, the clause is the mechanism used to place the requirement into the contract.
Applies to supplies, services, and construction
The rule expressly covers contracts for supplies and services, and it also includes construction. This means construction contracts are not excluded from the disability equal opportunity requirements.
Limited application to nonparticipating public entities
In contracts with a State or local government, the clause does not apply to any agency, instrumentality, or subdivision of that government that does not participate in work on or under the contract. The requirement follows the participating entity, not every part of the larger government body.
Responsibilities
Contracting Officer
Determine whether the contract exceeds $20,000 and whether any Secretary of Labor waiver applies, then include FAR 52.222-36 when coverage exists. For State or local government contracts, identify which agencies, instrumentalities, or subdivisions actually participate in the work and limit application accordingly.
Contractor
Comply with the equal opportunity requirements for workers with disabilities when the clause is included in the contract. Ensure contract administration and employment practices align with the clause’s obligations for covered work.
State or Local Government Entity
If contracting as a State or local government, apply the clause only to the participating agency, instrumentality, or subdivision involved in the contract work. Do not treat nonparticipating parts of the government as covered by the clause.
Secretary of Labor
Issue waivers where authorized, which can exempt or alter the normal applicability of Section 503 for particular contracts or circumstances.
Practical Implications
Contracting officers should verify the contract value early, because the $20,000 threshold is the first coverage test and determines whether the clause is needed.
A common mistake is assuming every part of a State or local government is covered; this section limits the clause to the specific entity that actually participates in the contract work.
Contractors should not wait until performance starts to think about compliance, because the clause creates contractual obligations that can affect hiring and employment practices from the outset.
Always check for a Department of Labor waiver before inserting or enforcing the clause, since a waiver can change the normal coverage rule.
Construction contracts are included, so teams should not overlook disability equal opportunity requirements simply because the procurement is for construction rather than a typical supply or service buy.
Official Regulatory Text
(a) Section 503 of the Act applies to all Government contracts in excess of $20,000 for supplies and services (including construction) except as waived by the Secretary of Labor. The clause at 52.222-36 , Equal Opportunity for Workers with Disabilities, implements the Act. (b) The requirements of the clause at 52.222-36 , Equal Opportunity for Workers with Disabilities, in any contract with a State or local government (or any agency, instrumentality, or subdivision) shall not apply to any agency, instrumentality, or subdivision of that government that does not participate in work on or under the contract.