Class Deviation 2024-O0001 - Implementation of Injunction of Executive Order 14026, Increasing the Minimum Wage for Federal Contractors

Status: Active

Date Issued: 2023-10-04

Signed By: John M. Tenaglia, Principal Director, Defense Pricing and Contracting

Scope: All DoD contracting officers

Applies to DAF/Air Force: Yes

Authority: Court injunction issued September 26, 2023 by the U.S. District Court for the Southern District of Texas, enjoining enforcement of Executive Order 14026 and the Department of Labor final rule (86 FR 67126) against the States of Texas, Louisiana and Mississippi and their agencies

Summary

Contracting Officers must not use Federal Acquisition Regulation (FAR) 52.222-55 in solicitations or contracts where Texas, Louisiana or Mississippi (or their agencies) are a party. This restriction applies regardless of place of performance and covers extensions, renewals and option exercises. It implements a federal court injunction blocking enforcement of Executive Order 14026 minimum wage requirements against those three states.

Required Contracting Officer Actions

Do not include FAR 52.222-55 in any solicitation or contract where Texas, Louisiana or Mississippi (or their agencies) is a party, regardless of place of performance.
Do not use FAR 52.222-55 when extending, renewing or exercising an option on an existing contract with Texas, Louisiana or Mississippi or their agencies.

Affected Provisions and Clauses

52.222-55, (Clause)

Prescribed in: 22.1906
Change type: MODIFIED
Action: Modify clause 52.222-55

Notes

Scope limitation: This deviation applies only when those three states or their agencies are contract parties. It does not apply geographically to all contractors or contracts located within those states.

Duration: This deviation remains in effect until rescinded. COs should monitor for updates.

Point of contact: Direct questions to Mr. Larry McLaury at larry.j.mclaury2.civ@mail.mil.