By: Bill Osterndorf
The Office of Federal Contract Compliance Programs (OFCCP) has published a list of 12 major construction projects where the agency expects to conduct compliance reviews. This list comes on the heels of OFCCP’s launch of its Mega Construction Project (Megaproject) Program. The Megaproject program was announced on March 14, 2023, and will focus on construction projects valued at $35 million or more that are expected to last at least one year. All 12 construction projects on OFCCP’s list are funded by the 2021 Bipartisan Infrastructure Law through agencies with which OFCCP has a Memorandum of Understanding.
The list of 12 construction megaprojects released on March 21, 2023, can be found on the Corporate Scheduling Announcement List (CSAL) portion of OFCCP’s website. OFCCP has used CSALs to provide federal contractors and subcontractors with advanced notice of possible compliance reviews. A CSAL does not formally open a compliance review. Instead, it notifies organizations about review sites and the type of review that the organization may undergo.
The Megaproject CSAL is unusual in several ways. First, CSALs have traditionally been used to notify specific organizations of pending reviews. The Megaproject CSAL instead lists project sites without specifying organizations that may be reviewed. Second, CSALs have traditionally included organizations that have current or completed federal contracts or subcontracts. The Megaproject CSAL includes only projects that are still in the planning phase. For example, the Brownsville-Gateway Modernization project listed on the CSAL is expected to award construction contracts in November of 2024. Finally, rather than selecting from a broad geographic area, OFCCP focused the Megaproject CSAL on states with higher unemployment rates and lower income levels.
Along with the Megaproject CSAL, OFCCP has recently released a variety of documents that demonstrate the agency’s interest in construction companies. Construction is a significant focus in OFCCP’s fiscal year 2024 budget justification. The agency has specifically asked for $10 million to fund the Megaproject program. In the last two years, OFCCP has released two CSALs that included only construction companies. A number of these construction companies have received closure documents following compliance reviews that required changes to their personnel policies or practices.
Construction companies expecting to be part of any of the projects on the Megaproject CSAL should take the following steps:
- Ensure the company can meet the requests found in the letter that opens a construction compliance review
- Review OFCCP’s Technical Assistance Guide for construction contractors
DCI Consulting will continue to monitor OFCCP’s initiatives involving construction companies as the agency begins its Megaproject Program and continues its focus on construction contractors.