Broader Contract Authority for New Agency Proposed

A provision in the administration’s proposal for a new Homeland Security department could give that agency wider latitude in using contract employees than under the policy that currently generally applies, including in the agencies that would be folded into the new department. The proposal would allow the agency to “contract for private sector services, including consultants and experts, using a form of contracting that allows for the creation of an employer-employee relationship. Normally, agencies are required to obtain these services by direct hire under competitive appointment or other procedures under civil service laws.” The proposal says that while contracts that create employer-employee relationships are generally prohibited, “the nature of the department’s work may necessitate this additional flexibility in securing services.”