Federal Contractors Q&As

Welcome to the E-Verify federal contractor question and answer page. Browse our topics to find answers related to FAR rule requirements and using E-Verify.

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The definition of commercial items is available in the FAR Part 2, which is available online at www.acquisition.gov.

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After Form I-9 is complete, the next step is to create a case in E-Verify using the information from the employee’s Form I-9. For more information about creating a case in E-Verify, visit the E-Verify User Manual, 2.2 Create a Case. Once you have created a case in E-Verify, you must follow the prompts to ensure the case is complete.  A case is complete once you have received a final response in E-Verify and the case is closed.

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E-Verify employer agents may verify their employees in one of two ways:

  • Enroll in E-Verify by signing a separate memorandum of understanding (MOU) as an employer. If an E-Verify employer agent is already enrolled as an employer, it must update its Organization Designation in E-Verify to reflect its new status ofFederal Contactor with FAR E-Verify clause’. 

Add their own company as a client. If the E-Verify employer agent is already enrolled as a client, it must update its status on the Client Company Administration page to ‘Federal Contactor with FAR E-Verify clause’.

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A COTS item is an item sold in substantial quantities in the commercial marketplace and offered to the government in the same form that is available in the commercial marketplace, or with minor modifications. Federal contracts for COTS items are exempt from the E-Verify federal contractor rule.

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The tutorial for new users is designed to be completed in approximately one hour. Users must pass the tutorial’s knowledge test with a score of at least 70 percent.

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After you and your client sign an E-Verify employer agent/client MOU, you must update the Client Company Administration page associated with your client’s E-Verify account to indicate that your client is a ‘Federal contractor with FAR E-Verify clause’. You must also enter your Organization Designation and update the Federal Contractor Category for your client’s E-Verify account with the correct information. For more information, see the E-Verify Supplemental Guide for Federal Contractors.

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A contract is considered exempt if any of the following apply:

  • It is for fewer than 120 days
  • It is valued at or below $150,000;
  • All work is performed outside the United States; or
  • It includes only commercially available off-the-shelf (COTS) items and related services

An employer may voluntarily enroll in E-Verify at any time. However, the employer may not create cases for existing employees unless the employer holds a federal contract that includes the FAR E-Verify clause and is enrolled in E-Verify as a Federal Contractor with the FAR E-Verify clause.

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