OMB POLICY STATEMENTS
OMB Creates Tests For Deciding When To Outsource Work
The Obama administration is creating a new test for agencies to use when deciding whether or not to outsource work to contractors. The proposed guidance is part of the administration attempt to clarify the definition of what is an “inherently governmental function” and to bring more contractor work in-house. The proposed policy includes examples of inherently governmental work such as applying government authority or making value judgments for the government, such monetary transactions. The proposal also outlines tests agencies can use to determine whether or not it is appropriate to hire a contractor for the work.