Local Employment Policy Handbook - ICASS

Individuals HR May Not Convert to a PSA
HR may not convert the following categories of employee to a PSA:
--A current employee hired under a FSN direct hire appointment of the department or agency.
--A current employee who is a Civil Service Retirement (CSR) participant.
--An individual hired in the United States or recruited from the US using a US headquarters
recruitment process.
Departments and Agencies Not Under the Local Employment Policy
Departments and agencies not under the Local Employment Policy continue to employ staff using their
own hiring authorities, e.g., direct hire appointment, Personal Services Contract. However, HR may use
PSAs for State-ICASS funded positions if the individual is under the control and supervision of a State
Department employee.
HR at its discretion may refuse to provide hiring services to a department or agency not using the Local
Employment Policy if HR believes the department or agency is practicing illegal employment practices
not in compliance with US or local labor law (to the extent possible). If HR refuses to provide hiring
services, the department or agency head contacts the appropriate US headquarters office for guidance.
Amendment to State Department Basic Authorities Act
Section 2 of the State Department Basic Authorities Act of 1956 (22 USC 2669) was amended by adding
the following at the end:
(n) exercise the authority provided in subsection (c), upon the request of the Secretary of Defense or the
head of any other department or agency of the United States, to enter into personal services contracts with
individuals to perform services in support of the Department of Defense or such other department or
agency, as the case may be.
Note: Sub-section (c) of 22 USC 2669 allows State the option of using Personal Services Agreements
because it provides for contracting without regard to Federal Acquisition Regulations.