Where an individual performs services in connection with an activity carried on cooperatively by the Federal Government and any State or political subdivision, the Social Security Administration (SSA) determines whether the individual is an employee of the Federal government or of the State or political subdivision, see Social Security Act, (Act) Section 205(p)(1).
Before November 10, 1988, SSA accepted a determination by the heads of other Federal agencies as to whether such individuals were Federal employees. Such determinations were for Social Security coverage purposes and not for purposes of taxation.
If SSA determines the individual is not an employee of the Federal government, SSA must determine whether the individual's services are covered under the State's Section 218 Agreement or under the mandatory Social Security coverage provisions in Section 210(a)(7)(F) of the Act. If there is a question concerning the identity of an employer, SSA will resolve coverage questions based on all pertinent information. The state administrator should work to provide this information as soon as possible.