Contractor Parties,
Picnics, etc.
Suppose a Government employee wants to attend a holiday party sponsored by your company. Is that OK?
The answer is...maybe.
While Government employees can't receive gifts from "prohibited sources" such as contractors, the definition of gift excludes "modest" refreshments (such as soft drinks, coffee and doughnuts, as long as they are not part of a meal). However, most holiday parties aren't confined to such items. So, free attendance at a contractor party would be permitted only under an applicable gift exception.
One exception allows attendance where the value of food and entertainment offered is no more than $20. Another exception might allow an employee to attend if the employee's agency authorizes the employee's attendance as being in the agency's interest.
Note: Your employer may have rules of ethics or business practices that cover these areas.