The number of Office of Federal Contract Compliance Programs (OFCCP) investigations is on the rise, and OFCCP has stated a continued focus on enforcement. OFCCP enforces the contractual promise of equal employment opportunity and affirmative action required of those that do business with the federal government. Between fiscal years 2015–2017, the OFCCP received an average of 648 complaints annually. However, in fiscal year 2018, this number more than doubled, jumping to 1,418 complaints received. And, in the first quarter of . . . Read More
Cybersecurity and data privacy have been increasing focal points for Congress, federal agencies, and contractors in recent years. We have been tracking these developments closely and expect these trends will only intensify in the coming years. Cybersecurity awareness and preparedness are critical for federal contractors, not just as a matter of compliance, but also to gain (or avoid losing) a competitive advantage. The U.S. Department of Defense (DoD) is moving forward with cybersecurity as the fourth pillar of its acquisition decision-making, . . . Read More
GOVERNMENT CONTRACTING The Congressional Research Service issued a report providing an overview of small business contracting. The report describes the various federal programs, requirements, procurement officers, and procurement offices involved in promoting federal contracting and subcontracting with small businesses, small disadvantaged businesses (SDBs), firms participating in the SBA’s “8(a) Program,” Historically Underutilized Business Zone (HUBZone) small businesses, women-owned small businesses (WOSBs), and service-disabled veteran-owned small businesses (SDVOSBs). The report also examines several federal requirements and authorities in promoting contracting and subcontracting . . . Read More
The U.S. Small Business Administration’s (“SBA”) regulations require a concern to recertify its socio-economic (e.g., SDVO SBC, HUBZone, WOSB/EDWOSB) and/or small business size status (1) within 30 days of an approved contract novation; (2) within 30 days of a transaction becoming final in the case of a merger, sale, or acquisition, where contract novation is not required; and (3) no more than 120 days prior to the end of the fifth year of a contract exceeding five years in duration . . . Read More
The purposes of the Small Business Innovation Research (“SBIR”) program include, among other things, the use of small businesses to meet federally funded R&D needs and the fostering and encouragement of participation by SDBs and WOSBs in technological innovation. Federal agencies with obligations of more than $100 million for extramural R&D activities (that is, R&D conducted by non-federal employees outside of federal facilities) must establish an SBIR program and are required to spend a percentage of their extramural R&D obligations . . . Read More
Entering into contracts with the federal government requires contractors to comply with a significant number of requirements, including statutory, regulatory, and contractual requirements. And, under the False Claims Act, the penalties for failing to comply with those requirements can be steep. In fiscal year 2018, there was a total of $2.88 billion in settlements and judgments in False Claims Act cases. That $2.88 billion includes settlements and judgments for procurement-related fraud cases brought under the False Claims Act. Most contractors . . . Read More
Recently, a Department of Labor (DOL) investigation found that four federal contractors were responsible for paying 53 current and former employees a total of $255,474 for violating the Davis-Bacon and Related Acts (DBRA). DOL determined the contractors failed to pay the correct prevailing wages and fringe benefits. In this case, the prime contractor subcontracted with a temporary staffing company that failed to pay cleaning service crews in accordance with DBRA requirements. The temporary employees were misclassified and not paid the . . . Read More
GOVERNMENT CONTRACTING Gene L. Dodaro, Comptroller General of the United States, testified before the Senate Committee on Homeland Security and Governmental Affairs about the Government Accountability Office’s (GAO) report on high-risk areas. Mr. Dodaro’s testimony explained that the GAO’s high-risk program has focused attention on government operations with greater vulnerabilities to fraud, waste, abuse, and mismanagement, or that are in need of transformation to address economy, efficiency, or effectiveness challenges. The GAO’s 2019 High Risk Report, among other things, identified two . . . Read More
I’m sure everyone has heard it before: commentators, pundits, and even members of the 809 Panel have stated that “we are at war!” Most of these claims revolve less around ground combat or air battles than the fact that more countries are investing in and deploying cyber assets to destroy not just the defense networks of other countries, but their economic systems as well. Thus, it stands to reason that some of the cyber threats seen in the wild are . . . Read More
GOVERNMENT CONTRACTING The Department of Defense (DoD) updated its list of product categories for which the Federal Prison Industries’ (FPI) share of the DoD market is greater than 5%, as required by statute. The product categories and the products within each of the identified product categories must be procured using competitive procedures in accordance with the Defense Federal Acquisition Regulation Supplement (DFARS) 208.602-70. Contracting officers must consider a timely offer from FPI for any of the product categories on the . . . Read More
