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Government Contractors

No More “Telegraph” and “Telegram” in the FAR?

On June 6, the Federal Register included proposed rules to remove references to “telegram,” “telegraph,” and other related terminology in the Federal Acquisition Regulation (“FAR”) and replace them with electronic options for communications. These two forms of communication are outdated in our technologically driven world. A telegram is “a message sent by telegraph and then delivered in written or printed form” while a telegraph is “a system for transmitting messages from a distance along a wire, especially one creating signals by making and breaking an electrical connection.” Most, if not all of us communicate on very different platforms today. This. Read More.

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It’s About Time: GSA Finally Releases Alliant 2 Request for Proposals

On June 24, 2016, the General Services Administration (“GSA”) released its Request for Proposal (“RFP”) for the long-awaited Alliant 2 Small Business (“A2SB”) Governmentwide Acquisition Contract (“GWAC”). The government estimates that a maximum of 80 awards will be made for A2SB, which has a $15 billion ceiling over 10 years. A2SB will be an  contract that provides IT solutions through a broad range of services. For contractors deciding or preparing to bid on A2SB, it is imperative to gain sufficient information about the RFP and its scoring methodology. GSA officials are adamant that respondents read the entire 174 page RFP,. Read More.

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New DCAA Guidance on Revised Policies Related to Low-Risk Incurred Cost Submissions

As the Defense Contract Audit Agency (“DCAA”) slowly pushes to eliminate Incurred Cost Submission (“ICS”) audit backlog, DCAA has recently published a new memorandum (“MRD”) revising guidance for selecting low-risk Incurred Cost Submission proposals less than $250 million in “auditable dollar volume” (“ADV”). Published on May 27, 2016, the memorandum revises the MRD 12-PPD-023(R), dated September 6, 2012, and MRD 13-PPD-021(R), dated October 29, 2013. While not specifically defined in the Federal Acquisition Regulation (“FAR”), Contract Audit Manual (“CAM”) or elsewhere, ADV is typically considered by DCAA to be the total contract cost for flexibly priced government contracts and subcontracts. Read More.

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Safeguarding of Contractor Information Systems Final Rule Issued

The Department of Defense, General Services Administration, and National Aeronautics and Space Administration issued a final rule on the basic safeguarding of contractor information systems that process, store, or transmit Federal contract information (“FCI”). Effective June 15, 2016, Federal Acquisition Regulation (“FAR”) 52.204-21, Basic Safeguarding of Covered Contractor Information Systems, was created and will be included in all solicitations and new contracts. It will apply below the simplified acquisition threshold and will be a required flow down clause. It will not apply to commercial off-the-shelf items, but will apply to commercial items and to services where FCI occurs. FCI is. Read More.

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DOE Issues “Absolute Ban” on Overtime for Training and Education

On May 3, the Department of Energy (“DOE”) issued Acquisition Letter 2016-5 (“ AL 2016-5 ”), which provides guidance for managing overtime costs for training, and explicitly addresses overtime costs for training and education. The AL applies to all contracts and is effective immediately until cancelled. Federal Acquisition Regulation (“FAR”) Subpart 31.2 covers cost principles in contracts with commercial organizations. It stipulates a cost is only allowable only when it complies with all five requirements listed in FAR 31.201-2: Reasonableness Allocability Cost Accounting Standards/Generally accepted accounting principles Contract terms All of the other limitations in FAR Subpart 31.2 The limitations include the. Read More.

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New DOL Salary Levels for FLSA-Exempt Employees

The Department of Labor (“DOL”) has finally issued final rules revising the salary levels that will be used to determine if certain employees are exempt from the overtime provisions of the Fair Labor Standards Act (“FLSA” or “the Act”). These rules will appear in the May 23, 2016, edition of the Federal Register and have an effective date of December 1, 2016. Under the FLSA, employees are entitled to be paid time and a half for all hours worked in excess of a normal work week, usually 40 hours. However, the Act exempts employees in executive, administrative, or professional positions. Read More.

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