New DoD Requirement to Perform its own Price Reasonableness Determination
On March 13th of this year, the Office of the Under Secretary of Defense for Acquisition Technology and Logistics issued a memorandum directing contracting officers to comply with a deviation from the Federal Acquisition Regulation (“FAR”) 8.404(d). The class deviation is applicable to Department of Defense (“DoD”) entities buying off Schedule contracts and remains in effect until the language is incorporated into the Defense Federal Acquisition Regulation Supplement. This deviation provides that “GSA has determined the prices of supplies and fixed-price services, and rates for services offered at hourly rates, to be fair and reasonable for the purpose of establishing. Read More.
Topics: Blanket Purchase Acquisitions "BPA", Defense Federal Acquisition Regulation Supplement, Department of Defense "DoD", Federal Acquisition Regulation "FAR", Government Contracting, GSA, Office of the Under Secretary of Defense for Acquisition Technology and Logistics, Schedule Contracts
SBA Adjusts Size Standards
On June 12, 2014, the Small Business Administration (“SBA”) published an interim rule with request for comments in the Federal Register making inflation adjustments to its revenue-based size standards. The new size standards become effective on July 14, 2014. Parties interested in making comments on the interim rule must submit their comments by August 11, 2014. SBA policy is to review its revenue-based size standards every five years to determine if an adjustment for inflation is warranted. This does not mean that the size standards will be revised every five years based upon specific criteria as the Truth in Negotiations Act threshold. Read More.
Opportunities for Small Businesses – SBIR Program
The Small Business Innovation Research (“SBIR”) program (“the Program”) enables small businesses to explore their technological potential and provides the incentive to profit from its commercialization. The mission of the Program is “to support scientific excellence and technological innovation through the investment of Federal research funds in critical American priorities to build a strong national economy.” High-tech companies that meet the eligibility requirements should heavily consider exploring the availability of federal government grants and contracts through this Program. The eligibility requirements include: business must be for-profit; be independently owned and operated in the United States; have less than 500 employees;. Read More.
Defense Contract Audit Agency Issues Guidance on Professional and Consulting Costs
The Defense Contract Audit Agency (“DCAA”) recently released a Memorandum for Regional Directors entitled, “ Audit Alert on Professional and Consultant Service Costs (FAR 31.205-33) and Purchased Labor ”. The intent of the memorandum is to ensure that auditors are testing the transaction based on the nature of the claimed cost, and not on the account nomenclature in which the contractor recorded the cost. Federal Acquisition Regulation (“FAR”) 31.205-33(a) defines professional and consulting services costs as services rendered by persons who are members of a particular profession, or possess a special skill, and who are not officers or employees of the contractor. Examples include those services acquired by contractors to enhance their legal,. Read More.
The Implied Covenant of Good Faith and Fair Dealing
In this era of sequestration, some government contracting offices are engaging in practices regarding contractors that the contractors believe are unfair or inconsistent with the terms of their contracts. Contractors need to know what the rules are in regard to the government’s duty to treat them fairly, and what recourse contractors have if the government does not meet that duty. However, keep in mind that the following discussion is not intended to and does not constitute legal advice. Instead, this is intended to provide you with general knowledge concerning the rules of federal contracting. The government’s obligation to treat contractors. Read More.
Growing Call for SBA Control Over Vets First Program
A bill brought before the House of Representatives last summer may soon bring significant changes to the Vets First Program. The 2013 Improving Opportunities for Service-Disabled Veteran-Owned Small Business Act, which was introduced in July 2013 by Rep. Mike Coffman (R-CO), calls for the Small Business Administration (“SBA”) to take over control and administration of the Vets First Program from the U.S. Department of Veterans Affairs (“VA”). This transfer of control would include the responsibility for verification of service disability. Under the Vets First Program, the VA issues set-aside government contracts to eligible Veteran-Owned Small Businesses and Service-Disabled Veteran-Owned Small. Read More.