Changes to ALL Compensation for Government Contractors
As part of the 2013 Bipartisan Budget Act, Congress reduced the contractor and subcontractor compensation cap from $952,308 to $487,000, a 49 percent reduction. The cap will be adjusted annually to reflect the change in the Employment Cost Index for all workers as calculated by the Bureau of Labor Statistics. As always, contractors can pay whatever amounts they deem appropriate, but the government will only reimburse (at the most) to the cap. Previously, Congress, in the 2012 National Defense Authorization Act, applied the ceiling on reimbursable pay to all Department of Defense (“DoD”), Coast Guard, and National Aeronautics and Space. Read More.
Topics: 2012 National Defense Authorization Act, 2013 Bipartisan Budget Act, Administrator of NASA, Administrator of the General Services Administration, Armed Services Board of Contract Appeals "ASBCA", Bureau of Labor Statistics, Coast Guard, Compensation, Congress, Contractor, Defense Contract Audit Agency "DCAA", Department of Defense "DoD", Employment Cost Index, Federal Acquisition Regulation "FAR", Government Contractors, GSA, National Aeronautics and Space Administration "NASA", Secretary of Defense, subcontractor, United States Court of Federal Claims, Veterans Administration "VA"
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