CPAs and Advisors with Your Growth in Mind

Get Ready: The Truth in Negotiations Act Threshold is about to Jump to $2 Million!

As discussed in the blog on January 17, 2018 , Section 811 of the 2018 National Defense Authorization Act will increase the Truth in Negotiations Act (“TINA”) threshold from $750,000 to $2 million effective as of July 1, 2018. This is great news for government contractors as now they are not required to submit and certify cost and pricing data on awards under this amount. If a Contracting Officer requests cost and pricing data to support proposals under the new threshold, the data provided will not be certified. In turn, it reduces the risk of any defective pricing for the contractor. This increase directly impacts. Read More.

Topics: , ,

GSA Develops E-Commerce Portal

Section 846 of the 2018 National Defense Authorization Act (“the Act”), “Procurement through Commercial E-Commerce Portals,” establishes an e-commerce portal program, similar to Amazon and other e-commerce platforms, for the acquisition of commercial items by the Federal government. Section 846 defines an e-commerce portal as “a commercial solution providing for the purchase of commercial products aggregated, distributed, sold, or manufactured via an online portal” and requires the General Services Administration (“GSA”) to develop the portal “through multiple contracts with multiple commercial e-commerce portal providers.” Commercial e-commerce sites usually include a provider that can fulfill orders directly and/or provide an opportunity. Read More.

Topics: , , ,

DCAA 2018 Hot Button Highlights

By: Curt Smith , Manager Each year Cherry Bekaert addresses topics that effect the Defense Contract Audit Agency (“DCAA”) in our DCAA “Hot Buttons” webinar. A summary of the January 17, 2018, webinar is presented here. The webinar is replay is also available on our YouTube channel. The webinar is available for replay on our YouTube channel. Section 803 of the 2018 National Defense Authorization Act (“NDAA”) Section 803 of the 2018 NDAA contains several provisions reforming defense contract auditing. Perhaps the provision with the greatest impact on DCAA directs the Department of Defense (“DoD”) to begin using private auditors to perform incurred cost audits to reduce the current backlog. The provision intends to focus DCAA resources on forward-pricing audits, which are considered. Read More.

Topics: , , , , , , , , ,

2018 NDAA: Changes to TINA Threshold and Incurred Cost Audits

In November, the conference committee for the National Defense Authorization Act (“NDAA”) for fiscal year 2018 completed one of the final steps in the NDAA process filing its report reconciling the differences between the House version and the Senate version of the legislation. Shortly after the reports were reconciled, the conference report was officially enacted into law as the fiscal year 2018 NDAA. This bill authorizes fiscal year 2018 appropriations and sets forth policies for Department of Defense (“DOD”) programs and activities. One of the major changes in the fiscal year 2018 NDAA, Section 811, is the increase in the. Read More.

Topics: , , , , ,

DoD Proposes Changes to Cost or Pricing Data Rules for Small Businesses

On August 30, the Department of Defense (“DoD”) issued a proposed rule to implement a section of the National Defense Authorization Act for fiscal year 2016 that provides exceptions from the certified cost and pricing data requirements, and from the records examination requirement for certain awards to small businesses or nontraditional defense contractors. The proposed rule would amend the Defense Federal Acquisition Regulation Supplement (“DFARS”) to provide an exception from cost or pricing data for contracts, subcontracts, or modifications of contracts or subcontracts valued at less than $7.5 million. This exception would be applicable to small businesses or “nontraditional” defense contractors,. Read More.

Topics: , , , , , ,

Subcontractor Oversight (Who’s Responsible?)

By: John N. Ford, JD ; Senior Consultant  Who has privity? 42.505 – Post-award Subcontractor Conferences (a) The prime contractor is generally responsible for conducting post-award conferences with subcontractors. However, the prime contractor may invite Government representatives to a conference with subcontractors, or the Government may request that the prime contractor initiate a conference with subcontractors. The prime contractor should ensure that representatives from involved contract administration offices are invited. (b) Government representatives– (1) Must recognize the lack of privity of contract between the Government and subcontractors; (2) Shall not take action that is inconsistent with or alters subcontracts; and (3) Shall ensure that. Read More.

Topics: , , , , , ,