Tag Archives: government contracts

FinCEN Targets Community Bank – $1.5 Million Penalty for Failure to File Suspicious Activity Reports

On February 27, 2015, the Financial Crimes Enforcement Network (“FinCEN”) announced a $1.5 million civil penalty against the First National Community Bank of Dunmore, Pennsylvania (“FNCB”), arising from FNCB’s admission that it violated the Bank Secrecy Act (“BSA”) by failing to detect and report suspicious financial transactions. The penalty is concurrent with a $500,000 penalty … Continue Reading

Reed Smith’s Government Contracts Weekly Rundown

Spring forward with a rundown of last week’s top developments related to government contracts. 1. Proposed Rule to Change Price-Reduction Clause The General Service Administration (GSA) proposed a new rule to change the basis of award monitoring requirement of the existing price-reductions clause, resulting in a burden reduction for participating FSS contractors. 2. OFPP Takes … Continue Reading

Reed Smith’s Government Contracts Weekly Rundown

In case you spent last week (this morning) dealing with winter weather instead of reading the latest and greatest in the realm on federal contracting, here is a rundown of last week’s top developments related to government contracts, to get you back on track and ready for Monday. 1. Senate Passes “Clean” Spending Bill To … Continue Reading

Final Rule on Human Trafficking Prevention Set to Take Effect and Require Additional Compliance Actions for Certain Contractors

Starting the first week of March , federal contractors will be subject to new prohibitions and obligations related to human trafficking. These new requirements stem from a final rule issued January 29, 2015, that significantly strengthens the Federal Acquisition Regulation’s (FAR) existing provisions to prevent trafficking in persons. The new rule goes into effect March 2, … Continue Reading

How ‘FAR’ We Have Come: Looking Ahead to What 2015 May Bring in Federal Procurement Policy

The Office of Federal Procurement Policy (“OFPP”) is now under new leadership. Confirmed by the Senate in September, Anne Rung will take on the job of managing the federal government’s acquisition policy. Prior to her most recent appointment, Rung held the position of General Services Administration chief acquisition officer and associate administrator of governmentwide policy. … Continue Reading

FY 2015 Ebola Federal Funding: Congressional Increases and Program Support

FY 15 Omnibus spending legislation sent to the President for signature. This past weekend, the Senate finished work on an omnibus spending bill, Consolidated and Further Continuing Appropriations Act, 2015 (“Act”), which funds most of the federal government for the remainder of FY 15. The House of Representatives passed this legislation last week and it … Continue Reading

Change Has Come: OFCCP Publishes Final Rule Implementing Executive Order Prohibiting Federal Contractors from LGBT Discrimination

The U.S. Department of Labor’s Office of Federal Contract Compliance Programs (“OFCCP”) published a final rule today, implementing Executive Order (“EO”) 13672, signed by President Obama July 21, 2014. Before EO 13762, federal contractors were only prohibited from discriminating against employees on the basis of race, color, religion, sex and national origin. EO 13762 now … Continue Reading

Highest-Level Who? What Contractors Need to Know About the New FAR Provisions Requiring the Disclosure of Immediate and Highest-Level Ownership

Back in May, a final rule issued by the Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA) imposed new disclosure requirements on federal contractors. Contractors will now be required to disclose whether they are owned or controlled by another business entity during their System for Award Management (SAM) … Continue Reading

Paying More: New Final Rule Implementing Federal Minimum Wage for Contractors

On October 7, 2014, the Department of Labor (“DOL”) published its Final Rule, 79 Fed. Reg. 60633, implementing Executive Order (EO) 13658’s new minimum wage requirements for government contractors and subcontractors. While addressing the nation in the January 2014 State of the Union Address, President Obama stated his intention to issue an EO that would … Continue Reading

From Epidemic to Bioterrorism: Mitigating Contractor Risks in a Worst-Case Scenario

While the current Ebola outbreak is a natural epidemic, the idea that the virus could be used as a bioterrorist threat has been considered. Accordingly, the potential for obtaining Department of Homeland Security (DHS) Support Anti-terrorism by Fostering Effective Technologies Act of 2002 (SAFETY Act) protection for products or services related to fighting the Ebola … Continue Reading

Opportunity for Government Contractors to Develop Ebola Countermeasures

The Ebola epidemic in West Africa is the worst medical outbreak of the disease in recorded history. Currently, there are no treatments or vaccines proven to be safe or effective for the Ebola virus, and investigational vaccines and treatments are only in the early stages of development. As such, the primary approach to containing the … Continue Reading

New VETS Rule Changes Reporting Requirements for Government Contractors – Veterans in the Aggregate

The U.S. Department of Labor’s Veterans’ Employment and Training Service (“VETS”) recently issued a final rule altering the reporting requirements on veteran employment and hiring for federal contractors. The new rule revises the regulations implementing the reporting requirements under the Vietnam Era Veterans’ Readjustment Assistance Act of 1974 (“VEVRAA”). Although the rule becomes effective October … Continue Reading

Final Rule on Whistleblower-Related Legal Costs Shows It Pays (Possibly Literally) to Comment on Proposed Regulations

On July 25, 2014, the U.S. Department of Defense (“DOD”), General Services Administration (“GSA”), and National Aeronautics and Space Administration (“NASA”) adopted a Final Rule addressing the allowability of legal costs incurred by a contractor or subcontractor defending against a whistleblowing employee’s accusation of reprisal.  The Final Rule implements a provision of the 2013 National … Continue Reading

Federal Circuit: VA May Refuse to Set Aside Contracts for Veteran-Owned Contractors

Back in 2013, we reported that the Department of Veterans Affairs (“VA”) is not required to give veteran-owned small businesses (“VOSBs”) or service-disabled veteran-owned small businesses (“SDVOSBs”) preference for all contracts.  In Kingdomware Technologies, Inc. v. United States (“Kingdomware”), the United States Court of Federal Claims accepted the VA practice of purchasing off the Federal … Continue Reading

Proposed Minimum Wage Rule May Require Adjustments by Both Contractors and the Government

On June 17, 2014, the U.S. Department of Labor issued proposed regulations to implement Executive Order 13658, which increased the federal minimum wage to $10.10 per hour beginning in 2015.  The proposed regulations cover a fairly broad cross-section of service and construction contracts and contract-like instruments, and their requirements are to be flowed down to … Continue Reading

And the Government Strikes Again: New Proposed FAR Rule To Expand Reporting of Nonconforming Items

A month after the U.S. Department of Defense issued a final rule (“DoD rule”) that impacted the defense supply chain by requiring certain contractors to detect and report counterfeit electronic parts (discussed here), the Federal Acquisition Regulation (“FAR”) Council published a new proposed rule to greatly expand counterfeit reporting obligations.  The proposed rule sets forth … Continue Reading

Down We Go: Final Rule on Counterfeit Electronic Parts Extends Down the Supply Chain

The U.S. Department of Defense (“DOD”) recently issued a final rule that will significantly impact the defense supply chain.  The new rule, effective May 6, 2014, implements the provision in Section 818 of the fiscal year (FY) 2012 National Defense Authorization Act (“NDAA”) related to the use of counterfeit electronic parts in DOD products.  Specifically, … Continue Reading

Department of Energy: $4 Billion for Renewable Energy

In April, the Department of Energy announced a draft loan guarantee solicitation that could make as much as $4 billion in loan guarantees to help commercialize renewable energy and energy efficiency technologies. The loan program seeks to promote “technologies that are on the edge of commercial-scale deployment today,” according to Secretary of Energy Ernest Moniz. … Continue Reading

State-Level Procurements: You’re Not in Kansas Any More (Unless You Happen to Be Selling to Kansas)

This post was written by Joelle E.K. Laszlo. As competition for contracts with U.S. federal government agencies increases, companies that seek to maintain or increase their government sales may set their sights on states instead.  Indeed, this may already be happening: for one thing, more than 500 people attended the “How to Market to State Governments” … Continue Reading

Federal Circuit Decision Settles GAO/COFC Split on Agency’s Use of Cooperative Agreements

In March, the Federal Circuit settled a split between the Government Accountability Office (“GAO”) and the Court of Federal Claims that focused on the gray area between cooperative agreements and procurement contracts. Siding with the GAO, the appeals court ruled that the Department of Housing and Urban Development could not sidestep federal competition requirements by … Continue Reading

Changes in Regulations Now Allow Litigation Support Government Contractors To Access Sensitive Information

This post was written by Cody Roberts, Gunjan Talati and David Cohen. The government is a frequent litigant as both a plaintiff and defendant on a variety of matters at any given time. Like many other litigants, the government sometimes finds itself needing litigation support. Litigation support contractors fill that need and, because of a … Continue Reading

Are Internal Compliance Investigations Privileged? D.C. District Court Rules No

This post was also written by Joseph W. Metro. We want to alert our readers to a recent decision out of the U.S. District Court for the District of Columbia. U.S. District Court for the District of Columbia holds documents related to internal investigations of possible violations of corporate code of conduct not protected from … Continue Reading

Equal Opportunity Flowdown Changes – Coming Soon to a Contract Near You!

On March 24, 2014, the Department of Labor’s revised Vietnam Era Veterans’ Readjustment Assistance Act of 1974 (“VEVRAA”) regulations take effect. Among various changes to the existing rules found at 41 C.F.R. Part 60-300, including establishing veteran hiring benchmarks, posting open jobs, and collecting quantitative recruiting data, federal government contractors with covered prime contracts will … Continue Reading

Help Not Wanted: Delinquent Taxpayers and Felony Convicts Still Not Sought as Contracting Partners to the U.S. Government

This post was written by Joelle E.K. Laszlo. The pool of potential competitors for federal contracts may have just gotten a little bit smaller. On February 21, 2014, the Undersecretary of Defense for Acquisition, Technology and Logistics issued a memorandum to all Department of Defense (“DOD”) contracting agencies and officers instructing that, effective immediately and … Continue Reading
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