On April 26, 2011, the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) issued a notice of proposed rulemaking to eliminate 41 C.F.R. Part 60-250, as obsolete, and replace the existing 41 C.F.R. Part 60-300 with new regulations. These regulations implement the Vietnam Era Veterans’ Readjustment Assistance Act of 1974 (“VEVRAA”), as amended, 38 U.S.C. § 4212. VEVRAA, and OFCCP’s implementing regulations, are designed to eliminate employment discrimination against U.S. military veterans. One of the means of eliminating discrimination is to require contractors to adopt and implement Affirmative Action Plans designed to increase the hiring of covered veterans. The proposed regulations replace many suggested means of compliance with VEVRAA with new mandatory methods of compliance.
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The Department of Defense has issued new Source Selection Procedures. These procedures are effective July 1, 2011 for all acquisitions conducted under FAR Part 15.
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Last Fall, the Federal Government enacted new regulations requiring all federal contractors to institute new policies and procedure prohibiting contractor employees from texting while driving federal government vehicles or while driving private vehicles when performing work on federal contracts.
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In the wake of the earthquake, tsunami, and nuclear reactor crisis in Japan – and the resulting power and food shortages, water contamination, and voluntary evacuations at certain U.S. bases – many federal government contractors providing goods and services on military bases there must assess the direct and indirect impact of these catastrophes on their contracts. Will they be asked to leave the U.S. military base where they are performing their contract? Will their performance be delayed as a result of power outages, contamination or other impacts from the tsunami? Will the U.S. government prevent them from performing or decide to change or terminate their contract?
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Contractors need to start planning and communicating now with their respective government contracting officers about how to address a possible federal government shut-down, possibly as early as this coming weekend or in a couple of weeks. If there is a shut-down, virtually all federal government contractors face serious impacts. Action now will enable contractors to respond appropriately in the event of a shut-down, and to minimize adverse impacts to government programs, control non-reimbursable costs and mitigate, document and account for shut-down costs for which the government will be liable.
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On June 15, 2010 a panel of judges from the U.S.
Court of Federal Claims (CoFC) shared insights into bid protest litigation at the court. The CoFC is one forum in which a disappointed bidder can protest the award of a federal procurement contract.
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Receipt of a congressional subpoena is a scary moment for any company. In recent years, government contractors have come under congressional scrutiny not faced by commercial contractors.
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This October, the Navy plans to introduce a “Preferred Supplier Program” to reward contractors that have exhibited “exemplary performance” in the areas of cost, schedule, performance, quality, and business relations. Preferred Supplier Status (PSS) will provide contractors with better cash flow, profit, and contract terms. Importantly, PSS only impacts contract performance and will not be a factor in source selection.
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On January 30, 2009, President Obama signed Executive Order 13495 (“Order”), which affects a contractor’s or subcontractor’s ability to hire new employees when a contract to provide services to the Federal Government expires and a new contract for the same services is awarded to a different contractor.
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