A Rule Change A Day: Inside Counsel's Guide to Government

Contracting Under the New Administration

May 20, 2009Presented by: WMACCA

Sponsored by:

Womble Carlyle Sandridge & Rice, PLLC

Introduction

• New Administration• Rapid pace of changes: Executive

Orders, Presidential Memos, and Regulations

• Affecting compliance obligations, funding, transparency, reporting and disclosures, labor, and oversight

• Impact on prime contractors and subcontractors

E-Verify

• Federal contractors to use Department of Homeland Security E-Verify system to check immigration status of its employees

• Implementation delayed to June 30, 2009

• Predictive issues

Mandatory Disclosure

• FAR Parts 3 and 9• No exceptions • Flow down to subcontractors• "Credible evidence"• Conduct background checks?• Enforcement cart before the

notification horse• How the new process is working• Tips for Practitioners

Organizational and Personal Conflicts of Interest

• FAR case still open• Agencies and Congress aren't

waiting on final rules• What is required?

In-Sourcing

• Included in DoD Budget• Government is hiring away

contractor employees• How do you protect your revenue

sources?• Is there a right of action?• Does it cause the contractor

problems to convert employees on short notice?

Notices Regarding Labor Organizing

• 29 CFR Part 470 • What information can and can't be

distributed now?• Revoked ruling on "Beck notices"• Obama order issues a broader

mandate to notify contractor employees of all their rights under the NLRA

Buy American Under the Stimulus Act

• FAR Subpart 25.6

• What is covered?• Interim Rule for Stimulus• Compliance• Impact on contracts• Consequences

COTS Waivers of Buy American Act

• FAR Subparts 12.1, 12.3, 12.5 and DFARS Part 225.1

• Benefit• Clearing up of former rules• COTS products not subject to cost of

components test• Will these waivers make sale of

COTS easier?

Successive Service Contract Hiring Requirements

• E.O. 13495 requires first right of refusal for incumbent employees with successive service contractor

• Clinton Administration version applied only to recurring services relating to public buildings

• Sanction: Debarment • Prime Contractor vs. Subcontractor• Impact on pricing proposals and

transition

Revolving Door Restrictions

• Within 2 years of leaving DoD, former DoD officials must now get ethics opinions before taking compensation from a defense contractor

• Sanctions for contractor violation -- termination, suspension or debarment

• How to document and comply?• Contract Clause

Reporting Requirements for the Stimulus

• American Recovery and Reinvestment Act (ARRA or Stimulus Act)

• Prime contractors must submit detailed public reports on– Services they are providing – Jobs they are creating– Completion dates– Invoice amounts

• Quarterly reports• http://www.federalreporting.gov/• No exemptions

Questions?

Contacts:

Jim Kearney, Womble Carlyle: jkearney@wcsr.com

Mike Love, CSC: mlove9@csc.com

Emily Murphy, TerreStar National Services: emily.murphy@terrestar.com

Holly Svetz, Womble Carlyle: hsvetz@wcsr.com