Well, it is certainly an interesting time to be a federal government contractor. In the last few weeks, we have seen Executive Orders (EOs) flying fast and furious, and a lot of other activity impacting federal government contractors. Overall, these various new developments have resulted in a flurry of contract modifications, suspensions, and terminations for
Executive Orders
Pay Me What You Owe Me, Don’t Act Like You Forgot!
As much we all love Rihanna, it’s a real shame how many contractors have called me in the last few days with issues that remind me of her well-known “Pay Me What You Owe Me” lyrics. They’re brought to mind because contractors are – on an increasing basis – being denied payment on properly invoiced sums. In some cases, contractors have even been expressly advised by agency officials that they will not be paid at all for the foreseeable future. “Don’t submit any future invoices until you hear from us” is becoming a shockingly common refrain. And yet, the work being invoiced was properly performed. There is no allegation of delayed or deficient performance. Indeed, the amounts due are undisputedly owing to the contractor. So what is going on?!?Continue Reading Pay Me What You Owe Me, Don’t Act Like You Forgot!
I Will Find You: DOJ Uses Its Particular Set of Skills to Enforce Domestic Preference Rules
“Now, the next part is very important…”
As scrutiny of domestic preference requirements increases in the wake of the Biden Administration’s Executive Order on Ensuring the Future Is Made in All of America by All of America’s Workers, the time is now for contractors to brush up on those requirements, examine supply chains to identify non-domestic content, and implement internal policies and procedures to ensure they are compliant with the domestic preference rules applicable to their contracts. On May 20, 2021, the US Attorney’s Office for the Eastern District of Pennsylvania announced a settlement under which a contractor agreed to pay $54,983 and implement “enhanced compliance measures” to resolve claims arising from its use of Chinese-made parts during a fire alarm installation and renovation project at Amtrak’s 30th Street Station in Philadelphia, PA. While the settlement amount is relatively minimal, the settlement is remarkable in that it telegraphs that funding agencies, along with the Department of Justice (DOJ), are willing to go to great lengths to be a nightmare for suppliers that do not adhere to the “Buy America” statutes and regulations.Continue Reading I Will Find You: DOJ Uses Its Particular Set of Skills to Enforce Domestic Preference Rules
The Buy American–Hire American Executive Order: There Will Be Devils in the Details When Buying American
Following up on his repeated promises that the government will buy American and hire American, President Trump signed a Presidential Executive Order on Buy American and Hire American (the “Order”) on Tuesday, April 18, 2017, directing executive agencies to enhance acquisition preferences for domestic products and labor under federal contracts and federal grants. Federal contractors should note that the Order serves only as a blueprint for the administration’s intentions and imposes no immediate requirements. Those will follow — but in what form and to what degree, we can only guess. Contractors should prepare for those changes and be assured that – with respect to the Order’s impact on supply chains and contractor purchasing systems – the devil will indeed be in the details.
Continue Reading The Buy American–Hire American Executive Order: There Will Be Devils in the Details When Buying American
