The Federal Acquisition Regulation (FAR) Council recently adopted its previously proposed restrictions on federal agencies’ ability to enter into contracts with corporations having a delinquent federal tax liability or a felony conviction under any federal law. The final rule, which took effect on September 30, 2016, establishes an outright prohibition against contracts where either of these…
Every year, the Interagency Suspension and Debarment Committee (ISDC) reports to Congress concerning statistics on federal suspension and debarment. The ISDC released 2016’s annual report on June 15. The 10 page release shows that federal agencies completed a total of 918 suspension actions and 1,873 debarments in FY 2015. These figures are somewhat lower than those reported in 2014, when 1,009…
The U.S. Department of Labor (DOL), Wage and Hour Division (WHD) recently announced that a Monterey, California-based translation and interpretation company that does work for the federal government and other clients has agreed to pay $1.47 million in wages and benefits to its nationwide corps of interpreters to resolve federal labor laws violations identified as the result of two separate WHD…
Last week Granite Construction, Inc. (Granite), a publically traded company, entered into a non-prosecution agreement under which it will pay more than $8 million to the federal government and the Metropolitan Transportation Authority (MTA). The agreement resolves a criminal investigation into a disadvantaged business enterprise (DBE) fraud scheme perpetrated by Granite’s wholly-owned…
A recently-filed indictment highlights the substantial personal liabilities that a company principal may face if the company fails to pay required minimum wages, and particularly if the company submits false certifications to the Government as to the wages paid. U.S. v. Marcus Butler, N.D. Ohio Case No. 1:15 CR 0415. Specifically, the Department of Justice and U.S. Attorney’s Office for the…
Since September 2011, the Department of Justice (DOJ) has tried and failed numerous times to meet its burden of proof in Foreign Corrupt Practices Act (FCPA) enforcement actions. These cases have been referred to by some as “debacles”. Perhaps that helps explain why the DOJ recently and somewhat surprisingly announced its settlement of a significant FCPA case with Louis Berger…
The General Services Administration (GSA) Office of Inspector General (OIG) recently released its semiannual Report to the Congress detailing its efforts and successes in the important work of detecting fraud and mismanagement within the GSA’s programs and operations. The report, which is required, covers the period between October 1, 2014 and March 31, 2015.
On March 2, 2015, the Department of Defense’s Final Rule, "Federal Acquisition Regulation; Ending Trafficking in Person," available here (the Rule), became effective. Pursuant to the Rule, revised FAR 52.222-50, Combatting Trafficking in Persons, must be included in all contracts and solicitations. Although the Rule implements previous mandates, contractors must be aware of notably…
Most contractors have at least a general understanding that suspension and debarment should be avoided like the plague. Being found nonresponsible and, therefore, ineligible to do business with the government (or its prime contractors and subcontractors) would be a death knell for many companies. As many contractors know, however, you can challenge a notice of suspension and debarment -- and even…
The FAR Council recently issued a new Interim Rule (correction here), implementing President Obama’s Executive Order 13658 establishing a $10.10 per hour minimum wage for employees of covered federal contractors and subcontractors starting January 1, 2015. The new Rule also implements, for FAR-covered contracts, the Final Rule issued by the Department of Labor (DOL) on October 10, 2014,…
Given the FAR 9.103(b) mandate that “no purchase or award shall be made unless the contracting officer makes an affirmative determination of responsibility,” FCi Federal, Inc. (FCi) was surprised when the Department of Homeland Security (DHS) awarded a $210 million contract to FCi’s competitor, USIS PSD. Why? Because the award came after a flurry of media reports containing allegations of…
