Federal Government Contractors' Information in FAPIIS Being Made Public
On January 19, 2011, an interim rule amending the Federal Acquisition Regulation (FAR) was published. The interim rule requires that information in the Federal Awardee Performance and Integrity Information System (FAPIIS) database be made available to the public beginning April 15th. The only information that won’t be publicly available is past performance review information.
This rule is of particular concern to federal government contractors because the FAPIIS database may contain information related to suspension and debarment and non-responsibility, default or defective pricing determinations, as well as criminal, civil or administrative proceedings related to a government contractor’s government work. Previously, access to information on FAPIIS was limited to federal acquisition officials, certain government officials, and certain Congressional committee members.
With this change it is important for government contractors to regularly monitor and update their profiles on the FAPIIS database.
New Posting Requirements for Labor
On December 13, 2010, the Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council issued an interim rule to amend the FAR to implement Executive Order 1346, Notification of Employee Rights under Federal Labor Laws.
Federal contractors and subcontractors are required to display a notice informing employees of their rights under Federal labor laws. The FAR interim rule creates a new FAR subpart 22.16 and FAR clause 52.222-40, Notification of Employee Rights under the National Labor Relations Act, and revises FAR 52.212-5, Contract Terms and Conditions Required to Implement Statutes or Executive Orders -Commercial Items, and FAR 52.244-6, Subcontracts for Commercial Items, to include the new requirements. The notice is available at www.dol.gov/olms/regs/compliance/employeerightsposter11x17_final.pdf.
Disclosure of Executive Compensation by Prime and First-Tier Subcontractors
Effective March 1, 2011, federal government contractors will be required to report any new subcontract awards if the prime contract award or order is expected to equal $25,000 or more (including options).
In addition, contractors receiving at least 80% and $25,000,000 of their annual gross revenue from federal contracts, loans, grants or cooperative agreements must report the names and compensation of each of their five most highly
compensated executives. Similar information must be reported for first-tier subcontractors meeting those thresholds.
This rule amends the FAR to implement Section 2 of the Federal Funding Accountability and Transparency Act of 2006, as amended by Section 6202 of the Government Funding Transparency Act of 2008 pursuant to FAC 2005-44 (see also FAR case 2008-039).
Veteran-Owned Small Businesses Certification Requirements
On January 3, 2011, the Department of Veterans Affairs (VA) announced that veteran-owned small businesses (VOSBs) and service-disabled, veteran-owned small businesses (SDVOSBs) must verify their status within 90 days of being contacted by the VA regarding such verification. The VA has sent approximately 13,000 notices requesting such information.
Veteran-owned businesses wanting to participate in the VA’s Veterans First Contracting Program will need to be verified by the VA effective February 18, 2011.
Woman Owned Small Business (WOSB) Update
For those interested in the Small Business Administration’s WOSB Program, the SBA now has a new website that walks businesses through the registration process, http://www.sba.gov/content/contracting-opportunities-women-owned-small-businesses.
GAO Jurisdiction over Task Orders over $10 Million extended with respect to DoD agencies
With the execution of the National Defense Authorization Act for FY 2011, the Government Accountability Office’s jurisdiction over Defense Department protests for task and delivery orders exceeding $10 million was extended through September 30, 2016. Interestingly, GAO’s jurisdiction was not extended for the same type of protests for civilian agency procurements. Unless Congress takes additional action, GAO’s jurisdiction to hear protests for similar civilian agency task and delivery orders is set to expire May 27, 2011.