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USE CAUTION WHEN PROVIDING MAINTENANCE AND OTHER SERVICE WORK DURING A CR

It has been awhile since we’ve covered the need for companies providing service and maintenance to federal agencies operating under a CR to exercise caution.  Your federal customer can’t issue an annual maintenance agreement if they’re using appropriated funds to pay for your services while a CR is in place.  That doesn’t mean that they can’t pay you, however.  Agencies are allowed to continue operations that are already underway, unless there is a specific Congressional mandate telling them to stop.  Such mandates usually involve only high visibility projects and likely do not cover circumstances such as printer maintenance.  You and your customer agency need to work out an agreement so that you are paid month-to-month for the service your customer likely still expects you to provide.  Performing free services with the expectation of being paid later, however, could very likely cause a problem – especially for your customer.  The Anti-Deficiency Act prohibits agencies from obligating funds not yet appropriated.  Allowing you to perform free services now with an expectation of later payment is, indeed, interpreted as an “obligation” by many agencies.  If your company hasn’t had these discussions with your customer yet, they are past due.  Make sure that you and your customer follow appropriate acquisition rules.  Neither of you want to get in trouble over a small matter that could well impact larger business dealings. Read more

ALLEN FEDERAL HAS CURE FOR THE FEBS

Pre-award audits got you down?  Slip on the ice while waving good-bye to your Florida-bound neighbor?   Don’t let contract compliance issues bowl you over like “Bombogenesis”.  Allen Federal can help you and your counsel with expert witness services, insight on key GSA Schedule compliance matters, small business plan compliance and more.  We’ve worked with many companies on whistle blower cases as well as more routine contract compliance matters.  We can keep you out of the shark tank and make sure the only thing you have to work on in April preparation for summer.  To find out how Allen Federal can help you, contact us at info@allenfederal.com

THREE RECOMMENDATIONS FOR GSA ADMINISTRATOR MURPHY:

1. Remember that GSA Competes Against Others: While the agency is the government’s largest central buyer, every other agency has its own contracts, often with the same companies. Contractors and customers both have choices and will go to the vehicles that serve them best. This means that the agency must strike a balance between providing agencies with tools like spend analysis, while keeping contractor workloads reasonable. Specifically, we recommend scrapping the GSA TDR pilot and eliminating the draconian pricing rules on Schedule 75. Each only serve to confuse contractors, CO’s and customers. Reducing the strictures on the Schedules program, instead, will likely spur competition, lowering prices much more than any artificial construct could achieve.

2. Embrace E-commerce: The agency is already at work on implementing Congress’ mandate to use commercial e-commerce platforms for commercial item acquisition. GSA has the opportunity to greatly improve upon its outdated Advantage platform and provide platforms that both meet government requirements and improve acquisition. Early signs here are positive as the agency seems to understand that technology is a tool to assist in acquisition and not a replacement strategy for all types of government contracting.

3. Get Out, Meet, and Train Your Customers: It’s time bring back the GSA Expo. While webinars and smaller gatherings are helpful, any company will tell you that there is no substitute for getting all of your customers together to train them, show them your latest solutions, deepen relationships, and improve business. Every large company has at least one annual “users conference”. GSA must follow suit. There is nothing like the Expo for training so many people in a short period of time, while being able to demonstrate the latest solutions from partners and have GSA people meet those with whom they do business. Old problems with large GSA meetings are just that. Old. Let’s also remember that it wasn’t the Expo that caused the meeting kerfuffle in the first place. The training events the agency held the past two years were sold out affairs, indicating that customers want and need to understand what the agency has to offer that can make their missions easier to accomplish.

Murphy has a tremendous opportunity to move GSA forward by embracing market-based solutions such as these. They can remove misperceptions about the agency, attract innovative suppliers, and make GSA a “must have” partner for any federal customer.

ACQUISITION PANEL RECOMMENDS REDUCED REGULATORY BURDEN FOR COMMERCIAL BUYS:

Commercial item acquisition should be easier and less regulated according to “Volume I” of the Section 809 panel report issued last week. While the title, “Report of the Panel on Streamlining and Codifying Acquisition Regulations”, won’t rocket to the top of any best seller lists, the content contains substantial, detailed recommendations on a variety of ways DOD acquisition could be improved. One recommendation is to scrap the limited definition of “Commercial Off the Shelf” item in favor of a more expansive, standardized definition of commercial item. Similarly, the panel recommends the creation of a new “commercial services” definition, one that specifically acknowledges Knowledge Based Services, among other things. Another service recommendation is to make it clearer that contractor support personnel work for, and must primarily take direction from, a contractor. Enhanced use of commercially-based audit procedures, scrapping Earned Value Management for agile software acquisition, and improved small business treatment are also key recommendations in this volume. Absent from this report was any discussion on DOD use of non-DOD contracts, though it is anticipated that a future report will contain a recommendation in this area. The final report is not due for several months, but these initial recommendations will likely be widely read in both DOD and Congressional oversight committees. The report is available on the Section 809 website for those looking for some “light” reading.