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June 25, 2020 By cs

Pentagon IG offers advice for effective contracting during pandemic

With billions of dollars in CARES Act funding yet to be spent and several billion more potentially in the appropriations pipeline, it’s far too early to tell how effectively the Defense Department is spending its share of the disaster funding.
Click on image above to download the report.

But according to the Pentagon’s inspector general, DoD — and its auditors — have more than enough experience with prior emergencies to know what to do, and what not to do, to make sure money is spent well even when contracts have to be executed quickly.

In a new special report, drawing on 36 earlier audits that dealt with contracting during previous emergencies, the OIG tries to outline what it considers best practices for contracting under time pressure.

“It is a very fast paced, ever changing environment right now with this pandemic. But what contracting officers are experiencing right now is similar to pressures that were present during past disaster response and relief efforts. So our intent here was to highlight best practices and lessons learned that really span a significant portion of time,” Theresa Hull, the assistant inspector general for audit acquisition, contracting, and sustainment said in an interview for Federal News Network’s On DoD. “Our reports go back to Hurricane Katrina in 2005 but also include the more recent hurricanes, Florence and Irma, and we highlighted four areas that the contracting community should be aware of: Communication and coordination; documentation, consistency in the contracting process, and staffing and training.”

Keep reading this article at: https://federalnewsnetwork.com/on-dod/2020/06/pentagon-ig-offers-advice-for-effective-contracting-during-pandemic/

The Contracting Education Academy at Georgia Tech has established a webpage where all contract-related developments related to the coronavirus (COVID-19) are summarized.  Find the page at: https://contractingacademy.gatech.edu/coronavirus-information-for-contracting-officers-and-contractors/

Filed Under: Government Contracting News Tagged With: acquisition workforce, CARES Act, coronavirus, COVID-19, disaster recovery, disaster relief, DoD, emergency contracting, HASC, OMB, pandemic, payments, Pentagon

June 17, 2020 By cs

Pentagon says it needs billions to repay contractors for employee leave

The Coronavirus Aid, Relief, and Economic Security (CARES) Act gave the Defense Department the authority to reimburse federal contractors who faced sudden expenses because of COVID-19.

But the bill didn’t include any new funding to make those payments, and DoD officials are telling Congress they need billions of additional dollars to make contractors whole.

One section of the law — Section 3610 — lets agencies repay contractors who put their employees on paid leave rather than furloughing or laying them off. The idea was to keep as much of the industrial base workforce as possible in a ready state.

But those reimbursements are “subject to the availability of appropriations,” which aren’t expected to come through until Congress passes the next round of coronavirus relief. DoD officials have submitted a rough cost estimate to the Office of Management and Budget (OMB).

But in testimony before the House Armed Services Committee (HASC), Ellen Lord, the undersecretary of Defense for acquisition and sustainment, declined to provide an exact figure, saying only that it’s likely to be in the double-digit billion dollar range. In any event, the bill is expected to be so large that DoD can’t pay it out of its existing budget without affecting other programs, she said.

Keep reading this article at: https://federalnewsnetwork.com/defense-main/2020/06/pentagon-says-it-needs-billions-to-repay-contractors-for-employee-leave/

The Contracting Education Academy at Georgia Tech has established a webpage where all contract-related developments related to the coronavirus (COVID-19) are summarized.  Find the page at: https://contractingacademy.gatech.edu/coronavirus-information-for-contracting-officers-and-contractors/

Filed Under: Government Contracting News Tagged With: CARES Act, coronavirus, COVID-19, DoD, HASC, OMB, pandemic, payments, Pentagon

August 9, 2017 By AMK

Panel urges acquisition system reform

The 2016 National Defense Authorization Act (NDAA) established the Section 809 Panel to address fundamental problems with how the Defense Department acquires goods and services to support its warfighters.
Starting in 2008, whenever new legislation or regulation debuted that affected government contracting, it was written on a band-aid and stuck to a golf ball.  It’s 10 times bigger now.

It recently released an interim report and supplement advocating in broad strokes for a host of improvements to the acquisition system to better streamline the process and increase industry offerings to the government.

In meeting with over 200 government and industry representatives, the interim report found that the acquisition system creates obstacles that make it unattractive for small and large businesses alike to offer their goods and services to the government. It explained that “the United States’ ability to maintain technological, military and economic superiority is being challenged,” as our adversaries are recognizing vulnerabilities in our forces and the ability to respond through modernization.

Thus, the Pentagon’s acquisition procedures must be improved to achieve “a degree of agility that DoD is not currently able to deliver,” it said.

To achieve this agility, the interim report recommended several improvements.

Keep reading this article at: http://www.nationaldefensemagazine.org/articles/2017/7/25/panel-urges-acquisition-system-reform

Filed Under: Government Contracting News Tagged With: acquisition reform, Clinger-Cohen Act, Congress, DFARS, DoD, ethics, FAR, Federal Acquisition Regulation, Federal Acquisition Streamlining Act, federal regulations, HASC, industrial base, industry, industry feedback, NDAA, Pentagon, procurement reform, Section 809 Panel, streamlined acquisition process, supplier relations

August 2, 2017 By AMK

Annual Defense bill aims to rein in Pentagon outsourcing

Lawmakers are looking to reinstate a cap on the Defense Department’s service contract spending next year, amid concerns the Pentagon has unduly outsourced federal work.

The measure was attached to the annual defense authorization bill approved by the House Armed Services Committee, and would prevent Defense from spending more on service contracts than it did in fiscal 2010. Such a cap was in place from fiscal years 2012 through 2015 but lawmakers removed it the last two years.

Rep. Colleen Hanabusa, D-Hawaii, who introduced the amendment, said the measure would save the Pentagon money.

“Restoration of that cap was necessary to deter the transfer of federal work to more costly service contractors” and to “strike a fair balance,” Hanabusa said.

Keep reading this article at: http://www.govexec.com/contracting/2017/07/annual-defense-bill-aims-rein-pentagon-outsourcing/139681

Filed Under: Government Contracting News Tagged With: budget, DoD, HASC, NDAA, outsourcing, spending

August 1, 2017 By AMK

Pentagon fixing problems that let fake federal agency get $1.2 million in military hardware

Officials from the Defense Logistics Agency (DLA) told Congress that they have taken several steps to shore up the integrity of a program that distributes surplus military equipment to law enforcement agencies after the Government Accountability Office demonstrated that it was highly susceptible to fraud.

But the assurances were insufficient for at least two senior members of Congress, who say the Defense Department needs to suspend its transfers of “controlled” military equipment until DLA has completely solved the internal control problems GAO identified in a recently-disclosed sting operation.

At issue is one of the two surplus property programs operated by DLA’s Law Enforcement Support Office (LESO). Although the division that deals with state and local law enforcement agencies appears to have more robust safeguards to keep equipment from falling into the wrong hands, GAO showed that it was able to pose as a federal agency that does not exist to get hold of $1.2 million in military gear that’s not available to the general public.

In an audit released last week, the office said its investigators, posing as employees of the fake federal agency, sought and gained approval to participate in the program by corresponding with DLA solely via email. Later, the undercover GAO employees were able to pick up more than 100 pieces of controlled property from DLA warehouses — and in two of the three cases, did so without being asked to show any form of identification.

Keep reading this article at: https://federalnewsradio.com/defense/2017/07/pentagon-fixing-problems-that-let-fake-federal-agency-get-1-2-million-in-military-hardware/

Filed Under: Government Contracting News Tagged With: Congress, DLA, GAO, HASC, internal control, law enforcement, surplus

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