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December 20, 2019 By cs

Mixing politics and procurement creates a toxic brew

If elected officials are allowed to influence government contracting decisions it won’t end well for the public.

Imagine this: You are a mid-career government acquisition professional responsible for making an award decision on a contract worth over $400 million. As you evaluate the bids you also can’t help but see and hear the president of the United States openly advocate for one bidder. You’ve already heard, directly or through channels, that one or more U.S. senators are also pressing for this company to get the award. What are you going to do?

This is the heart of the controversy swirling around the recent award of a border wall contract to a North Dakota company for which the president and at least one senator publicly advocated. Was the award politically influenced? Is the company the best positioned to build this portion of the border wall along the southwest border? Since the company was deemed unqualified on more than one previous occasion, one has to wonder: Has the company taken significant steps forward in its capabilities to the point where it is now best suited to the requirements of the contract?

Of course we don’t know the answers to any of those questions. Neither does the president or the senator. And we may only get answers should another bidder protest the award and the questions are litigated. But that’s not actually the biggest concern this incident raises. The biggest concern is that we even have to have this discussion.

Keep reading this article at: https://www.govexec.com/management/2019/12/mixing-politics-and-procurement-creates-toxic-brew/161729/

Filed Under: Government Contracting News Tagged With: influence, influence peddling, political influence, politics, proposal evaluation

February 17, 2014 By AMK

A fair and reasonable approach to contract reform

For all its significance, you would expect to hear it mentioned more often. However, the term “fair and reasonable” is sprinkled throughout the Federal Acquisition Regulation and dramatically affects government outcomes. Its interpretation ultimately affect how billions are spent, jobs are created, stock prices are valued, products or services are delivered, disputes are settled, and other laws and regulations work together to meet government mission.

Government contracting can create various forms of dispute, litigation, and protests, but this occurs after the contracting officer makes a determination as to whether, for example, supplies and services are coming from responsible sources at fair and reasonable prices. Source selection officials, attorneys, auditors, program managers, agency senior executives, and others all play important roles, but the beauty of the process is in shielding contract decision-makers from external influence, either irrelevant or political. A “fair and reasonable” determination is not made in a vacuum and involves far more than arriving at the cheapest price. Instead it should be in writing and includes other “factors” that together comprise a proper assessment of the propriety of a contract award. Despite much guidance, nothing obviates the need for an independent, fair and reasonable determination based on the totality of information and expertise available.

Keep reading this article at: http://www.federaltimes.com/article/20140210/BLG06/302100006/A-fair-reasonable-approach-contract-reform 

Filed Under: Government Contracting News Tagged With: acquisition reform, acquisition strategy, fair and reasonable, fair and reasonable price, FAR, Federal Acquisition Regulation, lowest price, political influence, price reasonableness, procurement reform

August 9, 2013 By AMK

The drone that wouldn’t die: How a Defense contractor bested the Pentagon

With large budget cuts looming in the next decade, top Air Force officials knew last year they needed to halt spending on some large and expensive programs. So they looked for a candidate that was underperforming, had busted its budget, and wasn’t vital to immediate combat needs.

They soon settled on the production line for a $223 million aircraft with the wingspan of a tanker but no pilot in the cockpit, built to fly for a little over a day over vast terrain while sending imagery and other data back to military commanders on the ground. Given the ambitious name “Global Hawk,” the aircraft had cost far more than expected, and was plagued by recurrent operating flaws and maintenance troubles.

“The Block 30 [version of Global Hawk] is not operationally effective,” the Pentagon’s top testing official had declared in a blunt May 2011 report about the drones being assembled by Northrop Grumman in Palmdale, Calif.

Canceling the purchase of new Global Hawks and putting recently-built planes in long-term storage would save $2.5 billion over five years, the service projected. And the drone’s military missions could be picked up by an Air Force stalwart, the U-2 spy plane, which had room for more sensors and could fly higher.

But what happened next was an object lesson in the power of a defense contractor to trump the Pentagon’s own attempts to set the nation’s military spending priorities amid a tough fiscal climate.

Keep reading this article at: http://www.theatlantic.com/politics/archive/2013/07/the-drone-that-wouldnt-die-how-a-defense-contractor-bested-the-pentagon/277807/ 

Filed Under: Government Contracting News Tagged With: budget cuts, campaign contributions, concurrent acquisition, DoD, lobbying, political contributions, political influence, politics, product development

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