August Events: TX, CA & OK

August will be a very exciting and busy month as I will be speaking at government contracting events in Texas, California and Oklahoma.

My first stop is the Government Procurement Conference in Arlington, Texas on August 6.  I will be giving a brief morning keynote on recent legal developments in government contracting, followed by an in-depth breakout session on the same subject.  My next stop will be sunny San Diego, California.  On August 12, I will be presenting a workshop on GAO Bid Protests at the Navy Gold Coast Conference.  I will stick around San Diego through August 14th, when I will present a session on joint venturing and teaming, sponsored by the San Diego Contracting Opportunities Center.  My final August stop will be the Indian Country Business Summit in Norman, Oklahoma on August 26 and 27.  My workshop will focus on teaming agreements.

Please let me know if you will be at any of these great events.  See you there!

Large Business’s Unmet Subcontracting Goals Result In “Marginal” Score

A large business was appropriately awarded a “Marginal” score for small business participation based on the large business’s history of failing to meet its small business subcontracting goals.

In a recent bid protest decision, the GAO held that the procuring agency properly assigned the large business a low score based on the large business’s history of unmet subcontracting goals, even though the large business apparently pledged to subcontract a significant amount of work to small businesses under the solicitation in question.

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Contracting Officer’s Death Didn’t Waive Claim Requirement

A Contracting Officer’s death did not waive the requirement that a contractor file a claim with the agency before bringing its claim to federal court.

In a recent decision, the Court of Federal Claims held that a contractor was not entitled to forego the claim requirement because of the Contracting Officer’s death–even though the agency did not appoint a replacement.

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GAO: Agency Unreasonably Failed To Consider Incumbent Employees’ Salaries

A procuring agency unreasonably assigned an awardee an “Outstanding” score for its proposal to retain a large portion of the incumbent workforce, even though the awardee intended to offer the incumbent employees significantly lower salaries than the employees were earning on the incumbent contract.

In a recent bid protest decision, the GAO held that it was unreasonable for the agency to fail to consider whether the differences in compensation would affect the awardee’s ability to recruit and retain the incumbent workforce.

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Agency Properly Considered Joint Venture Partners’ Past Performance, Says GAO

A procuring agency properly considered the past performance of a joint venture’s two partners, even though the solicitation prohibited the consideration of subcontractors’ past performance.

In a recent bid protest decision, the GAO held that where a solicitation only allowed past performance references for the “prime offeror,” the agency was permitted to consider the past performance of two joint venture partners–the entities comprising a “prime offeror.”

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GAO: Subcontracting Uncertainty Means No HUBZone Price Preference Required

An agency properly refused to apply the HUBZone price preference when the agency determined HUBZone company’s proposal was unclear as to whether the company would comply with the subcontracting limits set forth in the FAR’s HUBZone price preference clause.

In a recent bid protest decision, the GAO held that the Defense Logistics Agency reasonably refused to apply the HUBZone price preference in a procurement for supplies because the HUBZone company’s proposal suggested that HUBZone companies might perform less than 50% of the manufacturing costs.

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Small Business Subcontractors: Accelerated Payment Policy Extended

The Office of Management and Budget has extended a policy aimed at providing accelerated payments to small business subcontractors.  Without an extension, the policy would have expired last week.

According to an OMB memorandum announcing the extension, the policy will remain in effect until December 31, 2016.  In the meantime, the memo states, the FAR Council is “considering strategies that might be used over the longer term to help maintain effective cash flow and prompt payment to small business subcontractors.”