Because of the uncertainty of government funding over the next few days, ÎÚÑ»´«Ã½ has compiled a Government Shutdown Resource Center that includes information on what contracts will be in jeopardy and which will be unaffected. The document also gives advice on how to proceed with federal owners if certain approvals may be needed or if there are question about how to bill costs associated with delays caused by the government shutdown.
What You Need to Know Now: Preparing for a Possible Government Shutdown
The fiscal year 2013 appropriations law currently funding government operations, including many federal contracts, will expire on October 1, 2013, the beginning of FY 2014. A failure by lawmakers to reach an agreement on funding for the new fiscal year will result in a federal government shutdown. The possibility of a shutdown has left contractors wondering how or even if they can continue to perform their federal contracts. Construction contracts awarded on a fixed-price basis will be substantially unaffected by the shutdown. However, for most cost-type contracts, time and materials contracts, IDIQ/MATOC/MACC contracts, and those contracts that have yet to be awarded, the shutdown will likely suspend operations completely. Therefore, it is important for contractors to prepare for the consequences of a government shutdown.
On Sept. 11, House Transportation & Infrastructure Chairman Bill Shuster (R-Pa.) joined with Committee Ranking member Nick Rahall (D-WV) to introduce the Water Resources Reform & Development Act of 2013 (WRRDA), H.R. 3080, which authorizes approximately $10 billion for new construction projects through the U.S. Army Corps of Engineers’ (USACE) Civil Works program (i.e., navigation, flood control, locks, dams, and environment restoration).  Take action and urge your U.S. Representative to support H.R. 3080.
Government Shutdown Possible Over Differences of Opinion about How to Defund ObamacareÂ
This week, the House Appropriations Committee introduced a continuing resolution (CR) to fund the daily activities of the federal government, from the start of the fiscal year (FY) on Oct. 1 through Dec. 15, 2013. The CR will fund the government at current post-sequestration levels of $986 billion, which is nearly $20 billion more than House-passed budget levels for FY 2014 and nearly $70 billion lower than the budget levels passed in the Senate for FY 2014. The CR is necessary because the House and Senate have failed to enact any of their 12 annual appropriations bills. The length of the bill is intended to allow congressional leaders and the president to deal with the need to raise the nation’s debt ceiling and other budget issues without the threat of a government shutdown.
The chief executive officer of the Associated General Contractors of America, Stephen E. Sandherr, issued the following statement in response to the administration’s decisions to finalize two new employment rules despite federal data indicating no need for the new measures:Â
“The administration’s decision to finalize two new oppressive employment regulations for federal contractors forces us to object to measures whose goals we support and objectives our members already meet. That is because these rules will force federal contractors to spend an estimated $6 billion a year to produce reams of new paperwork proving they are doing what the federal government already knows they are doing.
ÎÚÑ»´«Ã½ Urges Removal of Construction Services Procurement Option
On Aug. 13, ÎÚÑ»´«Ã½ sent a letter to the U.S. General Services Administration (GSA) strongly urging the federal agency to remove from its reverse auction (RA) platform the construction services options. GSA recently launched a reverse auction platform that enables any federal agency to conduct the procurement of certain construction services and materials through an online reverse auction.
Late last week, House Transportation and Infrastructure Committee Chairman Bill Shuster (R-Pa.) announced his intention to release and mark up a Water Resources Development Act (WRDA) bill in September. The chairman also expected the bill to reach the House floor in October.
FAR Council Does Not Remove Contractor PPE Appeal Process
On Aug. 1, the Federal Acquisition Regulation (FAR) Council issued a final rule that all federal agencies adopt uniform past performance ratings and factors based on the ratings and factors used in the Contractor Performance Assessment Reporting System (CPARS). However, the FAR Council did not remove the right for contractors to seek review of past performance evaluations at a level above the contracting officers, as it had initially proposed. In its comments to the proposed rule, ÎÚÑ»´«Ã½ repeatedly highlighted the need to retain this administrative appeal right, among other things.
ÎÚÑ»´«Ã½ recently sent two letters opposing the possible use of project labor agreement (PLA) mandates posted by the U.S. Naval Facilities Engineering Command for to repair facades at: (1) Rickover Hall and (2) Nimitz Library, both located at the U.S. Naval Academy in Annapolis, Md.
On July 19, Rep. Richard Hanna (R-N.Y.) introduced the ÎÚÑ»´«Ã½-supported Construction Contracting Act of 2013, H.R. 2751, which would prohibit federal agencies from procuring construction services from small businesses through reverse auctions. Rep. Sam Graves (R-Mo.) introduced the Design Build Efficiency and Jobs Act of 2013, H.R. 2750, which would limit the second-step of the design-build procurement process to no more than five finalists and limit the use of single-step design-build procurement. Both of these bills apply only to direct-federal agency acquisition and not to state or local agencies.