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Legislation, Regulations, and Trends. Legislation, Regulations, and Trends. Alan Chvotkin , Esq. Executive Vice President and Counsel Professional Services Council Session #7, 3:10pm-3:40pm ET NCMA’s 1 st Performance-Based Service Acquisition Community of Practice - Virtual Conference
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Legislation, Regulations, and Trends
Legislation, Regulations, and Trends Alan Chvotkin, Esq. Executive Vice President and Counsel Professional Services Council Session #7, 3:10pm-3:40pm ET NCMA’s 1st Performance-Based Service Acquisition Community of Practice - Virtual Conference Wednesday, March 31, 2010 12:00pm - 4:00pm ET
Legislation and Regulation • Section 821 of P.L. 106-398 • “Peformance-based acquisition is the preferred method for acquiring services, to the maximum extent practicable • FAR 37. 102(a) restates the policy and provides exemptions and an order of preference • FAR 37.600-604 prescribes polices and procedures for acquiring services using performance-based acquisition methods
Congressional Oversight • “Performance-Based Acquisitions: Creating Solutions or Causing Problems” – hearing of the House Committee on Homeland Security, May 8, 2008 • “This approach can provide the needed flexibility to promote innovations by businesses. Or it can be a recipe for chaos.” Chairman Thompson’s opening statement • “I can tell you without fear of contradiction that a performance-based acquisition is among the hardest types of contracts for the government to write and for a contractor to successfully compete for an execute. .. But as a technique it is neither the solution nor the cause of problems … Alan Chvotkin’s testimony to the Committee • See http://homeland.house.gov/Hearings/index.asp?ID=136
Trends • President’s March 4, 2009 memo identifying “high risk” procurement techniques • OMB July 29, 2009 memo “Improving Government Acquisition” • Reduce services contracts by $40B (3.5% in FY10 and FY11 over FY08 baseline • Reduce by 10% new “high risk” awards over FY08 baseline • OMB July 29, 2010 memo “Improving Use of Contractor Performance Information” • “Essential” to make greater use of contractor past performance information • Must utilize PPIRS • Beginning Feb 2010 OMB to conduct compliance reviews and quality reviews
Trends (cont’d) • Federal Awardee Performance and Integrity Information System (FAR rule) • Award fee limitations • Prohibition on “excessive” pass-through of subcontracting and costs • Strategic Sourcing initiatives • Insourcing! • Government acquisition workforce skills and experience