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Contractors warned to expect election-year procurement reforms
An industry association is expressing apprehension about contracting reform legislation that Congress likely will consider this election year. Some industry representatives fear that increasing scrutiny of contractors may lead to knee-jerk legislation before Election Day.
"There most likely will be procurement legislation in 2008 ... and most likely it will be procurement legislation you don't like," Larry Allen, president of the Coalition for Government Procurement, a Washington-based contractor association, warned industry executives at a small-business forum Monday.
CGP lobbies for products and services to be sold to the government as they are in the commercial market, and Allen said the legislative tide is turning toward more regulation and oversight. He said there is a particular risk for contractors when legislators who are unfamiliar with the issue take on high-profile reform.
"There are some people who want to make government contractors somewhat akin to the tobacco companies in this election year and strike a blow for what they think is truth, justice and the American way, without really understanding how the business of government gets done," Allen said.
When contracting legislation comes from those who are well-versed with the ins and outs of procurement, industry representatives say they are better able to track the proposed rules and advocate for the industry's position on the Hill.
"It is exponentially more difficult to impact and shape procurement legislation that comes from somebody outside that group who has a political agenda, doesn't know and isn't interested in learning about the business of government, and the impact this legislation could have on that," Allen said. "That's the area that we're most concerned about for 2008, and that latter group unfortunately includes House Oversight and Government Reform Chairman Henry Waxman."
The California Democrat has been leading the fight for increased oversight of contractors and introduced an expansive acquisition reform bill, the Accountability in Contracting Act (H.R. 1362), which overwhelmingly passed the House in March 2007. That legislation, in some form, likely will be in conference with a bill (S. 680) introduced by Sen. Susan Collins, R-Maine, which passed the Senate in November.
CGP and other industry associations have come out against several provisions and are keeping a close eye on the legislation. While contractors are lauding the Collins bill's focus on beefing up the acquisition workforce, industry representatives don't like some provisions, including one that would allow protests on task orders of more than $5 million and another that would require the government to negotiate discounts with retailers when using purchase cards.
COMMENTS
- The ANC is a contracting behemoth that devours and invalidates the concept of set-asides for small business' & makes a mockery of that process. They owe that behemoth status to the supreme champion of earmarks, Ted Stevens. Unless and until Fed procurement policy is taken out of the hands of political appointees from the military industrial complex who govern for a few years & then return whence they came, nothing of lasting value will be accomplished. PCO Tinker AFB Posted January 17, 2008 12:02 PM
- The CGP has a vested interest in diminished oversight. It is operated by a company that is owned by an Alaskan Native Corporation. These corporations are eligible for certain small business contracts, no matter what size they are - many of these corporations subcontract out almost all of their work. Congress has raised serious concerns about these corporations in the past, but active investigation and legislation been shunted off by various log rolling deals. No doubt the CGP hopes no questions about ANCs will be raised this session. Anonymous Posted January 9, 2008 12:02 PM
- Between small business set-asides, preferences and "goals", and the G&A required for any genuine effort to comply with the more or less regular tidal surges of regulatory "oversight", I'd dearly love to know how any but the very largest and very smallest of businesses manage to capture, perform compliantly and profit from government business. Contract Geek Posted January 8, 2008 4:33 PM









