Shutdown is Long, Still Going Strong

Is there an end in sight? Will the Dems and Trump come to an agreement soon? Will you get paid? Will you receive back pay for the time the government doors are shut? These are the questions government workers, contractors, and subcontractors are asking.

Here’s what we know:

• Private companies that serve civilian agencies such as the Department of Homeland Security, the United States Agency for International Development (USAID), and the EPA have been told to stop work on specific contracts. (No word as to what happens next.) (Washington Post January 6, 2019)

• The government is offering guidance to contractors on an agency-by-agency basis and contractors are starting to receive “stop work order” notices from those agencies that no longer have funds. (Department of Defense and intelligence agencies are, for the most part, unaffected.) (ibid)

• FEMA has posted a “blanket” stop work order. This likely will not affect deep pockets of larger companies working on FEMA contracts, but will undoubtedly negatively impact smaller businesses. Government workers will get back pay, government contractors will not. (Washington Post, January 6, 2019)

As feared, the smaller the business the greater the impact.

Have questions about your contracts with the government and what you should be doing? Give us a call at 301-913-5000.

 

Bid that Bid … Still!

Government shutdown or no, contractors should still submit bids by their due date!

According to Alan Chvotkin (EVP and general counsel for the Professional Services Council), “these are among the thousand day-to-day issues that arise during an actual lapse in funding. The general guidance I provide our members is: Until told otherwise, the deadline is the deadline, even if the government offices are closed.” (Aron Boyd, Nextgov December 28, 2018)

Submitting bids electronically is relatively easy. A bigger issue arises with bids requiring physical submission: what to do? You are your own best advocate in this situation. Chvotkin suggests that it’s “best to attempt delivery and document — with photos and time stamps of the effort and confirm the attempt with an electronic message to the designated official.” (ibid)

Due diligence on the contractors part goes a long way. Keep an eye out for updates and extensions. Do not assume a bid deadline will be extended. The best rule of thumb is to make no assumption and assume the original due date is the due date!

Give us a call and we will help you work through your bid submission, at 301-913-5000.

Government Grinch

All government contractors should be aware of procedures in the event that our federal system shuts down at midnight tonight. GSA sent the following in an email earlier today:

In the event of a Government shutdown Friday night after 11:59pm, GSS acquisition will continue to process orders and will remain open during the Government Shutdown in the near term.

However, Government personnel responsible for receiving delivery or performing inspections at many agencies* may not be available during the period of the funding gap.  The Federal Government is closed Monday, December 24, and Tuesday, December 25th, regardless of whether there is a shutdown. Please review the contingency plans of government agencies posted here: https://www.whitehouse.gov/omb/information-for-agencies/agency-contingency-plans/

Since the status of agency personnel remains uncertain, we advise you to call ahead to confirm that government personnel are available to accept deliveries.  The Government will not be liable for any costs you may incur if you attempt delivery during the period of the funding gap (shutdown). If, after reviewing the affected agencies at the website above, you are still unsure of imminent delivery schedule success, please contact your customer agency for further instructions before attempting delivery during this timeframe.

*Agencies impacted in a potential shutdown include the Departments of Homeland Security, Agriculture, Interior, Treasury, State, Housing and Urban Development, Transportation, Commerce, and Justice.

Agencies where funding for FY19 has already been passed, and therefore not affected by a shutdown, include the Departments of Defense, Labor, Energy, Health and Human Services, Education, Veterans Affairs and the legislative branch.

If you’re worried about something in particular, give us a call at 301-913-5000. We will be working sporadically next week, but are always available for your emergencies.