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Breakout Session #703 Alan Chvotkin, Esq. Professional Services Council April 10, 2006 2:45pm

The Real Implications for Inter-Agency Contracting. Breakout Session #703 Alan Chvotkin, Esq. Professional Services Council April 10, 2006 2:45pm. ORIGINS. Economy Act of 1932 (31 U.S.C.1535). See FAR 17.500(b).

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Breakout Session #703 Alan Chvotkin, Esq. Professional Services Council April 10, 2006 2:45pm

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  1. The Real Implications for Inter-Agency Contracting Breakout Session #703 Alan Chvotkin, Esq. Professional Services Council April 10, 2006 2:45pm NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  2. ORIGINS • Economy Act of 1932 (31 U.S.C.1535). See FAR 17.500(b). • Government Management Reform Act of 1994 (P.L 103-356; 31 U.S.C. 501)[establishes franchise funds pilots] plus other intergovernmental revolving fund authorities • Federal Acquisition Streamlining Act of 1994 (P.L. 103-355) [provides for FAR revision to include purchases from other agencies] • Clinger-Cohen Act of 1996 (P.L. 104-106; 40 U.S.C. 1412 [OMB-approved government-wide contracts]. See FAR 2.101(b). NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  3. Congressional Attention • GAO 2005 “High Risk” list • Section 803 of FY 2002 National Defense Authorization Act [requires DoD to obtain at least three bids for GSA schedules purchases and provides “fair opportunity” for all multiple-award contract holders biddings on task and delivery order contracts] • Section 802 of FY 2005 National Defense Authorization Act [requires DoD IG and GSA IG joint review of GSA client support centers] NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  4. Congressional Attention (cont.) • Section 854 of FY 2005 National Defense Authorization Act [requires DoD to report on fees paid by each DoD agency to another DoD agency for FY 05 and 06 and requires DoD review and approval procedures] • Section 854(d) of FY 2005 National Defense Authorization Act [requires DoD reports on fees paid to other federal agencies for use of multi-agency contracts for FY 05 and FY06] • Section 811 of FY 2006 National Defense Authorization Act [requires DoD IG with other IGs to review Treasury, NASA and Dept of Interior purchases on behalf of DoD] •  Section 812 of FY 2006 National Defense Authorization Act [requires DoD management structure for the procurement of contract services] NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  5. 1423 Panel Interagency Working Group Review FOUR QUESTIONS FOR REVIEW • What are they? • Why do agencies use them? • How do agencies use them? • How should agencies use them? NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  6. 1423 Panel Interagency Working Group Recommendations (2/23/06) • Identification of existing vehicles • OMB review and revise procedures for creation and continuation/reauthorization of GWACs and franchise funds • GSA review of Schedules vehicles • OMB promulgate detailed policies, procedures and requirements regarding multi-agency contracts • Agencies review multi-agency contracts against OMB-provided guidance NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  7. OMB ACTION • Established FAR 5.601 (2003) Government-wide database of contracts [performance suspended] • Supported GSA/DoD “Get It Right” program [7/04] • Created Interagency Acquisition Working Group [11/21/05] • Required thirty-day data collection on inter-agency and agency-wide contracts [2/24/06] NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  8. Policy Implications for Agencies • Effect of questionable acquisition practices • Focus on compliance with laws, regulations and policies (including fiscal law matters) • Timeliness of purchasing actions • Capabilities of agency acquisition workforce • Fees paid versus cost of indigenous capability • Impact on competition • Impact on strategic sourcing initiatives NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  9. Policy Implications for Industry • “Target-rich” environment to go to market • Changing customer buying behaviors • Cost of competing • Impact on small business • Effect of “bad revenue” • Human capital implications NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  10. Policy Implications for Government • Transparency • Capabilities • Competition • Efficiency • Workforce challenges • Oversight implications • “Bad contracting” • Others NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  11. QUESTIONS? Alan Chvotkin Senior Vice President and Counsel Professional Services Council (703) 875-8059 Chvotkin@pscouncil.org www.pscouncil.org NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

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