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ALL YOU WANTED TO KNOW ABOUT OCI/PCI/INHERENTLY GOVERNMENTAL FUNCTIONS, BUT WERE AFRAID TO ASK

ALL YOU WANTED TO KNOW ABOUT OCI/PCI/INHERENTLY GOVERNMENTAL FUNCTIONS, BUT WERE AFRAID TO ASK. PCI PROPOSED RULE “HOW AND WHY WE GOT HERE”. Richard Sylvester Vice President, Acquisition Policy Aerospace Industries Association July 20, 2010. 0. How Did We Get Here?.

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ALL YOU WANTED TO KNOW ABOUT OCI/PCI/INHERENTLY GOVERNMENTAL FUNCTIONS, BUT WERE AFRAID TO ASK

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  1. ALL YOU WANTED TO KNOW ABOUT OCI/PCI/INHERENTLY GOVERNMENTAL FUNCTIONS, BUT WERE AFRAID TO ASK PCI PROPOSED RULE “HOW AND WHY WE GOT HERE” Richard Sylvester Vice President, Acquisition Policy Aerospace Industries Association July 20, 2010 0

  2. How Did We Get Here? Pub. L. 110-417 (FY09 NDAA), Sec 841(a) “…[T]he Administrator for Federal Procurement Policy shall develop and issue a standard policy to prevent personal conflicts of interest by contractor employees performing acquisition functions closely associated with inherently governmental functions….” FAR Case 2008-025, “Preventing Personal Conflicts of Interest for Contractor Employees Performing Acquisition Functions,” proposed rule

  3. Definitional Ambiguity … • What is an “acquisition function closely associated with inherently governmental function”? • -- Inherently governmental, closely associated function, critical function • What is a personal conflict of interest? • -- Financial interests, personal activity, and relationships

  4. Misplaced responsibility … • Updating financial disclosure statements • -- Annual vs. Rolling • Preventing PCI • --Contractor vs. Contracting Agency • Violations and Remedies • --Sufficient vs. Substantial • -- Due process • -- Contractor or Individual 3

  5. Good enough for Government Work … • Contractor process should mirror the Government’s process • Training and time to implement will be significant 4

  6. A word about work reserved for government employees … • It’s all about the nature of the work. • -- Inherently governmental work should be reserved for government employees • -- Critical (to mission) work can be shared depending on cost/benefit decisions • -- Human capital planning required • Need criteria and a way to measure compliance • -- There should be a rationale why work is reserved in one Agency but not another • -- The decisions should be transparent to the public 5

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