House Passes Three Contracting Reform Measures
On Wednesday the House of Representatives approved by voice vote three measures designed to increase transparency in contracting and avoid waste, fraud and abuse.
The Government Contractor Accountability Act (HR 3928), sponsored by Rep. Chris Murphy (D-Conn.) would require firms to disclose the names and salaries of their top five most highly compensated officers if the firm earns more than 80% of their annual revenue from federal contracts, grants, loans, cooperative agreements or other sources, and if they held contracts worth more than $25 million in any fiscal year.
The House also passed HR 3033, Contractors and Federal Spending Accountability Act, by Rep. Carolyn Maloney (D-N.Y.), that would create a government-wide database on contractor performance and misconduct. The measure originally included harsh language that would increase the threshold for debarment, but was removed after AGC and industry partners worked to remove the provision.
The third measure approved was the Close the Contractor Fraud Loophole Act (H.R. 5712), by Rep. Peter Welch (D-Vt.). The legislation removes the ethics and compliance requirements loophole for companies working on overseas contracts. The rule would require contractors to self-report criminal violations of contracting rules, such as fraud, as well as overpayments by the government.
The measures will now go to the Senate for consideration where it is possible some of these bills will be introduced as amendments to the 2009 Defense Authorization Act.
For more information contact Marco Giamberardino at email@example.com or (703) 837-5325.
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