Monthly Archives: September 2017

SCHEDULE COMPLIANCE NETWORK

SCHEDULE COMPLIANCE NETWORK

No one cares about GSA Schedule contract compliance until we get headlines like these:

  • CA Technologies To Pay $45M To End False Claims Act Suit”
  • “Grainger to Pay $70 Million to Resolve False Claims Act Allegations”
  • VMWare, Carahsoft to pay $75.5M to settle False Claims Act Allegations

The United States Federal Government Takes Multiple Award Schedule Contract Compliance Seriously

So should you.  Each year, the GSA and VA Office of the Inspector General and the Department of Justice recover hundreds of millions of dollars from companies that, while they may not set out to defraud the government, don’t pay full attention to the terms of their Schedule contract.

Need examples?  Just three companies, Oracle, VMWare, and CA Technologies, alone, have collectively paid over $350 million for failure to comply with the terms and conditions of their GSA Multiple Award Schedule contracts.   They’ve paid millions more in legal fees and lost productivity.  Careers have been disrupted or ended.  Shareholder lawsuits have been filed.  All because these companies didn’t fully understand what complying with their Multiple Award Schedule contract meant.

It’s not just large companies, either.  Hundreds of GSA Multiple Award Schedule contract holders of all sizes have been audited and required to repay the government for a wide variety of contract compliance issues.

What’s the Solution?

The Schedule Compliance Network (SCN).  SCN is comprised of professionals with years of GSA Multiple Award Schedule experience.  Our team has been recognized by federal courts as experts in False Claims Act proceedings and have worked with thousands of companies to obtain Schedule contracts, manage and grow business through those contracts, and ensure excellent contract compliance.  We’ve completed numerous contractor compliance reviews, assisted in creating Schedule contract compliance programs, trained thousands of contractor employees, and worked as expert witnesses to defend companies facing Schedules-based Civil False Claims Act actions.

SCN works with your team to develop or update Schedule contract compliance programs, procedures, and policies as part of our “Complete Schedule Physical” program.  We train your team on what each unique person needs to know in order to maximize your compliance potential.  We’re with you every step of the way in our “Schedules 911” program if your company undergoes a post-award audit or False Claims Act case.

Our motto is “It’s not how much you make when selling to the government, its how much you keep”.  SCN helps you put the right plan in place to make sure your company keeps what it makes on government business.

What We Do

SCN Offers Three Levels Of Assistance to GSA Schedule Contract Holders:                                             

Basic Training:

An SCN professional will conduct a one-day training session for you and your team on the basics of Schedule contract compliance, including the Price Reductions Clause, Trade Agreements Act compliance, and other “High Risk” areas.

Complete Schedule Physical:

An SCN professional or team will conduct a 3-4 month review of your Schedule contract, its terms and conditions, a review of your existing compliance programs, sample purchase orders and more.  We will issue a final report noting strengths and weaknesses and include recommendations for follow up action.                                  

Schedules 911:

Auditor knocking at your door?  False Claims Act case filed against your firm?  SCN will work with your team and counsel to assess the situation, review relevant contract files, communicate with internal stakeholders, and make recommendations for immediate and future action.  We will assist in any necessary defense, including expert witness work, if required.

How Do I Learn More?

To find out more about the importance of having a solid GSA Multiple Award Schedule compliance program and what SCN can do for your company, contact us today at info@allenfederal.com  or 703-999-6046.

 

SECTION 809 PANEL REMAINS SKEPTICAL OVER GWAC’S:

Comments made recently by at least some members of the Section 809 DOD acquisition reform panel reflect skepticism that Government Wide Acquisition Contracts (GWAC’s) are in the best interest of DOD.  The comments, which were not specific to any specific GWAC program, are a further indication that the panel may recommend that DOD stop using any GWAC awarded by another agency.  Concern continues to turn on two key points:  1.  That it can take multiple years to establish a GWAC, tying up resources and potentially delaying acquisitions and 2. That pricing may not always be competitive.  Make no mistake, despite the fact that DOD could not possibly meet its missions without using GWAC’s, contractors need to engage the 809 panel on the benefits of these contracts and be prepared to defend their use should the panel’s final report make such a recommendation.  There may be more time to work with the panel as well.  Multiple sources have said that they expect the deadline for the panel’s report will be pushed back to 2019.  This gives industry, and people inside DOD who understand the value of GWAC’s, time to try and restore some common sense to the dialog.

HARVEY MEANS NO IMMEDIATE SHUTDOWN, CR INTO DECEMBER OR LONGER:

It took a disaster of historical proportions, but the political reality of Hurricane Harvey and its aftermath means that there is zero chance of a government shutdown in October.  Few political leaders want to be seen as playing politics with images of people being plucked from their roofs still fresh in everyone’s minds.  Instead, expect to see a Continuing Resolution and perhaps a temporary borrowing increase passed when Congress returns next week. This will start off the new fiscal year on a usual note, not great, but certainly not as bad as a shutdown.  The political fights aren’t going entirely away, though.  Look for a shutdown fight over Congressional unwillingness to fund a border wall and/or increase the debt ceiling more permanently, in December.   As we have previously written, a true shutdown seems unlikely right now at any point.  Congress does not want one heading into the mid-term elections and may have the votes to overcome any veto.  Regardless, though, significant talk of a shutdown has already become a distraction for both government and industry.  This will likely intensify as we move further into the fall.  As such, business may be a bit slower, even though the government remains open.

MURPHY NOMINATED FOR GSA ADMINISTRATOR POST:

President Trump nominated Emily Murphy to be the next administrator of the General Services Administration Friday evening.  The move had been much-anticipated, but had likely been delayed over controversy with the Trump hotel in Washington, D.C. and the collapse of a deal to create a new headquarters for the FBI.  Murphy is no stranger to GSA, or to GSA Schedule contract holders.  She has served at the agency in an advisory capacity since late January and previously served as GSA’s first Chief Acquisition Officer in the early 2000’s.  She went on to work with several tech start-ups and then served as Senior Counsel on the House Small Business Committee for many years.  She frequently championed small business Schedule contract holders from that post.  Murphy will bring a strong common sense mentality to GSA and will likely work closely with Federal Acquisition Service Commissioner Alan Thomas, who she worked with at the agency previously.  She must now be confirmed by the Senate, a process that could take some time as Senators may use the nomination as an opportunity to express displeasure with the GSA-related issues noted above.  Still, it is good for the agency to have a nominee and the agency should be well-served by an administrator who already knows much about it.

ANNOUNCING THE SCHEDULES COMPLIANCE NETWORK

When was the last time your company checked under its contract management hood?  Just like oil changes, consistent preventive maintenance is essential to ensure the smooth running of your contract.  Allen Federal announces the establishment of the Schedules Compliance Network, a group of professionals dedicated to ensuring that your company’s compliance health remains strong.  Whether it’s training, a “physical”, or a “911 call”, the Schedules Compliance Network is here to help.  See more about this unique set of services here: