We recently posted a series of articles on FAPIIS, the Federal Awardee Performance Integrity Information System, and some of the consequences of this system's introduction. New legislation has passed that makes use of FAPIIS. It seems the government is interested in holding contractors to their plans, and those contractors that don't may reap the consequences.
The newly-passed Small Business Jobs and Credit Act (H.R. 5297) mandates that prime contractors have to follow their subcontracting plans. An article by Washington Technology states that written explanations are required when a prime contractor doesn't follow its subcontracting plan, and that if those statements aren't to the satisfaction of the contracting officer, it may "hurt the evaluation of the prime contractor's performance on the contract".
As if a negative evaluation wasn't bad enough, this evaluation may also be made public under the FAPIIS past performance reporting system. This new law makes it even more important to know the rules when doing business with the government, a trend on the rise in recent months.
For more information on FAPIIS, check out some of our recent articles:
- Tax Penalties and FAPIIS Part 1, Part 2
- Is FAPIIS the Business Equivalent of "Pick-Your-Poison?" Part 1, Part 2
- Publicly Available FAPIIS – Consequences For Grant Recipients?
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