DIY No More: The End of Self-Certifying Woman-owned Small Businesses

The Small Business Adminstration (“SBA”) recently changed the process by which companies can obtain certification as Women-Owned Small Businesses (WOSB) or Economically Disadvantaged Small Businesses (EDWOSB). Self-certification no longer is an option. Here’s what companies need to know to obtain new certifications or to figure out if your current certification might be in jeopardy.

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Can I Please Have Some More, Sir -- Advancing Vacation Benefits Under the Service Contract Act

When new employees start work on a SCA covered contract, the employer faces a connundrum with respect to vacation bnefits. The employer can furnish the benefits immediately, and just pay benefits in excess of the SCA, resulting in payments above the minimum prevailing wage and impairing its right to a price adjustment the next option year. Or it can pay no vacation benefits, or just give leave without pay, and demoralize the new workers. But there is a third although relatively infrequently used course of action called an advanced or prepayment agreement or policy whereby the worker elects to receive the vacation benefit immediately on hiring, but the employer reserves the ability to get a credit for furnishing the benefit on the next anniversay date of employment.

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Left at the Altar: What to do if Key Personnel Proposed for a Service Contract Break their Commitments?

Many service contracts require that certain jobs, i.e., “key positions,” be held by highly qualified personnel dedicated to the project. So, what happens if that rock star project manager you spent months recruiting for a “key position” bails out on you in the middle of the competition to win the very contract the rock star was proposed to manage?

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In a Qui Tam Case Where It Is the Real Party in Interest, the Government Can Be Responsible for the Contractor's Legal Fees Under the Spearin Doctrine

The Government has several avenues to pursue damages when a contractor commits fraud, including bringing its own False Claims Act suit or joining a proxy qui tam lawsuit. But what happens when the Government’s mistake leads to a contractor’s damages? In a recent case, a contractor invoked the so-called Spearin doctrine to recover legal fees from an erroneous qui tam lawsuit.

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Avoiding Exemption Classification Mishaps When Confronting Covid-19 Financial Pressures and Salary Reductions

Employers facing the pressure of Covid-19 or different business slowdown, and considering a reduction of exempt employee pay and hours of work, may be relieved to know that a bona fide reduction of hours due to financial exigencies will not prevent an employee from still qualifying as exempt. if still paid over the miminum salary threshold.

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COFC Rejects Sole Source Procurement to Replace Out-of-Favor Incumbent

The Court of Federal Claims sustained the protest of a contractor that argued that the Government could not hire a replacement contractor through the use of an improperly justified sole source acquisition. The Court set aside the new award—a result that likely will require the Government to continue working with a contractor with which it allegedly was dissatisfied. Should an agency have the ability to make a change using a sole source procurement? In the commercial world, feathers might get ruffled, but a jilted vendor wouldn’t be able to get a court to throw out a replacement. In our world, it’s all different.

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Drill, Baby, Drill – Overlapping Coverage of Drilling Work under the Service Contract Act and Davis-Bacon Act

Drilling work presents a a perrenial issue of which prevailing wage law is in play. One of the most challenging parts of wage and hour law revolves around the overlap of Service Contract Act (“SCA”) and Davis-Bacon Act (“DBA”) coverage. It is entirely possible for an employee doing the same physical drilling activity to be covered by a different wage law on the next contract.

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A Department of Labor No Brainer – Removing Arbitrary Restrictions Concerning the “retail concept.”

Effective immediately on May 19, 2020, the Department of Labor (“DOL”) published a new final rule repealing some of their old interpretive guidance to clarify which businesses may or may not have a “retail concept.” under the outside sales exemption of the Fair Labor Standards Act (“FLSA”). After criticism from the community and some courts, the DOL has since seen fit to remove the opaque non-exhaustive lists of eligible and ineligible work from their regulations.

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COVID-19 Compliance: Hurry Up and Slow Down

The blizzard of COVID-19 related contracting activity poses considerable compliance risks. But, federal contractors shouldn’t be discouraged to be a part of our shared national mission to cope with this pandemic—just hurry up and wait long enough to consider how you’re responding under the circumstances. By doing so, hopefully you can avoid the painful question “what were they thinking?”

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