Summary of Federal Laws
Government Contracts
Federal Acquisition Regulation (FAR)
48 C.F.R. Parts 1-99
Relevant cites to the FAR have been identified throughout this Summary of Federal Laws. Technically the FAR as a whole does not apply to non-profits. Instead, non-profits follow the rules in OMB Circulars a-110, a-133, and A-21.
However, indivdual clauses in the the FAR will be applicable to non-profits.
ARRA Interim Final Rules, 74 Fed. Reg. 14492-14652, March 31, 2009. See Defense Department for the complete text of Interim Final Rules implementing the ARRA provisions to the FAR. The interim final rules address Whistleblower Protections; Buy American Requirements for Construction Material; Quarterly Reporting Requirements; and Agency Inspector General and Comptroller General Access to Contractor Records and Personnel. The rules are effective March 31.
ARAA and Federal Acquisition Regulation Reporting Requirements, 74 Fed. Reg. 48971, Sept. 25, 2009
This notice affects Federal contractors who have contracts funded, in whole or in part, by the American Recovery and Reinvestment Act of 2009 (‘‘Recovery Act’’), and include the FAR clause 52.204–11. Quarterly reports must be filed on the use of awarded federal funds. This notice is being provided to offer assistance to Federal contractors in understanding the FederalReporting.gov centralized reporting requirements. Note the deadline for the first set of reports due has been extended until October 20 (and October 21 by some announcements). A one time registration is required bedore the school can submit reports.
Contractor Business and Ethics Compliance Program and Disclosure Requirements72 Fed. Reg. 67064 Nov. 12, 2008. Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA). Effective Date: December 12, 2008.
The final rule requires federal government contractors to establish and maintain internal controls and compliance programs to detect and prevent improper conduct in connection with the award or performance of government contracts; and to timely disclose to the applicable agency Office of Inspector General whenever in connection with the award, performance or close-out of a government contract or subcontract the contractor has credible evidence of a violation of federal criminal law involving fraud, conflict of interest, bribery or gratuity found in Title 18 of the U.S. Code, or a violation of the civil False Claims Act.
Final Rule, Federal Acquisition Regulation; FAR Case 2006-007, Proposed Contractor Code of Ethics and Business Conduct, 72 Fed. Reg. 65873 (Nov. 23, 2007)
This final rule, effective December 24, 2007, affects government contractors with contracts of $5M and a performance period of 120 days or more. These contractors will need to implement an employee training and compliance program if one is not already in place. The program must be combined with an internal control system to facilitate discovery of improper contract. Contractors must also display Inspector General OIG Fraud Hotline Posters. The requirement for a formal training program and internal control system is not applicable to small businesses. All subcontractors meeting the threshold must also comply. This rule does not apply to contracts for commercial items or contracts performed outside the U.S. A Contractor Code of Business Ethics and Conduct clause (codified at 48 CFR 52.203-13 will have to be included in covered government contracts. The Council on Government Relations had urged deferral of this new requirement for R and D contracts to universities and non-profits pending completion of the National Science and Technology Council's initiative to develop government wide voluntary compliance guidance for schools that received federal funding.
See the article by Buchanan Ingersoll and Rooney PC (December 2007) titled New FAR Rule Requires Contractors, Both Large and Small, to Establish Code of Business Ethics for more information and a link to a related proposed rule at 72 Fed. Reg. 64019, Nov. 14, 2007.
Resources
Power Point on the FAR titled Federal Acquistion Regulations: FAR and Away by Norman Herbert, Brown University and Michael Corcoran, MIT
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links updated 3/12/09 rab
compliance partners added 3/16/09
updated 4/22/09 updated with ARRA interim rules
compliance box links updated 6/3/09 rab
updated 10-20-09 to add ARRA update on reporting requirements
Last Revised 20-Oct-09 11:11 AM.