A Rule Change A Day: Inside Counsel's Guide to Government Contracting Under the New Administration May 20, 2009 Presented by: WMACCA Sponsored by: Womble Carlyle Sandridge & Rice, PLLC

Introduction New Administration Rapid pace of changes: Executive Orders, Presidential Memos, and Regulations Affecting compliance obligations, funding, transparency, reporting and disclosures, labor, and oversight Impact on prime contractors and subcontractors

E-Verify Federal contractors to use Department of Homeland Security E-Verify system to check immigration status of its employees Implementation delayed to June 30, 2009 Predictive issues

Mandatory Disclosure FAR Parts 3 and 9 No exceptions Flow down to subcontractors "Credible evidence" Conduct background checks? Enforcement cart before the notification horse How the new process is working Tips for Practitioners

Organizational and Personal Conflicts of Interest FAR case still open Agencies and Congress aren't waiting on final rules What is required?

In-Sourcing Included in DoD Budget Government is hiring away contractor employees How do you protect your revenue sources? Is there a right of action? Does it cause the contractor problems to convert employees on short notice?

Notices Regarding Labor Organizing 29 CFR Part 470 What information can and can't be distributed now? Revoked ruling on "Beck notices" Obama order issues a broader mandate to notify contractor employees of all their rights under the NLRA

Buy American Under the Stimulus Act FAR Subpart 25.6 What is covered? Interim Rule for Stimulus Compliance Impact on contracts Consequences

COTS Waivers of Buy American Act FAR Subparts 12.1, 12.3, 12.5 and DFARS Part Benefit Clearing up of former rules COTS products not subject to cost of components test Will these waivers make sale of COTS easier?

Successive Service Contract Hiring Requirements E.O requires first right of refusal for incumbent employees with successive service contractor Clinton Administration version applied only to recurring services relating to public buildings Sanction: Debarment Prime Contractor vs. Subcontractor Impact on pricing proposals and transition

Revolving Door Restrictions Within 2 years of leaving DoD, former DoD officials must now get ethics opinions before taking compensation from a defense contractor Sanctions for contractor violation -- termination, suspension or debarment How to document and comply? Contract Clause

Reporting Requirements for the Stimulus American Recovery and Reinvestment Act (ARRA or Stimulus Act) Prime contractors must submit detailed public reports on –Services they are providing –Jobs they are creating –Completion dates –Invoice amounts Quarterly reports No exemptions

Questions? Contacts: Jim Kearney, Womble Carlyle: Mike Love, CSC: Emily Murphy, TerreStar National Services: Holly Svetz, Womble Carlyle: