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Legislation signed to deliver more government contracts to small businesses

January 7, 2013 By ei2admin

Washington’s elected officials are taking new steps to direct more government work to small businesses, just as contractors are bracing for the threat of sequestration.

President Obama on Tuesday signed as part of the military spending budget a series of provisions to help small firms compete for more federal contracts and ensure that agencies take their annual small business contracting goals more seriously. Most notably, the law requires that small business contracting performance be part of employee reviews for senior agency officials, which factor into their consideration for bonuses and promotions.

The change comes after the federal government missed its stated small business contracting goal (23 percent of total procurement across all agencies) for the eleventh straight year in 2012. Though lawmakers stopped short of imposing penalties like reducing budgets or senior level compensation for agencies that fall short of the annual goals, as had been previously proposed in both chambers, this is the first time they have provided formal incentives to encourage agencies to deliver on their annual pledge to small businesses.

Keep reading this article at: http://www.washingtonpost.com/business/on-small-business/obama-signs-law-intended-to-deliver-more-government-contracts-to-small-businesses/2013/01/04/eb452e10-55f7-11e2-bf3e-76c0a789346f_print.html.

Filed Under: Contracting News Tagged With: budget, budget cuts, DoD, fiscal cliff, GSA, sequestration, small business, small business goals, subcontracting goals, teaming

Fiscal cliff leaves contractors guessing

December 31, 2012 By ei2admin

With the deadline bearing down, Congress and the White House have floated desperate plans to reach an agreement to avoid the fiscal cliff and prevent sequestration cuts from gouging the Defense Department and other federal agencies. Each day that passes means the prospect becomes more and more likely the nation goes over the cliff on Jan. 2.

The Defense Department stands to absorb a 10 percent across-the-board cut to planned defense spending over the next decade that amounts to roughly $500 billion. Every branch of the military will suffer. The individuals who might suffer the most are the contractors either working directly for the Defense Department or the ones working within the defense industry.

Industry execs like Bob Stevens, Lockheed Martin’s CEO, have stood up and warned Congress and the White House that the sequestration cuts mean his company, like many other defense firms, will have to lay off waves of employees. Those prognostications drew headlines in the presidential campaign when it appeared the defense contractors would receive notices warning of massive layoffs just days before the election.  The issue drifted when the White House informed the defense industry that they notices would not be needed.

Keep reading this article at: http://www.dodbuzz.com/2012/12/28/fiscal-cliffs-leaves-contractors-guessing/.

 

Filed Under: Contracting News Tagged With: budget, budget cuts, defense contractors, DoD, fiscal cliff, layoffs, sequestration

Budget writers at Pentagon move forward despite spending threat

December 28, 2012 By ei2admin

The Pentagon is pretending the threat of the “fiscal cliff” doesn’t exist when it comes to the Defense Department’s 2014 budget.

Budget planners are preparing their 2014 budget as if lawmakers will avoid the spending cuts known as sequestration that are scheduled to hit the Pentagon in January.

“We are still hopeful that Congress will pass a balanced deficit reduction plan that the president can sign, and sequestration is averted,” Pentagon spokeswoman Lt. Col. Elizabeth Robbins said.

Keep reading this article at: http://thehill.com/blogs/defcon-hill/budget-appropriations/274707-pentagon-budget-moves-forward-despite-fiscal-cliff

Filed Under: Contracting News Tagged With: budget, budget cuts, DoD, fiscal cliff, sequestration, spending

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