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On September 30, the Office of the Undersecretary of Defense for Acquisition and Sustainment issued a memorandum titled “Delegation of Defective Pricing Authority to the Defense Contract Management Agency,” describing DCMA’s new, enhanced role in TINA audits and subsequent disputes. The memo states that DCMA has created a “Defective Pricing Pilot Team,” which

On August 18, 2020, the Acting Principal Director for Defense Pricing and Contracting (DPC) issued updated guidance regarding contractor and subcontractor reimbursement of paid leave costs under the CARES Act § 3610, including two key Class Deviations, both effective immediately. First, it issued Revision 1 to Class Deviation 2020-O0013, which revises and supersedes

On August 10, 2020, the U.S. Court of Appeals for the Federal Circuit rejected the government’s jurisdictional and waiver defenses in The Boeing Co. v. United States, and remanded the case to the U.S. Court of Federal Claims (COFC) for examination of Boeing’s substantive claim that FAR 30.606 illegally barred the Contracting Officer from

Partner Nicole Owren-Wiest discusses Independent Public Accountants on an episode of Baker Tilly’s Fed Talks podcast. The episode covers questions about how IPAs are utilized in the government contractor space, how contractors have reacted to the use of IPAs, and how IPAs are expected to be utilized going forward. Access the podcast below.

Yesterday evening, May 18, Defense Pricing and Contracting issued draft instructions and requirements for contractors submitting Section 3610 reimbursement requests. Comments from industry are welcome by emailing osd.dfars@mail.mil before 5pm ET on Friday, May 22, 2020.

The draft instruction requires significant information from contractors. The required information falls into these general categories: detail about requested

Agencies continue to release and refine Section 3610 billing guidelines. There continue to be substantive differences between agencies, creating compliance challenges for contractors. Crowell & Moring continues to track the latest Section 3610 billing guidance. Click here to view the updated table, current as of May 1, 2020.

On April 8, 2020, the Office of the Under Secretary of Defense, Acting Principal Director, Defense Pricing and Contracting (DPC) issued Class Deviation 2020-O0013, effective immediately, establishing a new DFARS cost principle entitled DFARS 231.205-79, “CARES Act Section 3610 – Implementation,” which sets forth rules regarding applicability, allowability, and avoiding duplicate payments under Section

On February 7, 2020, the ASBCA sustained the appeal of Command Languages, Inc. d/b/a CLI Solutions (CLI) against the Army over increased costs to translate technical manuals. CLI contracted with the Army to translate advanced level armored vehicle maintenance manuals for use by the Afghanistan Army. The advanced level manuals included tasks from basic level

   Labor Update

In Alutiiq Commercial Enterprise, LLC (Jan. 9, 2020), the Armed Services Board of Contract Appeals held that a contractor is entitled to an equitable adjustment under the Service Contract Act Price Adjustment Clause, FAR 52.222-43, for increased labor costs associated with a new Collective Bargaining Agreement executed after an