ReliAscent would like to invite all Small Business, Colorado Defense Contractors to attend an event hosted by the NDIA and Colorado PTAC, in Colorado Springs, tomorrow. We encourage you to bring questions as this is the best time to ask for insights and tips on the complicated matters of business systems and federal contracting compliance.Read More
DCAA Compliance Blog
Your Source for DCAA & FAR Compliance News and Discussion
ReliAscent® LLC is the only government contract accounting firm that specializes in all aspects of government contracting compliance. From our DCAA compliant accounting services, to monthly government contract accounting for all government agency awards, contract management & administration, and financial services & planning, our goal is to ensure the success of our clients, and all small business government contractors and grantees.
In our DCAA Blog, we discuss the latest government contracting news from the Federal Government, the DCAA, and DCMA, as well as promotions offered by ReliAscent, and helpful tools and resources for contractors.
We hope you will visit and take part in the discussions on our blog on a regular basis. If you ever have any questions or would like to discuss how our experts can help, do not hesitate to contact us at any time!
Many small businesses come to us with the question of “what do I need to do to have an accounting system that is DCAA compliant”? That is a good question, and somewhat complicated for a small business. See Figure 1 for a quick summary of what is required. In today’s rapid paced electronic world, many people are looking for a panacea software that answers all their needs. Just purchase this software and that is all you need to do. Life should be this simple, right? Well, not exactly. Just like the old computer programming adage, “garbage in, garbage out”, the software is only as good as the knowledge of the operator and the integrity and structure of the information going into the software.Read More
Without getting too political, I thought it might be timely to review a FAR clause that appears in many Federal Contracts but probably doesn't get enough attention. Section 3 of the Federal Acquisition Regulations (FAR), Subpart 10, calls for contractors to "conduct themselves with the highest degree of integrity and honesty". It also requires a written code of business ethics and conduct be created within the company. Wouldn't it be nice if politicians were required to abide with FAR 3.10? This clause is usually brought into the contract when the Contracting Officer inserts FAR 52.203-13 into the terms and conditions of the contract. This usually only applies when the contract is more than $5.5 Million and has a period of performance of longer than 120 days. FAR 3.1003 does indicate that the policy of FAR 3.1002 should apply to all Government contractors where the written code may not apply unless the above specified contract thresholds are exceeded. I also think it is still a good idea to impose this clause upon yourself as a business just as good business practice. FAR 3.1003 goes on to say that if a contractor knows of a violation of Federal criminal law involving fraud, conflict of interest, bribery or gratuity violations (found in Title 18 of the United States Code or a violation of the civil False Claims Act) that the contractor may be suspended and/or debarred. This includes failure to report these violations in a timely manner. You can see that the penalties are serious and not to be taken lightly. So, why not go ahead and just establish the policy and written programs addressing these issues in the early stages of your business? it is a good business practice and can ease your transition into larger contracts. This is one of the flowdown requirements that you need to be aware to flow down to subcontractors, when applicable. Many small business owners just think that these things are common sense and take them for granted. The government agrees that they should be common sense, but the government doesn't take anything for granted. I think in today's complex business world, with too many reality shows on TV and a growing attitude that the ends justify the means, these type of programs are more and more necessary. If you have difficulty deciding where to start, please don't hesitate to reach out to us at ReliAscent.Read More
On September 7, 2016, President Barack Obama signed Executive Order 13706 which will mandate Paid Sick Leave for Federal Contractors in future procurements. Basically, the regulation will apply to all new contracts for services and construction, as well as .,ct-like instruments for services covered by the Service Contract Act, Davis-Bacon Act or the Fair Labor Standards Act. It mandates that contractors must ensure employees on those contracts can earn up to 7 days or more per year of paid sick leave. This includes leave for family care. It further specifies that these employees shall earn not less than 1 hour of paid sick leave for every 30 hours worked. These hours can accrue and be carried over from year to year if unused (up to a limit of 56 hours). The order does specify that the contractor is not obligated to pay the employee for any unused hours upon termination, however.Read More
There were a couple of events this year that will impact Government Contractors in the future relative to the False Claims Act. The False Claims Act (US Code, Title 31, Para 3729) is the regulation that imposes a liability on anyone who "knowingly presents, or causes to be presented, a false or fraudulent claim for payment or approval." The law specifies "any person" that knows so this is open for some interpretation but includes both prime and subcontractors. The liability can be stiff as it involves a financial penalty of $5,000 to $10,000 plus 3 times the damages suffered by the Government due to the false claim plus liability to cover the cost of civil actions by the government. In addition, the government will most probably debar a contractor that is found to be in violation of the False Claims Act. The two events this summer of interest were:1) The Supreme Court issued a decision in the case Read More
The following blog is an article taken from our recent ReliAscent Quarterly Newsletter (Volume 5, Issue 3), published last week.Read More
The Defense Contract Audit Agency (DCAA) has just released an updated version of the Incurred Cost Electronically Model (the standard ICE submission) for contractors preparing adequate incurred cost proposals in accordance with FAR 52.216-7.Read More