May 30 2014 Copyright (c) 2014 Business Research Services Inc. 301-229-5561 All rights reserved.

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  • Suspensions & debarments up by 162%

          Federal contractor suspensions and debarments have more than doubled in the last five years, according to a new report from the Government Accountability Office.

          Suspensions and debarments increased from 1,836 in fiscal year 2009 to 4,812 in fiscal year 2013, the GAO said.

          Six federal agencies criticized by the GAO in 2011 have beefed up their compliance programs, increasing their suspensions and debarments from 19 in fiscal 2009 to 271 in fiscal 2013.

          “Agencies have taken steps to improve suspension and debarment programs,” the GAO concluded.

          However, contractors need to be aware that in the current high-pressure environment, a suspension may happen immediately without audit, according to Larry Allen, president of Allen Federal Partners.

          “If (your) firm is perceived to be failing on contract fulfillment it could be suspended with no advance warning,” he wrote in a recent blog entry (http://goo.gl/ki75iN).

    More information: GAO report: http://www.gao.gov/assets/670/663359.pdf


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