Construction Law

  Between a Rock and a Hard Place: New Ethics Rules for Government Contractors
A COMPLIMENTARY LEGAL SEMINAR FOR THE CONSTRUCTION INDUSTRY*

Recent revelations of contractor fraud and procurement mismanagement have catapulted federal contracting into the public spotlight. With elections looming, the government response to contracting fraud--both perceived and real--has been dramatic. Recent changes to the Federal Acquisition Regulations now require most federal contractors to implement a Contractor Code of Ethics and Business Conduct, as well as a compliance plan to detect fraud and a training program tailored to specific segments of the contractor's work force. If adopted, additional proposals will soon require mandatory self-reporting of suspected contractor violations of federal criminal law related to the award or performance of a federal contract or subcontract. All of these changes shift significant costs--and risk--to government contractors. Since these requirements must be implemented within 30 to 90 days of contract award, the time to begin implementation planning is now.