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Organizational Conflicts of Interest in Government Contracting: Preparing for the Upcoming Proposed Rules

Recording of a 90-minute CLE video webinar with Q&A

This program is included with the Strafford CLE Pass. Click for more information.
This program is included with the Strafford All-Access Pass. Click for more information.

Conducted on Tuesday, September 17, 2024

Recorded event now available

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This CLE webinar will review the current provisions in the Federal Acquisition Regulation (FAR) that impact federal contractors, the anticipated changes to these provisions under new federal law, and measures and best practices to prepare for the updated organizational conflict of interest (OCI) regime.

Description

In federal contracting, OCIs that are not identified and mitigated can have serious consequences. If an OCI is determined to be present, it may prevent a contractor from obtaining a contract award or even result in the termination of a current contract.

The OCI provisions in federal acquisition have been in place for decades. FAR Subpart 9.5 provides the rules that govern OCIs, and case law has classified these OCIs into three categories. The rules are widely viewed as insufficient to cover many OCI scenarios.

Effective January 2023, the Preventing Organizational Conflicts of Interest in Federal Acquisition Act (the Act) mandates updates to the FAR provisions that address OCIs. The Act is intended to ensure that federal agencies can award contracts to organizations free of conflicts so that the work can be performed to protect the interest of, and maximize benefits to, the federal government.

Because of their importance, many federal contractors may already have robust controls to identify, avoid, and report OCIs. Nevertheless, all federal contractors should understand the risks and opportunities presented by the new law and upcoming new regulations. Contractors are likely to need to put in place policies and procedures focusing on the updated OCI provisions.

Listen as our panel of experts discusses current OCI rules, implications of the anticipated changes to the rules directed by the Act, and how counsel can help organizations that contract with the government prepare for the changes.

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Outline

  1. What is an OCI?
    1. Significance to federal contracting
    2. Risks of failure to recognize, mitigate, or avoid an OCI
  2. FAR OCI regulatory scheme
    1. Three types of OCIs under FAR Subpart 9.5
      1. Biased ground rules
      2. Impaired objectivity
      3. Unequal access to information
    2. Insufficiencies and problems with FAR rules
  3. Preventing Organizational Conflicts of Interest in Federal Acquisition Act
  4. Anticipated reforms to OCI regulations: upcoming proposed rules
  5. Preparing for compliance obligations under the updated FAR

Benefits

The panel will discuss these and other key issues:

  • What are the three categories of OCIs under the FAR, and what are the deficiencies associated with these categories?
  • What does the Act require with respect to updating the OCI provisions in the FAR?
  • How can counsel help organizations that contract with the federal government prepare for the anticipated changes?

Faculty

Cave, Steve
Steve Cave

Partner, Special Matters and Government Investigations
King & Spalding

Mr. Cave represents government contractors in the statutory and regulatory interpretation of and application to state...  |  Read More

Horneffer, Lauren
Lauren J. Horneffer

Associate
King & Spalding

Ms. Horneffer is an associate in King & Spalding’s Special Matters and Government Investigations and...  |  Read More

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