Join the Federal Construction Group of Cohen, Seglias as it presents, Unraveling the Mysteries of Federal Construction Contracting, at two different locations.

Dates/Locations:
March 29, 2011 – Hyatt Regency Savannah, GA
March 31, 2011 – Hyatt Regency Grand Cypress Orlando, FL

Time:
8:00a.m.-1:00p.m.

Cost:
$195.00 per person and $95 for each additional person

By: Robert E. Little, Jr.

Individual sureties are natural persons – as opposed to corporations and limited liability companies – who offer to bind themselves on bid, performance, and payment bonds. Individual sureties are acceptable from prime contractors on federal construction projects, provided the individual owns and pledges sufficient assets to cover the appropriate percentage of the value of the bid or contract. However, they are not eligible for listing on the Department of Treasury’s list of approved corporate sureties. This means that neither they nor their assets have been federally vetted.

Attendees of the Bonding Basics segment of the 5th Annual National Veterans Small Business Conference and Expo, where I was a panelist representing the Naval Facilities Engineering Command (NAVFAC), were treated to a discussion about individual sureties. Although some attendees may have left the conference with the impression that individual sureties are a simple last resort for firms that cannot obtain bonding through corporate sureties or with the assistance of the U.S. Small Business Administration’s (SBA) Surety Bond Guarantee Program, individual sureties are not so simple. There have been many occasions where contractors have lost out on federal government contracting opportunities because they did not understand the significance of establishing the acceptability and value of the asset or assets pledged by an individual surety.

During my 17 years as senior counsel at NAVFAC headquarters, I observed that the Navy’s experience with individual sureties’ pledged assets mirrored that of the Federal Highway Administration (FHA) in the 2009 case Tip Top Construction, Inc. v. U.S.  I saw pledges of everything from non-existent bank stock and untradeable securities to “corporate reinsurance debentures” printed on very nice-looking paper.Continue Reading Federal Government Bonding Basics: Individual Sureties

A seminar on “How to Win Federal Construction Contracts with Teaming Arrangements” is being held at three different locations.

Dates/Locations:
October 5, 2010 – Hyatt Regency Dallas, TX
October 7, 2010 – Los Angeles Airport Marriott, CA
October 28, 2010 – Hilton Philadelphia Airport, PA

Time:
8:00a.m.-1:00p.m.

Cost:
$195 per person and $95 for each

By: Michael H. Payne & Elise M. Carlin

As recently reported in Washington Technology, on July 29, 2010, President Obama signed the Supplemental Appropriations Act for 2010 into law. This legislation amends the Clean Contracting Act of 2008, and allows the public to access the Federal Awardee Performance and Integrity Information System (FAPIIS)

By: Michael H. Payne and Craig A. Schroeder

There has been a great deal of interest in the potential liability that a government contractor has for harm to third parties during or following the performance of a federal construction project.  Although the government frequently enjoys sovereign immunity, the transfer of the government’s immunity to a

The recent decline in non-federal construction opportunities has resulted in a rapidly growing interest in the federal contracting market. The much-publicized American Recovery and Reinvestment Act of 2009 (“ARRA”), often referred to as the “Economic Stimulus Program,” has made billions of dollars available to federal agencies to fund construction projects. Add to that the billions of dollars being spent on the Hurricane & Storm Damage Risk Reduction System in New Orleans (‘HSDRRS”), the Base Realignment & Closure program (“BRAC”), and countless other military and civil works construction programs nationally, and it is easy to see why the federal market is generating so much interest. These federal opportunities are not necessarily easy for contractors to take advantage of, however, because increased opportunities have been accompanied by increased competition.

If your company is interested in getting into federal contracting for the first time, you can be certain of one thing – you are not alone. We have received dozens of requests from existing and new clients asking us to advise them about the best ways to get involved in the federal market. The answer is not always easy, because contractors who have never performed federal work may be at a disadvantage when participating in negotiated, “best value,” procurements. Unlike sealed bidding, where the competition is based on price alone and an award is made to the lowest responsive and responsible bidder, awards under negotiated contracting procedures not only consider price, but also consider evaluation factors like technical merit, past performance, experience, quality of personnel, and small business subcontracting. In a negotiated procurement it is not uncommon for an award to be made to a higher priced offeror who is evaluated as technically superior to the lowest-priced offeror. Past performance, when the offeror has not previously been awarded a federal contract, can be a serious obstacle.

The obstacle is not insurmountable, however. If a contractor has equivalent experience in the non-federal sector, and effectively demonstrates the value and relevance of that experience in its proposal, there are many federal agencies that will recognize the capabilities of the “new” contractor. It is important to present an effective proposal and to communicate your company’s capabilities in a clear and concise way. The good news is that awards are being made to construction contractors who have not performed federal work before, and federal agencies are always looking for enhanced competition. Your task, as an interested federal contractor, is to prepare an effective proposal that responds to each and every requirement of the solicitation and that addresses each and every evaluation factor. Our affiliate, FedCon Consulting, provides former government contracting officers and construction management personnel to assist contractors in the preparation of proposals.Continue Reading Federal Construction Contracting – Does a Newcomer Have a Chance?

By:  Michael H. Payne and Craig A. Schroeder

Effective September 8, 2009, federal contractors awarded new contracts of $100,000 or more with a performance period of longer than 120 days will be required to use E-Verify, an internet-based system that allows employers to electronically verify the employment eligibility of their newly hired employees.  In addition,

In an earlier blog we discussed what the ARRA meant for Federal Construction Contractors, and noted that the reporting would be over the internet, once the government had its website up and running.

On Monday, August 17, 2009, recipients of economic stimulus funds were notified that they now can access the website www.federalreporting.gov and register.

By: Lane F. Kelman and Christopher Soper

As part of the American Recovery and Reinvestment Act of 2009 (the "Stimulus Act") the General Services Administration’s ("GSA") Public Building Service was authorized to invest 4.5 billion dollars to transform federal facilities into exemplary, high-performance green buildings. The allocated money is scheduled to be awarded in its