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Awardee's Reliance on Incumbent Employee Who Had Never Been Contacted Constitutes a Material Misrepresentation of Proposed Staff

Client Alert | 1 min read | 01.07.20

In T3I Sols., LLC, GAO sustained a post-award protest challenging an Air Force award for courseware and training services finding that the awardee materially misrepresented its available workforce by proposing an incumbent employee without contacting that employee in advance of proposal submission or obtaining permission to include him as part of the awardee’s proposed team. The agency relied on the awardee’s representations regarding this employee and his qualifications in finding the awardee technically acceptable. GAO rejected the argument that there was no misrepresentation because the solicitation did not require commitment letters or employee representations. GAO further explained that the awardee’s “hope or belief” that it would be able to offer incumbent employees was not sufficient to represent commitment without more. 

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Client Alert | 1 min read | 07.08.26

CAS Board Publishes Final Rule Rescinding CAS 404, 408, 409, and 4117

As part of its ongoing effort to conform the Cost Accounting Standards (“CAS”) to generally accepted accounting principles (“GAAP”), the CAS Board published a final rule rescinding CAS 408 (Accounting for costs of compensated personal absence) and CAS 411 (Accounting for acquisition costs of material).  The CAS Board also rescinded CAS 404 (Capitalization of tangible assets) and CAS 409 (Depreciation of tangible capital assets) but retained certain requirements of CAS 404 and 409, which will be located in new paragraphs of CAS 405 (Accounting for unallowable costs).  Specifically, the CAS Board retained the requirements currently located at CAS 404-50(d)(1), CAS 409-50(e)(5), CAS 409-50(j)(1), and CAS 409-50(j)(4), which the CAS Board explained are necessary to protect the Government’s interests.  Otherwise, the CAS Board determined that the requirements of CAS 404, 408, 409, and 411 overlapped with GAAP such that GAAP “may be applied reasonably as a substitute for CAS to support contract cost and pricing.”...

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