Mandatory Suspension/Debarment Review For "Poorly Performing" Contractors

In another sign that the government is increasing its focus on suspension and debarment, a February 2010 Department of Homeland Security IG report found that DHS has been reluctant to apply existing procedures against poorly performing contractors and recommended that DHS develop policies to determine whether to refer them to the suspension and debarment official when their contracts have been terminated for default or are being considered for default. DHS management concurred with the recommendation and will now require that contracting officers provide any determination of nonresponsibility to the S/D official when the determination is based in whole or part on the contractor's (1) lack of satisfactory performance record under DHS contracts; (2) lack of satisfactory record of integrity and business ethics; or (3) inability to qualify or ineligibility under applicable laws and regulations.