Centre Law just won a new federal contract yesterday. Our happiness was short lived due to the shutdown. Is this the definition of irony? Here are some quick answers on shutdown questions since every law firm is posting on this subject. No, you will not get paid unless the government is requiring your employees to continue working. The downside is that those employees will want to be paid on a regular basis but there will be no one in the government to approve and process your invoices. I feel your pain. If this shut down drags on, which unfortunately it appears it will, talk to your bank about obtaining a separate short term line of credit for payroll.
Why is this Fiscal Year Different?
The Department of Homeland Security (DHS) and the Department of Defense are both drilling down on what is spent and how it is spent. The contracting officers I have spoken with are all short staffed and concerned about spending all obligated funds. By that I mean, keeping their heads down and not spending all obligated funds. I am seeing fewer opportunities out there except those for IT.
I have also noticed from representing clients on bid protests and other matters that there is an increased use of IDIQs, OTA and other consolidated contracts. I have clients who have not had, what used to be routine, exercise of contract options. Unfortunately, unlike a termination for convenience, there is no practical legal recourse. It is called an “option”.
Can you please share your stories? Email me at bkinosky@centrelawgroup.com.
