The American Recovery and Reinvestment Act of 2009 (ARRA) contains several unique requirements applicable to all contracts, grants and cooperative agreements using ARRA funds. Recently, these requirements have been implemented on an interim basis in the Federal Acquisition Regulation (FAR). http://www.arnet.gov/far/current/html/Subpart%204_15.html.
Key topics addressed in the interim regulations include Government Accountability Office/Inspector General access to records, reporting requirements and "Buy American" requirements for construction materials. Notable features of these requirements include:
- Access requirements that provide the government an express right to interview both contractor and subcontractor officers and employees.
- Reporting requirements dictating that contractors file extensive quarterly reports. Contractors receiving funds currently must file an initial report by July 10, 2009. Among other things, these reports must address employment positions added and retained, work performed and ,in certain instances, executive names and compensation.
- The "Buy American" requirement, which differs in numerous respects from the standard FAR requirement and the standard methodology for evaluation. Notably, the unique ARRA "Buy American" requirement applies only to iron, steel and manufactured materials incorporated into a public building or public work.
Commercial item contracts and commercial off-the-shelf contracts are not exempt from these requirements.
The General Services Administration has informally announced in public meetings its intention to issue a program-wide modification to its Federal Supply Schedule contractors. This modification will be offered on a "take-it-or leave-it" basis. Schedule contractors who accept the modification will be eligible to receive orders using ARRA funds. Reportedly, those who reject these terms will be ineligible for orders using ARRA funds.
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