Contract Claims and Disputes Resolution Committee Meeting Agenda  Wednesday July 13, 2005 DEFECTIVE PRICING ISSUES & SAIC QUI TAM CASE The next meeting of the Contract Claims & Dispute Resolution
Committee on July 13, 2005 will be a joint meeting with the
Accounting Cost & Pricing Committee at Hogan and Hartson LLP, 555 -
13th St, NW. This meeting will feature a Panel Discussion relating
to Defective Pricing Issues and United States ex rel. Woodlee v.
SAIC, No. SA-02-CA-28-WJ (W.D. Texas). In the SAIC case, the government alleged that the contractor
violated the Truth in Negotiations Act ("TINA") by failing to
disclose to the Air Force certain "risk reserve" analyses used in
pricing an environmental cleanup contract. TINA-covered contracts
require submission to the government certain "cost or pricing data"
to support negotiations regarding the contract price, and the
contractor must certify that the data submitted are current,
accurate, and complete. In response to the Air Force's "Defective
Pricing Notice", the Professional Services Council ("PSC") asserted
that the Air Force significantly expanded the definition of "cost or
pricing data" under TINA. In particular, PSC said that the Air Force
sought to require the disclosure of managerial judgments, rather than
the solely factual information contemplated by TINA. PSC also
objected that the Notice was not clearly limited to SAIC, and that
the Air Force was attempting to establish acquisition policy without
complying with the procedural requirements for notice and comment
rulemaking. In response, Air Force Deputy Assistant Secretary for
Contracting Charlie Williams assured the PSC that the Notice had no
broader application than in the SAIC case. However, a subsequent
Supplemental Notice from Steven Shaw, Air Force Deputy General
Counsel for Contractor Responsibility, stated that the substantive
concerns set out in the Notice "apply to all TINA-covered contract
actions with all contractors, not just SAIC." On April 27, 2005,
without admitting wrongdoing, Science Applications International
Corp. ("SAIC") agreed to pay $2.5 million to resolve the case. The panelists for what is sure to be a lively discussion will include:
Alan Chvotkin has been a senior vice president of
the Professional Services Council since November 2001. He draws on
his years of government and private sector procurement and business
experience to facilitate congressional and executive branch knowledge
of and interest in issues facing PSC's membership. Previously, he was
the AT&T vice president, large procurements and state and local
government markets. Earlier at AT&T, he was vice president, business
management. From 1986 to 1995, he was corporate director of
government relations and senior counsel at Sundstrand Corporation.
Rodney A. Grandon is Assistant Deputy General
Counsel (Acquisition) in the Office of the General Counsel,
Department of the Air Force. In this capacity, he provides advice and
assistance concerning acquisition matters to the Assistant Secretary
of the Air Force for Acquisition, Program Executive Officers, and to
other senior Air Force leaders. Prior to joining the General
Counsel's office, Mr. Grandon was a partner at Patton Boggs LLP, a
trial attorney with the Army Contract Appeals Division, and an
attorney-advisor at the U.S. Army Tank and Automotive Command.
Karen L. Manos is a partner in the Washington, D.C.
office of Howrey LLP and chair of the firm's government contracts
practice. Karen has extensive experience on a broad range of
government contracts issues, including civil and criminal fraud
investigations and litigation, qui tam suits under the False Claims
Act, defective pricing, cost allowability, the Cost Accounting
Standards, bid protests, suspension and debarment, and corporate
compliance programs. Karen is the author of the two-volume book,
Government Contract Costs & Pricing, published by Thomson-West in
April 2004.
Gregory H. Petkoff is the Deputy Chief, Contracting
Operations Division, in the Office of the Assistant Secretary of the
Air Force for Acquisition. In this capacity, he helps manage the
organization that provides business advice to contracting offices
throughout the Air Force and that also works the day to day
contracting problems that come to the attention of Headquarters Air
Force. He was formerly an Associate General Counsel (Acquisition) in
the Office of the General Counsel, Department of the Air Force, where
he provided advice and assistance on acquisition, and logistics law
issues to senior Air Force managers.
Date: Wednesday, July 13, 2005
Time: 12:00 - 12:30 lunch, 12:30 1:30 program. Location: Hogan and Hartson LLP, 555 - 13th St, NW (Concourse level - immediately adjacent to the City Club.)
Lunch will be served at the price of $7.00 per person.
We look forward to seeing you at the meeting. If anyone wishes to participate by telephone, please let us know and we will arrange a dial-in number. In addition, if you know of anyone else who would be interested in participating in the Committee, please let us know so that we may invite them as well.
Please RSVP to Judy Dixon at JADixon@HHLAW.com or (202) 637-7151.
If you can’t make this meeting, the next meeting of the
committee will be held at noon on September 14, 2005 at Hogan and
Hartson, LLP.) PLEASE NOTE THAT WE WILL NOT HAVE A MEETING IN
AUGUST For information about joining our Committee, contact one of the Officers above, or send e-mail to pubcontract@abanet.org |