OMB seeks data on agreements with suspended contractors

OMB memo

The Office of Management and Budget wants agencies to provide information on their decisions to continue work with suspended or debarred contractors, according to an Aug. 31 memo.

The General Services Administration’s Federal Acquisition Service lets agencies reach administrative agreements or compelling reason determinations with contractors as an exception to governmentwide exclusions or debarments.

OMB’s memo follows a Government Accountability Office recommendation that the agency learn more about how agencies use that flexibility.

Paul Denett, administrator of the Office of Federal Procurement Policy, and Linda Combs, controller of the Office of Federal Financial Management, issued the memo. They want agency officials who handle suspension and debarments to send agreement information to the Interagency Suspension and Debarment Committee, according to the memo.

Agencies rarely share the agreements and determinations. GAO said sharing could help agencies make exclusion decisions and promote greater transparency and accountability.

The government can suspend or debar contractors that fail to meet a contract’s terms.

In fiscal 2004, six agencies that GAO reviewed in depth suspended 262 companies and debarred 590 others, according to the report. That same year, five agencies reached 38 administrative agreements.