VIENNA, VA--(Marketwire - Oct 1, 2012) - A bad audit can significantly damage the bottom line of a contractor. The audit process can be filled with many challenges for government contractors to overcome, including organization conflicts of interest (OCI) when dealing with subcontracting and teaming agreements. It is critical to perform due diligence on consultants used by an organization to identify any potential conflicts when bidding for a government contract and moderate these conflicts.
"OCI issues can be mitigated by ensuring proper clauses with subcontractors in teaming agreements, which may include certifications that no OCI exists with respect to the solicitation. Additionally, OCI issues can be lessened by ensuring that the statement of work is carefully reviewed to determine if it implicates any potential OCI," said Frank Kenniasty, Senior Counsel at Motorola Solutions Inc. and a speaker at the upcoming marcus evans Internal Controls and DCAA Audits for Government Contractors Conference.
Identifying if a contractor may participate in a bid if they were involved in writing requirements for a contract is perhaps one of the biggest causes of organizational conflicts of interest. "Foregoing work which may implicate OCI, or developing an OCI mitigation plan approved by the Contracting Officer is essential when overcoming challenges to bidding on a contract," said Kenniasty.
There must be a clear definition of a marketing consultant, as governed by Far 9.501, to comprehend the types of services that can be provided during an OCI. "Enter into an agreement with the proper OCI clauses, with certification regarding Scientific, Engineering and Technical Assistance (SETA) or FAR 9.502 work," said Kenniasty.
"Even if there is a mitigation plan in place, competitors will challenge the award and create complications. It is impossible to mitigate the appearance of a conflict, even with a proper OCI mitigation plan," said Kenniasty.
Frank Kenniasty will be co-leading the interactive panel discussion, "Pinpointing Organization Conflicts of Interest to Overcome any Potential Effects on Contractors," on October 19, 2012 at the marcus evans Internal Controls and DCAA Audits for Government Contractors Conference.
Frank Kenniasty is currently Senior Counsel at Motorola Solutions Inc. and is primarily responsible for federal, regulatory compliance of government and commercial contracts and grants of a $650M, federal business unit. Kenniasty joined Motorola Solutions Inc. in 2011, and also manages legal issues for the federal business unit including intellectual property law, employment law, claims and litigation, investigations, and outside counsel. Kenniasty is admitted to practice law in the U.S. Supreme Court, Florida in both state and federal courts, and is a registered patent attorney with the United States Patent and Trademark. He is a member of the Public Contracts section of the American Bar Association, the Association of Corporate Counsel, and served as Vice President of the National Contracts Management Association, Cape Canaveral Chapter.
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