The rules, regulations, and incentives for government contractors facing investigations (whether internal or external) have changed dramatically in the last year. From the new demands of the “Yates Memorandum” to the Fair Pay & Safe Workplaces proposed rule to the shift from exclusion-driven interactions with Suspending and Debarring Officials (SDOs) to show cause letter and voluntary disclosure-driven interactions, a confluence of factors are raising new concerns—and new opportunities—for government contractors investigating or being investigated following allegations of corporate wrongdoing.
However, despite regulatory changes that may cause more inbound communication from industry to various government enforcement officials, communication among government stakeholders remains stovepiped. Therefore, contractors that wish to obtain potentially significant credit for cooperation across the enforcement spectrum need to tune their various communications to the specific needs of each stakeholder group that is, or might in the future be, reviewing the matter.
Some of the more significant, recent changes impacting government contractor investigations and disclosures follow:
- Implied Certification at the Supreme Court
- Fair Pay & Safe Workplaces
- Declining Suspension and Debarment Numbers Against Large Businesses, Crediting to Enhanced Disclosures and Proactive Communication