Shutdown to Freeze DoD Contracting

Shutdown to Freeze DoD Contracting

A government shutdown would bring virtually all new contracting to an abrupt halt — stalling or stopping critical acquisition activities for the Department of Defense, Pentagon officials told Military​.com.

“If a shutdown occurs, no new contracts will be [awarded] accept those in support of an ‘excepted’ activity — such as activities relating to safety, protection of property, emergency services and certain operational or medical requirements,” said Cmdr. Bill Urban, Pentagon spokesman, Comptroller. “This will prevent most new contracts from going forward.”

Existing contracts operating under prior year funding will continue in most cases, but if a deal is up for renewal it will most likely not go forward throughout the duration of any potential government shutdown, Urban added.

A Sept. 25 memo signed by Deputy Defense Secretary Ashton Carter said: “the administration does not want a lapse in appropriations to occur. However, prudent management requires that the Department be prepared for the possibility of a lapse in appropriation.”
Meanwhile, there are a number of rapid acquisition, research and development and science and technology initiatives which could be impacted as well, Pentagon officials said.

For instance, Pentagon programs designed to harvest emerging technology for quick delivery to Afghanistan could be slowed down or stopped in the event of a shutdown.

“Rapid fielded programs designed to bring technology to the warfighter quickly could be especially impacted,” said Pentagon Spokeswoman Jennifer Elzea.

With research and S&T, the impact of a shutdown would likely vary considerably depending on when and how certain projects or research areas were funded, she explained.

“Some research and development programs will continue — it all depends upon the color of the money they are funded with and the time-clock on that money. We won’t know the full impact of a shutdown on R&D until all the different funding nuances are executed,” Elzea said.

DOD vendors would also be affected by any shutdown, senior Pentagon officials said.

“Vendors working on contracts with funds obligated prior to the lapse in fiscal ’13 or earlier funds could continue to work, assuming government personnel are available to provide any needed supervision. And, they could be paid for that work, but during the period of the lapse, we can’t sign new contracts or extend old ones unless they’re directly in support of excepted activities,” a senior Pentagon official said.


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Before posting one-sided articles, ask for some contrarian inputs from subject matter experts, both in and out of insdustry. Be sure to cut out the marketing propaganda.

(1) Big weapons programs may be funded with annual contracts but their cash flow won’t be hurt since they have big backlogs.
(2) Research and S&T can be strung out because that’s the nature of their work. It’s long term. Going a little slower doesn’t really have an impact.
(3) We lost Afghanistan, just like we lost Iraq. Developing and fielding better technologies still hasn’t won us any wars.

Frankly, the lowlifes in the HoR should be the FIRST ones to not get paid if/when the government gets shut down (or they fail to raise the debt ceiling, thereby causing damage to the entire nation and national interest). That’ll given them the incentive to get their act together, and not make other suffer for their incompetence and grandstanding, etc.

Either Congress would have to vote this on themselves or we would need a Constitutional amendment. The 27th Amendment states that laws affecting Congressional pay will only go into effect with the next Congress. It keeps them from voting themselves a pay raise right off, but the reverse is also true.

So you think raising the debt ceiling once again is the answer as we go bankrupt. Do you know that Japan and China has stopped lending us money so Obama is printing more fake money in Washington every month devaluing the dollar.

I’m supposed to ship out to basic training next week, does that mean my contract is on halt or what?

The House of Representatives should now draft individual legislation to fund each department a bill at a time to force the Senate and the administration to pass them just as they did in paying the troops bill that will be signed by the President. Congress should discreetly fund those departments that are vital, ie., IRS, FAA, VA, DoD, National Park service, NIH, one agency at a time. Legislation should also include provisions that no new construction or remodeling of facilities shall be done, overhead staff and management functions need to be reduced by specifically identiifying Job series in the OPM job classifications series, i.e, 1101, 300, 500, etc. that are staff and manamgent functions that pass information around that others do.

I guess that you think that congress, the prez and their staffs should get a good deal that the rest of us can’t get! The same for the exemption that unions and big business gets, that taxpayers can’t! That’s the only thing that the house added on the latest proposal. Blame the selfish dumbocrats. Sticking up for the dumbocrats must mean you’re on welfare.

Well said, it is interesting that under the annointed one’s admin, our great nation has had it’s credit rating lowered for the first time ever — yet none of that party is willing to discuss, much yet admit. Isn’t it interesting that in this adminstration’s finger pointing and name calling, no one takes responsibility. Meanwhile, the nobamas take lavish vacations all on the taxpayer’s dime…especially during these times. Why is that not ever mentioned? Oh, that’s right…

Amen! But, king nobama won’t have any of that. Ever notice that it is ALWAYS someone else’s fault?

I agree with you, as I am sure 100 percent of the DoD workers do as well.

No you will still go to basic training.… Have fun..

Is it possible that those countries stopped loaning money because they have problems in their own economy. China has more buildings that aren’t being used than one can believe. Japan has nuclear problems and an Olympics to plan for.

No contracting! Oh God help us all. What will we do without free money to hand out to federal government contractors? We might balance a budget for a change. We might go back to the Moon. We might be able to build a battleship for what an LCS costs. The sky truly is falling!

The Federal gov’t needs to start with a 10% across the board reduction in their civilian workforce and a 10% reduction in budget for every department. I’d be amazed if there wasn’t 10% fluff & waste built in to every federal budget.

THEN they follow Champ’s recommendation above, funding one department at a time.

They already did that.

GOP thugs, traitors, and racists. To them, nothing is more important than distroying that black man.

Ha! I gotta go, you’re killin’ me.

Remember that little sequester thing? The DoD laid off tens of thousands of workers at the beginning of the year and the entire government took a 10% bite out of their FY13 funding.

At least the VA stays open.

Amusingly, the NSA stays open to collect data on us, the DEA stays open to raid pot shops, the ATF stays open to take your guns, the marshals are still around to nab convicts, the cops are still on the street…

I guess all the parts of government people seem to hate so much are still out there. Every department is hobbled except for the parts people probably dislike: the safety inspections and the like continue. The IRS auditing stops (hooray!) but tax returns still go in. SS checks keep coming out (boo!) but enrolling new people will grind to a halt (yay?)

I guess off-shoring everything that wasn’t nailed down, trying to flip houses as an economic Plan-B, going $17T in debt, Operation:USELESS DIRT and massive socialism isn’t working out so well. Maybe a pause to think is what is needed.

Note: A majority of the DoD contractors are former military. Very few of the military labs do the assigned work. They subcontract their projects to private industry and collect a surcharge. Think about it a minute. check out grants. gov and see if you can find any important programs that we are doling out money… mostly to other countries. Let private companies be responsible for their own security when they leave our borders.
I challenge the congressmen, representatives and the President to pay for their travel and security out of their own pockets and not to rely on local states and counties to pick up the tab. That includes their assistants as well. Also, a challenge to live off from food stamps for a month without any additional funds!!! Good luck.

I have a small machine shop ‚have been doing DOD work for the last 15 years.
My wife and I are the only people that work at the shop.( i do sub out Heat treating and Plating).I try to focus on the 50 Bmg parts, Especially the retracting slide assemblies. You would not believe the incompetence of buyers at the Columbus Hub DSCC.
There is favoritism, corruption, inside trading, from the buyers,
I believe they are drunk with power.
I been thru the ringer on contracts, Ambiguity in the proposal /contract,I have a SAR request sitting in Columbus for the last 4 years. its being evaluated.Plus anything they can make up.The Small business DOD contractor is getting crushed.
Cage 3CXM2

Might be the best thing to happen in years. No contracting means no wasteful spending and no bonuses for the contractors.

Screw the contractor but let those on the hill off scott free. All Hail King Obama. All you democrats line up to kiss his ring.

Um, you do understand that the debt ceiling is only about paying bills we’ve already incurred, right? That it has NOTHING TO DO with how much we spend going forward, or whether we will raise enough revenue to offset that spending? If it did, we wouldn’t have blown past it in the first place.

“Raising the debt ceiling” is another way of saying “not being a deadbeat” — either we repay our loans on time, or we don’t. If we don’t, the future is significantly less pleasant than if we do.

VA hospitals are open. But that backlog of benefit claims that everyone yells about all the time is growing by the minute while the claims processors sit at home deciding to get a more pleasant job, like maybe cleaning toilets.

IRS audits stop… but then so do refunds. And approving tax-exempt status for charities. And working out payment plans for people under liens and garnishment. And responding to FOIA requests.

And, as you suggest, the real problem — the ongoing fiscal diarrhea of mandatory payments — continues unabated, while the people who could do something about the problem hold their breath until the nation turns blue.

Considering the high incumbency rate of Congress, a pay raise is no big deal since most will be around later to collect. It also means that benefits changes may lead to an uptick of “so and so not seeking re-election” if you push hard enough.

I’d love a law that pegged Congressional compensation to the median. But we all know that the House of Burgesses was meant to represent the aristocracy, so I suppose it’s natural that Congressional demographics looks like the aristocracy with token representation of the indentured servants.

We are almost back to the “Not Worth A Continental” days. History is repeating itself.

Our economic policies are crap. We have encouraged service industries at the expense of manufacturing.

Someone will bring up unions, but it’s worth noting that our cost-of-living in the states is high. In our heyday, we were the China to Europe. Now someone else is our China, and someday someone else will be China’s China.

Your welfare check comes in today, doesn’t it? No shutdown for you, is there?

I concur with that. My company is out here in the so-called war zone of Djibouti, and no one is helping us out with the security of our selves or our project site (electric). No military, no State Dept–they both say they are not here to do that.

So it should be the same for everyone else. No security for any US citizen or business outside the borders of CONUS. I ‘m good with that.

True point. I am a small business out here in East Africa. The only US small business doing business outside of the US military base. We raise our US flag (and Texas) every day, and proudly do it in the face of the French, and potential bad guys.

We bid on a small environmental contract with the base, and contracting gave it to a Ethiopian company :-) How funny is that?

Skynet will run the country with a minimum of government employees…

With the VA backlog, look on the bright side. Troops aren’t being allowed to retire while this is going on. No Med Boards, no DD214s, no orders, etc. The entire chain of events is shut down.

There are so many things to refute here, I don’t know where to start. Do military labs outsource ? Yeah, some. As one who spent a good bit of his postmilitary career working onsite in government facilities, I would note that the onsite contractors are often a recruiting ground for the government. If they like you, and a hiring freeze is not on, then they open the position up outside the career civil service and pick who they like. This is important because of the continued geriatrification of the civilian work force due to previous buyouts and reductions. I also think the attack on foreign aid is narrow-minded and mean-spirited. And we do need to protect our citizens outside our borders. That is the duty of a sovereign state.

I believe you are very miss informed,The small business contractors that supply the DOD are not the hogs that big govt contractors like Boeing,General Dynamics , or Colt,have used and played there ( INFLUENCE) ,
on govt contracts.I never received a “BONUS”, nor have I received any “Special Treatment or Favoritism”.
The issue is favoritism with the contracting “Buyers” that administer the contracts .

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