Appropriations Bill Could De Facto Debar Contractors From DOE And Army Corps Contracts

On July 10, the House of Representatives joined the President in seeking to combat unfair labor practices when it passed the 2015 Energy and Water Development and Related Agencies Appropriations Act, providing funding for the U.S. Department of Energy ("DOE") and the U.S. Army Corps of Engineers ("USACE") for Fiscal Year 2015. The bill, which is now under consideration in the Senate, would cut the aggregate budget of the two agencies by about $50 million.

While the pie may be shrinking somewhat, the number of competitors for it might shrink even more dramatically. The House version of the bill contains provisions restricting the DOE and USACE from using the appropriated funds to contract with businesses that have violated the Fair Labor Standards Act, whistleblower protection laws, or certain other requirements, effectively debarring offenders. These restrictions would add to the nine government-wide statutory disqualification provisions found in laws ranging from