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ARTICLE · 04 NOVEMBER 2022

Is It Time To Define ‘Present Responsibility'?

Jenner & Block LLP
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Suspension and debarment are among the tools used by the Federal Government to address improprieties by Government contractors and grant recipients.

United StatesGovernment, Public Sector

Suspension and debarment are among the tools used by the Federal Government to address improprieties by Government contractors and grant recipients. However, regulations governing when and how suspension and debarment may be used are imprecise. This imprecision may eventually threaten the viability of the system. Accordingly, it may be time to define the term "present responsibility."

"Present responsibility" is immensely important, and the lack of it can cause debarment under both the Federal Acquisition Regulation and the Nonprocurement Common Rule. See FAR 9.406- 1(a), 9.406-2(c); 2 CFR § 180.800(a)(4); 2 CFR § 180.800(d); 2 CFR § 180.860. A contractor can be debarred for, among other things, conviction or civil judgment for committing a crime or other offense indicating a lack of business integrity or business honesty "that seriously and directly affects the present responsibility" of a Government contractor or subcontractor. FAR 9.406-2(a)(5); see also 2 CFR

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