Presented by:Sabri Dogu Abuska

Attorney at Law

US Government only contracts with “responsible” contractors◦ Adequate financial resources to perform◦ Able to comply with delivery or performance schedule◦ Satisfactory performance record◦ Satisfactory record of integrity and business ethics◦ Necessary organization, experience, accounting and

operational controls, and technical skills◦ Necessary production, construction, and technical equipment

and facilities◦ Otherwise qualified and eligible to receive award

Recent additions: 52.203-13 Code of Business Ethics and

Conduct 52.203-14 Hotline Poster Display Eventhough these clauses not applicable for

contractors and subcontractors performing entirely outside the US many none US Construction Companies undertaking contracts for US Department of Defense and Department of State are establishing such programs for the benefits such programs are offering to the US Gov. Contarctors (there are pending proposals to require these clauses for work performed outside the US)

FAR Now Requires Compliance and Ethics Program

FAR Now Requires Compliance and Ethics Program

Embed ethics into the organizational culture

Early detection/correction of problems

Preserve brand/protect reputation

Increased employee morale and retention

Meet regulatory requirements

Benefits of an Effective Compliance and Ethics Program

Benefits of an Effective Compliance and Ethics Program

Requires Contractor to implement a Contractor Responsibility Program/Compliance and Ethics Program

Appoint an Ethics Program Director Implement a:

◦ Code of Conduct◦ Training program for administrative, managerial, and

supervisory employees on the subjects of business ethics and contracting with the U.S. Government and

◦ Government Contracting Policies and Procedures Manual◦ Hotline for reporting suspected misconduct

Serves as a guide for providing professional services during all phases of design, as well as the preparation of contract documents and claims related to construction projects for the US Government◦ Applies to both prime contracts and subcontracts◦ U.S. Government standards of conduct◦ Contract formation◦ Contract administration◦ Performance Issues◦ Terminations◦ Disputes/Claims◦ Audits and Investigations

The Code of Ethics and Business Conduct (the “Code”) states the core principles and values that govern the conduct of ........... Company’s business

The Code affirms Contractor’s commitment to compliance with the letter and spirit of applicable law and regulation

The Code is in 6 sections:◦ Company Mission Statement and Core Values◦ Purpose and Use of the Code of Corporate Ethics◦ Compliance with US Laws, Regulations, and Company Policies◦ Professional Integrity and Ethics◦ Respect for Our Family and Customers◦ Community and Good Citizenship

Oversees and monitors the implementation of .......... Company’s Compliance and Ethics Program (“the Program”)

Ensures that the Program, and Code of Conduct, are periodically revised to reflect changes in laws, regulations, and policies

Coordinates training related to the Program Responds to reports of problems and to Hotline

calls and letters Independently investigates reports of suspected

violations and coordinates any necessary corrective actions

Oversees and facilitates compliance with:◦ U.S. procurement laws, rules, and regulations ◦ ...... Company’s policies and procedures

Hotline oversight and monitoring:◦ Ensures adequate investigation and propose

resolution of all complaints received◦ Reports all alleged improprieties and investigations

to the U.S. Army Sends Quarterly Reports on ......... Company’s

Compliance and Ethics Program to the Army◦ 3 month intervals◦ Generally reports on progress of training efforts and

responding to hotline calls

Investigates allegations of violations of:◦ Administrative Compliance Agreement◦ Code of Conduct◦ Government Contracting Manual ◦ other matters that raise questions

about ............ Company’s “present responsibility”

At end of each investigation, provides written report to ........ Company’ Directors and U.S. Department of the Army;◦ substance of the allegations◦ evidence from the investigation◦ findings◦ recommendations

Ethics Prog. Dir. is also available for consultation on any questions concerning the company’s business practices or employee responsibilities, including required reporting of improprieties◦ Think of him as a resource

For reporting suspected instances of improper conduct to the Ethics Program Director, such as:

◦ Fraud, waste, abuse

◦ Violation of the terms of a Government contract

◦ Violation of the terms of the Administrative Compliance Agreement

◦ Violation of the Code of Conduct or Government Contracting Manual.

All employees have an affirmative duty to report suspected violations of the Administrative Compliance Agreement, or improprieties regarding Government contracting and/or operations to Ethics Program Director within three (3) days of discovery.

Hotline notification poster located at employee work and break areas

Reports may be made anonymously - anonymous reports will be acted on the same as those made by identified persons

The Ethics Program Director shall ensure that each call is adequately investigated and resolved.

The hotline number is 0 800 .............(from ..........) and 1008 #4 .... ... ...... ........ (from ......and ................).

Reports may also be sent to Mr./Msr. ............at ........... Companny office,located at the following address ......... ................................... .

Monitor employee compliance with the policies and procedures set forth in the Manual

Report to Ethics Program Director Located at project sites where tyhe Company is

performing Government contracts ........Company will consider such compliance

when making decisions concerning personnel decisions, including compensation

Undertake and complete compliance audits in order to ensure the Code and Manual are implemented

......... Company will cooperate fully with all internal and Government investigative authorities. When deemed necessary, will:

• Make available any of its employees for interview to evaluate:

- Future compliance with federal procurement policies and regulations; and

- Maintenance of the high level of business integrity and honesty required of a Government contractor

• Produce documents, records, and supporting material for examination, inspection, audit and reproduction as they relate to any report, allegation, or complaint of suspected wrongdoing and

• Allow Government authorities full access to ......... Company’s facilities, both in the Company’s country and at other locations of Government contract performance.

.......... Company and its Affiliates

shall not knowingly form a contract with, purchase from, or enter into any business relationship with any individual or business entity that is listed by the General Services Administration (GSA) on the Excluded Parties List System (EPLS) as debarred, suspended, or proposed for debarment

shall make reasonable inquiries into the status of my such potential business partner, to include, at a minimum, review of the EPLS