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We’re close to having TSA, OFPP leaders confirmed

Two critical federal leadership positions may soon be filled.

The Senate Homeland Security and Governmental Affairs Committee has unanimously approved Erroll Southers as administrator of the Transportation Security Administration and Daniel Gordon as administrator for the Office of Federal Procurement Policy. The committee approved both nominations by voice vote Nov. 19.

It’s unclear whether the Senate will vote on these, or any other nominations, before it recesses sometime next week for Thanksgiving. Both nominees are considered non controversial.

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Government errors could mean big problems for contractors

Contractors could face suspension, debarment or financial penalties if they fail to return and report an improper payment made by the government…even if the improper payment is the government’s fault.

That’s what an executive order meant to curb the government’s rate of erroneous payments will say, Peter Orszag, Office of Management and Budget director, told reporters during a Nov. 17 briefing on the value of improper payments made by the government in 2009.

Currently, contractors face no penalties when the government discovers an improper payment was made. All contractors have to do is pay back the sum without interest or penalty. The executive order, which will be issued in the coming week, will change that by allowing agencies to suspend, debar and fine contractors that fail to report these payments. That will create strong incentive for contractors to be vigilant in monitoring their government payments, said Danny Werfel, the controller of OMB’s Office of Federal Financial Management.

Werfel said:

The way it works today is if we give a contractor money that they have not earned and they never report it to us, but we just so happen to find it through an audit, all they have to do is make us whole. There are no additional damages on top of that. And that’s what the executive order would pursue as a way of incentivizing contractors to immediately tell us where we made an error, so they’re part of the solution and not part of the problem.”

Read the rest of this entry »

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One step closer to OFPP, TSA administrators

The Office of Management and Budget’s prospective procurement policy chief, Daniel Gordon, will face his first confirmation hurdle one week from today.

The Senate Homeland Security and Governmental Affairs Committee will quiz Gordon on his vision for the Office of Federal Procurement Policy at 10 a.m. on Nov. 10.  Gordon is slated to have his confirmation quiz alongside the president’s choice to lead the Transportation Security Administration, Erroll Southers.

Check in with FedLine and FederalTimes.com that day for complete coverage.

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OMB procurement guidance now available

UPDATE: OMB says the definition of inherently governmental functions is still being worked on. Expect to hear something by the end of the year.


The Office of Management and Budget just released two long-awaited procurement reform memos. The first is about increasing competition while reducing risk in contracting. The second is about strategic planning for the civilian agency acquisition workforce.

So far no word on a A third piece of expected guidance meant to clarify the definition of inherently governmental functions was not released today as expected [see update above]. That memo will help agencies carry out earlier guidance to insource certain contractor-performed work.

A full story on the new guidance will be posted on FederalTimes.com later today.

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New OMB performance guidelines

OMB director Peter Orszag sent an 8-page memo to agencies today outlining new performance management guidelines. Here it is (pdf).

Thoughts to come later this morning once I’ve actually had a chance to read it…

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White House procurement policy official is official

It’s official: Daniel Gordon, the acting chief counsel of the Government Accountability Office, is President Barack Obama’s pick to lead the Office of Federal Procurement Policy inside the Office  of Management and Budget.

Gordon has a long history in procurement law since he joined GAO in 1992.  From 2000 through 2006 he led GAO’s procurement law division, which hears bid protests on government contracts. GAO’s bid protest decisions frequently set precedent for government contracting officers. In 2006, he was named GAO’s deputy general counsel and has served as GAO’s acting general counsel since May.

As administrator of OFPP, Gordon will lead Obama’s procurement reform agenda.

In announcing Gordon’s nomination, OMB Director Peter Orszag said in his blog:

Dan is a career contracting professional who understands that the top goal of our procurement efforts is to use taxpayers’ dollars smartly and effectively – that we get the most value for every dollar we spend.  Dan will bring a fresh approach to procurement policy, but he also will rely on the expertise of the career procurement workforce to improve our procurement processes.

Check back with FederalTimes.com for a full report on Gordon’s nomination.

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10,000 + ways to SAVE

Buckstopsherefrontsmall

Federal employees have submitted more than 10,000 money-saving tips to the Office of Management and Budget’s SAVE Award contest in the last week, OMB director Peter Orszag announced today.

OMB launched the SAVE Award contest on Sept. 23 to gather cost-cutting and performance-improving ideas from the people who know government best: the employees.

So far, you have responded with 10,266 entries. And that number is growing as we speak.

If you haven’t submitted an idea yet, don’t delay. The contest ends on Oct. 14. You can enter at www.SaveAward.gov.

Once submissions close, an OMB panel will review the ideas and select a handful of finalists for President Barack Obama to choose from. The winning idea, which will be announced in November, will be included in the 2011 budget. The idea’s author will also get to meet Obama, the man with whom the buck stops.

Photo: Wikipedia.

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OMB director to staff: Step to it.

As a runner and general fitness nut, I was pleasantly surprised to find a press release in my inbox from the Office of Management and Budget this morning announcing a new mandate for OMB staff: wear a pedometer.

OMB Director Peter Orszag launched the “OMB Pedometer Challenge” today to improve employee health by having everyone wear a pedometer to track their physical activity throughout the day.

Employees will enter their daily steps on an internal Web site and compare their activity levels to Orszag’s activity levels and their division’s levels. They’ll also be able to enter health statistics like body mass index, blood pressure and heart rate to help track improvements in their health.

The employee with the highest activity level each month wins lunch with Orszag and the highest performing team wins a “health happy hour.” Free lunch and/or a free happy hour? That’s inspiration enough for me.

Orszag said:

This challenge will make all of us more aware of our current activity levels and help inspire us to increase our physical activity. Evidence shows that pedometers are one of the most cost-effective ways to increase physical activity. And in true OMB fashion, we like to walk down the path cleared by the best data.”

The challenge is part of a larger effort to improve the health and productivity of the federal workforce, while reducing health care and disability costs, OMB said in the news release.

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UPDATE: Senate approves Sunstein nomination

The Senate voted 57-40 Thursday to approve the nomination of Cass Sunstein to be administrator of the Office of Information and Regulatory Affairs, ending a months-long debate over Sunstein’s writings as a professor and his ideological views.

At least two senators had placed holds on Sunstein’s nomination, due to concerns about his opinions on gun control and animal rights. Sunstein, a Harvard University professor, met with the senators, Saxby Chambliss of Georgia and John Cornyn of Texas, and assured them he respected the Second Amendment and would not limit hunting or impose stricter gun control. The holds were then lifted.

Senate Majority Leader Harry Reid, D-Nev., filed cloture on Sunstein’s nomination, limiting time for debate. His nomination was discussed Thursday in between tributes to the late Sen. Edward Kennedy, D-Mass.

Sen. Joseph Lieberman, I-Conn., praised Sunstein’s selection on the Senate floor before the Wednesday cloture vote. Lieberman chairs the Senate Homeland Security and Governmental Affairs Committee, which cleared Sunstein’s nomination months ago.

I’m convinced that Professor Sunstein has superior qualifications for this office and a strong commitment, if confirmed, to guide OIRA in conformity with the law and public interest above all.”

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Inaction in the Senate

I’m skimming over a conference report from the Senate Financial Services and General Government appropriations committee (really a fun way to spend your Wednesday afternoon!), and I came across this passage on the Postal Service:

Because some experts, including OPM, have expressed concerns about the assumptions made in the Postal Service IG report, the Committee directs the Postal Service, in coordination with OPM and OMB, to develop a fiscally responsible legislative proposal to grant a limited measure of relief from the PAEA requirements to pre-fund retiree health benefits.

If I’m reading this right, the Senate is not going to move forward on companion legislation to H.R. 22 until the Postal Service, OMB and OPM create a “legislative proposal.” Nevermind that there is already a legislative proposal, H.R. 22, which passed the House Oversight and Government Reform committee unanimously last week. The Senate wants a new one.

That puts the Postal Service on a rather tight timetable, especially with Congress taking off most of August for vacation. If this bill isn’t passed by September 30 — when the Postal Service’s health care payment is due, a payment it cannot afford — then it becomes a moot point.

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