New Rules Seek to Curb Bad Contracting Practices

January 5, 2012

Three new contracting rules unveiled this week seek to curb bad procurement habits, such as using risky contract types and requiring brand-name products.

The rules, which will take effect Feb. 2, require agencies to:

• Limit the use of "time and materials" and "labor hour" contracts for commercial services. 

• Present a business case before using another agency's contract. 

• Justify requirements for brand-name products. 

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