Currently certain federal government contracts permit government contracting firms to bill executive compensation federal agencies up to $693,951 annually for incurred costs, including employee salaries.
In December, lawmakers voted to expand the cap at most agencies to cover all government contractors, including highly-skilled engineers and scientists that also earn top pay.
Obama proposed to cap the amount of money agencies pay to government contracting executives at $200,000, on par with the amount earned by top career federal employees. The proposal did not limit how much contractors pay their top earners — only how much agencies would reimburse them. The proposal was ignored, and the White House is trying again.
White House officials said their renewed push on the cap comes as the Office of Management and Budget prepares to raise it to nearly $750,000 in the coming weeks, in line with the congressional mandate to maintain parity with the private sector.
Read full article from Washington Post Federal Eye
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- A Marriage of Inconvenience: GSA Schedule Contracts & The Contractor Code of Business Ethics & Conduct Clause
- Emerging Small Businesses: To Grow Your Business, You Must Plan For Growth
- Government Contracting: Look Before You Leap!
- GSA Schedules – Strategies for Success
- New Employee vs. Independent Contractor Considerations
- Pay on Display – Understanding the Executive Compensation and Subcontractor Data Reporting Requirements & Ramifications
- The GSA Schedule: Your Ticket to the Federal Market (May 2010)
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