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1 1 (September 10, 2021)

handle is hein.crs/goveemi0001 and id is 1 raw text is: Congressional ______ *Research Service informrng the! qeisltive debate since9 4 _____9___________ Legal Mechanisms for Dealing with Changed Circumstances in Federal Contracting September 10, 2021 The federal government enters into hundreds of billions of dollars in contracts for the acquisition of goods and services every year. The complexity of these acquisitions run the gamut, ranging from the development of propulsion systems to support missions to Mars to the provision of housekeeping services and standard office supplies. Evolving national interests and unforeseen events such as natural disasters, acts of God, acts of war, cyberattacks, and changing executive priorities brought on by new presidential administrations can substantively alter federal acquisition priorities. For example, the COVID-19 pandemic and related mandates and recommendations (i.e., to practice social distancing, work from home, shelter in place, and self-quarantine) impacted government contracts by disrupting supply chains and business operations. These disruptions made it difficult or impossible for some contractors to perform government procurement contracts as originally contemplated and prompted the issuance of guidance on how contracting officers should manage contracts in light of the pandemic. Another example occurred when President Biden, in the first month of taking office, announced a change in policies regarding the security of the southern border of the United States. The policy change manifested in an initial pause and then a termination of some border wall construction contracts. Similarly, the decision to withdraw American troops and contractors from Afghanistan also likely prompted modified procurement priorities to address, for instance, a reduced need for or redeployment of contracted security services, food, and other services and supplies. Federal procurement law is designed to provide agencies with the flexibility necessary to adapt to these and the innumerable other issues that might arise during the procurement contract lifecycle and impact federal acquisition priorities. Federal law often requires the incorporation in federal procurement contracts several standard clauses that provide legal mechanisms through which the government and contractors can adapt to changed circumstances and the government's evolving needs. This Legal Sidebar analyzes a selection of these clauses, specifically the Changes, Stop-Work Order, Excusable Delay, and Termination for Convenience clauses, and provides a few examples of how each could be applied in practice. Although these clauses can be used to address countless situations, the examples that follow involve three issues the government is currently addressing: border wall construction, the COVID-19 pandemic, and U.S. withdrawal from Afghanistan. Congressional Research Service https://crsreports.congress.gov LSB10640 CRS Legal Sidebar Prepared for Members and Committees of Congress

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