American Recovery Act

In: Business and Management

Submitted By harrijaa
Words 1429
Pages 6
The American Recovery and Reinvestment Act of 2009 (Recovery Act) was signed into law on 17 February, 2009. The Recovery Act was a never seen before effort to stimulate our economy and alleviate the effects of the recession. The Act was an enormous response to an economic crisis/condition not experienced by this country since the Great Depression and included efforts to modernize the nation’s infrastructure, improve energy independence, and stimulate economic growth. The Recovery Act in itself is an admirable effort, however, the ultra dependence on the government procurement/contracting community to implement large chucks of the legislation and has brought tremendous challenges (through new rules and laws) into the area of contract administration. The burdens of the Recovery Act have been enormous for the contract community because of the enormous oversight required of the funds and contracts associated with the Recovery Act itself. Federal Acquisition Regulations (FAR) should never have been burdened with these extensive responsibilities The purpose of the Recovery Act as stated earlier was and is to stimulate the economy through the creation and retention of jobs at the local, state, and national levels. However, instead of the monies being allocated to the states or to responsible agencies to allocate, the federal government (executive office) chose to use the federal contracting process to utilize and expend the funds. On the surface it would appear the federal contracting process would be the perfect vehicle to assist in implementation of the Recovery Act, however, the funds associated with the stimulus package are valued at $787 billion dollars and 165 additional Internal Revenue Service (IRS) laws were written to monitor expenditure of the funds, and numerous Federal Acquisition Regulation Sections (FAR) in many instances were added to or rewritten…...

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