The Hidden Crisis in Federal Contracting: Why Protests Keep Winning

Chris Hamm, CEO of FIN Acquisitions and former director of FEDSIM at GSA, joins the program to discuss a provision in the Senate’s version of the National Defense Authorization Act (NDAA) that aims to reduce frivolous bid protests in federal contracting. Hamm outlines the intent behind Section 816 of the NDAA, which seeks to create financial disincentives for contractors who file meritless protests. He explains why, despite the good intentions, the proposed clawback mechanism is unlikely to succeed due to limitations in appropriations law and challenges in enforcing profit recovery.

You’ll hear Hamm describe how the current protest system can create incentives for incumbent contractors to delay transitions by filing protests, and how that affects the efficiency of federal acquisition. He compares the current protest environment to stoppages in a football game, and proposes an alternative model—similar to the NFL’s challenge system—to limit the frequency and impact of protests.

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