Suspension and debarment are administrative actions taken pursuant to the Federal Acquisition Regulation (FAR) to protect the public’s interest from non-responsible contractors. Suspension is a temporary, indefinite period of exclusion from government contracts when there is an immediate need to protect the government from non-responsible contractors during an investigation or a legal proceeding whereas debarment is a specific term barring a contractor from receiving a federal contract for an extended period of time, usually from three to five years.
Suspending and Debarring Officials (SDO’s) have the authority to determine that a contractor should be suspended or debarred for a period of time. However, not every act of misconduct should result in suspension or debarment and SDO’s should consider both mitigating and aggravating factors before rendering a decision to suspend or debar. Further, under certain circumstances, contractors may be able to enter into an agreement for a period of years, referred to as an administrative agreement, in lieu of suspension and debarment, in order to continue to do business with the government provided that the contractor implements certain adequate internal safeguards and controls.
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