Obama Administration Looks to Reduce Contractors’ Senior Executive Salary Reimbursements

According to Washington Technology, the Obama administration has proposed changing how the government sets limits on the reimbursement of salaries for senior executives of government contractors.  The current formula for reimbursement sets the cap using a survey of general commercial compensation, but the administration wants to tie the cap  to the salaries of senior federal officials which currently pays $200,000 a year.

In 2010, the Office of Federal Procurement Policy allowed reimbursements for a contractors’ top five executives to reach a total of $693,951. The Obama administration now is concerned that, based on surveys, reimbursements could reach $750,000 in 2011.

Congress will have to pass new legislation to make the change.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s