24.  CAS

Comment: The respondent expressed concern that there is no adjudication process prior to implementation of payment withholdings for disagreements or disputes regarding interpretation and implementation of CAS. Contractors should not be subject to payment withholdings on matters which await the decision of the judiciary.

Response: The finding of a significant deficiency in a business system results in only a temporary withholding from certain payments to protect the Government from potential harm. This does not constitute a permanent contractual decrement stemming from a CAS noncompliance. A contractor is not precluded from challenging any underlying CAS or other determinations through the contract disputes or other resolution processes. An additional adjudication process is not warranted for this rule. Furthermore, a deficiency that causes a CAS noncompliance may impact other business systems.