Browsing: compensation cap

Two senators are making another push to lower how much the government reimburses for contractor compensation costs with a bill introduced late Thursday. Senate bill 2198, sponsored by Sens. Barbara Boxer, D-Calif., and Chuck Grassley, R-Iowa, would limit the taxpayer reimbursement for government contractor compensation to the amount of the President’s salary — $400,000. Compensation includes wages, salary, bonuses and deferred compensation. The measure would extend the cap to all government contractor employees. “The direct taxpayer-funded salaries of government contractors clearly need to be contained,” Sen. Grassley said in a statement. “There’s no justification for these payments to be higher than the salary of the…

Taking an idea from the White House, New York Gov. Andrew Cuomo signed an executive order Wednesday limiting how much contractors can charge the state for executive compensation. The order limits the maximum contractors can charge New York state agencies for their executive’s’ compensation to Level I of the federal government’s executive pay schedule, about $200,000. “In certain instances providers of services that receive state funds or state-authorized payments have used such funds to pay for excessive administrative costs and outsized compensation for their senior executives, rather than devoting a greater proportion of such funds to providing direct care or services…