The Weekly Update recaps recent legislative and regulatory updates affecting
government contractors and commercial businesses.
If you have questions concerning this content, please email marketing@pilieromazza.com.
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Update on the DBE Interim Final Rule: DOT Issues Key Guidance for DBE Program Stakeholders, PilieroMazza Client Alert, Jacqueline K. Unger
As PilieroMazza previously reported, via an interim final rule (IFR) effective October 3, 2025, the U.S. Department of Transportation (DOT) removed the use of race- and sex-based presumptions of social and economic disadvantage for establishing eligibility for its Disadvantaged Business Enterprise (DBE) and Airport Concessions DBE (ACDBE) Programs. Given the lack of clarity with various aspects of the IFR, there is significant confusion among DBE Program stakeholders in terms of how the IFR is to be carried out. On October 24, 2025, DOT issued guidance in the form of answers to Frequently Asked Questions (FAQs) on the IFR which provide much-needed clarity and protection for DBE firms, while leaving other critical issues unaddressed. This Client Alert summarizes the key takeaways from DOT’s guidance. Read more here.
Why Business Leaders Should Speak Out During the Shutdown, PilieroMazza Client Alert, Antonio R. Franco, Jacqueline K. Unger, Adel Mansour
On October 1, 2025, Congress failed to pass an appropriations bill to keep the federal government open. Three weeks have passed, and there is still no clear path forward. With each passing day, Republicans and Democrats alike become further entrenched in their positions, convinced that their cause is just. As a result, hardworking Americans, their families, and their businesses suffer. Government representatives who contend that holding out for an uncompromising win will be beneficial in the long run fail to appreciate the extent of the ongoing harm, and that whatever benefits may materialize in the future are quickly being erased by the damage inflicted now on so many Americans, as well as the millions of small businesses—government contractors and commercial firms alike—that both parties agree form the backbone of the U.S. economy.  Business leaders are uniquely situated as they have a direct view of the negative impact of the shutdown on their companies, their employees, and their own personal lives. It is crucial that they make those impacts known to their respective Senate and House representatives and remind them that—regardless of what party leadership or special interests want—the greatest consequence of their grandstanding will be felt at the voting booths. Read more here.
FASCSA Enforcement Begins: Acronis Order and What It Means for Federal Contractors, PilieroMazza Blog, Jacqueline K. Unger, Daniel Figuenick, III
As PilieroMazza blogged about here, Federal Acquisition Supply Chain Security Act (FASCSA) Orders prohibit agencies from procuring or obtaining—or extending or renewing a contract to procure or obtain—any covered article, or any good or service produced or provided by a source. The first FASCSA Order (Order) published on SAM.gov was released in September 2025 by the Office of the Director of National Intelligence (ODNI) excluding Acronis AG (Acronis), a Swiss-based cybersecurity company, from all Intelligence Community (IC) executive agency procurement actions as well as ordering the removal of covered articles provided by Acronis from information systems applicable to the IC and sensitive compartmented information systems. Our discussion summarizes what the Order means for federal contractors and what steps they should take to ensure compliance. Read more here.
Unfair by Design? Flaws in CPARS Disputes and What Needs to Change, PilieroMazza Blog, Lauren Brier
The Contractor Performance Assessment Reporting System (CPARS) heavily influences who wins federal contracts, but its dispute process is anything but fair. Agencies can post their version of events—accurate or not—with little neutral oversight, while contractors get limited time to respond and few options for real correction. It’s time for reform. Independent reviews, temporary holds on disputed ratings, clear evidence rules, and enforceable deadlines would make CPARS more accurate and balanced. Lawmakers and industry leaders must act to make the CPARS a tool that truly rewards performance and improves a contractor’s ability to compete for new awards on a level playing field. Read more here.
Small Business Administration (SBA) News Release: SBA Releases State-Level Analysis of Shutdown Impact on Small Business Lending
On October 21, the SBA released a state-level analysis of how small businesses have been impacted by the federal shutdown, which has frozen the agency’s core 7(a) and 504 small business lending programs. For fiscal year 2025 (FY25), the SBA guaranteed a record 84,400 loans, reaching $45 billion in capital for Main Street. Each business day the shutdown continues, an estimated 320 small businesses nationwide are unable to access $170 million in SBA-backed commercial loans, translating to $2.5 billion that has been blocked from 4,800 small businesses so far over the course of the shutdown. The loan programs are funded by lender fees and operate at zero subsidy, or zero cost, to taxpayers. Read more here.
Bipartisan House Bill Seeks to Equip Small Businesses with AI, NextGov/FCW
A new House bill will mandate that the federal government help small businesses across the U.S. adopt artificial intelligence solutions that benefit their operations. The AI for Mainstreet Act calls on the Small Business Administration to support small U.S. enterprises in adopting artificial intelligence systems. Read more here.
New National Security Strategy Could Redefine Homeland Defense: Experts, Defense One
“Defending the homeland” has always been the point of the national defense strategy, experts argue, but the precursors to the forthcoming update hint that the way the U.S. practices homeland defense could be changing. Recent budgets have prioritized innovation over deterrence, leaving a widening gap, according to a new report. Read more here.
Upcoming Government Contract Presentations
TRAINING: Limitations on Subcontracting: Key Updates and Tips for Compliance, November 4, 2025, Emily A. Reid, Abigail “Abby” Finan
TRAINING: SBA Regulatory Updates, November 4, 2025, Isaias “Cy” Alba, IV
TRAINING: Unlocking the Secrets of Debriefings, Government Evaluation of Proposals and Protests, November 6, 2025, Katherine B. Burrows, Eric Valle
PM WEBINAR: Maximizing Recovery: Tactics for Stop Work REAs and Termination Proposals, November 6, 2025, Lauren Brier
WEBINAR: Legal Strategies & Capture Planning, November 7, 2025, Isaias “Cy” Alba, IV
PM WEBINAR: Overcoming the Compliance Minefield of Cost-Reimbursement Contracts, Part 3: Ready, Set, Comply! Build Indirect Rates That Stand Up to DCAA Scrutiny, November 12, 2025, Isaias “Cy” Alba, IV
CONFERENCE: Mission Critical: Compliance and Preparing Defense Manufacturers for SBA’s Latest Rules, November 17, 2025, Isaias “Cy” Alba, IV
TRAINING: Understanding and Avoiding Affiliation for Small Business Government Contractors, December 2, 2025, Daniel Figuenick, III, Nathan Jahnigen
TRAINING: Joint Venture and Mentor-Protégé Bidding Strategies, December 4, 2025, Peter B. Ford, Meghan F. Leemon
CONFERENCE: Simplifying REAs in the DOD Contracts, December 4, 2025, Isaias “Cy” Alba, IV
WEBINAR: Small Business Contracting & Subcontracting, December 10, 2025, Meghan F. Leemon
WEBINAR: Government Contractors and Tariff Challenges: Strategies for Success, December 12, 2025, Jacqueline K. Unger
FALSE CLAIMS ACT / MERGERS & ACQUISITIONS
Upcoming False Claims Act Presentations
PM WEBINAR: FCA Implications for M&A Transactions, November 5, 2025, Matthew E. Feinberg, Kristen Centre
Multijurisdictional Employers: Key Changes to Pay Transparency Laws in Massachusetts and California, PilieroMazza Blog, Nichole D. Atallah, Sara Ryan
Thirteen states, and additional city jurisdictions, have enacted pay transparency requirements. Many are far reaching and include job posting requirements for jobs that are remote or could be performed in the state. Massachusetts and California are the most recent states to mandate pay transparency actions or make changes to the requirements already in place. Employers with employees in Massachusetts and California should evaluate their hiring and pay transparency practices to avoid costly penalties. Also, visit this link to view replays of our 4-part webinar series addressing legal challenges facing multijurisdictional employers. Read more here.
Senate Rejects Bills to Pay Federal Workers During Government Shutdown, Federal News Network
The Senate on Thursday rejected dueling partisan bills to pay federal workers during the government shutdown, with both Republicans and Democrats deflecting blame as many employees are set to miss their first full paycheck at the end of this week. Read more here.
BGOV Bill Analysis: S. 3012, Federal Employee Shutdown Pay, Bloomberg Government
Some federal employees who are required to work during a government shutdown would receive immediate pay and benefits under S. 3012. The bill would apply to “excepted” workers or those who aren’t furloughed during a lapse in appropriations if their work involves protecting human life or property, as determined by the head of their agency. Those employees, such as active-duty military personnel and air traffic controllers, typically aren’t paid until the shutdown ends. Read more here (subscription required).
Upcoming Labor & Employment Presentations
WEBINAR: Current Contracting Landscape, November 12, 2025, Nichole D. Atallah
CONFERENCE: Unpacking and Seizing Opportunity in Changes to Labor and Employment, November 20, 2025, Nichole D. Atallah
Industry Groups Push to Keep Open-Source Measures in Annual Intelligence Bill, Defense One
A coalition of industry groups and former officials is asking Congress to preserve measures in the annual intelligence-community authorization bill that support the use of open-source intelligence by U.S. spy agencies, according to letters first seen by Nextgov/FCW. But several elements of the intelligence community oppose the provisions in the House version of the Intelligence Authorization Act. Read more here.
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