BLOG: SBA Publishes Important Proposed Rule Changes to 8(a) and Mentor-Protégé Programs

Today, SBA published a proposed rule  to merge its mentor-protégé programs and amend many of its rules governing the 8(a) program and small businesses. The proposed rule would have significant implications for the government contracting community. Comments are due by January 17, 2020, and  PilieroMazza  will host a seminar on November 18, 2019, from 7:30 AM – 10:30 AM EST at The Ritz-Carlton, Tysons Corner. Our seminar will feature  Pamela Mazza , Managing Partner of  PilieroMazza , and  John Klein , Associate General Counsel for Procurement Law at the  Small Business Administration  (SBA) and . . . Read More

BLOG: 2019 GAO Bid Protest Annual Report: Number of Protests Filed Drops by 16%

GAO recently issued its annual report to Congress , which provides data concerning protest filings for Fiscal Year (FY) 2019. [1] GAO’s annual report confirms a sharp decrease in the number of protests filed. Notably, 2,198 protests were filed in FY 2019—a 16% decrease from FY 2018. The report does not identify a reason for the decrease, but one driver may be the jurisdictional limits on protesting task orders. Initiatives like Category Management have led to more and more requirements being procured as task orders. According to . . . Read More

BLOG: Small Talk: SBA Size Calculation for Government Contractors

With changes to size standards this year based on inflation estimated to enable 89,730 firms to gain small business status, annual size recertification requirements , and potentially severe penalties for misrepresentation of size, it is essential that government contractors calculate their size correctly and keep their System for Award Management profile up to date. This is often daunting, as size standards differ by industry and, depending on your industry and the procurement you are pursuing, you may have to calculate your size with . . . Read More

BLOG: Microsoft Upsets Amazon in Winner-Take-All Award of Defense Department’s JEDI Contract

On October 25, 2019, the Department of Defense (“DoD”) issued an award of its $10 billion Joint Enterprise Defense Infrastructure (“JEDI”) cloud computing contract to Microsoft, beating out Amazon Web Services (“AWS”), the long-time favorite to receive the award. DoD’s decision has come as a shock to most federal procurement experts and cloud service providers (“CSPs”), as many believed JEDI was tailor-made for AWS based on the contract’s advanced technical standards, as well as its stringent security certification requirements.  The . . . Read More

BLOG: Helping Government Contractors Prevent Unwarranted Tax Liabilities in Afghanistan

On September 20, 2019, the Department of Defense (“DoD”), General Services Administration (“GSA”), and National Aeronautics and Space Administration (“NASA”), published a document proposing to amend the Federal Acquisition Regulation (“FAR”) to add two new clauses that notify contractors about the exemptions from liability for Afghanistan taxes, customs, duties, fees or similar charges. Comments for the proposed rule will continue to be accepted on or before November 19, 2019. Small and large government contractors performing in Afghanistan need to ensure . . . Read More

BLOG: A Thank You to the Small Business Administration: SBA Takes a Stand on OIG’s Approach to Suspension and Debarment

The ability to suspend and debar contractors is a tool the federal government can deploy when necessary to protect it from unscrupulous contractors. Critically, it is not intended to be used punitively. The reason for this is clear, especially when dealing with small businesses: if you debar or suspend a company without evidence that it is not a responsible contractor, you risk destroying part of the United States’ industrial base and numerous jobs that Americans rely on without good cause. Too often . . . Read More

BLOG: Government Contractor Acquisitions and Clearances: Deal Structure Matters

Our Corporate and Government Contracts attorneys often counsel contractors interested in acquiring an entity with a clearance or assets used on a classified contract. The clearance is a consideration in the transaction that cannot be overlooked. Indeed, the clearance is often one of the seller’s most important “assets.” Buyers and sellers alike should be aware of the National Industrial Security Program Operating Manual (“NISPOM”) requirements. For instance, if the acquisition is a stock purchase and the buyer holds the acquired firm as . . . Read More

BLOG: Buyer Beware: More Stringent Standards for Government Contractors under the Buy American Act on the Horizon

President Trump has made “buy American and hire American” a key goal for his administration. To that end, the President has signed three executive orders to impose stricter enforcement of the Buy American Act (BAA), the latest of which was issued on July 15, 2019.  While this new Executive Order on Maximizing Use of American-Made Goods, Products, and Materials (the Executive Order) does not have any immediate effect on federal procurements, it proposes significant changes to the Buy American requirements, . . . Read More

BLOG: Start Preparing Now for DoD’s Upcoming Cybersecurity Maturity Model Certification (CMMC)

For a while now, we have been writing about the increasing impact of cybersecurity on the government contracting world, which, as Jon wrote, has become the “ fourth pillar ” of Department of Defense (DoD or the Agency) acquisitions. The latest evidence of this was discussed by our colleague, Dave Shafer, in his recent blog discussing a new DoD cybersecurity certification. This certification, called Cybersecurity Maturity Model Certification or “CMMC,” will significantly alter the DoD-acquisition landscape next year.  Indeed, when this certification requirement comes . . . Read More

BLOG: Impact of DOL’s Changes to FLSA Salary Basis Test on Government Contractors and Commercial Businesses

On September 24, 2019, the Department of Labor (DOL) announced its final rule  to change the Fair Labor Standards Act’s (FLSA) salary basis test, which is integral to classifying an employee as exempt from overtime payments. In order to designate an employee as FLSA overtime exempt, an employer must ensure that the employee meets both a salary basis test, which establishes a salary threshold, and a duties test, which establishes the types of responsibilities and knowledge required to be eligible for an . . . Read More