The Weekly Update for January 11, 2019
GOVERNMENT CONTRACTING A Government Executive article discussed the impact of the shutdown on some defense contractors. As the partial government shutdown continues, some American defense firms are receiving multi-million-dollar IOUs instead of payments. For example, executives for Science Applications International Corporation (SAIC) and Engility, two of the government’s largest service contractors, said the payroll for workers idled by the shutdown comes to $10 million every week, and, just three weeks into the freeze, they say the government is about $40 million . . . Read More
The Weekly Update for January 4, 2019
GOVERNMENT CONTRACTING According to an article on Law360, American freight shipping company, YRC Worldwide (YRC), was sued in a securities class action lawsuit filed in New York federal court that claims investors paid the ultimate price when the company allegedly overcharged the federal government for carrier services and later tried to cover it up. An investor, who is looking to represent all those who bought stock in YRC from March 10, 2014, to December 14, 2018, alleges that YRC hid . . . Read More
The Weekly Update for December 28, 2018
COMMENTS SUBMITTED IN RESPONSE TO THE SMALL BUSINESS ADMINISTRATION’S PROPOSED RULE ON THE HUBZONE PROGRAM, RIN 3245-AG38 On December 27, 2018, PilieroMazza submitted comments to the U.S. Small Business Administration’s proposed rule regarding changes to the HUBZone Program. The proposed rule outlines a comprehensive overhaul to the program’s current eligibility and compliance requirements. GOVERNMENT CONTRACTING A Nextgov article discussed the potentially significant impacts the government shutdown may have on government contractors, especially small businesses. The article recommended that contractors have preparations in . . . Read More
OHA Explains Which SDVOSB Eligibility Rules Apply in Its First VA SDVOSB Protest Decision
Starting October 1, 2018, the U.S. Small Business Administration’s (“SBA”) Office of Hearings and Appeals (“OHA”) now has jurisdiction over all service-disabled veteran-owned small business (“SDVOSB”) status protests when the procuring agency is the U.S. Department of Veterans Affairs (“VA”). Previously, SDVOSB status protests on SDVOSB set-aside solicitations issued by VA were decided by VA. Now, OHA hears all SDVOSB status protests on VA procurements and has recently issued its first decision in an SDVOSB status protest in connection with . . . Read More
The Weekly Update for December 14, 2018
GOVERNMENT CONTRACTING A former National Aeronautics and Space Administration (NASA) Facility Chief pleaded guilty to receiving illegal gratuities. Steven Eric Kremer, a former Chief of the Range and Mission Management Office at NASA’s Wallops Flight Facility (WFF) pleaded guilty to receiving gratuities in exchange for official acts performed in his capacity as a government official as well as stealing funds from a government contract. As Chief of the Range and Mission Management Office, Mr. Kremer administered the Range Operations Contract (ROC)—a multi-year . . . Read More
Congress Passes New Receipts Calculation for Determining the Size of Small Businesses
On December 6, 2018, the Senate passed the Small Business Runway Extension Act (HR 6330) , which amends the Small Business Act by changing the time period for determining a company’s size based on average annual receipts. Initially, the Small Business Act required a company’s compliance with the size standards to be prescribed on the basis of the company’s average annual receipts from the previous three years; the Small Business Runway Extension Act extends this time to the previous five years. The House passed the bill on . . . Read More
Important Changes Governing Limitations on Subcontracting Immediately Affecting All DoD Procurements
In a welcome step towards regulatory conformity, on December 4, 2018, the FAR Council finally issued its proposed rule to bring the FAR into compliance with the statutory requirements of § 1651 of the NDAA for FY 2013, which governs limitations on subcontracting. The proposed rule will conform the FAR’s limitations on subcontracting clause, FAR 52.219-14, with how SBA performs the calculation, codified at 13 C.F.R. § 125.6. The proposed rule signals an end to two years of relative uncertainty for contractors . . . Read More
The Weekly Update for December 7, 2018
RULES AND REGULATIONS Proposed Rules The Small Business Administration (SBA) published a proposed rule amending its regulations and implementing provisions of the NDAAs of 2016 and 2017 as well as the Recovery Improvements for Small Entities After Disaster Act of 2015 (RISE Act). The proposed rule would (1) clarify that contracting officers have the authority to request information in connection with a contractor’s compliance with applicable limitations on subcontracting clauses; (2) provide exclusions for purposes of compliance with the limitations . . . Read More
The Weekly Update for December 3, 2018
RULES AND REGULATIONS The Department of Veterans Affairs (VA) issued a proposed rule on November 29, 2018 proposing to amend and update its VA Acquisition Regulation (VAAR) in phased increments to revise or remove any policy superseded by changes in the FAR. It will also remove procedural guidance that is internal to the VA, move it to the VA Acquisition Manual, and incorporate new agency-specific regulations or policies. The proposed rule would also add VAAR coverage concerning Environment, Energy and . . . Read More
The Weekly Update for October 22, 2018
DEFENSE DEPARTMENT Class Deviation-Commercial Items Omnibus Clause for Acquisitions Using the Standard Procurement System According to an article on acq.osd.mil , this class deviation rescinds and supersedes Class Deviation 2013-00019. Effective immediately, when using the Standard Procurement System (SPS) to contract for commercial items, all Department of Defense (DOD) contracting activities may deviate from the requirements at Federal Acquisition Regulation (FAR) 12.301 (b)( 4) and the clause at FAR 52.212-5, Contract Terms and Conditions Required To Implement Statutes or Executive Orders- . . . Read More