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Upcoming Events: Register to attend PilieroMazza’s upcoming events here. Recent Thought Leadership: Check out PilieroMazza’s recent client alerts and blogs here. Podcasts: Listen to PilieroMazza’s podcasts GovCon Live! here, Clocking in with PilieroMazza here, and Ex Rel. Radio here. |
SWIFT to Launch May 1: DOD Fast Tracks Software Deployment Opening New Doors for Defense Contractors, PilieroMazza Blog, Samuel S. Finnerty
In a decisive move to stay ahead in an era of rapidly evolving digital threats, the Department of Defense (DOD) is accelerating its push for software modernization. The upcoming launch of the Software Fast Track (SWIFT) Program on May 1 marks a major step in the DOD’s efforts to streamline software deployment by addressing long-standing bottlenecks in the software authorization process. For defense contractors, SWIFT presents an opportunity to deliver mission-critical software to the DOD more rapidly, ensuring it reaches warfighters faster. Read more here.
OMB Issues Memoranda on Use and Acquisition of AI by Federal Agencies, Part 1: What It Means for Government Contractors, PilieroMazza Blog, Isaias “Cy” Alba, IV, Jacqueline K. Unger, Joseph P. Loman, Ryan Boonstra
On April 3, 2025, the Office of Management and Budget (OMB) issued two memoranda addressing the accelerated use and efficient acquisition of Artificial Intelligence (AI) by federal agencies: M-25-21 and M-25-22. The memos implement Executive Order 14179, “Removing Barriers to American Leadership in Artificial Intelligence,” issued by President Trump on January 23, 2025. This blog is the first in a two-part series discussing the first memo, M-25-21, which focuses on the use of AI by federal agencies, signaling a significant shift in how federal agencies acquire and integrate AI, and what government contractors—particularly those working in IT, data science, and emerging technologies—need to do now to prepare. Read more here.
The Rise of OTA in Defense Contracting, Part 3: Best Practices for OTA Negotiations, PilieroMazza Blog, Isaias “Cy” Alba, IV, Josie Farinelli
In this Part 3 of PilieroMazza’s blog series, “The Rise of OTA in Defense Contracting,” we discuss tactics and best practices defense contractors should deploy when negotiating terms once selected for an OT award. This is essential guidance to strengthen your position and protect your interests throughout the contract’s lifecycle. Read more here.
The Rise of OTA in Defense Contracting, Part 2: What Is It, Who’s Eligible, and Where to Find Opportunities, PilieroMazza Blog, Isaias “Cy” Alba, IV, Josie Farinelli
In Part 1 of PilieroMazza’s blog series (linked here), we looked at how Other Transactions Authority (OTA) has emerged as a key acquisition tool for government contractors eager to work with the Department of Defense (DOD). In Part 2, we’ll unpack what OTA is, who can participate in these agreements, and where to look for OTA-related opportunities. Read more here.
Department of Defense (DOD) News:
- Defense Secretary Orders Additional Remedies, More Clarity on COVID-19 Reinstatements: On April 23, DOD announced that the Defense Secretary signed a memorandum directing more clarity regarding the reinstatement of service members for not complying with the COVID-19 vaccination mandate. The memorandum requires additional remedies for those servicemembers. Read more here.
- Defense Officials Outline AI’s Strategic Role in National Security: On April 24, DOD announced that DOD officials and industry experts discussed the future of artificial intelligence, highlighting how Defense Secretary Pete Hegseth’s push for innovation, lethality, and readiness is shaping the department’s approach to AI. Read more here.
Upcoming Government Contract Presentations
PM WEBINAR: 2024-2025 Bid Protest Decisions with Far-Reaching Impacts for Government Contractors, May 8, 2025, Katherine B. Burrows, Eric Valle
TRAINING: Unlocking the Secrets of Debriefings, May 15, 2025, Ryan Boonstra, Kelly A. Kirchgasser
MERGERS & ACQUISITIONS / LITIGATION & DISPUTE RESOLUTION
Managing Litigation Risk During the Business Lifecycle, Part 2: Business Acquisition and Post-Closing Disputes, PilieroMazza Blog, Abigail “Abby” L. Baker, Todd M. Reinecker, Ashley Krause, Matthew Healy, Nathan Jahnigen
There’s a tongue-in-cheek joke within the legal industry that transactional lawyers create the problems, and the litigators get paid to clean them up. It’s a cautionary reminder to transactional lawyers: if the dealmaking process is not precise (or well-documented), then the risk of post-closing litigation is increased. In this second installment of PilieroMazza’s blog series, “Managing Litigation Risk During the Business Lifecycle,” we explore how a company acquiring another company can minimize litigation risk by taking a methodical and thoughtful approach during the business acquisition and post-closing stages. Read more here.
CONSTRUCTION / REAs, CLAIMS, AND APPEALS
Top 10 Killer Construction Contract Clauses, Part 1: No Damages for Delay, PilieroMazza Blog, Jessica A. duHoffmann, Jonathan “Jon” R. Neri
Those familiar with the construction industry know that construction projects are seldom, if ever, completed within the time originally anticipated at the project’s outset. Fortunately, prime contractors and lower-tier subcontractors are often permitted to seek additional costs stemming from owner-caused delays—commonly referred to as compensable delays. However, the presence of a no damages for delay clause in a contract can significantly impede a contractor’s and subcontractor’s ability to pursue claims for compensable delay. Because delays increase construction costs, construction contractors and subcontractors should understand these provisions, and any limitations on their enforceability to better manage risk on both public and private construction projects. Read more here.
Upcoming Construction Presentations
WEBINAR: How Do I Get Paid When They Stop Paying? Strategies for Construction Contractors, 08.01.25, Jessica A. duHoffmann, Tracey L. Pruiett
Multijurisdictional Employers, Part 1: Independent Contractors vs. Employees, Classifications Under Federal and State Laws, PilieroMazza Webinar Replay, Nichole D. Atallah, Georgianne “Georgi” Kokenis
Join PilieroMazza’s Nichola Atallah and Georgi Kokenis for an in-depth webinar as they explore the factors influencing worker classification; key legal tests used by the IRS, Department of Labor, and state agencies; and practical steps employers can take to remain compliant. Click here to access the webinar replay.
White House Presidential Action: Strengthening Probationary Periods in the Federal Service
On April 24, President Trump issued an Executive Order (EO) requiring agency approval and certification that probationary employees would “advance the public interest” before becoming a tenured employee. Probationary employees’ employment with the Government will automatically terminate at the end of the probationary period, absent such agency approval and certification. Agencies are required to meet with probationary employees to review performance and conduct this review 60 days before the end of the trial or probationary period. Agency certification would be required 30 days before the last day of the trial or probationary period. The EO allows the Director of the Office of Personnel Management to implement policies and procedures for appealing termination from the probationary or trial period. Read more here.
Office of Personnel Management Proposed Rule: Improving Performance, Accountability and Responsiveness in the Civil Service
On April 23, OPM published a proposed rule and request for comments regarding its rule to increase career employee accountability. Agency supervisors report great difficulty removing employees for poor performance or misconduct. The proposed rule lets policy-influencing positions be moved into the Schedule Policy/Career category. These positions will remain career jobs filled on a nonpartisan basis. Yet they will be at-will positions excepted from adverse action procedures or appeals. This will allow agencies to quickly remove employees from critical positions who engage in misconduct, perform poorly, or undermine the democratic process by intentionally subverting Presidential directives. The rule is available here. Comments close May 23, 2025.
VA Forces Staff in Workforce Reduction Discussions to Sign Non-Disclosure Agreements, Government Executive
The Veterans Affairs Department is requiring all employees working on its plans to slash tens of thousands of workers from its rolls to sign non-disclosure agreements, an unusual move that has prevented supervisors from sharing basic information with staff. Read more here.
Ex-Feds Launch Websites to Help Unemployed Civil Servants Find New Jobs, Government Executive
Many federal employees are looking for positions outside of government following reductions in force and the Trump administration’s push for workers to take separation incentives. Read more here.
Trump Administration Lacks Standing to Sue to Enforce Anti-Labor Executive Order, Union Says, Government Executive
The American Federation of Government Employees argued that the Trump administration’s effort to procure a judgment in favor of an executive order stripping two-thirds of the federal workforce of their collective bargaining rights is effectively fishing for a federal judge’s advisory opinion, which is unlawful. Read more here.
Transportation Consolidates IT Personnel and Decision-Making, Government Executive
The Department of Transportation is undergoing changes to how it manages its information technology staff and projects, with new directives from Secretary Sean Duffy aiming to boost efficiency in the agency by shuffling how IT systems and activities are run. Two memos document a new organizational structure that establishes the CIO as the point person for all IT activity across the agency’s various subcomponents. Read more here.
As Re-Firings Begin, Judge Demands Trump Administration Tell Probationary Employees They Were Not Let Go for Poor Performance, Government Executive
Federal agencies must inform thousands of employees fired during their probationary periods that they were not let go as a result of their performance, a judge has ruled, though he will allow the dismissals to once again take place. Court declines to block more firings of recently hired staff, saying individual agencies are now making their own decisions. Read more here.
Trump Administration Estimates 50,000 Federal Employees Will Lose Civil Service Protections, Federal News Network
Approximately 50,000 career federal employees are on track to see their civil service protections removed, as the Trump administration pushes forward with converting workers in government policy roles to an “at-will” employment status. Read more here.
Interior Solicits Employees’ Resumes In Preparation for Widespread Layoffs, Government Executive
The Interior Department is asking its employees to turn over their resumes as it prepares to slash its workforce, with major changes expected in early May. A reorganization and consolidation effort is expected to begin within two weeks and employees are already heading for the exits in droves. Read more here.
State to Slash 15% of Domestic Staff, Eliminate 132 Offices, Government Executive
The State Department will eliminate 15% of its domestic staff as part of reorganizing the entire agency, which will usher in the closure of 132 offices. Layoffs are expected by July 1, though embassy and overseas closures are not yet part of the plan. Read more here.
Del. House Bill Would Exempt Overtime Pay from Income Tax, Law360
Delaware would exempt eligible workers’ overtime pay from state income tax under a bill introduced in the state House of Representatives. Read more here (subscription required).
Upcoming Labor & Employment Presentations
TRAINING: Labor Rules & Regulations: Federal Market Compliance, May 21, 2025, Nichole D. Atallah
PM WEBINAR: Multijurisdictional Employers, Part 2: 2025 State-by-State Updates on Non-Compete and Non-Solicitation Agreements, June 5, 2025, Sarah L. Nash, Zachary S. Stinson