SAM Registration Update: Notarized Letter Requirement Change and New Deadline Looming
As most government contractors may know by now, in order to proactively fight against alleged fraudulent activity in the System for Award Management (SAM), the General Services Administration (GSA) issued a rule that required all entities to “provide an original, signed notarized letter stating that you are the authorized Entity Administrator before your registration will be activated.” On June 11, 2018, GSA issued an update to the notarized letter requirement in two parts. The first, which went into effect on . . . Read More
SBA Eliminates “Direct” Ownership Rules for HUBZone Program
On March 26, 2018, the U.S. Small Business Administration (SBA) issued a direct final rule that changed the wording of 13 C.F.R. § 126.200(b)(1) to allow indirect ownership by U.S. citizens of companies in the HUBZone program. The stated purpose of the rule change is to align more accurately the rule with the underlying statutory authority. Prior to this change the HUBZone rules required that a HUBZone company be “unconditionally and directly owned” by U.S. citizens. The rule took effect . . . Read More
GAO Overturns OTA Award to REAN Cloud
On May 31, 2018, GAO sustained a protest filed by Oracle America, Inc. (“Oracle”) challenging the Army’s entry into a follow-on production other transaction agreement (“OTA”) with REAN Cloud LLC (“REAN”). Oracle alleged that the Army did not properly exercise its authority in entering the follow-on production OTA with REAN. GAO agreed. The OTA was for the migration of legacy software applications to a commercial cloud service provider. REAN is an Amazon Web Services partner. The initial award was $950 . . . Read More
OHA Reaffirms the Relevancy of the Date of Self-Certification
In the Matter of ASIRTek Federal Services, LLC, SBA No. VET-269 (2018), SBA found that the apparent awardee of a contract set aside for service-disabled veteran-owned small businesses (“SDVOSB”) was ineligible as an offeror because its joint venture agreement (“JVA”) failed to conform to the regulatory requirements. On appeal, SBA’s Office of Hearings and Appeals (“OHA”) upheld the finding of ineligibility, noting that the appellant’s JVA was defunct because it was dated more than a year before the solicitation was . . . Read More
Doing Double-Duty: Your Claim Can Serve as Your Complaint in a Claim Appeal
The Civilian Board of Contract Appeals (“Board”) recently held that a contractor’s claim could serve as its complaint when appealing the denial of that contractor’s claim. In K.O.O. Construction, Inc. v. Department of Veterans Affairs, CBCA 6072, 2018 WL 1899353, the appellant, K.O.O. Construction, Inc. (“KOO”) filed a nineteen-page, single-spaced, certified claim with various exhibits with the U.S. Department of Veterans Affairs (“VA”). VA did not respond to the claim, and KOO filed an appeal of VA’s “deemed denial” of . . . Read More
Who Are the “Key Management Personnel” for Purposes of My Company’s Facility Clearance?
Whether a federal contractor can be cleared depends on its people. Specifically, whether a company can obtain a facility clearance (“FCL”) depends on the personnel clearances (“PCL”) of the company’s Key Management Personnel (“KMP”). For instance, if a company needs a secret FCL for contract performance, then the company’s KMP either need to have a secret PCL or be excluded from access to classified information. Contractors often ask who the KMP for their companies are supposed to be. At a . . . Read More
Legislative Remedies for Surviving Midsize
Back when you started your small business, and the very prospect of making payroll for the month was nerve-wracking, you probably never imagined that your company might actually become too successful. Now, as you get closer to midsize, this very concern may have crossed your mind. Once a company’s revenues exceed the size standard for its industry, it is no longer afforded the federal protections and opportunities of a small business, and it graduates to “midsize,” the undefined middle ground . . . Read More
The Protests Are Coming: Draft DoD Guidance Reveals How Cyber Readiness Will Impact Contract Evaluations
We have been blogging and giving webinars since last year about the DoD requirements around cybersecurity for contractors that are subject to DFARS 252.204-7012. Please view our past blogs and webinars here and here to get more of the backstory. In a nutshell, DoD contractors operating nonfederal IT systems and subject to DFARS 252.204-7012 were required to have a system security plan (“SSP”) in place by December 31, 2017, to demonstrate compliance with the recommended security controls in NIST SP 800-171. Although . . . Read More
SBA Amends Its Recertification Rules: Effectively Overturns Recent OHA Case
In a noteworthy decision earlier this year, the Small Business Administration’s (“SBA”) Office of Hearings and Appeals (“OHA”) confirmed the broad nature of SBA’s general rule that a contractor maintains its size and socio-economic status for the life of a contract. See In the Matter of Analytic Strategies, Inc., SBA No. VET-268 (Jan. 29, 2018) . This case required OHA to interpret the SBA regulation establishing the recertification rule in the context of Service-Disabled Veteran-Owned Small Business Concern (“SDVO SBC”) status. The regulation permits a concern that initially qualifies as an SDVO SBC . . . Read More
Big Changes Proposed to SBA’s Size Standards Methodology
Being and remaining a small business in the eyes of the government is one of the most important considerations for every federal contractor participating in small business set-aside programs. The rules of the contracting game change significantly if your company is small versus “other than small.” On April 27, 2018, SBA released a proposed rule that could impact your status as a small business, as SBA goes forward with its statutorily mandated revision of the size standards that dictate the . . . Read More