The Weekly Update for November 4, 2016
DEPARTMENT OF DEFENSE Withholding of Unclassified Technical Data and Technology from Public Disclosure The Department of Defense (“DOD”) Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics has proposed a rule that establishes policy, assigns responsibilities, and prescribes procedures for the dissemination and withholding of certain unclassified technical data and technology subject to the International Traffic in Arms Regulations and Export Administration Regulations. It applies to DOD components, their contractors and grantees, and is meant to control . . . Read More
Proposed Circular Could Change the Way the Government Procures Common Goods and Services
By Michelle Litteken On October 7, 2016, the Office of Management and Budget (“OMB”) issued Proposed OMB Circular No. A-XXX, Implementing Category Management for Common Goods and Services . If implemented, the proposed Circular could dramatically change the way the fovernment purchases common goods and services. The Circular defines “common goods and services” as “those items and services that all or most federal agencies procure and are not unique to the mission of an individual agency.” Common goods and services are interchangeable and are usually commercially available. In FY 2015, the government spent . . . Read More
Far Reaching Impact of DOL’s Increase to FLSA Salary Thresholds
Beginning on December 1, 2016, employees who are salaried and classified as exempt administrative, professional or executive employees must make at least $922 dollars per week or $47,476 per year to remain exempt from the overtime requirements of the Fair Labor Standards Act, in addition to meeting the duties requirements of the exemption. This regulatory change more than doubles the current salary threshold of $455 per week and is likely to significantly increase the cost of doing business. While many . . . Read More
How Should a Government Contractor Prepare the Company for Sale?
By Dana Livne Whether you have decided to sell your company or have just begun considering the possibility, you will want to make the most out of your market potential. The preparation you undertake before the sale will help you maximize this unique opportunity, and to a large extent, determine your financial and professional future. To put your business in the strongest position for sale, it is crucial that you prepare a strong business exit strategy. This plan should include . . . Read More
Fair Pay Safe Workplaces Halted But Not Dead
On October 24, on the eve of its implementation, the U.S. District Court for the Eastern District of Texas issued a nationwide order halting the implementation of the bulk of Executive Order 13673, Fair Pay Safe Workplaces, which imposes new reporting requirements on government contractors regarding labor law violations and prohibits them from entering into pre-dispute arbitration agreements for matters arising under Title VII of the Civil Rights Act and for torts based on sexual assault or harassment. Under the . . . Read More
Non-Commercial Computer Software Rights and Government Misconceptions About What It Buys
This article is the third installment in a series on Data Rights in Federal Contracts. We first wrote about what data rights were ; then about technical data and how to protect it ; and now we will discuss ownership, license rights, and the protection of rights in non-commercial computer software. Because non-commercial computer software is treated like non-commercial data under the FAR (a topic discussed at length in the prior installment of this series), we will focus now on how non-commercial software is treated under the DFARS. That said, the general principles discussed . . . Read More
Take Note of This Law Regarding Small Business Offerors Under Multiple Award Contracts
By Julia Di Vito The National Defense Authorization Act (“NDAA”) for Fiscal Year 2016, which went into effect on November 25, 2015, contains some requirements regarding multiple award contracts that you might not know about. The 2016 NDAA amended part of the Small Business Act, 15 U.S.C. § 644(q), which governs the award of contracts by the Federal Government. This statute, as amended, now requires that for any multiple award contract above the “substantial bundling threshold of the Federal agency,” the agency . . . Read More
Expiration of GAO’s Jurisdiction of Civilian Agency Task Order Protests Limits Government Contractor Options
As of October 1, the U.S. Government Accountability Office’s (“GAO”) jurisdiction over protests on civilian agency task orders valued at more than $10 million expired, leaving government contractors with limited grounds for protesting such task order awards. In 1994, the Federal Acquisition Streamlining Act (“FASA”) was enacted in response to concerns that the federal procurement process was too cumbersome and complicated. One of the FASA reforms included a limitation on contractors’ ability to protest the issuance of task order awards, . . . Read More
More Work Needed to Improve the HUBZone Program
The HUBZone Program needs some TLC. After a peak of 14,000 SBA-certified participants in 2009, the HUBZone Program has seen a significant drop in participation over the past few years due to various factors. This, in turn, has led to a marked downturn in federal spending on HUBZone firms, while other set-aside categories have consistently met or exceeded the federal spending goals. In a 2015 report, GAO recommended ways for SBA to improve HUBZone Program oversight as well as communication . . . Read More
Employer Potentially Responsible for Employee’s Shooting Rampage
By Corey Argust What Kind of Risk Might Employers Face Because of an Employee’s (Unexpected) Behavior? On September 15, 2016, the U.S. District Court for the District of Columbia allowed claims of negligent supervision and retention to proceed against the government contractors who employed the person responsible for the 2013 mass shooting at the Washington Navy Yard. DeLorenzo v. HP Enterprise Services, LLC, et al., Case 1:15-cv-00216-RMC (D.D.C. Sept. 15, 2016). In denying motions to dismiss the claims of negligent supervision . . . Read More