OFCCP’s Growing Activism Portends Stricter Enforcement
The Department of Labor (DOL) Office of Federal Contract Compliance Programs (OFCCP) has taken several actions during the past six months that signal it will adopt a more forceful posture in ensuring that federal contractors meet their affirmative action and non-discrimination obligations toward their workforce. To prepare themselves for heightened scrutiny and tighter deadlines, government contractors should take steps now to set up their records for quick retrieval during OFCCP audits and rectify any unjustified pay disparities among their employees. . . . Read More
Fraud Allegations Could Bedevil Borrowers in SBA COVID-19 Relief Programs for Many Years
As everyone who has been tracking the COVID-19 relief programs since 2020 knows, at the outset there was massive confusion about the programs’ requirements as well as fear that funding could run out before businesses with uncertain futures could secure assistance. Now, two years later, we have heard from numerous clients who have received notice that the Small Business Administration (SBA) intends to audit the Paycheck Protection Program (PPP) Loan or Economic Injury Disaster Loan (EIDL) applications, and even of . . . Read More
GSA Seeks Feedback on Potential Changes to Polaris Joint Ventures
On May 13, 2022, the General Services Administration (GSA) published draft proposed changes to the Polaris Government-Wide Acquisition Contract (GWAC). Specifically, the agency is proposing to revise Section L.5.1.3.1 of the request for proposals (RFP), dealing with joint ventures, after reviewing industry feedback and engaging with the Small Business Administration (SBA). GSA emphasized that the language is in draft form and is subject to change. Most importantly, members of the small business information technology community are encouraged to provide feedback to Polaris@gsa.gov by . . . Read More
Federal Circuit Clarifies the Scope of Incorporation by Reference
A recent Federal Circuit decision supplies helpful direction to contractors wishing to incorporate their standard commercial terms and conditions into their government contracts. The federal government often claims that it wants to make its contracting process more like the commercial marketplace, but the government does not make it easy for commercial companies to do business with it. CSI Aviation, Inc. v. Dep’t of Homeland Security highlights the potential confusion surrounding the terms and conditions governing government contracts for commercial products or services. There, the contractor succeeded after several . . . Read More
SBA Requests Comments on Potential Change in Size Standard for Resellers
On April 26, 2022, the U.S. Small Business Administration (SBA) issued a proposed rule regarding its small business size standards for federal contractors in manufacturing and other industries with employee-based size standards. Small business federal contractors should take note of the proposed changes and consider whether to address this proposal by submitting a public comment by the June 27 deadline. SBA’s proposals include potential increases in the size standards for 150 industries. These include the size standard for surgical appliance and supplies manufacturing . . . Read More
GSA Will Expand Joint Ventures’ Eligibility to Secure GSA Schedule Contracts Beyond Information Technology
By the end of May, the General Services Administration (GSA) will issue a Multiple Award Schedule (MAS) modification that will open all special item numbers to the GSA Springboard program. As a result, joint ventures will be able to secure all Special Item Numbers (SINs) under the consolidated MAS contracts, not just under IT SINs. With this good news in mind, contractors should consider whether to use their joint ventures to apply for MAS contracts that were formerly unavailable. The Springboard program . . . Read More
Buy American Act Final Rule Strengthens Domestic Sourcing Requirements
The Federal Acquisition Regulatory Council (FAR Council) published a final rule on March 7 that bolsters domestic sourcing requirements in federal procurement under the Buy American Act (BAA). This rule makes several significant changes to limit government contractors’ reliance on foreign products and component parts. Even though the final rule does not take effect until October 25, 2022, government contractors should be preparing for it now. PilieroMazza will discuss the new rule in a webinar on the BAA on April 27. Soon after . . . Read More
ESOPs Have Opportunity to Shape DOD Pilot Program on Sole Source Follow-On Contracts
In late 2021, the National Defense Authorization Act for Fiscal Year 2022 (FY 2022 NDAA) included a first-of-its-kind provision that authorized a pilot program through which businesses that are owned 100% by an employee stock ownership plan (ESOP) could qualify for sole source awards on a follow-on contract. Of course, the devil is in the details, and this potentially historic provision merely authorized the program but included no details. The opportunity to fill in those details has arrived. The Department of Defense (DOD) recently announced that companies can . . . Read More
GSA Pauses Polaris RFPs
GSA’s Polaris RFPs are on pause after the agency received comments regarding the evaluation of joint ventures. GSA is now assessing whether changes are required to the RFPs and is temporarily pausing the RFPs until further notice. WOSBs, SDVOSBs, and HUBZone IT service providers should pause proposal activities until the assessment is completed. This assessment may be an indication that GSA is carefully considering aspects of Polaris RFPs that will hopefully be beneficial to both large and small contractors and improve . . . Read More
SBA Increases Its Size Standards, Opening More Opportunities for Winning Government Contracts
The long-awaited increase to size standards by the Small Business Administration (SBA) has arrived. On March 31, 2022, SBA issued four final rules that increase the small business size standards for a number of industries. As a result, many businesses will gain eligibility for federal small business assistance programs or retain eligibility for a longer period. These programs include SBA’s business loan programs, Economic Injury Disaster Loan (EIDL) program, and federal procurement programs that provide targeted, set-aside opportunities for small . . . Read More