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Trump 2.0: Implications for Federal Spending and the Workforce, PilieroMazza Blog, Isaias “Cy” Alba, IV
The election of former President Trump has the potential to significantly change the federal procurement landscape. As with his first term, President-elect Trump will prioritize government efficiency, including plans to reduce the federal workforce and certain spending. Government contractors could see (1) reductions in the federal workforce; (2) disruptions in the procurement process, resulting in slower procurements; (3) increased reliance on Governmentwide Acquisition Contracts (GWACs), which may lead to fewer opportunities for small business set-asides; and (4) contracts in certain sectors—e.g., infrastructure, defense, and cybersecurity—likely remaining unaffected or presenting more opportunities, while other areas such as Education, diversity support, and a variety of other areas being cut substantially. Read more here.
General Services Administration (GSA) Final Rule: GSA Acquisition Regulation (GSAR), SAM Representation for Leases
On November 15, GSA published a final rule removing the requirement for lease offerors to have an active System for Award Management registration when submitting offers and instead allowing offers up until the time of award to obtain an active registration. The rule is available here and will be effective December 16, 2024.
Department of Defense (DOD) Rules: Defense Federal Acquisition Regulation Supplement (DFARS)
On November 15, DOD published three final rules and a proposed rule with a request for comments regarding updates to the DFARS. Technical Amendments are available here.
- Final Rule: Inapplicability of Additional Defense-Unique Laws and Certain Non-statutory DFARS Clauses to Commercial Item Contracts: DOD is issuing a final rule amending the DFARS to implement sections of the National Defense Authorization Acts for Fiscal Years 2018 and 2019 regarding the applicability of certain solicitation provisions and contract clauses to contracts and subcontracts for commercial products, commercial services, and commercially available off-the-shelf items. The rule is available here and will be effective November 25, 2024.
- Final Rule: Past Performance of Affiliate Companies of Small Business Concerns: DOD is issuing a final rule amending the DFARS to implement a section of the National Defense Authorization Act for Fiscal Year 2024 that provides direction to contracting officers evaluating the past performance of small business concerns. The rule is available here and effective November 15, 2024.
- Final Rule: Updates to the Definition of Departments and Agencies: DOD is issuing a final rule amending the DFARS to update the existing definition of “departments and agencies.” The unpublished rule is available here and effective November 15, 2024.
- Proposed Rule: Disclosure of Information Regarding Foreign Obligations: DOD is proposing to amend the DFARS to implement a section of the National Defense Authorization Act for Fiscal Year 2019, which prohibits DOD from acquiring products, services, or systems relating to information or operational technology, cybersecurity, industrial control systems, or weapon systems through a contract unless the offeror or contractor provides disclosures related to sharing source code and computer code with foreign governments. The rule is available here. Comments close January 14, 2025.
House Republicans Say They’ll Confer With Trump on Shutdown Avoidance Plans, Government Executive
House Republicans are planning to strategize with President-elect Trump on their path forward to funding the government past the current Dec. 20 deadline, leaders of the conference said. Read more here.
Trump Vows to ‘Dismantle Federal Bureaucracy’ and ‘Restructure’ Agencies With New, Musk-Led Commission, Government Executive
President-elect Trump is vowing to restructure federal agencies and slash bureaucracy as part of a new entity led by billionaire executive Elon Musk and tech entrepreneur and former presidential candidate Vivek Ramaswamy. Vivek Ramaswamy, who has vowed to cut 75% of the federal workforce, will co-chair the initiative. Read more here.
Upcoming Government Contracts Presentations
TRAINING: Mergers & Acquisitions in Government Contracting: Novations and Recertification, December 10, 2024, Isaias “Cy” Alba, IV, Cole R. Fox
SEMINAR: Small Business Contracting & Subcontracting, December 13, 2024, Meghan F. Leemon
FALSE CLAIMS ACT / AUDITS & INVESTIGATIONS
PPP Loans Under the Microscope: False Claims Act and Enforcement Trends, PilieroMazza Blog, Isaias “Cy” Alba, IV, Daniel Figuenick, III
While the COVID-19 pandemic may feel like a distant memory for many, its effects continue to reverberate for others—particularly for businesses that obtained loans through the Paycheck Protection Program (PPP). Whether forgiven or not, these loans remain subject to scrutiny. The Small Business Administration (SBA) and the Department of Justice (DOJ) can pursue criminal or civil charges against individuals involved in PPP loan fraud for up to ten years after the offense. Borrowers should ensure they maintain all relevant documentation and engage legal counsel immediately upon receiving a subpoena or document request to mitigate risks. Read more here.
Major Federal IT Contracts to Remove ‘Unnecessary’ Degree Requirements, NextGov/FCW
The General Services Administration will be using a skills-based hiring approach for IT cybersecurity jobs in its planned Polaris and Alliant 3 governmentwide contracts, the White House announced. The push to focus on skills-based hiring for federal jobs dates back to the first Trump administration. The Biden White House has continued these efforts. Read more here.
Upcoming Labor & Employment Presentations
TRAINING: Labor Rules & Regulations: Federal Market Compliance, December 11, 2024, Sarah L. Nash
DHS Releases Guidance for AI in Critical Infrastructure, Government Executive
The Department of Homeland Security unveiled a new series of recommendations for the safe use of artificial intelligence tools in U.S. critical infrastructure, breaking down flexible guidance by each sector included in the broader AI supply chain. DHS worked with its diverse AI Safety and Security Board to develop a holistic approach for securing critical infrastructure that leverages AI technologies. Read more here.