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Department of Defense (DOD) Proposed Rule: Transactions Other Than Contracts, Grants, or Cooperative Agreements for Prototype Projects
On September 4, DOD published a proposed rule and request for comments regarding revisions to its Other Transaction (OT) Agreements regulations for prototype projects. Proposed changes include authority for follow-on production OTs, special considerations for small businesses and nontraditional defense contractors, and procurement ethics requirements for covered OT agreements. The rule is available here. Comments close November 4, 2024.
Department of Defense (DOD) Memorandum: Class Deviation – Prohibition on Procurement of Foreign-Made Unmanned Aircraft Systems (UAS)
On August 28, DOD issued a class deviation, effective immediately, that rescinds and supersedes a class deviation from 2020. The class deviation implements Section 848 of the National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2020 and Section 817 of the NDAA for FY 2023, which prohibits the procurement of UAS made in a covered foreign country including the People’s Republic of China, the Russian Federation, the Islamic Republic of Iran, and the Democratic People’s Republic of Korea. The Memorandum is available here.
Government Accountability Office (GAO) Report: Federal Information System Controls Audit Manual (FISCAM) 2024 Revision
On September 5, GAO released an update to the FISCAM, which guides auditors in assessing Federal Information System controls to comply with the Yellow Book. This version supersedes the prior version of the FISCAM, which was released in 2009, and updates auditing standards, industry practice, control criteria, and emerging technology. The full report is available here.
H.R. 8333, BIOSECURE Act, Passed House
On September 9, H.R. 8333 passed in the House of Representatives and will next go to the Senate for consideration. This Bill was introduced to the House Oversight and Accountability and Intelligence Committees by Rep. Wenstrup (R-OH-2) on May 10, 2024. If enacted, this bill will prohibit contracting with specific biotechnology providers that are linked to the Chinese government unless the agency requests a waiver. The full text of the bill as introduced in the House is available here.
There Is Little Consensus in Washington on Spending Following August Recess, Government Executive
The House last weekend unveiled a continuing resolution that would fund federal programs for six months at fiscal 2024 levels and institute new voter ID provisions, a nonstarter for Democrats. With just three weeks left to avert a federal government shutdown on Oct. 1, lawmakers and the White House remain deadlocked over the terms – and length – of a short-term deal to fund federal agencies. Read more here.
Cost of VA’s Digital GI Bill Has Nearly Doubled Amid Delays and Contract Challenges, Government Executive
VBA signed a $453 million contract with Accenture Federal Services in March 2021 to develop and implement a new Digital GI Bill platform to improve the processing of education-related claims and modernize related systems. The system was initially scheduled to be operational by April 2024. VA’s Office of Inspector General found that “insufficient planning by VBA hindered development and completion of the Digital GI Bill platform and has led to significant delays and contributed to about $479 million in additional costs.” Read more here.
Upcoming Government Contract Presentations
TRAINING: Unlocking the Secrets of Debriefings, Government Evaluation of Proposals and Protests, September 26, 2024, Katherine B. Burrows, Eric Valle
SEMINAR: Common Scenarios Triggering False Claims Act Violations, Part 1: Government Contracts and Cybersecurity, September 26, 2024, Matthew E. Feinberg, Jacqueline K. Unger, Mark F. Rosenow
SEMINAR: Common Scenarios Triggering False Claims Act Violations, Part 2: Construction and Workforce Issues, October 1, 2024, Matthew E. Feinberg, Jessica A. duHoffmann, Sarah L. Nash
SEMINAR: Common Scenarios Triggering False Claims Act Violations, Part 3: Claims and Investigations, October 10, 2024, Matthew E. Feinberg, Mark F. Rosenow
WEBINAR: Requests for Equitable Adjustment: Optimizing Recovery from Changes to Government Contracts, October 10, 2024, Lauren Brier
TRAINING: Past Performance: How to Use Yours, Benefit from Others’, and Defend It from Attacks, October 16, 2024, Katherine B. Burrows, Daniel Figuenick, III
TRAINING: Joint Venture and Mentor-Protege Bidding Strategies, October 17, 2024, Peter B. Ford, Meghan F. Leemon
CONFERENCE: What’s New in GovCon? Important Legal Updates for Government Contractors, October 30, 2024, Isaias “Cy” Alba, IV
DCSA Rolling Out Continuous Vetting to a Million More Feds, Federal News Network
As part of the government’s Trusted Workforce 2.0 initiative, DCSA is starting to implement continuous vetting for feds and contractors who don’t need clearances but work in public trust positions. The goal is to bring about a million employees — ranging from police officers to nurses to custodial staff working in sensitive locations — under the CV umbrella within the next year. Read more here.
Biden Formally Announces 2% Average Pay Raise for Feds in 2025, Government Executive
President Biden formalized his plan to provide civilian federal workers with an average pay increase of 2% next year. Read more here.
Upcoming Labor & Employment Presentations
CONFERENCE: Why Should Business Leaders Care About HR? It’ll Cost You If You Don’t, September 27, 2024, Nichole D. Atallah
TRAINING: ABCs of the SCA: Critical Path Service Contract Act Training for Government Contractors, October 22, 23, and 24, 2024, Nichole D. Atallah, Sarah L. Nash
NATIVE AMERICAN LAW & TRIBAL ADVOCACY
Small Business Administration (SBA) Notice: Tribal Consultation for HUBZone Program Updates and Clarifications and Potential Reforms
On September 6, SBA published a notice of a meeting with Tribes regarding its proposed rule that was published on August 23, 2024. The Tribal consultation meeting in Washington, D.C., will discuss the proposed revisions to the Historically Underutilized Business Zone (HUBZone) program and other SBA programs. SBA is also seeking comments and input about implementing the Executive Order, “Reforming Federal Funding and Support for Tribal Nations,” to increase accessibility, equity, flexibility, and utility of Federal funding and support programs for Tribal Nations. The testimony presented at the Tribal consultation will be considered as part of the administrative record when deliberating on changes to the HUBZone and 8(a) BD program regulations. The notice is available here. The meeting is on September 23, 2024, from 2 pm to 5 pm EDT. Pre-registration is requested by September 16, 2024.
CORPORATE & ORGANIZATIONAL GOVERNANCE
Financial Crimes Enforcement Network (FinCEN) Update: Beneficial Ownership Information (BOI) Frequently Asked Questions (FAQs)
On September 10, FinCEN updated its BOI FAQs to add clarification that entities that cease to exist before the deadline to file the BOI report do not have to submit reports. The FAQs also clarify that historical beneficial owners, if they are not beneficial owners at the time of filing the report, do not have to be reported. The FAQs are available here.
Securities and Exchange Commission (SEC) Press Release: SEC Publishes Small Business Educational Resources About Income Statements and Balance Sheets
On September 9, SEC announced that it released and published resources for small business owners that provide information regarding balance sheets and income statements as they relate to raising capital and funding a small business. Read more here. SEC’s Capital-Raising Building Blocks are available here.
NGA to Launch $700M Data Labeling Competition, Federal News Network
The National Geospatial-Intelligence Agency plans to release a major request for proposals for data labeling services and is starting a new initiative to set standards for AI models. NGA is looking to expand its use of AI and machine learning to grapple with the rapidly growing availability of commercial satellite imagery and other GEOINT data. Read more here.