SBA to Enact Significant Changes to Small Business Regulations Before 2020: Everything You Need to Know
On November 29, 2019, the U.S. Small Business Administration (“SBA”) issued a final rule (“Rule”) that will implement several provisions of the National Defense Authorization Acts (“NDAA”) of 2016 and 2017 and the Recovery Improvements for Small Entities After Disaster Act of 2015 (“RISE Act”), as well as other clarifying amendments. As we outlined nearly a year ago when the Rule was first proposed, these changes address key small business issues for government contractors, including: subcontracting plans, the non-manufacturer rule (“NMR”), Information Technology Value . . . Read More
BLOG: No More “Consent to Subcontract” for 8(a) Firms
Firms that participate in the U.S. Small Business Administration (“SBA”) 8(a) program operate in a highly regulated environment. For years, 8(a) firms were required to seek approval, or “consent to subcontract,” from contracting officers and SBA to subcontract work on an 8(a) contract. In September, with little fanfare, the Federal Acquisition Regulatory Council removed the consent-to-subcontract requirement from two Federal Acquisition Regulation (“FAR”) clauses (FAR 52.219-12 and 52.219-17), which are supposed to be incorporated in all 8(a) contracts. According to . . . Read More
BLOG: Turning Compliance Into a Competitive Edge: Cybersecurity Maturity Model Certification (CMMC) Levels 1 – 3 Update
PilieroMazza previously wrote at some length about the Cybersecurity Maturity Model Certification (CMMC), particularly following release of revision (rev.) 0.4 for public comment. The Department of Defense (DoD) has now released rev. 0.6 for public comment and review. Rev. 0.6 incorporates the public comments resulting from review of rev. 0.4 and, pursuant to those comments, has significantly streamlined the requirements present in rev. 0.4. [1] DoD government contractors will need to prepare for the implementation of CMMC in order to use their compliance as a competitive edge. . . . Read More
BLOG: JEDI Protest Saga Continues: Amazon Protests Microsoft’s Award in Court of Federal Claims
On November 8, 2019, Amazon filed a bid protest pre-filing notice with the Court of Federal Claims (“COFC”) indicating its intent to protest the Department of Defense’s (“DoD”) award of the Joint Enterprise Defense Infrastructure (“JEDI”) contract to Microsoft. Amazon’s decision to move forward with a protest does not come as a surprise to most practitioners who have been following this hotly contested procurement since its inception. For government contractors, if you are protesting an award, make certain you do . . . Read More
BLOG: Trouble with Tariffs? You May Have the Basis for an REA or a Claim
In recent years, tariffs have been imposed on an array of goods, ranging from electronics to solar panels to industrial equipment. For companies bidding on contracts now, the tariffs may not be a concern, as the tariffs can be factored into the pricing proposal. However, for government contractors performing contracts that were awarded before the tariffs were imposed, the tariffs may result in increased and unanticipated costs. Those increased costs may provide the basis for a request for equitable adjustment . . . Read More
BLOG: SBA Publishes Important Proposed Rule Changes to 8(a) and Mentor-Protégé Programs
Today, SBA published a proposed rule to merge its mentor-protégé programs and amend many of its rules governing the 8(a) program and small businesses. The proposed rule would have significant implications for the government contracting community. Comments are due by January 17, 2020, and PilieroMazza will host a seminar on November 18, 2019, from 7:30 AM – 10:30 AM EST at The Ritz-Carlton, Tysons Corner. Our seminar will feature Pamela Mazza , Managing Partner of PilieroMazza , and John Klein , Associate General Counsel for Procurement Law at the Small Business Administration (SBA) and . . . Read More
BLOG: 2019 GAO Bid Protest Annual Report: Number of Protests Filed Drops by 16%
GAO recently issued its annual report to Congress , which provides data concerning protest filings for Fiscal Year (FY) 2019. [1] GAO’s annual report confirms a sharp decrease in the number of protests filed. Notably, 2,198 protests were filed in FY 2019—a 16% decrease from FY 2018. The report does not identify a reason for the decrease, but one driver may be the jurisdictional limits on protesting task orders. Initiatives like Category Management have led to more and more requirements being procured as task orders. According to . . . Read More
BLOG: Small Talk: SBA Size Calculation for Government Contractors
With changes to size standards this year based on inflation estimated to enable 89,730 firms to gain small business status, annual size recertification requirements , and potentially severe penalties for misrepresentation of size, it is essential that government contractors calculate their size correctly and keep their System for Award Management profile up to date. This is often daunting, as size standards differ by industry and, depending on your industry and the procurement you are pursuing, you may have to calculate your size with . . . Read More
BLOG: Microsoft Upsets Amazon in Winner-Take-All Award of Defense Department’s JEDI Contract
On October 25, 2019, the Department of Defense (“DoD”) issued an award of its $10 billion Joint Enterprise Defense Infrastructure (“JEDI”) cloud computing contract to Microsoft, beating out Amazon Web Services (“AWS”), the long-time favorite to receive the award. DoD’s decision has come as a shock to most federal procurement experts and cloud service providers (“CSPs”), as many believed JEDI was tailor-made for AWS based on the contract’s advanced technical standards, as well as its stringent security certification requirements. The . . . Read More
BLOG: Helping Government Contractors Prevent Unwarranted Tax Liabilities in Afghanistan
On September 20, 2019, the Department of Defense (“DoD”), General Services Administration (“GSA”), and National Aeronautics and Space Administration (“NASA”), published a document proposing to amend the Federal Acquisition Regulation (“FAR”) to add two new clauses that notify contractors about the exemptions from liability for Afghanistan taxes, customs, duties, fees or similar charges. Comments for the proposed rule will continue to be accepted on or before November 19, 2019. Small and large government contractors performing in Afghanistan need to ensure . . . Read More