Biden Proposes Emissions Reduction and Reporting Standards for Federal Contractors
The Biden-Harris Administration recently published a proposed rule on Federal Supplier Climate Risks and Resilience (Proposed Rule). The Proposed Rule intends to further the goals set forth in Biden’s Executive Order on Catalyzing Clean Energy Industries and Jobs Through Federal Sustainability (E.O. 14057) and to reduce the financial risks faced by the federal government from climate change-related supply chain disruptions. The Proposed Rule would set standards on emissions reporting, climate-related financial risk disclosure, and emissions reduction targets for federal contractors and subcontractors. Primarily, the Proposed Rule would require major suppliers to establish Paris Agreement-aligned emissions reduction goals. The . . . Read More
U.S. Treasury Issues Guidance on CFIUS Enforcement and Penalties
On October 20, 2022, the U.S. Department of the Treasury (Treasury) released the Committee on Foreign Investment in the United States (CFIUS or the Committee) Enforcement and Penalty Guidelines (the Guidelines ). The Guidelines describe (1) three categories of conduct that may constitute as CFIUS violations, (2) the Committee’s process for imposing penalties, and (3) factors the Committee considers when determining whether a penalty is warranted and the scope of such penalty. Since this is the first time the Treasury released . . . Read More
Prohibition on Use or Delivery of Chinese Telecommunications and Video Surveillance Products and Services: The Potential Link Between Section 889 of the 2019 NDAA and Section 1260H of the 2021 NDAA
Over the past few days, PilieroMazza received a number of inquiries related to our recent posting entitled DOD Releases New List of Section 889 Banned Entities . In that post, we discussed how DOD recently released a new list of entities determined by DOD to be deemed “Chinese Military Companies.” This release was not made under Section 889 of the 2019 NDAA but instead under Section 1260H of the 2021 National Defense Authorization Act (NDAA). This caused confusion related to the potential intersection of the two laws and whether one . . . Read More
SBA Proposes Revisions to Ownership and Control Requirements for the 8(a) Business Development Program
As PilieroMazza noted recently here , the Small Business Administration (SBA) released a major proposed rulemaking that will impact government contractors, primarily those that are participants in the 8(a) Business Development Program. PilieroMazza has posted a series of blogs regarding SBA’s proposed rulemaking, and this client alert highlights some of the proposed changes that pertain specifically to the 8(a) Program. Ownership and Control As you may be aware, there are certain ownership restrictions on an 8(a) firm. One of the restrictions . . . Read More
Potential Changes on the Horizon for DOT’s Disadvantaged Business Enterprise Program
The Department of Transportation’s (DOT) Disadvantaged Business Enterprise (DBE) Program is in the midst of a major overhaul that would update, streamline, and clarify existing rules, strengthen implementation, and increase reporting requirements. The DOT’s DBE Program allows small businesses owned by socially and economically disadvantaged individuals to tap into billions of dollars’ worth of contracting opportunities issued at the state and local level through federally-funded infrastructure projects. On July 21, 2022, DOT issued a notice of proposed rulemaking (Rule) which presents the biggest potential . . . Read More
Overcoming the Inflation Crisis: The Ins-and-Outs of Extraordinary Contractual Relief for Government Contractors
An all-but-forgotten remedy in government contracting, Extraordinary Contractual Relief (ECR) , is in the midst of a potential resurgence due to the Department of Defense’s (DOD) most recent memorandum on inflation entitled Managing the Effects of Inflation with Existing Contracts . As PilieroMazza previously discussed , the current inflation crisis prompted DOD to suggest that, subject to the availability of funds, contractors should seek ECR when seeking an upward adjustment to the price of an existing firm-fixed-price contract. If you are a government contractor impacted by inflation while performing a contract, see below for the ins‑and‑outs . . . Read More
Disloyal Employees: Disgorgement Offers Employers Some Reprieve
In many states, employees owe a duty of loyalty to their employer as long as they remain on the employer’s payroll. In other words, employees must generally act in the best interests of their employer—and not solely for their own self-interest—throughout the course of their employment. This is particularly the case for employees serving in management- or supervisory-level roles or where the employee has access to the employer’s confidential information, trade secrets, or “secret sauce.” But what can an employer . . . Read More
DOD Releases New List of Section 889 Banned Entities
On October 5, 2022, the Department of Defense (DOD), in compliance with Section 889 of the National Defense Authorization Act for Fiscal Year 2019, released an updated list (Blacklist) of banned People’s Republic of China (China) military companies. PilieroMazza recently wrote about Part B of Section 889 taking full effect for DOD contractors on October 1, 2022. Section 889 is a broad prohibition to the use of any covered Chinese technology posing a threat to U.S. cybersecurity and national security. Section 889 . . . Read More
SBA Seeks Comments on Proposed Updates to the 8(a) Program and Many Other Government Contracting Programs
On September 9, 2022, the Small Business Administration (SBA) published a proposed rule that would make many significant changes to SBA’s 8(a) program requirements, the Women-Owned Small Business (WOSB) and HUBZone programs, subcontracting, protests, and more. Public comments on SBA’s proposals are due by November 8, 2022. Government contractors that participate in any of SBA’s small business programs should take note of the proposed changes and consider whether to address them through public comment. There is a lot to unpack in this . . . Read More
Labor & Employment Scoop! Important Takeaways for Government Contractors from NILG 2022
In this blog, PilieroMazza ’s Labor & Employment attorney Sara Nasseri summarizes important takeaways for government contractors from the National Industry Liaison Group (NILG) Conference in July, which focuses on developments and updates surrounding EEO, affirmative action, HR compliance and diversity and inclusion issues. Described below are key priority items for the OFCCP and the EEOC, as well as updates to state laws impacting government contractors in 2022 and beyond. Also, please visit this link to register for PilieroMazza’s upcoming webinar detailing these changes and how to . . . Read More