Weekly Update for Government Contractors and Commercial Businesses – August 11, 2022

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GOVERNMENT CONTRACTS

New SBA Rule Enhances Past Performance Opportunities for Small Businesses, Sam Finnerty, 08.10.22
On August 22, 2022, the Small Business Administration will implement a final rule that provides two new methods by which small businesses can obtain past performance credit when competing for federal prime contracts. First, the rule allows certain small business offerors to rely on the past performance of joint ventures in which they were a member. Second, the rule establishes a process by which certain small businesses can request, obtain, and rely upon past performance obtained when performing as a first-tier subcontractor. This rule greatly expands the ability of small businesses to establish a record of meaningful and relevant past performance. Key takeaways of the final rule are discussed below. Read more here.

Law360 Publishes Meghan Leemon’s Article on the Extension of SBA’s Bona Fide Place of Business Moratorium
Law360 recently published an article by Meghan Leemon, an attorney in the Government Contracts Group at PilieroMazza. In the Expert Analysis piece, titled “Benefits Of The Extended SBA Place Of Business Moratorium,” Meghan discusses the Small Business Administration’s (SBA) extension of its moratorium on enforcement of the bona fide place of business requirement, giving small, disadvantaged businesses more time to participate in 8(a) construction projects without the need for an SBA-approved place of business. Read more here.

Sweeping Budget Package Passes Senate; House on Deck Friday
The Senate passed the Inflation Reduction Act of 2022, a $750 billion economic package aimed at funding clean energy programs, raising taxes for corporations, and lowering healthcare costs. The House is expected to vote on the bill on Friday. Read more here. A summary of relevant sections of the bill is available here.

Senate Passes a Bill to Root Out Conflicts of Interest in Federal Contracting
The Senate passed a bill that aims to root out conflicts of interest in federal contracting by including new disclosure requirements and updating how agencies determine whether contractors have potential conflicts of interest. The Preventing Organizational Conflicts of Interest in Federal Acquisition Act would require federal contractors to disclose business relationships that oppose the services they provide to the American public or otherwise interfere with the work they have been hired to perform by federal agencies. The bill is expected to pass the House as well. Read more here.

Senate Committee Approves AGILE Procurement Act for IT and Communications Tech
The Advancing Government Innovation with Leading-Edge—AGILE—Procurement Act of 2022 was advanced by the Senate Committee on Homeland Security and Governmental Affairs, with the aim of improving government IT procurement. The AGILE Procurement Act aims to modernize and improve the efficiency of federal government technology acquisition by recruiting and retaining qualified professionals and removing roadblocks for high-tech small businesses that want to work with the government. Read more here.

Streamlining DOJ Acquisition Regulations
The Department of Justice (DOJ) revised the Justice Acquisition Regulations (JAR) in its entirety to update and streamline agency procurement actions consistent with the Federal Acquisition Reform Act and the Federal Acquisition Streamlining Act. The JAR supplements the executive branch-wide Federal Acquisition Regulations to address matters specific to DOJ’s procurement of goods and services. It covers mostly internal policies and procedures, but also includes some rules governing private entities doing business with DOJ. The update is effective September 2, 2022. Read more here.

National Cyber Director’s Office Sheds Light on Forthcoming Cybersecurity Strategy
Dylan Presman, Director for Budget and Assessment at the Office of the National Cyber Director, said his office was in the midst of leading an interagency collaboration with the private sector on a draft cybersecurity strategy that aims to align U.S. policy choices with White House cybersecurity goals and national digital aspirations through a data-driven approach. Read more here.

Upcoming Government Contracts Presentations

WEBINAR: Identifying and Quantifying Government Contract Claims, August 17, Peter Ford. Read more here.

EVENT: GovCon Mergers and Acquisitions, August 31, Cy Alba. Read more here.

EVENT: How to File a Request for Equitable Adjustment or Claim on Your Contract, August 31, Jon Williams. Read more here.

WEBINAR: Protecting Your Confidential Information: FOIA Exemption 4 for Government Contractors, September 15, Kevin Barnett. Read more here.

LABOR & EMPLOYMENT

DOL, Esri Agree to Resolve Alleged Pay Discrimination at California Headquarters; Company to Pay $2.3M to 176 Female Workers
The Department of Labor (DOL) has entered into a conciliation agreement with Esri to resolve preliminary findings of a federal compliance evaluation that allege the company paid 176 female employees less than their male counterparts in 2017. DOL’s Office of Federal Contract Compliance Programs alleged that from Jan. 1 through Dec. 31, 2017, Esri—a digital mapping and analytics company—systemically discriminated against 143 female software development engineers and 33 female quality assurance engineers at its California headquarters. Read more here.

Upcoming Labor & Employment Presentations

WEBINAR: Non-Displacement, September 9, Nichole Atallah. Read more here.

LITIGATION & DISPUTE RESOLUTION

SBA Statement on the Signing of the Paycheck Protection Program and Bank Fraud Enforcement Harmonization Act and the COVID-19 Economic Injury Disaster Loan Fraud Statute of Limitations Act
The Small Business Administration (SBA) issued a statement regarding the signing of two pieces of legislation, (1) the Paycheck Protection Program (PPP) and Bank Fraud Enforcement Harmonization Act and (2) the COVID-19 Economic Injury Disaster Loan Fraud Statute of Limitations Act. The first act extends the statute of limitations to 10 years for fraud by borrowers in the PPP. It applies to first and second PPP loans. The second act extends the statute of limitations to 10 years for fraud by borrowers in the Economic Injury Disaster Loan (EIDL) and EIDL advance program. Read more here.

Monmouth County Company Agrees to $7.6 Million Judgment for Violating False Claims Act
A Monmouth County, New Jersey, company will pay $7.6 million under a consent judgement for its role in making false statements to obtain government contracts that were set aside for businesses owned and controlled by service-disabled veterans. As alleged in the government’s complaint: VE Source LLC, based in Shrewsbury, New Jersey; the company’s owners, Sherman Barton and Christopher Neary; and a related entity, Vertical Source LLC, defrauded the federal government by falsely claiming that VE Source was eligible for government contracts that were set aside for companies owned and controlled by service-disabled veterans. Read more here.

Upcoming Litigation & Dispute Resolution Presentations

WEBINAR: Small Government Contractors and the FCA: Is More Enforcement on the Horizon? August 31, Jackie Unger and Matt Feinberg. Read more here.