As the Trump administration continues to eliminate federal positions and reduce contract and grant outlays, many private companies will likely be eyeing current and former government employees for employment over the coming months. However, companies looking to hire former government employees must keep in mind the strict and nuanced rules that govern their hiring, and, in some cases, prohibit contractors from paying former government employees and limit their ability to appear before their former agencies.
Continue Reading Ethics Rules Applicable to Hiring Former Federal Government Employees
Executive Order on Federal Contracting Transparency: Potential Challenges and Implications
A new executive order is set to reshape federal contracting by implementing more stringent transparency measures, but it may also create significant challenges for both government agencies and contractors.
Continue Reading Executive Order on Federal Contracting Transparency: Potential Challenges and ImplicationsJudge Denies Government’s Motion to Stay Injunction of Anti-DEI Executive Orders
On March 3 Judge Abelson of the U.S. District Court for the District or Maryland denied the government’s motion for a stay pending appeal of the preliminary injunction halting the termination of equity-related federal grants and contracts and stopping the imposition of new diversity, equity and inclusion (DEI)-related certification requirements in federal agreements, among other actions required by President Trump’s DEI-related Executive Orders 14151 and 14173.
Continue Reading Judge Denies Government’s Motion to Stay Injunction of Anti-DEI Executive OrdersExecutive Order Directs Systematic Review of “Covered Contracts and Grants” For Possible Termination
Over the first month of the new administration, President Trump has directed the review or termination of certain types of contracts and grants, including equity-related agreements, awards under the Inflation Reduction Act and the Investment and Jobs Act, and foreign aid agreements awarded by USAID. Those actions, while disruptive, have been limited to certain agreement types or agencies.
Continue Reading Executive Order Directs Systematic Review of “Covered Contracts and Grants” For Possible TerminationCOFC Decision Significantly Broadens OTA Bid Protest Jurisdiction
On February 24, Judge Armando Bonilla of the Court of Federal Claims (COFC) declined to dismiss a challenge to a $648 million award under a Missile Defense Agency (MDA) development deal, finding that the court had jurisdiction to review Other Transaction (OT) Authorities like the one at issue. For years, unsuccessful offerors have found it difficult to challenge OT award (OTA) decisions because both the GAO and COFC have found they have limited jurisdiction over these types of agreements.
Continue Reading COFC Decision Significantly Broadens OTA Bid Protest JurisdictionDEI Executive Orders Enjoined by Maryland District Court
On February 21, the Maryland District Court issued an injunction prohibiting the administration from implementing requirements in Executive Order (EO) 14151, Ending Radical and Wasteful Government DEI Programs and Preferencing, and EO 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity.
Continue Reading DEI Executive Orders Enjoined by Maryland District CourtGSA Issues FAR Class Deviations Implementing DEI Requirements
On February 15, the U.S. General Services Administration (GSA) announced two new “class deviations” (CDs) making a number of changes to the procurement rules applicable to GSA solicitations and contracts, including leases of real property.
Continue Reading GSA Issues FAR Class Deviations Implementing DEI RequirementsFifth Circuit Delivers Boost to Presidential Authority Under the FPASA
On February 4, the Fifth Circuit Court overturned a September 2023 order from a Texas trial court finding President Biden lacked the authority under the Federal Property and Administrative Services Act (FPASA or Act) to increase the minimum wage for federal contractors to $15 per hour. A three-judge panel found the president was within his authority under FPASA to hike the minimum wage because the president subjectively determined the hike would benefit government contracting and the order was objectively compatible with the language of the statute. The breadth of presidential authority under FPASA has recently become a hotly contested legal issue. The Fifth Circuit decision adds another circuit court weighing in on an issue that has already split the Ninth and Tenth circuits, increasing the likelihood that the Supreme Court weighs in.
Continue Reading Fifth Circuit Delivers Boost to Presidential Authority Under the FPASACan the NIH Cap Indirect Cost Rates at 15%?
Note: This post was updated with new information on February 13, 2025.
On February 7, the National Institutes of Health (NIH) issued Supplemental Guidance to its 2024 NIH Grants Policy Statement, Indirect Cost Rates, purporting to cap indirect cost (also called facilities and administration, F&A) rates at 15% for all new grants issued as well as for go forward expenses for existing grants for educational purposes. The purported basis for the cap, which is a quarter or less of the indirect rate charged by many universities, hospitals, and other research institutions, is that 15% is in line with the rate permitted by a number of foundations.
Continue Reading Can the NIH Cap Indirect Cost Rates at 15%?Project Labor Agreements No Longer Mandated for Large Federal Construction Contracts
On January 21, in MVL, Inc., et al. v. United States, the U.S. Court of Federal Claims (COFC) struck down a 2022 Executive Order (EO), as well as the implementing Federal Acquisition Regulation (FAR), signed by then-President Biden that required government contractors to enter Project Labor Agreements (PLAs) in order to compete on federal construction projects valued at over $35 million.
Continue Reading Project Labor Agreements No Longer Mandated for Large Federal Construction Contracts