As we reported previously, President Trump’s January 21 Executive Order (EO) 14173, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” terminated certain affirmative action requirements applicable to government contracts and federally-funded construction contracts. The EO also mandates that new provisions be included in all government contracts and all grants, certifying that counterparties do not have diversity, equity and inclusion (DEI) policies that violate federal anti-discrimination law. We noted that, in absence of additional government guidance, there was some challenge in identifying what DEI programs may be permissible going forward.
Continue Reading DEI Developments: DOJ Issues Memo, “Ending DEI and DEIA Discrimination and Preferences”
Additional Grant Pauses – Trump Administration Seeks to Maximize the Power of the Purse
In addition to the Trump administration’s general freeze on most grant funding, which was rescinded as well as enjoined by federal district courts in Rhode Island and Washington, D.C., the new administration yesterday took steps to halt funding to organizations and governmental entities that fail to comply with immigration and Education Amendments Act requirements. These additional measures, which will almost certainly face legal challenges, could cause further disruptions in federal funding to numerous jurisdictions and educational institutions, as well as to companies that provide goods and services to those entities under contracts funded by federal grants.
Continue Reading Additional Grant Pauses – Trump Administration Seeks to Maximize the Power of the PurseBid Protest Minute: Understanding the Increased DoD/Coast Guard/NASA Task Order Protest Threshold
Generally speaking, the U.S. procurement system allows companies competing for U.S. government contracts broad rights to challenge contract awards, as well as the terms of solicitations. There are, however, restrictions applicable to challenging task orders awarded under indefinite-delivery/indefinite-quantity contracts that limit where such challenges may be filed and prohibit challenges below a certain threshold. Congress recently raised the threshold applicable to certain task orders, and it is important that any company competing for government task orders as part of a business capture strategy understand those rights and limitations.
Continue Reading Bid Protest Minute: Understanding the Increased DoD/Coast Guard/NASA Task Order Protest ThresholdTrump Administration Rescinds Freeze on Federal Financial Assistance (Or Does It)?
After an immediate, severe backlash against OMB’s January 27 memo ordering a freeze on almost all federal financial assistance, as well as legal action that led to a January 28 temporary restraining order issued by the D.C. District Court minutes before the freeze was to go into effect, the Trump administration has now rescinded that memo.
Continue Reading Trump Administration Rescinds Freeze on Federal Financial Assistance (Or Does It)?Key Changes to Federal Contract and Grant Rules: What Government Contractors and Grant Recipients Need to Know About Trump’s First Week
UPDATE (January 29, 2026): On January 28, Law360 reported that the D.C. District Court issued a temporary restraining order enjoining OMB’s directive to freeze federal financial assistance. We will closely monitor and report on further developments.
The first seven days of the Trump administration have brought new meaning to the saying that the only constant in government contracting is change. Multiple executive actions promise to be just the start of what is expected to be a period of significant change to the rules governing federal contracts and grants. This summary provides government contractors, grant recipients, and compliance professionals with an overview of significant changes to federal contract and grant rules, with more to come over the coming weeks.
Continue Reading Key Changes to Federal Contract and Grant Rules: What Government Contractors and Grant Recipients Need to Know About Trump’s First WeekPresident Trump Revokes Executive Order 11246
“Ending Illegal Discrimination and Restoring Merit-Based Opportunity” (Order) is one of President Trump’s most recent executive orders. The Order was signed on January 21, 2025. The Order revoked Executive Order EO11246 (EO11246), along with several other previously enacted executive orders aimed at promoting diversity, equity and inclusion (DEI) in the workplace. EO11246 has been in
Bid Protest Minute: GAO Decision Clarifies SAM Registration Rule
On January 8, the Government Accountability Office (GAO) sustained a pre-award bid protest filed by Bass, Berry & Sims PLC (Bass Berry), which challenged the Federal Law Enforcement Training Centers’ (FLETC or the Agency) determination to exclude the protester, UNICA-BPA JV, LLC (UNICA), from a competition when UNICA had an active SAM registration at the time of final proposal revision (FPR), but not at the time of its initial proposal submission. The decision clarifies that FAR 52.204-7, System for Award Management applies to the proposal that would bind the offeror to perform the resultant contract.
Continue Reading Bid Protest Minute: GAO Decision Clarifies SAM Registration RuleAthira Pharma Inc. Agrees to Settle False Claims Act Allegations
On January 6, the Department of Justice (DOJ) announced that Athira Pharma Inc., a Washington-based biopharmaceutical company, agreed to pay over $4 million to settle allegations it violated the False Claims Act (FCA). The DOJ alleges Athira failed to report allegations of research misconduct in its grant applications, award progress reports, and assurances. The settlement serves as a reminder to companies performing on grants that the Department of Health and Human Services (HHS) takes allegations of research misconduct seriously and grantees must closely adhere to regulatory requirements related to disclosing such allegations.
Continue Reading Athira Pharma Inc. Agrees to Settle False Claims Act AllegationsBid Protest Minute: COs Must Account for Corporate Restructuring When Assessing Qualifications
On November 13, the Government Accountability Office (GAO) sustained a protest by DecisionPoint Corporation concluding that when the Air Force determined EmeSec, a wholly owned subsidiary of DecisionPoint, was ineligible for award for not having the correct certification, it improperly ignored the effect of a novation. The GAO reasoned that the merger between EmeSec and DecisionPoint made DecisionPoint the new prime and therefore, DecisionPoint’s proposal, which included the required certification, should have been considered. The decision underscores the need for contractors, as well as agencies, to carefully consider the impact of mergers and acquisitions on eligibility for pending awards, an issue we have previously written about.
Continue Reading Bid Protest Minute: COs Must Account for Corporate Restructuring When Assessing QualificationsNinth Circuit Deflates Contractor Minimum Wage Mandate
On November 5, the Court of Appeals for the Ninth Circuit held that the president lacks the authority under the Federal Property and Administrative Services Act (FPASA or Act) to impose a $15 minimum wage on federal contractors and remanded the case to the district court to reconsider in light of the Ninth Circuit’s decision. For decades administrations have used FPASA to implement social policy under the guise of government procurement rules, and courts have typically upheld these actions.
Continue Reading Ninth Circuit Deflates Contractor Minimum Wage Mandate