Government Contracts

Regulatory Round-Up

Regulatory considerations, industry best practices, relevant audits and reviews, and upcoming industry events

BRG’s Government Contracts Advisory Services (GCAS) group is a leading provider of consulting services to government contractors in the defense, construction, engineering, healthcare/health insurance, higher education, nonprofit, manufacturing, technology, hospitality and retail industries.

The US federal government is the largest consumer of services and goods in the world. With that comes a highly complex and regulated acquisition environment. GCAS experts and consultants specialize in providing advice throughout the entire lifecycle of contracts and grants. From solicitation to contract and grant closeout, our BRG professionals work with awardees and contractors to address regulatory complexity proactively. GCAS service offerings include government contract and grant accounting, Federal Acquisition Regulation (FAR), and Cost Accounting Standards (CAS) consulting, business system validation services, indirect rates and incurred cost submissions consultation, bid protest, and investigation and litigation services.

This Regulatory Round-Up highlights the latest news, regulations, and impactful updates that could impact clients and businesses, along with regulatory considerations, industry best practices, relevant audits and reviews, and upcoming industry events.

By the Numbers: Trends in 2023 False Claims Act Recoveries

With a record-breaking number of settlements and judgments, 2023 proved to be a busy year for False Claims Act recoveries. Here’s what key stakeholders need to know.

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Final Rule on Use of PLAs in Federal Construction Projects

Implementing Provisions of Executive Order 14063

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2024 National Defense Authorization Act

$886.3 billion authorized for national defense discretionary programs.

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Final Rule on Nondisplacement of Qualified Workers Under Service Contracts

The Department of Labor issued a final rule establishing standards and procedures for the nondisplacement protections of Executive Order (EO) 14055.

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DCAA Contract Audit Manual Compensation Limit Updated

The Office of Federal Procurement Policy recently published the compensation cap amount for the Statutory Fiscal Year 2024.

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OMB Rewrite of Uniform Guidance – Part 2: Procurement

We highlight key proposed changes related to procurement standards. The proposed rule contains several revisions that affect procurement standards.

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OMB Rewrite of Uniform Guidance – Part 1: Cost Principles

The proposed revisions span a number of 2 CFR 200 requirements. This initial discussion addresses the proposed revisions that affect cost principles only.

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GAO Releases 2023 Bid Protest Report

The Government Accountability Office (GAO) released an annual report to congressional committees highlighting key bid protest statistics and high-level insights into GAO’s bid protest–related activities.

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DCAA Revises Guidance Regarding Cost Impact Calculations

The Defense Contract Audit Agency (DCAA) issued a memorandum revising audit guidance to DCAA personnel regarding cost impact calculations for unilateral cost accounting changes.

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ASBCA Ruling on Northrop Grumman’s Reimbursement Request for Certain Post-Retirement Benefit Costs

The Armed Services Board of Contract Appeals (ASBCA) granted the Defense Contract Management Agency’s (DCMA) cross-motion for partial summary judgment against Northrop Grumman.

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Davis-Bacon Act Updates - A New Final Rule

The new Final Rule issued in August updating the Davis-Bacon Act (DBA) increases construction contractors’ need for robust compliance capabilities.

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ASBCA Ruling on DCMA CAS 410 Claim Against Honeywell International

The Armed Services Board of Contract Appeals (ASBCA) ruled that the Defense Contract Management Agency (DCMA) could pursue a $151 million claim against Honeywell International, Inc. (Honeywell) for alleged noncompliant treatment of general and administrative (G&A) expenses under cost accounting standard (CAS) 410.

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Preparing for a Government Shutdown

A US government shutdown on October 1 remains an ever-present risk for government contractors. Many contractors are rightfully concerned about the status of negotiations on the Hill and the potential length of a shutdown and impact on current and future contracts.

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Joint OIG Focus on Funding for Ukraine Response

The Department of Defense, US Agency for International Development (USAID), and Department of State Offices of Inspector General issued a Joint Strategic Oversight Plan for Ukraine Response.

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New DFARS Rule

The Department of Defense (DoD) recently issued a final Defense Federal Acquisition Regulation Supplement (DFARS) rule authorizing the DoD to acquire innovative commercial products and services through a competitive selection of proposal resulting from a general solicitation, known as a commercial solutions opening (CSO), and the peer review of such proposals in conjunction with a FAR part 12 contract.

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Key Takeaways from DCAA's FY2022 Report to Congress

DCAA recently issued its annual report to Congress detailing its audit performance, audit process recommendations, outreach activities, and major accomplishments over the past fiscal year.

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Artificial Intelligence Remains at the Center of White House’s Focus

The Biden-Harris administration has secured voluntary commitments from seven leading artificial intelligence (AI) companies to address major risks posed by AI.

The commitments aim to ensure AI products are thoroughly tested before public release, built with security as the highest priority, and trusted by the public. The growth of AI has had a profound impact on virtually every industry in the United States; for example, healthcare companies have used it to develop new drugs and personalized treatments for patients, financial institutions have used it to detect fraud and boost customer service, and retailers have used it to anticipate consumer demand and prevent stock shortages.

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Government Contracts

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