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and Construction Matters Since 1893.
Oles Morrison

New Buy American Act Executive Order Ups the Ante on Domestic Preferences – What Construction Contractors Should Know

By on July 24, 2019 | Posted in Buy American Act

As anticipated, the Trump Administration has continued to build on its emphasis for domestic preference requirements on projects that are subject to the Buy American Act – both for projects that are directly funded by the federal government, or pursuant to the Administration’s January 31, 2019 Executive Order, “Strengthening Buy American Preferences for Infrastructure Projects,” potentially also to projects that are indirectly funded by the government.   The Administration’s latest efforts in this area have come in the form of a July 15, 2019 Executive Order, “Maximizing Use of American-Made, Goods, Products, and Materials.”  While this most recent Executive Order on this subject contains a number of proposed changes, which will need to be implemented through regulations, it proposes two changes that may have significant ramifications for the construction industry.  This alert summarizes the key considerations for construction contractors.

The Department of Defense Will Allow Cybersecurity Costs as an Allowable Cost

By on July 22, 2019 | Posted in Cybersecurity

Cybersecurity compliance has become an increasingly trending and important area for government review, especially by the Department of Defense (DoD), placing an emphasis on defense contractors and the government alike in ensuring that sensitive government data residing on nongovernment systems are protected from third party intrusion and disclosure.  Indeed, recent cases in False Claims Act litigation have demonstrated just how serious a contractor’s noncompliance with cybersecurity requirements can be.  For example, in U.S. ex rel. Markus v. Aerojet Rocketdyne Holdings, Inc., the court, in denying the defendant’s motion to dismiss, allowed a non-intervened qui tam complaint to proceed, where the relator alleged that the defendant’s systemic noncompliance with contractual cybersecurity standards resulted in the submission of false claims that the relator claimed warranted the imposition of treble damages that could far exceed the value of the contracts themselves.  2019 WL 2024595 (E.D. Cal. May 8, 2019).  Notably, the court held that the relator had sufficiently pled violations of the False Claims Act even though, as the defendant argued, the regulations in question had recently been issued, frequently amended, and some agency guidance could reasonably be construed as relaxing any requirements.  Id.

The Section 809 Panel Recommends Substantial Changes to DoD Bid Protests

By on February 5, 2019 | Posted in Bid Protests

The Section 809 Panel, which is tasked with developing and providing recommendations to improve and enhance the efficiency of the Department of Defense procurement system, issued the third volume of its report and recommendations Jan. 15, 2019.  Among the numerous recommendations for streamlining DoD acquisitions, several of which relate to […]

President Trump Expands Buy American Act – Another Wrench in the Works?

By on February 1, 2019 | Posted in Buy American Act

While domestic preference requirements in federal procurements, namely the Buy America and Buy American Acts, are not new their increased emphasis are.  As has been well publicized, a central focus of the Trump Administration has been to encourage and increase the use of domestically sourced products and materials in connection […]

New Rule, Same Requirements? – The Department of Defense’s New Rule on Voluntary Disclosures of Defective Pricing Matters

By on May 23, 2018 | Posted in Cost and Pricing

The Department of Defense (“DoD”) recently issued a final rule regarding contractor disclosures of defective pricing issues on DoD contracts, which can arise where the contractor’s certified cost or pricing data is inaccurate, incomplete or is not current.  In such cases, these errors and omissions can result in significant contract […]