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OTAs, Consulting, SAM

This week’s episode covers a proposed rule updating the regulations relating to Other Transaction Agreements – specifically for prototype and production projects, a DoD proposed rule implementing Section 812 of the NDAA for FY24 relating to contracting for consulting services, and a bid protest decision regarding the FAR’s continuous SAM registration requirement, and is hosted by Peter Eyre and Yuan Zhou. Crowell & Moring’s “Fastest 5 Minutes” is a biweekly podcast that provides a brief summary of significant government contracts legal and regulatory developments that no government contracts lawyer or executive should be without.

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On Monday, September 23, 2024, the Department of Justice (DOJ), released an update to its Evaluation of Corporate Compliance Programs (ECCP) guidance.  The ECCP guidance was last revised in March 2023, which brought a number of significant changes, including a focus on compensation and incentive structures (e.g., clawbacks), and third party messaging applications.  This 2024 update, while not as significant in scope as its predecessor, nonetheless highlights the DOJ’s focus on new and emerging technologies, such as artificial intelligence (AI), as part of its evolving assessment of what makes a corporate compliance program truly effective, and how prosecutors should evaluate risk assessments and other management tools at the time of a corporate resolution.

Continue Reading Putting the “AI” in Compliance—DOJ Updates its Corporate Compliance Program Guidance to Address Emerging AI Risks and Leveraging Data 
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Cybersecurity, Health Information Technology

This week’s episode covers a False Claims Act whistleblower lawsuit involving failure to comply with federal cybersecurity requirements, a new CISA cyber incident reporting tool, and a proposed rule to implement an HHS-wide policy relating to health information technology, and is hosted by Peter Eyre. Crowell & Moring’s “Fastest 5 Minutes” is a biweekly podcast that provides a brief summary of significant government contracts legal and regulatory developments that no government contracts lawyer or executive should be without.

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For the first time in nearly a decade, GAO in Knudsen Systems, Inc. sustained a protest challenging an agency’s decision to set aside a procurement for small businesses.  The decision involves the so-called “Rule of Two”:  under FAR 19.502-2(b), agencies must set aside for small businesses a procurement with an anticipated dollar value of more than $150,000 where the agency’s market research demonstrates there is a reasonable expectation at least two responsible small business offerors can meet the agency’s requirements at a fair market price.

Continue Reading “Et ‘two,’ GAO?”:Recent Sustain on the Rule of Two Reminds Agencies of the Importance of Accurate Market Research
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The Armed Services Board of Contract Appeals (Board) recently issued notable reminders to contractors regarding its jurisdictional authority and the importance of timely filing claims.  The Board explained in DSME Construction Co., Ltd., ASBCA 63878 (July 30, 2024), that it may retain jurisdiction over a dispute even when a different forum is listed in the contract.  In Platinum Services., Inc., ASBCA No. 63878 (Aug. 1, 2024), the Board instructed contractors to be mindful of the CDA’s statute of limitations period, even when seeking to amicably resolve a dispute.

Continue Reading Know Your Rights: SBCA Issues Two Important Reminders to Contractors
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On August 8, 2024, the U.S. Attorney’s Office for the Central District of California announced a $6.3 million False Claims Act settlement with West Coast Dental Administrative Services LLC (formerly West Coast Dental Services Inc.) and its founders and former owners due to seven improper second-draw Paycheck Protection Program loans received by West Coast Dental and affiliated dental offices. 

Continue Reading California Dental Offices Settle FCA Allegations Regarding Second-Draw PPP Loans for $6.3M

As Summer Comes to a Close, So Does GAO’s Sustain Drought

In last month’s Bid Protest Sustain of the Month installment, we noted that GAO was suffering from a sustain drought, having failed to issue a single sustained protest decision in the month of July.  But it appears that drought is over!  The final tally for August shows that GAO issued a whopping six separate sustained protest decisions in August 2024.  Four of these decisions—issued at the end of the month—are still under Protective Orders, so we do not yet know the grounds for the sustains.  The remaining two involved less-common sustain issues: an offeror’s compliance with the Trade Agreements Act (TAA) and an agency’s compliance with the “Rule of Two.”  In HPI Federal, LLC, B-422583, the protester argued that some of an awardee’s offered products were not TAA compliant.  GAO sustained the protest, finding that the contractor had certified only that its products were “assembled” in Mexico, not that they were “an end product of Mexico.” 

Continue Reading August 2024 Bid Protest Sustain of the Month
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On August 5, 2024, in United States ex rel. Relator LLC v. Howard D. Kootstra and Golden Empire Mortgage, Inc., Case No. 1:22-cv-00924-TLN-CDB (E.D. Cal.), the District Court for the Eastern District of California granted a motion to dismiss allegations that a mortgage lender made false or fraudulent statements on its Paycheck Protection Program (PPP) application in violation of the False Claims Act where the relator could not overcome the FCA’s public disclosure bar.

Continue Reading FCA Complaint Based on PPP Information Pulled from PandemicOversight.gov Website Barred
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SBA Proposed Rule to Update Various SBA Small Business Programs

This special edition covers the SBA’s August 2024 proposed rule to update and clarify various small business programs, and is hosted by Yuan Zhou and Olivia Lynch. Crowell & Moring’s “Fastest 5 Minutes” is a biweekly podcast that provides a brief summary of significant government contracts legal and regulatory developments that no government contracts lawyer or executive should be without.

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The Department of Health and Human Services (HHS) continues its push on health data interoperability with a proposed rule, HHS Acquisition Regulation: Acquisition of Information Technology; Standards for Health Information Technology.  Specifically, HHS proposes to modify the Health and Human Service Acquisition Regulation (HHSAR) to implement an HHS-wide policy to align requirements related to the procurement of health IT with standards and implementation specifications adopted by the Office of the National Coordinator for Health IT (ONC) or compliance with the voluntary ONC Health IT Certification Program.  This proposed rule was published on August 9, 2024, just 4 days after the ONC proposed HTI-2 rule was published in the Federal Register.

Continue Reading HHS Proposes Using Procurement Policy to Push Health IT Standards