On September 1, 2026, the Cost Accounting Standards (“CAS”) Board published two final rules implementing seismic changes to cost accounting requirements for federal government contractors. The most significant change implements a requirement in last year’s National Defense Authorization Act (“NDAA”), doubling the dollar value threshold for full coverage under CAS.
Continue Reading CAS Board Rolls Out Two Changes with Significant Impact on Federal Contractors
SBA Proposes Overhaul of Size Standards That Would Reclassify Tens of Thousands of Contractors as “Small”
On August 20, 2026, the U.S. Small Business Administration (“SBA”) issued a proposed rule that would reset small-business size standards across the economy and a companion white paper proposing a new methodology for calculating them. The proposed rule—Small Business Size Standards, 91 Fed. Reg. 53,741—would establish new size standards for 338 industry groups and industries. The accompanying white paper—Revised Size Standards Methodology, 91 Fed. Reg. 54,096—supplies the analytical framework SBA used to derive the standards in the proposed rule. Notably, SBA calculated the proposed standards using a methodology that is itself out for notice-and-comment, with both comment periods closing the same day, September 21, 2026.
Continue Reading SBA Proposes Overhaul of Size Standards That Would Reclassify Tens of Thousands of Contractors as “Small”SBA Finalizes Changes to the 8(a) Program’s Social Disadvantage Requirements
On August 11, 2026, the Small Business Administration issued a final rule that fundamentally alters how individuals may qualify as “socially disadvantaged” under the 8(a) Business Development Program. Although the final rule largely follows the proposed rule from June 2026, which we previously wrote about here, the SBA added
Continue Reading SBA Finalizes Changes to the 8(a) Program’s Social Disadvantage RequirementsDepartment of Energy Selects 278 Genesis Mission Projects
As we covered in our previous blog post, the Department of Energy (“DOE”) has launched the “Genesis Mission” to apply AI technology to a wide variety of scientific and technological challenges.
Last week, DOE announced it had selected 278 Genesis Mission projects for potential awards. The selected projects span nuclear energy, quantum computing, advanced manufacturing, and materials science, among other areas. According to DOE, the largest selection is a three-year, $60 million nuclear energy project involving 32 partner entities, including 4 national labs and more than 20 industry partners.
Continue Reading Department of Energy Selects 278 Genesis Mission ProjectsProposed Rule Would Fundamentally Impact Federal Grant and Financial Assistance Framework
On May 29, 2026, the Office of Management and Budget (“OMB”), together with several other federal agencies, published a proposed rule that would fundamentally change many aspects of the regulations in 2 CFR Part 200 governing federal financial assistance awards, including grants, cooperative agreements, loans, and loan guarantees. The comment period will be underway until July 13.
The 412 page proposed rule states that it is aimed at increasing transparency, accountability, and oversight in federal financial assistance. It provides examples of “the types of wasteful spending” that it is meant to target, including recipients “potentially misus[ing] funds to provide services for illegal immigrants.”
While the proposed rule contains numerous changes, this post highlights some of the most notable.
Continue Reading Proposed Rule Would Fundamentally Impact Federal Grant and Financial Assistance Framework
Indirect Doesn’t Mean Exempt: ASBCA Rejects Cross‑Motions Over U.S.-Flag Transportation Costs
The Armed Services Board of Contract Appeals’ (ASBCA) decision in Lockheed Martin Aeronautics Co., ASBCA No. 63621, reinforces a critical principle for government contractors: contract performance requirements operate independently of cost accounting classifications. Contractors cannot avoid substantive FAR and DFARS obligations—here, U.S.-flag transportation requirements—by treating costs as
Continue Reading Indirect Doesn’t Mean Exempt: ASBCA Rejects Cross‑Motions Over U.S.-Flag Transportation CostsDOE Announces a New Funding Opportunity under the Genesis Mission
On March 17, 2026, the Department of Energy (“DOE”) issued a Request for Application (“RFA”) under the Genesis Mission, a White House-led AI initiative announced in November 2025. The RFA, with $293.76 million in anticipated total funding, solicits project proposals for 21 areas ranging from advanced manufacturing and industrial productivity to energy and nuclear physics. Applications for Phase I and letters of intent for Phase II are both due April 28, 2026. This blog post reviews the development of the Genesis Mission since last year and summarizes the key elements of the current funding opportunity.
Continue Reading DOE Announces a New Funding Opportunity under the Genesis MissionDOE Announces Funding Opportunity for Domestic Critical Materials Processing, Recycling, and Manufacturing
On March 13, 2026, the Department of Energy issued a Notice of Funding Opportunity (NOFO) for projects supporting the development of domestic processing, manufacturing, and recycling capabilities for battery materials. With $500 million in total available funding, the NOFO solicits proposals in three topic areas: (1) domestic critical minerals processing from raw feedstocks, (2) domestic critical minerals recycling, and (3) domestic battery materials and component manufacturing. Letters of intent are due March 27, 2026, and full applications are due April 24, 2026.
Continue Reading DOE Announces Funding Opportunity for Domestic Critical Materials Processing, Recycling, and ManufacturingTariff Takedown: Implications of Tariff Refunds for Government Contractors
On February 20, 2026, the Supreme Court struck down an extensive series of tariffs imposed last year by President Trump, holding that they were not authorized under the International Emergency Economic Powers Act (“IEEPA”). And on March 4, 2026, the United States Court of International Trade began the process of refunding certain of “the millions of entries that were subject to IEEPA,” through a process known in the international trade context as liquidating.
These recent decisions by the Supreme Court and Court of International Trade may prompt federal contractors to consider seeking refunds of tariffs paid to import goods required to perform under their government contracts. As we covered in a previous post, government contracts may contain clauses allowing for price increases following the imposition of a new federal tax. These clauses can also work the other way and require a price decrease (or a credit to the Government under a cost-reimbursement contract) in the event of an after-relieved tax.
Continue Reading Tariff Takedown: Implications of Tariff Refunds for Government ContractorsOMB Rescinds the “Common Form” Secure Software Attestation Requirement
On January 23, 2026, the Office of Management and Budget (OMB) issued Memorandum M-26-05 “Adopting a Risk-based Approach to Software and Hardware Security,” which rescinds a previous Biden Administration’s requirement for all federal agencies to obtain a self-attestation from software producers in the “Common Form” developed by the Cybersecurity and Infrastructure Security Agency (CISA) before using certain third-party software. As its rationale, OMB noted that the prior memoranda diverted agencies from developing tailored assurance requirements and failed to account for threats posed by insecure hardware. Memorandum M-26-05 signals that the federal government is moving away from a “one-size fits-all” approach to software security and will instead allow each agency to develop tailored requirements. In creating their own assurance requirements, agencies may still require a self-attestation and/or Software Bill of Materials (SBOM) from the software vendor if the agency determines that such assurances are necessary based on the risks involved and the agency’s needs.
Continue Reading OMB Rescinds the “Common Form” Secure Software Attestation Requirement