Procurement Law and Policy Insights
This post first appeared on Covington’s Global Policy Watch blog on September 7, 2018
Generating and sustaining the United States’ global economic and military superiority over more than the last half century has depended on a dominant U.S. global economic position and perpetual technological innovation. The United States has increasingly…
Continue Reading How Well Do You Know Your Supply Chain? New Policy Developments Affect Defense and Security Contractors
On May 11, 2017, the U.S. China Economic and Security Review Commission (“Commission”) issued a Request for Proposal to “to provide a one-time unclassified report on supply chain vulnerabilities from China in U.S. federal information technology (IT) procurement.”
Congress established the Commission in 2000 to monitor and report to Congress…
Continue Reading USSC Issues RFP For Report On Supply Chain IT Vulnerabilities From China
On October 30, 2015, the Department of Defense (“DoD” or the “Department”) issued a Final Rule amending the Defense Federal Acquisition Regulation Supplement (“DFARS”) and clarifying the scope of the DoD’s ability to evaluate and exclude contractors that represent “supply chain risks” in solicitations and contracts involving the development or delivery of IT products and services related to National Security Systems (“NSS”). The Final Rule clarifies that the DoD’s exclusion authority is limited to procurement of NSS, explains that decisions apply on a procurement-by-procurement basis, and removes the flow down requirement that was present in the Interim Rule. The Final Rule also encourages contracting officers to consider imposing a Government consent requirement for all subcontracts. Our in-depth analysis of the Final Rule is available here.
Continue Reading DoD Issues Final Rule Addressing Exclusion of Contractors that Present Supply Chain Risk in National Security System Procurements
Supply chain protection has been a point of increasing emphasis by the Government and especially the Department of Defense (“DoD”) in recent years. In no area is this more true than ensuring that Government systems and equipment are free from counterfeit electronic parts, which can raise both security and defect concerns. DoD has accordingly taken several steps, many of which have taken the form of new requirements on contractors, to protect against counterfeit electronic parts. With these requirements has come added risk to contractors that even mistakenly use electronic parts in the goods they sell to DoD. However, an August 30, 2016, final DFARS rule (implemented at DFARS 2301.205-71) seeks to mitigate some of this risk by allowing contractors to recover the cost of replacing counterfeit electronic parts, as long as the contractor has taken certain steps to prevent the use of such parts.
Continue Reading DOD Final Rule Addresses Source Requirements and Cost Recovery for Use of Counterfeit Electronic Parts
On March 13, 2026, President Trump issued an Executive Order (EO) titled “Adjusting Certain Delegations Under the Defense Production Act.” As we have covered in prior blog posts, the Defense Production Act (DPA) has traditionally been considered the primary federal means to manage and support defense production. …
Continue Reading “Adjusting Certain Delegations”: New Executive Order Aims to Streamline and Clarify Delegated Authorities Under the Defense Production ActOn March 3, 2026, the Senate took a major step toward reauthorizing the Small Business Innovation Research/Small Business Technology Transfer (“SBIR/STTR”) programs, by passing the Small Business Innovation and Economic Security Act (S. 3971). Known collectively as “America’s Seed Fund,” the SBIR and STTR programs provide small businesses with early-stage…
Continue Reading Is Congress Finally Reauthorizing SBIR/STTR—and What’s Changing?Introduction
On February 27, 2026, the Defense Industrial Base Consortium (DIBC) issued a new Request for Project Proposals (RPP) focused on Strategic and Critical Materials. Phase 1 submissions are due March 20, 2026, at 5:00 p.m. (Eastern).
This solicitation represents the second DIBC RPP targeting critical minerals since the issuance of Executive Order (EO) 14241, “Immediate Measures to Increase American Mineral Production.” The EO directed federal agencies to expand domestic access to critical minerals and reduce reliance on foreign supply chains.
Continue Reading Defense Industrial Base Consortium Issues New Critical Minerals Request for Project ProposalsOn February 17, 2026, the Federal Acquisition Regulatory Council released a Notice of Proposed Rulemaking, proposing amendments to the FAR to implement Section 5949 of the FY23 National Defense Authorization Act (“NDAA”). Section 5949 prohibits executive agencies from obtaining semiconductor parts, products, or services traceable to certain named Chinese companies – currently, Semiconductor Manufacturing International Corporation (“SMIC”), ChangXin Memory Technologies (“CXMT”), and Yangtze Memory Technologies Corp (“YMTC”) – subject to limited exceptions. In accordance with the statute, the proposed amendments to the FAR would become effective on December 23, 2027. The proposed rule is not yet final and is open for public comment until April 20, 2026.
Continue Reading FAR Council Issues Notice of Proposed Rulemaking to Implement Prohibition on Acquisition of Certain SemiconductorsOn 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 RequirementAs the federal government focuses on securing reliable supplies of critical minerals, stockpiling has emerged as a key policy tool, alongside direct investments in private enterprises and expanded funding programs for industry. The National Defense Stockpile (“NDS”) currently serves as the federal strategic reserve of materials needed for national defense, including critical minerals, and the growing policy attention has prompted new proposals and initiatives for upgraded federal stockpiling capabilities. This blog post reviews the NDS and its activities last year and offers an outlook for critical minerals stockpiling in the year ahead.
Continue Reading Federal Push for Critical Minerals Stockpiling: 2025 in Review and Outlook for 2026