The Pentagon's CMMC Program Takes a Big Step Forward

Source: HOLLAND&KNIGHT

The U.S. Department of Defense (DOD) issued the proposed Defense Federal Acquisition Regulation Supplement (DFARS) rules that will implement the Cybersecurity Maturity Model Certification (CMMC) program. These rules, which will be placed into all DOD contracts, will require all contractors to self-certify or obtain a third-party certification prior to beginning work on any DOD contracts. The kind of certification necessary will be dependent on the level of security necessary for the information generated or stored under the contract. Comments on the proposed rule are due on Oct. 15, 2024.

There are two sets of rules that will be utilized when the CMMC program is fully formed. The first, issued under Title 32 of the Code of Federal Regulations (CFR), establishes the CMMC program. These were initially proposed on Dec. 26, 2023, and the U.S. Office of Management and Budget (OMB) is reviewing the final regulations, with release expected before the end of the year. The second set of rules, which are the subject of this blog, are issued under Title 48 and will be placed in DOD contracts and refer back to the Title 32 rules.

If adopted as proposed, these rules will require contractors to have a current CMMC assessment at the time of award and maintain that assessment for the duration of the contract. Contractors without a required assessment will not be awarded a contract, and contractors who fail to maintain an assessment during the contract period will be subject to termination.

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SBA Certification Upgrade

Source: SBA

Starting August 1, initial applications for government contracting certifications managed by the U.S. Small Business Administration (SBA) will pause for the month to implement a planned upgrade across all of SBA’s certification systems. The upgrade will make SBA certifications easier for small businesses—including making it possible to apply for multiple certifications at once.

The upgraded system is expected to be available for new certifications in early September.

Which certifications are impacted by the upgrade?

• Women-Owned Small Business (WOSB)

• Economically Disadvantaged Women-Owned Small Business (EDWOSB)

• 8(a) Business Development Program

• Veteran Small Business Certification (VOSB)

• Service-Disabled Veteran-Owned Small Business (SDVOSB)

• Historically Underutilized Business Zones (HUBZone) Program

What will this mean for small businesses interested in applying or with pending applications during the August upgrade period?

• New or prospective applicants are encouraged to wait to apply until after the upgrade to benefit from the ability to apply for multiple certifications at once in addition to other features.

• Applications submitted before August 1 will be processed in the order received during the upgrade period. Applicants should continue to respond to requests for information as directed by the program.

• Firms facing a critical contracting deadline can contact certifications@sba.gov. Please provide the proposal number, agency, and bid due date.

What will this pause in initial applications mean for small businesses already certified?

• The pause in applications will not impact most certified firms.

• Firms with a renewal scheduled to occur during the upgrade period will receive guidance from the program regarding these specific requirements for the following programs:

• WOSB/EDWOSB: Certification renewal for participants has been extended for one year—impacted WOSB firms have already been notified.

• Veterans/SDVOSB: Certification renewal will be extended for one year—the program office will notify impacted firms.

• HUBZone: Annual recertification will continue in HCTS; firms are notified by the program office through the system 30 days prior to their anniversary date and provided instructions.

• 8a: Annual Attestation will continue in Certify.SBA.gov and firms will receive instructions accordingly.

• Firms required to make a material change or wishing to recertify should proceed as instructed by the programs.

Click HERE for SBA updates.

Elections, debt limit reset are sources of uncertainty for federal contractors

Source: FNN

National elections, debt limit reset, budget caps, workforce shortages and the pace of contracting are just some of the sources of uncertainty the federal contracting industry faces this year.

With the presidential election fast approaching and the House and Senate majorities being on the line, there are a lot of uncertainties for federal contractors and the way they will interact with their programs after November 5.

“There are eight distinct possibilities that can come out of this election. It’s not just a Democrat or Republican in the White House. It’s a majority of Democrats or Republicans in the Senate. It’s a majority of Democrats or Republicans in the House and the nature of the activities that are likely to come out, the priorities, the objectives, and even the arrangement of funding within that will be very different under one of these possible outcomes than it is under the other possible outcomes,” David Berteau, the President and CEO of the Professional Services Council, said during the Federal Acquisition Conference Thursday.

As elections approach, political appointees start to leave their positions, which usually doesn’t significantly impact ongoing projects, but new programs requiring high-level approval tend to face delays. In addition, it is challenging for political appointees to initiate or complete new projects in the final year of a term.

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