Acquisition and Business Policy Council (ABPC) Spotlight

February 2024

Greetings, PSC Members:

 

This month, the Professional Services Council (PSC) has been busy preparing comments and actions in response to the government's numerous proposed rules due in early 2024, as well as keeping members prepared for any lapse in appropriations through our PSC Government Funding and Shutdown Resource Center.

 

This Spotlight first provides a policy update on a recently extended moratorium on enforcement of certain economic price adjustment limitations, and on a recently published class deviation prohibiting the requirement of disclosure of greenhouse gas emissions (GHG) as a condition of being awarded a Department of Defense (DoD) contract.

 

PSC also requests interested member feedback on two recently proposed rules. The first proposed rule is intended to improve suspension and debarment (S&D) procedures by aligning the Federal Acquisition Regulation (FAR) and Nonprocurement Common Rule S&D procedures. The other proposed rule would introduce both a governmentwide prohibition on requesting salary history and a requirement that all job listings on contracts include good-faith salary disclosures. This Spotlight also highlights a recent Office of Federal Procurement Policy (OFPP) memorandum that encourages agencies to expand the "rule of two" to multiple-award contract orders.

 

This month, the ABPC submitted comments on the FAR Council's proposed implementation of Federal Acquisition Supply Chain Security Act Orders (FASCSA), the Small Business Administration's (SBA) proposed Small Business Size Standards Methodology and DoD's proposed clarifications to the National Industrial Security Program Operating Manual (NISPOM).

 

Also, in case you missed it, PSC recently kicked off its 2024 Vision Federal Market Forecast. Vision Team Volunteers gain valuable insight into the Federal marketplace through exclusive, face-to-face discussions with government agency planners and decision-makers, think tank experts, and Wall Street analysts. We hope you join a Vision Team! 

 

As always, we welcome your engagement with PSC advocacy, and I am available to provide additional information or assistance.

 

At your service,

 

Sebastian 

 

Sebastian Beau Herrick

Director, Procurement Policy

PSC

Quick Links

PSC Policy Update

GSA: Moratorium Extended on Enforcement of EPA Limitations

On February 28, the General Services Administration (GSA) issued Supplement 4  to Acquisition Letter MV-22-04. The policy extends a moratorium on the enforcement of certain limitations contained in certain GSA economic price adjustment (EPA) contract clauses to December 31, 2024. This extension was issued to provide time for the publication of a final rule that will incorporate a new EPA clause for the Multiple Award Schedule program.

DoD: Prohibiting Disclosure of Greenhouse Gas Emissions

On February 27, the Department of Defense released Class Deviation 2024-O0009 which prohibits contracting officers from requiring GHG disclosures as a condition of being awarded a DoD contract until December 22, 2024. After December 22, 2024, this class deviation remains in effect only for nontraditional defense contractors until incorporated in the Defense Federal Acquisition Regulation Supplement or otherwise rescinded. 

Engage With PSC

FAR Council: Improving Procedures on Suspension and Debarment

On January 9, the FAR Council proposed a rule to improve consistency between the two suspension and debarment regulatory systems:

  • the FAR system for procurement matters; and
  • (2) the Nonprocurement system within the Nonprocurement Common Rule (NCR), which covers grants, cooperative agreements, contracts of assistance, loans, and loan guarantees.

This proposed rule seeks to change the FAR so that the two systems will be in closer alignment where appropriate and incorporates existing practices that are not currently in the FAR. PSC held a recorded member meeting on February 15 to inform its comments, due to the government on March 11, 2024. Please send any input you may have to me at herrick@pscouncil.org for consideration of inclusion within our comments. 

OFPP: Pay Equity and Transparency in Federal Contracting 

On January 30, the FAR Council and Office of Federal Procurement Policy published a proposed rule on “PayEquity and Transparency in Federal Contracting.” It would:

  • Prohibit contractors and subcontractors from seeking and considering information about job applicant compensation history, and
  • Require contractors and subcontractors to disclose, the compensation to be offered in all advertisements for job openings related to contracts.

PSC held a recorded member meeting on February 21 to better inform its comments due to the government on April 1, 2024. Please send any input you may have to me at herrick@pscouncil.org for consideration of inclusion within our comments. 

OFPP: Increasing Small Business Participation on Multiple-Award Contracts

On January 25, the White House Office of Federal Procurement Policy released a memo: Increasing Small Business Participation on Multiple-Award Contracts. The memo provides guidance for agencies in three steps on how to achieve this goal, however notably includes a “rule of two” expansion to multiple award contract orders and encourages agency adoption in advance of the rulemaking process. As no rulemaking has yet been made on this significant change, PSC is developing an approach to raise concerns and questions with government officials. We welcome your reactions and input at policy@pscouncil.org.

 

PSC Action and Advocacy

FAR Council: Interim Rule - Implementation of FASCSA Orders

On February 2, 2024, PSC submitted comments on the Interim Rule, “Implementation of Federal Acquisition Supply Chain Security Act (FASCSA) Orders.” While PSC supports the intent of the statute and of the overall goals of the Interim Rule, our comments identify a number of elements that we believe fail to meet that intent, and which may lead to outcomes that are inconsistent with the goals of the legislation. 

SBA: Revised Size Standards Methodology

On February 9, 2024, PSC submitted comments on proposed revisions to the Small Business Administration's methodology for establishing, reviewing, and modifying size standards in order to determine eligibility for Federal small business assistance programs. PSC notes that federal small business policies, including the development and application of size standards, focus primarily on the front end of the contracting process. 

DoD: NISPOM Amendments

On February 12, 2024, PSC submitted comments on needed clarifications to the National Industrial Security Progam Operating Manual regarding the National Background Investigative Services; specific activities that may adversely impact contractors' national security eligibility; guidance on how and where to report such activities; and guidance on Controlled Unclassified Information. 

PSC Vision Federal Market Forecast Kickoff

Volunteer to Join a PSC Vision Team!

Vision team volunteers gain valuable insight into the Federal marketplace through exclusive, face-to-face discussions with government agency planners and decision-makers, think tank experts, and Wall Street analysts. These engagements cover a broad range of issues facing the federal market, future programs, and budgets. Volunteers will also access in-depth information on government requirements including forecasts, budget trends, reform initiatives, drivers, and potential business opportunities, as well as opportunities to network with your industry peers and competitors. Please reach out to Vision Program leads (Michelle Jobse (jobse@pscouncil.org) or Donald Baumgart (baumgart@pscouncil.org) to learn about opportunities to participate.

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