Strategies for Dealing with a Government Shutdown

Shuttering of the government (or parts of the government) following appropriations lapses has become an increasingly common phenomenon in recent times. Continuing resolutions have become a recurring stopgap measure. Funding lapses interrupt the usual predictability of government operations, which harms both agencies and federal contractors that are left in limbo with stop work orders.

Unfortunately, unlike many other topics, the FAR has little say when it comes to procedures for contractors to follow during or following a government shutdown. It seems that the FAR’s authors didn’t really envision the government shutting down as a normal occurrence. Recovering expenses incurred as a consequence of government shutdowns can be challenging.

Here are some pointers.

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SmallGovCon Week in Review: December 16-20, 2024

Hello, blog readers! Well, everyone is on pins and needles to see if the federal government will face a shut down. As you may have heard, the House rejected the proposed government funding, so now we wait to see if the third proposal will be agreed upon today to keep things going. Stay tuned! In other news, our office is very excited about the Bluey movie–can’t wait for 2027!

And now, more on that and other news from the federal government, including cybersecurity updates, AI, and updates to subcontracting rules.

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No Protesting Canceled Contracts, Says COFC

Often contractors will protest an award, then learn that the contract at issue was cancelled by the government due to corrective action. When that occurs, contractors of course feel as if their concerns were not resolved, or the protested other parties were let off the proverbial hook. The U.S. Court of Federal Claims recently explained that if that happens, there is no procurement left to protest, even if there are related research and development projects or actions continuing within the Government.

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News Flash: SBA Releases Final HUBZone Rule Update, Other Small Business Changes

SBA has released the final rule for the HUBZone Program Updates and Clarifications, and Clarifications to Other Small Business Programs on December 17, 2024. As we have discussed, this rule made a lot of changes to the HUBZone program. But it also updated a lot of other small business rules. Below are the details on some of these significant changes. This rule will be effective on January 16, 2025.

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SmallGovCon Week in Review: December 9-13, 2024

Hello and happy Friday! We’ve been getting some chilly temperatures here in the Midwest and it’s beginning to feel a lot like Christmas. The lights are up downtown and the city is looking very festive! We hope you are enjoying the holiday season in your neck of the woods. We also finished up our last webinar of the season, the 2024 Government Contracting Year-End Review with Govology. Check it out to learn all the updates from 2024 to get ready for 2025.

This week in federal government contracting news saw updates on big picture contracting goals for DoD and software rules for federal contractors.

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NAICS Code Appeal: OHA Says Agency’s Assignment of Code Doesn’t Have to be Perfect

When a contractor believes an agency assigned the wrong North American Industry Classification System (NAICS) code to a solicitation, it can file an appeal with the SBA’s Office of Hearings and Appeals (OHA). However, for OHA to correct the NAICS code, the contractor must show the contracting officer’s assignment was clearly erroneous. As we’ve discussed, counting just those NAICS code appeals decided on the merits, about 45% were granted, per a GAO report. 

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SBA Issues Final Rule to Streamline WOSB Program Rules

In June, we reported on a Notice of Proposed Rulemaking that applied to the SBA’s Woman-Owned Small Business/Economically Disadvantaged Woman-Owned Small Business (WOSB) regulations. These proposed rules were intended to take the WOSB regulations and make them more consistent with the other types of set-aside programs offered by the SBA. Now, following the required period for comments from the general public, the SBA has published its Final Rule which will be effective January 3, 2025. Read ahead to find out more!

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