SBA Proposes Monumental Changes to Small Business Size Standards (Part 1)

Every few years, SBA updates its size standards for small businesses. In most years, these updates, while notable, are not groundshaking, and usually just account for inflation. That cannot be said of the most recent proposed changes. We do not use hyperbole here, but, sometimes, emphatic language must be used. SBA is proposing what can only be described as absolutely massive changes to its size standards for small business contracting. On August 19, 2026, SBA released its proposal for what can only be described as a new size standard paradigm. We explore these in greater detail here, and plan on one or more follow-up posts as there are multiple aspects of the system that would be changed if the proposal is finalized.

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Reviewing RFO Proposed Rules: Parts 5, 24, 29, and 52

In June 2026, the FAR Council released its first batch of proposed rules in the Federal Register to implement the changes to the Federal Acquisition Regulation (FAR). We recently covered the first of those proposed rules, which amended language in FAR Parts 1, 2, 4, 33, 39, 40, 52, and 53. In this post, we will review how the RFO is being implemented regarding FAR Parts 5, 24, 29, and 52. From a general perspective, it looks like the proposed regulation tracks with the proposed language already issued under the RFO.

We’ve posted quite extensively about the Revolutionary FAR Overhaul (RFO) project in past blog posts. For some background info, check out these posts: Executive Order, Overview of FAR 2.0, FAR 2.0: Deviations and Companion Guide, FAR Part 6, FAR Part 19 (and the Once 8(a) Rule in that part), FAR Part 12, FAR Part 15, and FAR Part 33.

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Back to Basics: Trade Agreements Act

The Trade Agreements Act (TAA) and its companion, the Buy American Act (BAA), both set policies for a preference for increased domestic purchases by the federal government and its contractors. However, the TAA is designed as kind of a counterweight to the BAA. The BAA (passed in 1933), “the first of the major domestic content restriction laws, requires federal agencies to apply a price preference for ‘domestic end products’ and use ‘domestic construction materials’ for covered contracts performed in the United States.” So, the BAA encourages use of US-produced goods.

The TAA, on the other hand, waives some of those BAA requirements for goods coming out of certain favored countries that have trade agreements with the US. In other words, the TAA puts items from those favored countries on an even playing field with the US items. The TAA has some other unique aspects, including a “substantial transformation” test to determine if something is an end product.

In this post, we discuss the basics of the TAA.

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BREAKING: Department of War Suspends Introduction of Phase Two of CMMC

Last year, we noted in a couple posts that the federal government had finally began implementation of its Cybersecurity Maturity Model Certification (CMMC) Program. Apparently, however, the government has concluded that a pause is needed on further implementation due to what it describes as structural issues with the program. On July 13, 2026, the Department of War (DoW)[1] announced that it is suspending the introduction of Phase Two of the Cybersecurity Maturity Model Certification (CMMC) Program. We explore that decision in this post.

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COFC: Limitation on Subcontracting Certification Trips Up Contractor Where Solicitation Requires it to be Signed and Attached

When it comes to federal contracting, there are parts that are very detail-oriented.  Countless signatures for countless certifications. We certainly empathize with contractors on this aspect of federal contracting. But just because we are empathetic does not mean that a contractor can ignore such requirements. In a recent decision, Revelations Counseling & Consulting, LLC v. United States, 180 Fed. Cl. 721 (2026), the Court of Federal Claims (COFC) made it very clear: Where the solicitation says sign the certification and include it in the proposal, sign it and include it in the proposal. Anything less and not only should you expect a rejection, the agency is often required to reject the proposal. In this case, the certification was a VA limitations on subcontracting clause that has cropped up multiple times lately in our practice and is an important part of small business contracting. We look at that decision today.

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Formal Revolution: FAR Council Releases Proposed Formal Rules to Start RFO Rulemaking Process

The FAR Council has released its first batch of proposed rules to amend the Federal Register to implement the changes to the Federal Acquisition Regulation (FAR) to implement the executive order on Restoring Common Sense to Federal Procurement. In this post, we will provide an overview of how the RFO is being implemented as part of the formal rulemaking process. Overall, the proposed regulation seems to follow the vast majority of the proposed language that was already issued under the RFO. We’ve discussed some of those changes in past blog posts. For background, our earlier posts regarding various aspects of the RFO can be found here: Executive OrderOverview of FAR 2.0FAR Part 6FAR Part 19 and the Once 8(a) Rule under Part 19, FAR Part 12FAR Part 15FAR Part 33, . But this post notes some changes as compared to the original version of the RFO.

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Breaking: SBA Proposes to Remove Social Disadvantage Presumption for 8(a) Program

SBA is proposing to amend its 8(a) Program rules to “remove the rebuttable presumption that individuals belonging to certain designated groups are socially disadvantaged and set forth revised standards for individuals establishing social disadvantage.” This proposed rule continues the trend that has been building since the Ultima decision in 2023. In 2023, a federal court said that the rebuttable presumption of social disadvantage under the 8(a) is unconstitutional as it violates the right to equal protection. Based on that decision, SBA stopped relying on the presumption of social disadvantage. Three years later, SBA is proposing to formally eliminate any mention of the presumption from the regulations. SBA would replace the individual social disadvantage narrative with a test that looks to whether a person experienced discrimination on the basis of race through programs like affirmative action.

Here are some key points from the proposed rule.

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