SBA Releases Its Estimate of the Government Shutdown Impact on Small Business Lending

On October 21, 2025, the Small Business Administration (SBA) released a state-level analysis or estimate of the impact of a government shutdown on small business lending. The shutdown has frozen the SBA’s core 7(a) and 504 small-business lending programs. These lending programs are designed to support small businesses’ access to funds to acquire or improve long-term fixed assets such as real estate, machinery, and equipment.

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Topics: Compliant Accounting Infrastructure, Small Business Compliance, Government Regulations

DFARS Final Rule for Cybersecurity Maturity Model Certification (CMMC) program

Department of Defense (DoD) issued a final rule on September 10, 2025, amending Defense Federal Acquisition Regulation Supplement (DFARS), incorporating contractual requirements under the Cybersecurity Maturity Model Certification (CMMC) program as part of the National Defense Authorization Act for FY 2020 to enhance cybersecurity for the US defense industrial base. The final rule is effective November 10, 2025.

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Topics: Contracts & Subcontracts Administration, DFARS Business Systems, Government Regulations, Federal Acquisition Regulation (FAR), Cybersecurity

Recent ITAR Amendments Expand the U.S. Munitions List and Indicate Further Expansion

The U.S. Department of State’s Directorate of Defense Trade Controls (DDTC) has finalized a significant set of amendments to the International Traffic in Arms Regulations (ITAR), effective September 15, 2025, which expand the U.S. Munitions List (USML) and introduce new definitions and a licensing exemption. These changes mark the first time in years that DDTC has expanded the USML’s coverage more than it has reduced it. The final rule amends 15 of the 21 USML categories, representing a substantial increase in the number of controlled items.

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Topics: Contracts & Subcontracts Administration, Contractor Purchasing System Review (CPSR), Government Regulations, Export & Import, Material Management & Accounting System (MMAS), Manufacturing Operations Consulting

Steps to Take Now to Mitigate Federal Government Shutdown Impacts

The federal government has shut down again. It happens. With fiscal year 2025 funding lapsed and in our rearview mirror, how can government contractors mitigate the risk of potential stop-work orders and financial hardship? In this article, we discuss areas to consider not only to mitigate your risk but also to avoid significant financial hardship.

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Topics: Contracts & Subcontracts Administration, Government Regulations, REAs, Claims & Terminations

DCAA Says Good-Bye to Its Field Detachment

Six months after the Defense Contract Audit Agency (DCAA) made its major reorganization, it made another one: the elimination of its Field Detachment (FD) as a separate entity within DCAA. The Field Detachment was a separate entity within DCAA that handled DCAA’s classified audit work. It was a separate and distinct DCAA entity from the current Land, Air, and Sea Directorates of DCAA.

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Topics: Contracts & Subcontracts Administration, DCAA Audit Support, Government Regulations

How to Identify, Track, and Exclude Unallowable Costs in QuickBooks Online

Government contractors deal with a unique set of rules when it comes to expenses. FAR Part 31 lays out the specific guidelines on what you can and cannot charge to the government. If unallowable costs slip through, you could face compliance problems or see expenses disallowed in an audit.

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Topics: Compliant Accounting Infrastructure, Small Business Compliance, Quickbooks, Government Regulations, Federal Acquisition Regulation (FAR)

Department of Energy is Placing a Cap on Reimbursement of Indirect Costs on Federal Awards

We knew this was coming based on the June 30, 2025, PF 2025-38 (FAL 2025-05) Implementation of Indirect and Fringe Benefits Cost Reimbursement Limits on Financial Assistance Awards guidance to Granting officers. However, we believed the May 15, 2025, preliminary injunction issued by the U.S. District Court for the District of Massachusetts in the case of Association of American Universities et al. v. U.S. Department of Energy would slow down DOE‘s implementation of the cap on indirect cost recovery for more than just Institutions of Higher Education (IHEs). Sadly, that is not the case.

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Topics: Compliant Accounting Infrastructure, Incurred Cost Proposal Submission (ICP/ICE), DCAA Audit Support, Government Regulations, Grants & Cooperative Agreements (2 CFR 200)

FAR Final Rule Updates Acquisition-Related Thresholds for Inflation

The Federal Acquisition Regulatory (FAR) Council, consisting of the Office of Federal Procurement Policy (OFPP), DoD, GSA, and NASA, has finalized changes to acquisition-related thresholds in the FAR to account for inflation. Published in the Federal Register on August 27, 2025, and effective October 1, 2025, this rule (FAR Case 2024-001, FAC 2025-06) fulfills the statutory requirement under 41 U.S.C. 1908 to review and adjust thresholds every five years using the Consumer Price Index (CPI) for all urban consumers.

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Topics: Contracts & Subcontracts Administration, DFARS Business Systems, Government Regulations, Federal Acquisition Regulation (FAR)

DFARS Final Rule Prohibits Conflicts of Interest in Certain Consulting Services

The Department of Defense (DoD) has finalized a rule that will significantly impact contractors providing management, scientific, and technical consulting services. Published in the Federal Register on August 25, 2025, and effective October 24, 2025, the rule (DFARS Case 2024-D007) implements section 812 of the FY 2024 National Defense Authorization Act (NDAA). Under the new requirement, contracting officers cannot award contracts assigned to NAICS codes beginning with 5416 if the offeror, or its subsidiaries or affiliates, holds a contract for consulting services with certain covered foreign entities, unless an approved conflict-of-interest mitigation plan is in place.

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Topics: Contracts & Subcontracts Administration, DFARS Business Systems, Government Regulations, Federal Acquisition Regulation (FAR)

DFARS Final Rule Updates Acquisition-Related Thresholds for Inflation

The Department of Defense (DoD) has finalized changes to acquisition-related thresholds in the Defense Federal Acquisition Regulation Supplement (DFARS) to reflect inflation. Published in the Federal Register on August 25, 2025, and effective October 1, 2025, this rule (DFARS Case 2024-D002) fulfills the statutory requirement under 41 U.S.C. 1908 to review and adjust thresholds every five years using the Consumer Price Index (CPI) for all urban consumers.

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Topics: Contracts & Subcontracts Administration, DFARS Business Systems, Government Regulations, Federal Acquisition Regulation (FAR)