DoD Issues Class Deviation to Raise Full Cost Accounting Standards (CAS) Threshold to $100 million

DoD’s July 30, 2026, class deviation raises the Full CAS and Disclosure Statement thresholds to $100 million, changing how CAS coverage may apply to certain defense contracts. Government contractors should reassess CAS applicability, pending proposals, Disclosure Statement requirements, and ongoing audit activity to determine how the new thresholds affect current obligations.

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Topics: Accounting System Compliance, DFARS Business Systems, Government Regulations, Cost Accounting Standards (CAS), Federal Acquisition Regulation (FAR), Estimating System Compliance

Small Business Administration (SBA) Issues Final Rule on 8(a) Program

The SBA’s final rule changes how individually owned firms establish social disadvantage for 8(a) eligibility by removing the rebuttable presumption and individual narrative test. Effective September 10, 2026, the new standard applies to pending and future applications and adds a requirement to show material harm resulting from discrimination or bias.

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Topics: Litigation Consulting Support, Small Business Compliance, Contracts & Subcontracts Administration, Human Resources, Government Regulations

What Government Contractors Need to Know About TINA Lite Becoming Permanent

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Topics: Proposal Cost Volume Development & Pricing, Contracts & Subcontracts Administration, DFARS Business Systems, DCAA Audit Support, Government Regulations, Estimating System Compliance, Commercial Determination

Department of War Suspends CMMC Phase II and Seeks Input on Government Contractor Burdens

The Department of War has suspended CMMC Phase II implementation while it reviews the program and seeks industry input on reducing compliance burdens. Government contractors should understand which requirements remain in effect, how active solicitations may change, and what the temporary pause could mean for assessment costs and future cybersecurity obligations.

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Topics: Small Business Compliance, Contracts & Subcontracts Administration, DFARS Business Systems, Government Regulations, Cybersecurity, Manufacturing Operations Consulting, REAs, Claims & Terminations

Cost Accounting Standards Board (CASB) Makes Progress on Conforming CAS to GAAP

The CASB’s final rule rescinds CAS 408 and 411 and most of CAS 404 and 409 to align CAS with GAAP, effective August 7, 2026. For government contractors, the change may reduce duplicative requirements, but it does not eliminate considerations related to disclosure, consistency, or cost impact tied to accounting practice changes.

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Topics: Accounting System Compliance, Contracts & Subcontracts Administration, DCAA Audit Support, Government Regulations, Cost Accounting Standards (CAS), Federal Acquisition Regulation (FAR)

Fixed-Price Contracting Returns as the Default for Federal Contractors

Federal acquisition policy is shifting fixed-price contracting back to the default and preferred approach under Executive Order 14402 and updated FAR Council guidance. With implementation beginning in July 2026, government contractors should consider how contract type, pricing risk, existing awards, and contract administration may be affected.

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Topics: Proposal Cost Volume Development & Pricing, Contracts & Subcontracts Administration, DFARS Business Systems, Contractor Purchasing System Review (CPSR), Government Regulations, Federal Acquisition Regulation (FAR), Manufacturing Operations Consulting

Revolutionary FAR Overhaul Changes Are Out for Public Comments

The FAR Council’s June 23, 2026, proposed rules begin implementing the Revolutionary FAR Overhaul, with comments due July 23, 2026. Government contractors should evaluate how streamlined FAR text, revised clauses, security requirements, acquisition planning changes, and termination timelines may affect contract administration and compliance.

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

Opportunities for Government Contractors and New Entrants to Engage in Quantum Innovation

Two new Executive Orders signal increased federal action around quantum innovation and post-quantum cryptography. For government contractors and new entrants, participation in these initiatives will require careful attention to funding structures, FAR changes, NIST requirements, and compliance expectations.

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Topics: Contracts & Subcontracts Administration, DFARS Business Systems, Contractor Purchasing System Review (CPSR), Government Regulations, Federal Acquisition Regulation (FAR), Cybersecurity, Commercial Determination, Manufacturing Operations Consulting

Buy American Act Compliance Requires More Than a Certificate

Buy American Act compliance now requires closer review of component origin, domestic content thresholds, and contract-specific exceptions. For government contractors, the increased domestic content requirements and differences between FAR and DFARS make sourcing, supplier certifications, and documentation critical to supporting accurate compliance certifications.

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Topics: Contracts & Subcontracts Administration, DFARS Business Systems, Contractor Purchasing System Review (CPSR), Government Regulations, Federal Acquisition Regulation (FAR), Material Management & Accounting System (MMAS), Commercial Determination, Manufacturing Operations Consulting

Cost Accounting Standards (CAS) Cost Impacts May Include Prior Fixed Price Contracts

The FY 2026 NDAA changed how fixed price contracts are treated in Cost Accounting Standards (CAS) cost impacts, but timing remains critical. Government contractors with CAS covered awards issued before implementation may still face current clause requirements, making award dates and clause language important compliance considerations.

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Topics: Accounting System Compliance, Contracts & Subcontracts Administration, Government Regulations, Cost Accounting Standards (CAS), Federal Acquisition Regulation (FAR)