Federal Government Contractors Facing Uneven and Uncertain Subcontracting Risks Relating to DEI
Federal contractors and grant recipients are operating in a period of unusual transition. The Federal Acquisition Regulation (FAR) rewrite is advancing through agency deviations while formal rulemaking is set to begin. Meanwhile, agencies are simultaneously rolling out broad diversity, equity, and inclusion (DEI) certifications for contractors and grant recipients that expand on Executive Order (EO) 14173 and place significant obligations on recipients to monitor downstream compliance. 0:00 8:01 Quick Hits The Revolutionary FAR Overhaul (RFO) is expected to proceed through formal notice and comment in the coming weeks and months. In the meantime, some changes are in effect through agency-specific deviations, some of which require a prime contractor to certify that “neither it nor any subcontractor or teaming partner operates or funds any program, policy, or initiative that promotes DEI in a manner that violates any applicable Federal anti-discrimination laws.” But th...