Government Contracts Legal Round-Up | 2021 Issue 2

Welcome to Jenner & Block’s Government Contracts and Grants Legal Round‑Up, a biweekly update on important government contracts developments. This update will offer brief summaries of key developments for government contracts legal, compliance, contracting, and business executives.

Executive Actions

1. Executive Order on Ensuring the Future Is Made in All of America by All of America’s Workers (Jan. 25, 2021)

  • Establishes a policy to maximize the use of goods, products, and materials produced in, and services offered in, the United States under federal financial assistance awards and federal procurements.
  • Encourages replacement of the FAR’s “component test” to identify domestic products with a test under which domestic content is measured by the value added through US-based production or US job-supporting economic activity.
  • Encourages the FAR Council to increase the domestic content requirements and price preferences for domestic end products and domestic construction materials.
  • Requires the FAR Council to hold off on any final determination of domestically nonavailable articles until it has reviewed an Office of Federal Procurement Policy (OFPP) recommendation on whether goods and materials mined, produced, or manufactured in the United States are sufficiently and reasonably available.
  • Limits, centralizes, and publicizes waivers of domestic preference laws, by clearing them through a “Made in America Director” appointed by the Director of OMB, who would require agency’s assessments of whether the cost advantage of the foreign-sourced product arises from dumped or injuriously subsidized steel, iron, or manufactured goods. 
  • Encourages supplier scouting to increase federal procurement from small- and medium-sized American businesses.

As we reported in our last update, President Biden has used his executive authority to seek swift and effective federal action to address the pandemic, the economy, systemic racial inequality, and climate change. President Biden also furthered one of his key “Build Back Better” campaign pledges by signing an executive order (EO) directing federal agencies to redouble efforts to proactively prefer the purchase of goods made in the United States.

Defense Federal Acquisition Regulation Supplement (DFARS) Rules

1. Rescission of Class Deviation 2021-O0001, Combating Race and Sex Stereotyping (Jan. 28, 2021)

  • This memorandum rescinds Class Deviation 2021-O0001, Combating Race and Sex Stereotyping, and its Revision 1.
  • Effective January 28, 2021, contracting officers shall:
    • Remove the clause 252.222-7999 (DEVIATION 2021-O0001) (JAN 2021), and the clause 252.222-7999 (DEVIATION 2021-O0001) (NOV 2020), from existing contracts, so that neither clause remains in contracts.
    • Ensure that existing and/or new solicitations do not contain either clause mentioned above.

President Biden revoked Executive Order 13950, Combating Race and Sex Stereotyping, on January 20, 2021. As a result of this rescission, the Class Deviation put in place by Executive Order 13950 has likewise been rescinded.

Protest Cases

1. GOV National Healthcare Drive, LLC, B-419258 et al. (Jan. 13, 2021)

  • GAO sustained a protest where the Department of Veterans Affairs (VA) failed to engage in meaningful discussions.
  • The VA argued that it merely engaged in “due diligence clarifications” with some offerors, but GAO highlighted that each offeror was asked to provide essential information necessary for the agency to determine the acceptability of their respective proposals, which constituted discussions and triggered an obligation for the VA to raise proposal deficiencies or significant weaknesses.

Where an agency engages in communications with an offeror for the purpose of obtaining information essential to determining the acceptability of a proposal, or otherwise provides the offeror with an opportunity to revise or modify its proposal in some material respect, discussions have occurred. Where discussions have occurred, they must be meaningful; that is, they must lead the offeror into those areas of its proposal that require modification, amplification, or explanation.

2. Accenture Federal Services, LLC, B-418321.4 (Jan. 29, 2021)

  • GAO denied a protest challenging a solicitation’s definition of similar prior experience under a corporate experience evaluation factor.
  • Accenture—the incumbent contractor providing the health insurance exchange support services being procured—argued it was unreasonable for the Department of Health and Human Services to consider experience with a state-based health exchange to be similar in size to the services being solicited (and performed by Accenture).  
  • GAO rejected the protest because its role in reviewing bid protests is to ensure that the statutory requirements for full and open competition are met—not to protect a protester’s interest in restricting competition.

A procuring agency is responsible for defining its needs and determining the best methods for meeting its requirements; this extends to matters involving the relevance of offerors’ performance history. An agency may reasonably provide for an evaluation that fosters competition by increasing the feasibility of proposals submitted by non-incumbent offerors.

3. NIKA Technologies, Inc. v. United States, CAFC No. 20-1924 (Feb. 4, 2021)

  • The Court of Appeals for the Federal Circuit clarified that a disappointed offeror must ask follow-up questions in response to an enhanced debriefing to extend the GAO bid protest filing deadline necessary to invoke an automatic stay of performance under the Competition in Contracting Act (CICA).
  • The Department of Defense had provided NIKA an enhanced debriefing, but NIKA did not ask any follow-up questions to extend the debriefing. Because NIKA filed a subsequent bid protest six days after the debriefing, GAO concluded that that a CICA stay was not required; COFC then reached the opposite conclusion, holding that the two-day period to ask follow-up questions automatically extended the debriefing and the five-day clock for a stay, regardlPublishess of whether a question was asked. The appellate court reversed COFC. 

The Department of Defense’s enhanced debriefing provisions permit an offeror to ask follow-up questions in response to a post-award debriefing within two business days of the debriefing. But the five-day GAO protest clock to invoke an automatic stay of performance is only extended if the offeror actually asks follow-up questions.

© 2026 Jenner & Block LLP. Attorney Advertising. Jenner & Block LLP is an Illinois Limited Liability Partnership including professional corporations. This publication, presentation, or event is not intended to provide legal advice but to provide information on legal matters and/or firm news of interest to our clients and colleagues. Readers or attendees should seek specific legal advice before taking any action with respect to matters mentioned in this publication or at this event. The attorney responsible for this communication is Brent E. Kidwell, Jenner & Block LLP, 353 N. Clark Street, Chicago, IL 60654-3456. Prior results do not guarantee a similar outcome. Jenner & Block London LLP, an affiliate of Jenner & Block LLP, is a limited liability partnership established under the laws of the State of Delaware, USA and is authorised and regulated by the Solicitors Regulation Authority with SRA number 615729. Information regarding the data we collect and the rights you have over your data can be found in our Privacy Notice. For further inquiries, please contact dataprotection@jenner.com.

Government Contracts Legal Round-Up | 2021 Issue 2

Welcome to Jenner & Block’s Government Contracts and Grants Legal Round‑Up, a biweekly update on important government contracts developments. This update will offer brief summaries of key developments for government contracts legal, compliance, contracting, and business executives.

Executive Actions

1. Executive Order on Ensuring the Future Is Made in All of America by All of America’s Workers (Jan. 25, 2021)

  • Establishes a policy to maximize the use of goods, products, and materials produced in, and services offered in, the United States under federal financial assistance awards and federal procurements.
  • Encourages replacement of the FAR’s “component test” to identify domestic products with a test under which domestic content is measured by the value added through US-based production or US job-supporting economic activity.
  • Encourages the FAR Council to increase the domestic content requirements and price preferences for domestic end products and domestic construction materials.
  • Requires the FAR Council to hold off on any final determination of domestically nonavailable articles until it has reviewed an Office of Federal Procurement Policy (OFPP) recommendation on whether goods and materials mined, produced, or manufactured in the United States are sufficiently and reasonably available.
  • Limits, centralizes, and publicizes waivers of domestic preference laws, by clearing them through a “Made in America Director” appointed by the Director of OMB, who would require agency’s assessments of whether the cost advantage of the foreign-sourced product arises from dumped or injuriously subsidized steel, iron, or manufactured goods. 
  • Encourages supplier scouting to increase federal procurement from small- and medium-sized American businesses.

As we reported in our last update, President Biden has used his executive authority to seek swift and effective federal action to address the pandemic, the economy, systemic racial inequality, and climate change. President Biden also furthered one of his key “Build Back Better” campaign pledges by signing an executive order (EO) directing federal agencies to redouble efforts to proactively prefer the purchase of goods made in the United States.

Defense Federal Acquisition Regulation Supplement (DFARS) Rules

1. Rescission of Class Deviation 2021-O0001, Combating Race and Sex Stereotyping (Jan. 28, 2021)

  • This memorandum rescinds Class Deviation 2021-O0001, Combating Race and Sex Stereotyping, and its Revision 1.
  • Effective January 28, 2021, contracting officers shall:
    • Remove the clause 252.222-7999 (DEVIATION 2021-O0001) (JAN 2021), and the clause 252.222-7999 (DEVIATION 2021-O0001) (NOV 2020), from existing contracts, so that neither clause remains in contracts.
    • Ensure that existing and/or new solicitations do not contain either clause mentioned above.

President Biden revoked Executive Order 13950, Combating Race and Sex Stereotyping, on January 20, 2021. As a result of this rescission, the Class Deviation put in place by Executive Order 13950 has likewise been rescinded.

Protest Cases

1. GOV National Healthcare Drive, LLC, B-419258 et al. (Jan. 13, 2021)

  • GAO sustained a protest where the Department of Veterans Affairs (VA) failed to engage in meaningful discussions.
  • The VA argued that it merely engaged in “due diligence clarifications” with some offerors, but GAO highlighted that each offeror was asked to provide essential information necessary for the agency to determine the acceptability of their respective proposals, which constituted discussions and triggered an obligation for the VA to raise proposal deficiencies or significant weaknesses.

Where an agency engages in communications with an offeror for the purpose of obtaining information essential to determining the acceptability of a proposal, or otherwise provides the offeror with an opportunity to revise or modify its proposal in some material respect, discussions have occurred. Where discussions have occurred, they must be meaningful; that is, they must lead the offeror into those areas of its proposal that require modification, amplification, or explanation.

2. Accenture Federal Services, LLC, B-418321.4 (Jan. 29, 2021)

  • GAO denied a protest challenging a solicitation’s definition of similar prior experience under a corporate experience evaluation factor.
  • Accenture—the incumbent contractor providing the health insurance exchange support services being procured—argued it was unreasonable for the Department of Health and Human Services to consider experience with a state-based health exchange to be similar in size to the services being solicited (and performed by Accenture).  
  • GAO rejected the protest because its role in reviewing bid protests is to ensure that the statutory requirements for full and open competition are met—not to protect a protester’s interest in restricting competition.

A procuring agency is responsible for defining its needs and determining the best methods for meeting its requirements; this extends to matters involving the relevance of offerors’ performance history. An agency may reasonably provide for an evaluation that fosters competition by increasing the feasibility of proposals submitted by non-incumbent offerors.

3. NIKA Technologies, Inc. v. United States, CAFC No. 20-1924 (Feb. 4, 2021)

  • The Court of Appeals for the Federal Circuit clarified that a disappointed offeror must ask follow-up questions in response to an enhanced debriefing to extend the GAO bid protest filing deadline necessary to invoke an automatic stay of performance under the Competition in Contracting Act (CICA).
  • The Department of Defense had provided NIKA an enhanced debriefing, but NIKA did not ask any follow-up questions to extend the debriefing. Because NIKA filed a subsequent bid protest six days after the debriefing, GAO concluded that that a CICA stay was not required; COFC then reached the opposite conclusion, holding that the two-day period to ask follow-up questions automatically extended the debriefing and the five-day clock for a stay, regardlPublishess of whether a question was asked. The appellate court reversed COFC. 

The Department of Defense’s enhanced debriefing provisions permit an offeror to ask follow-up questions in response to a post-award debriefing within two business days of the debriefing. But the five-day GAO protest clock to invoke an automatic stay of performance is only extended if the offeror actually asks follow-up questions.

© 2026 Jenner & Block LLP. Attorney Advertising. Jenner & Block LLP is an Illinois Limited Liability Partnership including professional corporations. This publication, presentation, or event is not intended to provide legal advice but to provide information on legal matters and/or firm news of interest to our clients and colleagues. Readers or attendees should seek specific legal advice before taking any action with respect to matters mentioned in this publication or at this event. The attorney responsible for this communication is Brent E. Kidwell, Jenner & Block LLP, 353 N. Clark Street, Chicago, IL 60654-3456. Prior results do not guarantee a similar outcome. Jenner & Block London LLP, an affiliate of Jenner & Block LLP, is a limited liability partnership established under the laws of the State of Delaware, USA and is authorised and regulated by the Solicitors Regulation Authority with SRA number 615729. Information regarding the data we collect and the rights you have over your data can be found in our Privacy Notice. For further inquiries, please contact dataprotection@jenner.com.

News and Insights

Event

Amanda Shafer Berman to Speak on Energy and Administrative Law at WEN-DC Webinar

As the Supreme Court's new Term begins, Jenner & Block Partner Amanda Shafer Berman will join a Women's Energy Network of Washington, DC (WEN-DC) webinar on how the Court's decisions are shaping the energy sector.

October 14, 2026

Publications

Partner Amanda Shafer Berman Quoted in Bloomberg Law on Senate Permitting Overhaul Bill

Partner Amanda Shafer Berman was quoted in an October 5 Bloomberg Law article, "Permitting Deal Gives Projects Defense Against Litigation Delays," on the Senate's new permitting overhaul package and its expected impact on litigation over federal permitting reversals.

October 2026

Event

Partner John Storino to Speak at Sandpiper Partners' “AI and Outside Counsel Guidelines Roundtable”

On October 8, Partner John Storino will serve as a panelist at the “AI and Outside Counsel Guidelines Roundtable,” hosted by Sandpiper Partners in Chicago.

October 8, 2026

Event

Partner Meghan Greenfield to Speak on Supreme Court Climate Case at Edison Electric Institute's Fall Legal Conference

On Wednesday, October 7, Partner Meghan Greenfield will speak on a panel titled "Boulder County v. Suncor Energy: What the Supreme Court's Climate Case Means for the Energy Industry" at the Edison Electric Institute's Fall Legal Conference in Salt Lake City, Utah.

October 7, 2026

Publications

The Form Rules Everything: A Seventh Circuit Ruling on ERISA's Substantial Compliance Doctrine

Partner Joseph Torres and Special Counsel Jennifer Beach authored an article for Employee Relations Law Journal examining the Seventh Circuit's decision in Packaging Corp. of America Thrift Plan for Hourly Employees v. Langdon, a ruling that addresses both the standard of review in ERISA interpleader actions and the continued viability of the substantial compliance doctrine for changing plan beneficiaries.

October 5, 2026