Jason Walker, MBA

Heads Up...DoD News related to Architect - Engineering (AE) Services! (1) FINAL RULE Effective 8/26/2024 - DFARS Case 2024-D019 Architect and Engineering Service Fees. This rule changes DFARS to implement Section 2881 of the FY24 NDAA to increase the limitation of the contract price (i.e., "fee") for A-E services for the preparation and delivery of designs, plans, drawings, and specifications from 6% of the project's estimated construction cost to 10%. It is applicable to Army, Navy, and Air Force projects (references in 10 U.S.C. 7540,8612, and 9540). The new 10% limit replaces the 6% fee limitation on contract modifications for work not initially included in the contract and redesign, and applies only to that portion of the contract (or modification) price attributable to the preparation of designs, plans, drawings, and specifications. If a contract or modification also includes other services, the part of the price attributable to the other services is not subject to the fee limitation. (Personally, I've been waiting since the early 1990's for this percentage to change (and yes, I've been doing this THAT long). This makes it easier for small AE businesses to participate in the Federal space. So, YEA!) Permalink: https://lnkd.in/g7vF95R6 (2) PROPOSED RULE Comments due 9/27/2024 -- DFARS Case 2023-D007 Task Order and Delivery Order Contracting for Architectural and Engineering Services. This rules proposes a corresponding change to DFARS Subpart 216.5, Indefinite-Delivery Contracts, to require DoD Contracting Officers (KOs) to use qualification-based selections when awarding task orders and delivery orders for AE services that was previously implemented procedurally under FAR Subparts 16.500, 16.505, and 36.6 procedures in 2005 under the final rule for FAR Case 2004-001 Improvements in Contracting for Architect-Engineer Services. This proposed rule adds DoD-specific statutory guidance (10 U.S.C. 3406(h)(2)) to DFARS directing KOs not to request additional info regarding qualifications unless necessary to determine qualifications for a particular task order or delivery order under a multiple-award contract. There should be little to no impact from this proposed rule since there are no procedural changes, new clauses or provisions, and no new applicability in terms of thresholds or types of contracts. Permalink: https://lnkd.in/gwh2_38J

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Small unmanned surface vehicles (sUSV) have been one of the priorities for the US Navy, the Defense Innovation Unit (DIU), United States Department of Defense Deputy Secretary Hicks, and Replicator with contracts recently awarded to a mix of mid-size, non-traditional, and venture-backed companies. According to Hicks, “Replicator is demonstrating from the top and across the enterprise how to deliver all kinds of capability at speed and scale.... What we’ve done in under 12 months can take seven-to-ten years.” In early 2020, Federal Budget IQ identified unmanned as a 10-year multi-billion-dollar national security policy and funding priority driven by the evolution of our National Defense Strategy, its increased focus on near-peer competitors, operational and staffing challenges, and budgetary realities. #defensetech #unmanned #susv #replicator #publicsectorforecast Chauncey Goss Maureen Holohan Becky Leggieri Cameron Leuthy Austin Smythe

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DoD rule-makers have been busy with proposed rules for DFARS. Those of you with a NAICS code that begins with 5416--management, scientific, and technical consulting services NAICS--will want to pay attention to this first rule in particular... Preventing Conflicts of Interest for Certain Consulting Services (DFARS Case 2024-D007) - Proposes amending DFARS to-- ▶ implement Section 812 of the FY24 NDAA which prohibits DoD from awarding contracts assigned a North American Industry Classification System (NAICS) code beginning with 5416 to offerors who hold contracts that involve consulting services with certain covered foreign entities. ▶ add a new solicitation provision in which an offeror certifies whether the offeror, its subsidiaries, or affiliates hold a contract for consulting services with one or more covered foreign entities and whether the offeror maintains a conflict-of-interest mitigation plan that meets certain requirements. ▶ requires that if the offeror, its subsidiaries, or affiliates hold such a contract and the offeror is selected for award, the offeror may submit its existing conflict-of-interest mitigation plan, which will be incorporated into a contract resulting from the solicitation. The provision is prescribed for use in solicitations assigned a NAICS code beginning with 5416 that involve consulting services. (https://lnkd.in/gCdMD7D4) DoD Cost or Pricing Data Reporting Requirements (DFARS Case 2022-D004) - Would amend DFARS to-- ▶ require offerors to submit data other than certified cost or pricing data upon contracting officer request. ▶  establish a $2 million threshold for the Truthful Cost or Pricing Data statute requirements with respect to contract modifications, subcontracts, and modifications to subcontracts.  ▶ require that contract modifications to reflect the revised threshold be executed “as soon as practicable.” The proposed rule implements these changes via several proposed new clauses. (https://lnkd.in/gfNcW2rR) Public Access to Results of Federally Funded Research (DFARS Case 2020-D028) - Proposes two new clauses that require contractors with contracts that include fundamental research to develop and maintain a data management plan and to submit final peer-reviewed manuscripts to the Defense Technical Information Center’s publicly accessible repository. (https://lnkd.in/g7bDcij6) Comments for all proposed rules are due on 11/25/2024. Instructions to comment are found at each permalink.

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GDIT’s acquisition of Iron EagleX is a reminder that in defense, staying competitive means constantly evolving. Whether you’re a startup or an established firm, partnering with experts at CRG can help you navigate these shifts and position your company for success. Learn more at crgroupinc.com or [email protected]. #IL #VA #DC #Dubai #UAE #CRG #Defense #AI #Cybersecurity #ML #MarketStrategy #Agile #DoD #BD #Strategy #MissionReadiness #DefenseTech

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Garrett Smith would have you believe he's "a head in the clouds, visionary CEO who's not grounded in reality." But Reveal Technology's story proves otherwise. While some defense tech startups chase headlines and trade show sponsorships, Garrett and his team have quietly become the first commercial software solution certified on the Army's mobile network. Today on #CrossingtheValley, I sat down with Garrett and Dave Caudle, the company's VP of Defense, to unpack how a small team is revolutionizing tactical edge operations. This episode just might change how you think about defense tech. We cover: 🎯 The Power of Tactical Truth While others pitched PowerPoints to generals, Reveal spent time on ranges with sergeants and lieutenants, building capabilities they wished they had in combat. Result? When they finally met program leadership, the grassroots demand was undeniable. 💡 The Integration Revelation Most founders obsess over technology readiness (TRL). Reveal discovered early that integration readiness (IRL) is the real kingmaker. It's not enough to build great software – it has to seamlessly integrate into the warfighter's complex ecosystem. 🤝 The Platform Play What started as an edge mapping solution is morphing into something much bigger. With a recent acquisition and a $33.6M STRATFI award, Reveal is positioning to become the standard platform for AI-enabled operations at the tactical edge. Full episode available now at ValleyCrossers (dot) Com. Whether you're a founder, investor, or acquisition professional, you don't want to miss this. #DefenseTech #Military #Innovation #Leadership

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What's missing from this Defense Innovation Board recommendations report on Data? This is a comprehensive report and set of recommendations from the DIB on improving data access and quality across the department. Would highly encourage you to read. One other recommendation I would recommend adding is a CONTRACTUAL REQUIREMENT TO PROVIDE SUB-TIER SUPPLIER INFORMATION, STARTING WITH TIER 1, to enable better monitoring of supply chain risks and ultimately improve supply chain resilience. Getting this information after a contract has been set up is quite difficult for many reasons including lack of incentives for a contractor to provide it. At a minimum, Tier 1 information is something that contractors have at their fingertips as they know who their next tier suppliers are. Information beyond that into next Tiers is more difficult and requires them to reach out to their next tier of suppliers. It can be done through solutions like Resilinc as we have seen at DLA and other agencies. But it takes time and effort. Recommendation: Add a requirement, for contracts of certain size and above, to provide Tier 1 supply chain data, based on part #s, products, service offerings being delivered. Anthony Di Stasio Brooke Pyne Peter Guinto Brandon Hodges Dr. Marina Theodotou G. Nagesh R. Ryan Connell John Ferry Rob Handfield #emergingtech #supplychainresiliency

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Y'all, sometimes, the jokes write themselves. The DoD Office of Small Business Programs is required by Congress (before 2027) "to establish a new program where we actually do commercial tool demonstrations for small businesses to help them to understand what their risks are when it comes to foreign control and influence." “We’re not waiting until 2027. We’re trying to roll that out within the next year, because I think it’s really, really important. *We’re not resourced to do it.* We’re digging around and figuring out how we can respond,” [Director of the DoD Office of Small Business Programs, Farooq Mitha] said. Don't get me wrong: Showing SMB how and why these things matter is important, and it's a valid idea. But who, pray-tell, will implement these tools after the demo or show-and-tell? There is so much irony that the DoD Office of Small Business Programs isn't "resourced to do it," even though they've acknowledged that it's "really, really important." Don't misinterpret my post as throwing shade. I'm just really, really glad we finally agree on something. Read more here: https://lnkd.in/esmJQ_M7 #cybersecurity #CMMC #smallbusiness #DIB

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The defense landscape demands rapid integration of commercial space capabilities. Firms must act now to position themselves as essential partners. Interested companies should act now to capitalize on this opportunity. Contact CRG today to leverage our expertise and secure your position in this critical defense initiative. For more information, visit crgroupinc.com or contact us at [email protected]. #CommercialSpace #SpaceAcquisition #ISR #DefenseInnovation #SpaceForce #SatelliteTechnology #ISRIntegration #DefenseContracts #MilitarySpace #TacticalISR #SpaceSurveillance #SatelliteIndustry #DefenseStrategy #CommercialSatellites #TechInnovation

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There is no doubt that promoting IT modernization, comprehensive and continuous process improvement, and competition for products and services across the entire life cycle inc government purpose data rights would yield enormous savings. New business models like “Government as the Lead Systems Integrator,” and engagement in military and commercial specs and STDs can promote and accelerate innovation and help ensure quality improvement for contracted services. Building leadership skills and capabilities at all levels to accelerate learning, change and transformation can embed new cultural norms which would help institutionalize these new paradigms. Lastly, given exponentially accelerating technologies and the need to sense, be agile and adaptive as well as anticipatory we can create a culture of learning (vs just doing).. "Defense contractors routinely overcharge the Pentagon by 40%—and sometimes more than 4,000%," Sanders continued. "In October, RTX (formerly Raytheon) was fined $950 million for inflating bills to the DoD, lying about labor and material costs, and paying bribes to secure foreign business. In June, Lockheed Martin was fined $70 million for overcharging the navy for aircraft parts, the latest in a long line of similar abuses.."

Day #18 (11/24): Government Efficiency Initiatives - Get Money Out of Politics Congresspeople are no longer beholden to their constituents. Campaigns are won and lost based on financing - advertisements, payoffs, quid-pro-quo, image enhancers, social media influence, etc. This system generates career politicians willing to do the bidding of their financers and not their constituents. While laws exist to limit financial influence, they are very loosely and seldom enforced. This problem exists on both sides of the aisle. Until politicians are making decisions for reasons other than personal gain, the Government cannot possibly operate efficiently. Running List of Government Efficiency Initiatives: #1: FFP Contracts Only #2: 1 Acquisition System #3: Pay for Performance (Government Employees) #4: Rapid Gated Contracts #5: Extend Federal Whistle Blower Rights to Contractors #6: Free Compliance Systems #7: Eliminate Government Labs #8: Eliminate the SBA #9: Free Government IP #10: Share in Savings #11: Flat Tax #12: Fire for Performance #13: Root Out Corruption #14: Eliminate the Department of Education #15: End Proxy Wars #16: End Excessive Positivity #17: Enforce the STOCK Act #18: Get Money Out of Politics

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I'm pretty critical when it comes to resources like this BUT I have to say THANK YOU to the NSIN - National Security Innovation Network Transition Cell for putting an informative guide together. This guide along with the webinars held by NSIN every Thursday (see below) should be something every emerging tech company, especially those new to government, should attend. Thanks Jesse Gipe Jon LazarAndy Tennant David S.! Keep these resources coming! #emergingtech #barriers2entry #defensetech #defenseinnovation

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Does your team need help searching and finding readable Presidents budget information? If so we can find that data and convert to graphs and charts that allow you to make strategic decisions. Our team can tailor your search needs to programs relevant to your business. If this would be helpful, let’s set up a call to discuss how we can help. Book directly below by clicking the link and finding a time that works in your schedule. https://lnkd.in/gYBHweyP #defensebudgets #dodbudgets #datamining #budgetdocs

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Day #6: Government Efficiency Initiatives - Free Compliance Systems Those performing Defense contracting know the burden of compliance with DCAA and CMMC/NIST SP 800-171. Thousands of companies are making billions to provide nearly identical services tens of thousands of times to companies with almost identical infrastructure. The US Government ultimately pays for this work several thousand times over. This is a gross inefficiency. We should have free Government hosted DCAA compliant options with associated documentation and training. There is also no reason not to have free CMMC compliance options with associated documentation and training. Stop drowning startup Defense businesses with excessive compliance costs in favor of major Primes. This can be further applied to any such compliance across Government. Stop paying for these services several thousand times over. To keep it competitive, maintain at least three systems and allow users to choose with funding flowing most significantly to the system with the greatest number of users. Poor performers will self-select out. Running List of Government Efficiency Initiatives: #1: FFP Contracts Only #2: 1 Acquisition System #3: Pay for Performance (Government Employees) #4: Rapid Gated Contracts #5: Extend Federal Whistle Blower Rights to Contractors #6: Free Compliance Systems Have other ideas? Please reach out or comment below.

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Great news we have movement - time to accelerate the build allied model. The Defense Innovation Unit (DIU) is working quickly to determine how and where to spend the nearly $1 billion US Congress provided in March through the fiscal 2024 appropriations act. The $983 million allocation, nearly $800 more than what DIU received last year, will support the growing organization’s mission to help the United States Department of Defense quickly foster and field commercial capabilities in large numbers, according to DIU director Doug Beck. As reported, "due to prolonged budget deliberations in Congress that delayed the release of appropriations, DIU’s funding came more than five months into the fiscal year, presenting Beck’s team with the challenge of using that money in a short period of time". Beck didn’t discuss the specific initiatives DIU will funnel the funding toward — or what additional staff he might need to support these efforts — but said it will fall in four primary buckets: - accelerating existing programs, - launching new ones, - supporting projects housed within other DoD #innovation organizations, and - addressing some of the challenges commercial companies face as they try to work with the DoD. A pretty broad agenda. Hopefully allies and partner nations, particularly in the #indopacific, will not be forgotten as these programs are progressed in a multidomain environment. One that is becoming increasingly contested. #defence #defense U.S. Indo-Pacific Command Armatus.ai Bernice Glenn Kissinger US Army US Navy United States Air Force U.S. Space Command Defence Australia Pacific International Center For High Technology Research - PICHTR Japan - The Government of Japan Japan Ministry of Defense David Anderson #innovation #china #taiwan #technology Jerry McGinn, Ph.D. Tomoki Matsuo Center for Strategic and Budgetary Assessments (CSBA) Center for Strategic and International Studies (CSIS) NATO Support and Procurement Agency (NSPA) https://lnkd.in/g6FWV3YT

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The Army is talking about buying drones in the same quantities as they buy munitions. Autonomous systems at munitions scale will turn the spectrum into 21st century logistics lanes. CX2 is here to ensure we have the spectrum dominance we need to keep all of our drones connected and in the fight.

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Defcon AI Inc., a defense technology startup that provides logistics insights for military operations, said today it has raised $44 million in seed funding led by Bessemer Venture Partners to expand its team and build more capabilities. In addition to Bessemer, Fifth Growth Fund and Red Cell Partners also joined the round. Military organizations such as the U.S. Department of Defense, which contracts with Defcon AI, are faced with innumerable obstacles when deploying manpower and resources to the field. These could be issues such as hurricanes, washed-out roads and enemy action. All of this must be modeled and represented to get the best outcome when coordinating in the field where people and things need to move from point A to point B as efficiently as possible.

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The Department of Defense (DoD) has outlined a comprehensive plan to implement the National Defense Industrial Strategy (NDIS), focusing on enhancing the resilience and modernization of the defense industrial base. NovaSpark actively contributes to this initiative through its innovative hydrogen generation technologies, aligning with several key objectives of the NDIS. Advancing Production and Supply Chain Resilience A core component of the NDIS is strengthening production capabilities and supply chain resilience. NovaSpark’s “Air-to-Power” technology generates hydrogen fuel on-site by extracting moisture from the air, reducing reliance on traditional fuel supply chains. This capability enhances operational readiness and aligns with the DoD’s goal of mitigating supply chain vulnerabilities. Supporting Capabilities and Infrastructure Modernization The NDIS emphasizes the modernization of defense capabilities and infrastructure. NovaSpark’s mobile hydrogen generation systems provide a sustainable energy source for various military applications, including unmanned aerial systems and ground vehicles. By offering a clean and efficient alternative to conventional fuels, NovaSpark supports the DoD’s efforts to modernize its energy infrastructure and reduce environmental impact. Facilitating Allied and Partner Industrial Collaboration The NDIS encourages collaboration with allies and partners to enhance industrial capabilities. NovaSpark’s adaptable hydrogen solutions are suitable for deployment in joint operations and multinational exercises, promoting interoperability and shared technological advancements among defense partners. Enhancing Intellectual Property and Data Analysis Protecting intellectual property and leveraging data analytics are vital aspects of the NDIS. NovaSpark invests in robust cybersecurity measures to safeguard its proprietary technologies and utilizes data-driven approaches to optimize hydrogen production and deployment strategies, aligning with the DoD’s emphasis on technological security and innovation. NovaSpark’s contributions to sustainable energy solutions and technological innovation directly support the DoD’s National Defense Industrial Strategy, enhancing the resilience, modernization, and collaborative capabilities of the defense industrial base. https://lnkd.in/g7n66GQD

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