China | The Contracting Education Academy

September 29, 2020 By cs

Pentagon acquisition chief hints Section 889 supply chain waiver may be extended

The Pentagon and the Office of the Director of National Intelligence are discussing extending a waiver that gives the defense industrial base more time to ensure certain noncritical weapons systems comply with a new rule aimed at excising Chinese telecommunications equipment from the supply chain, according to the Defense Department’s acquisition chief.

Undersecretary for Acquisition and Sustainment Ellen Lord talked briefly about implementation of Section 889 Part B, a provision of the 2019 National Defense Authorization Act, during a Defense News Conference. Her remarks came a day ahead of a feedback webinar the General Services Administration will host to solicit questions, comments and concerns from stakeholders about Section 889 implementation.

“So what we did is we got a waiver from ODNI for noncritical weapons systems,” Lord said. “We continue to discuss an extension beyond September of that with them.”

Part B of Section 889 officially went into effect August 13, about a month after the final version of the rule was released in July. The rule prohibits federal agencies from contracting with entities that use equipment from certain covered companies including Huawei and ZTE. In effect, Part B requires contractors to search through their supply chains to determine and disclose to the government whether they use any of the covered equipment or services.

Keep reading this article at: https://www.nextgov.com/cio-briefing/2020/09/pentagon-acquisition-chief-hints-section-889-supply-chain-waiver-may-be-extended/168332/

September 24, 2020 By cs

Comments on government supply chain rule push for better definitions and more time

Industry groups and other comments highlight the difficulty of complying with a provision of last year’s defense authorization act that requires the removal of products from companies including Huawei and ZTE.

The broad, ambiguous language of Congressionally-mandated rule for government contractors to remove products and services from companies that pose threats to national security is complicating implementation, according to public comments.

The comment period for the interim Federal Acquisition Rule implementing Part B of Section 889 — a provision of the 2019 National Defense Authorization Act — closed last week, and the more than 30 comments submitted raise questions related to fundamental compliance issues.

While in general, commenters agree with the rule’s intent, groups representing industry, including the National Defense Industrial Association, BSA | The Software Alliance, the Coalition for Government Procurement and the Internet Association submitted detailed letters to Regulations.gov outlining compliance challenges. Nearly all asked for extended timelines for implementation and better definitions for key terms and phrases used in the regulation.

Keep reading this article at: https://www.nextgov.com/cybersecurity/2020/09/comments-government-supply-chain-rule-push-better-definitions-and-more-time/168460/

September 16, 2020 By cs

Pentagon, Defense contractors are out of step on tech innovation, GAO finds

The Pentagon wanted to fund ambitious research into future tech breakthroughs but contractors spend most of their money on safer bets, GAO has found.

Two years after the Pentagon set out to spend billions on 10 breakthrough research and engineering efforts, defense contractors instead are putting most of their money in less ambitious research projects.

The development gap between the military and its suppliers troubled investigators at the Government Accountability Office, or GAO, who determined in a report released last Thursday that the Defense Department isn’t keeping good watch over those private efforts and doesn’t know how much of it would fit into the military’s tech goals.

The Pentagon’s undersecretary for research and engineering in 2018 laid out several big idea research areas that would be most relevant to maintaining an edge on China or Russia. Many are in the very early stages of maturation; the biggest breakthroughs are expected in the second half of the coming decade.

Keep reading this article at: https://www.defenseone.com/technology/2020/09/pentagon-defense-contractors-are-out-step-tech-innovation-gao-finds/168237/

August 20, 2020 By cs

Ban on Chinese products starts despite confusion over acquisition rule

The second and more arduous deadline for agencies and vendors to ensure they are no longer using certain Chinese made telecommunications products and services is here, and few are happy about it.

Industry and agencies alike continue to sound the alarm about the potential and real impacts of the interim rule implementing part B of Section 889 of the 2019 National Defense Authorization Act.

“There is likely going to be significant impacts that will be felt across the federal sector,” said one government official, who requested anonymity in order to talk more candidly about the interim rule. “It’s very clear that the Defense Department and other agencies fully support the intent of the rule. We all know there is a lot of information about how China transmitted data and stole intellectual property so the intent of the rule is to protect our national security is good. But there will be unintended consequences because of how the specific language was written.”

Under the interim rule, which remains open for comments through mid-September, agencies cannot award new contracts, task orders or modify existing contracts to any vendor who doesn’t self-certify that they are not using products from Chinese companies like ZTE and Huawei.

Keep reading this article at: https://federalnewsnetwork.com/acquisition-policy/2020/08/ban-on-chinese-products-starts-today-despite-confusion-over-acquisition-rule/

July 29, 2020 By cs

Deadline looms for contractors to ditch banned Chinese equipment

Federal contractors face a late-summer deadline to ensure they’re not using banned Chinese equipment and services to fulfill their federal contracts, a top White House federal acquisition official stressed.

Federal contractors have until Aug. 13 to comply with Part B of Section 889 of the 2019 National Defense Authorization Act, Office of Federal Procurement Policy Administrator Michael Wooten said during a July 13 Professional Services Counsel (PSC) webcast.

That provision prohibits government contractors from using technology and services tied to Chinese equipment manufacturers that have been deemed cybersecurity threats by the U.S. government. Those companies include telecommunications gear-makers Huawei and ZTE, as well as video surveillance manufacturer Hikvision.

The Trump administration has worked to push Huawei and ZTE out of U.S. federal and commercial telecommunications networks, both domestically and internationally, deeming the companies’ close relationships to the Chinese government as a virulent cybersecurity threat.

Keep reading this article at: https://fcw.com/articles/2020/07/13/rockwell-defense-contractors-huawei-ban.aspx

Industry groups and other comments highlight the difficulty of complying with a provision of last year’s defense authorization act that requires the removal of products from companies including Huawei and ZTE.

The Pentagon wanted to fund ambitious research into future tech breakthroughs but contractors spend most of their money on safer bets, GAO has found.

The second and more arduous deadline for agencies and vendors to ensure they are no longer using certain Chinese made telecommunications products and services is here, and few are happy about it.

Federal contractors face a late-summer deadline to ensure they’re not using banned Chinese equipment and services to fulfill their federal contracts, a top White House federal acquisition official stressed.

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