Back to Basics: Price Realism vs. Price Reasonableness

As part of federal contracting, the total price of each award is disclosed. This is of course a great way to promote trust and transparency in federal contracting and in the handling of taxpayer dollars. But it also leads to other contractors scrutinizing an awardee’s price and thinking one of two things: (1) “That price is too low to do this work”; or (2) “that price is too high for this work.” Naturally contractors will consider protesting on one of those pricing intuitions, but often mix up how to properly frame or phrase that pricing concern. Thus, they find themselves at the crossroad of “price realism” vs. “price reasonableness.” This installment of our Back to Basics series will help you learn which is which and why that matters.

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Proposed Updates to DFARS Regarding Foreign Ownership, Control, or Influence

It sometimes takes a little time for federal statutes to be reflected in federal regulations. Recent proposed updates to DFARS regarding Foreign Ownership, Control, or Influence (FOCI) is a good example of this. These updates, meant to implement sections of the National Defense Authorization Acts of 2020 and 2021, are meant to mitigate risks related to FOCI or beneficial ownership. Today, we shall explore these updates and what they mean for federal contractors.

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SmallGovCon Week in Review: May 4-8, 2026

Happy Friday! Mother’s Day is this Sunday, and it’s a good reminder to slow down and thank the moms, grandmas, stepmoms, and mother figures who somehow keep everything moving. Whether you’re planning a get together, making a phone call, sending flowers, or just spending extra time together, we hope they will feel extra special. Happy Mother’s Day!

This week in federal government contracting included a focus on fixed-price contracts, an update on 2024 spending, and new regulatory changes.

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EO Maximizes Fixed-Price Over Cost-Reimbursement Contracts

The White House recently released Executive Order 14402 titled Promoting Efficiency, Accountability, and Performance in Federal Contracting (EO 14402). EO 14402 was released on April 30, 2026. This EO requires agencies to use fixed-price contracts over cost-reimbursement wherever possible. Because of its potential impact on federal contractors, let’s walk through the highlights in this post.

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The “Once 8(a), Always 8(a)–or HUBZone, SDVOSB, or WOSB” Rule, Where Are We Now?

For better or for worse, these federal procurement “times they are a-changin’.” One obvious source of recent change is the shiny new FAR 2.0, a.k.a. the Revolutionary FAR Overhaul (RFO). With the government’s widespread implementation of the RFO and its many procurement rule and procedure updates, we at SmallGovCon have tried to cover as much as possible. But we’re talking about an essential rewrite of the decades-longstanding procurement playbook here. So unsurprisingly, there’s still a lot to go. One recent change well-worth some deeper discussion is the RFO’s updated “Once 8(a), Always 8(a)” Rule–which I’ve aptly deemed the “Once 8(a), Always 8(a)–or HUBZone, SDVOSB, or WOSB” Rule. As the SBA’s “Once 8(a), Always 8(a)” Rule remains unchanged, this RFO update has the potential for significant impacts on small business federal contracting, as well as some implementation conflicts–or confusion at the least.

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Govology Webinar Announcement: Limitations on Subcontracting: A Step-by-Step Compliance Guide, May 19, 2026

Limitations on Subcontracting (LoS) is one of the most confusing—and most enforced—rules in government contracting.

For small businesses and their teaming partners, getting it wrong can lead to serious consequences. And the challenge? You may be asked to prove compliance at any point—before, during, or after contract performance.

Our very own SmallGovCon author John Holtz will break down the LoS in clear, practical terms so you can understand what’s required and how to stay compliant.

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Webinar Announcement: Legal Updates, May 13, 2026

In this webinar, Gregory Weber and I will discuss some of the most important legal developments which may impact federal contractors in 2026. Specifically, we will discuss recent regulatory updates and decisions affecting small business and federal contracting rules, including the Revolutionary Far Overhaul (RFO) process and updates, as well as sharing RFO examples that are pertinent to federal contractors. Please join us. Registration information here.