What Is DMSMS and What to Do About It?

David L. Bodner and Dominique L. Casimir ●

What does DMSMS mean?

DMSMS stands for Diminishing Manufacturing Sources and Material Shortages. It is the loss or impending loss of manufacturers or suppliers of items, raw materials, or software. In other words, DMSMS is obsolescence. DMSMS occurs when companies (at any level of the supply chain) that make products, raw materials, or software stop doing so or are about to stop. DMSMS issues can occur for various reasons, such as technological advancements, shifts in market demand, regulatory changes, or a manufacturer’s strategic business decision.

Where can contractors find DMSMS requirements?

DMSMS requirements are typically found in prime contracts. Specifically, a Statement of Work (“SOW”) can describe DMSMS requirements such as: a DMSMS Management Plan, a Bill of Materials, Health Status Reports, End of Life Notices, and various other requirements to mitigate DMSMS risks. The contract may use Contract Data Requirements Lists (“CDRLs”) to specify the content of deliverables, the inspection and acceptance process, and the frequency of delivery (e.g., the Contractor must deliver a Health Status Report “monthly” or an End of Life Notice “as required”).

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60-Second Sustains: TISTA Science and Technology Corporation

Elizabeth N. Jochum and David L. Bodner ●

Protest of: TISTA Science and Technology Corporation
B-422891.2; .3; .4

  • TISTA challenged the issuance of a task order by the National Institutes of Health to Tantus Technologies, alleging the agency engaged in unequal treatment of the offerors.
  • The Agency assessed a strength to the awardee for proposing to maintain a “warm bench” of candidates to meet potential surge staffing needs. On the other hand, it assessed a weakness to TISTA for proposing to maintain bench strength with a pool of pre-vetted candidates.
  • The Agency argued there was a distinction in the proposals in that the awardee’s “warm bench” was made up exclusively of existing employees, while TISTA’s would need to hire surge candidates.
  • The Government Accountability Office (“GAO”) rejected the Agency’s argument, finding that both quotations provided for surge staffing with a mix of existing and yet-to-be-hired employees, and sustained the protester’s allegation of disparate treatment.
  • GAO similarly found unequal treatment in the Agency’s decision to assign a strength to the awardee for its use of a “master schedule,” when it did not assign a strength to the protester for proposing use of a “master tracker.”

Five Practical Tips for Government Contractors Navigating the Executive Order Chaos

Merle M. DeLancey, Jr. ●

Federal government contractors are living in a climate of uncertainty. Executive orders affecting government contracts are being issued at a rapid pace. The executive orders tend to be broad and high-level with regulatory guidance to follow. This is not abnormal. However, the sheer number of executive orders and the magnitude of the regulatory changes they seek to impose is a new phenomenon. Contractors are left to determine what they should be doing, if anything, and when. Set forth below are practical suggestions for contractors to consider during this unsettling time.[1]

  1. Communicate with your Contracting Officer

During the chaos, it is important to communicate with your contracting officer. Only contracting officers are authorized to modify contracts. Do not blindly accept direction from contract specialists or others who purport to be speaking on behalf of the government. Direction received from anyone other than a contracting officer should be immediately relayed to your contracting officer with a request for clarification or guidance. 

Also, be prepared for unclear responses from your contracting officer. Like you, contracting officers also are living through this chaos. They may not have received clear direction to pass on to contractors. Aim to keep your communications with your contracting officer respectful. 

  1. Executive Orders are not Contract Modifications

Remember that executive orders are not contract modifications. Contractors should not change their contract performance or their compliance with, for example, socioeconomic programs unless or until a contract modification signed by a contracting officer. This may be difficult for contractors when they think they can see the writing on the wall. But regulatory and policy changes can occur and, thus, even well-intentioned contractors might make changes they did not need to make or that are different from what is required from a formal contract modification.

  1. Continue Contract Performance

Along the same lines, contractors need to continue contract performance in accordance with the four corners of the contract unless or until a contract is modified. Failure to do so could be considered breach of contract. With the plethora of contract terminations being reported, contractors should not put themselves in the crosshairs by failing to comply with the terms and conditions of their contract, thereby giving the government a basis to terminate for default.  And remember, if you believe the government has breached or improperly changed a contract, a contractor is required to continue performance and seek relief in accordance with the FAR Disputes clause.

  1. Communicate with your Subcontractors

Just as a prime contractor craves concrete guidance from a contracting officer regarding what to do, subcontractors also need guidance and oftentimes more so, because they are unable to communicate directly with the government. Thus, a good practice for prime contractors is to pass along any guidance received from a contracting officer to its subcontractors. Prime contractors also should remind their subcontractors about their obligations to continue contract performance.

  1. Prepare to Defend Your Contract

Contractors also should be prepared to explain the importance of their contracts to the government. To be proactive, contractors should draft narratives explaining the importance of their work and how their performance exceeds contract requirements. Contracts that are considered to “add value” are less likely to be found on the so-called “chopping block.” If appropriate, a contractor should consider including recommendations, for example, regarding how its work can be performed more effectively or efficiently. 

We hope this practical advice will help you navigate the government contracting chaos until the dust settles. 

[1] See our previous related blog posts: Understanding President Trump’s Executive Orders on DEI: Implications for Federal Contractors;  What Contractors Facing Terminations, Stop-Work Orders, and Suspension of Work Orders Directed by the Trump Administration Need to Know;  Fixed Price Contracts: Government Contractors Beware;  What GSA Contractors Need to Know About the New FAR Deviation for Revoked Executive Order 11246, Equal Employment Opportunity;  Preliminary Injunction Granted Related to DEI-Related Executive Orders—Takeaways for Government Contractors;  President Trump Signs New Executive Order: “Implementing the President’s ‘Department of Government Efficiency’ Cost Efficiency Initiative”—What Federal Contractors Need to Know.

Today’s General Counsel referenced this post in an article on March 17, 2025. Read the article here: Risk Management for Federal Contractors During Regulatory Changes.

President Trump Signs New Executive Order: “Implementing the President’s ‘Department of Government Efficiency’ Cost Efficiency Initiative”—What Federal Contractors Need to Know

Dominique L. Casimir, Justin A. Chiarodo, and David L. Bodner ●


On February 26, 2025, President Trump signed an Executive Order (“EO”) that states that it “commences a transformation in Federal spending on contracts, grants, and loans to ensure Government spending is transparent and Government employees are accountable to the American public.” Here’s what government contractors need to know.

Who Does the EO Apply To?

The EO is primarily directed at Agency Heads and contemplates that each Agency Head will work closely with its Department of Government Efficiency (“DOGE”) Team Lead on a number of activities intended to reduce federal spending and root out fraud, waste, and abuse. (On January 20, 2025, President Trump signed EO 14158 establishing DOGE and requiring each agency to have a DOGE Team Lead to “advise their respective Agency Heads on implementing the President’s DOGE Agenda.”).

Continue reading “President Trump Signs New Executive Order: “Implementing the President’s ‘Department of Government Efficiency’ Cost Efficiency Initiative”—What Federal Contractors Need to Know”

Claims Court Breathes Life into Another Path to Protest OTAs

Merle M. DeLancey, Jr. ●

On Monday, February 24, 2025, the Court of Federal Claims (“COFC”) released the public version of a February 13 decision declining to dismiss Raytheon Company’s protest of a $648.5 million award under the Missile Defense Agency’s (“MDA”) interceptor development program. Judge Armando O. Bonilla held that the award was within the court’s jurisdiction over Other Transaction Authority agreements (“OTAs”).

Unsuccessful offerors have had difficulty finding a tribunal with jurisdiction over post-award protests involving OTAs. Under COFC and U.S. General Accountability Office (“GAO”) precedent, an offeror’s ability to protest an OTA award is limited. OTAs are not considered procurement contracts. They are considered non-traditional acquisitions usually involving innovative research and development or prototyping services. They are not based on the Federal Acquisition Regulation (“FAR”) or Defense Federal Acquisition Regulation Supplement (“DFARS”) and are not subject to the Competition in Contracting Act (“CICA”). Under CICA and the GAO’s Bid Protest Regulations, GAO’s bid protest jurisdiction is limited to protests concerning alleged violations of federal agency procurement statutes or regulations in the award or proposed award of contracts for the procurement of goods and services, and solicitations leading to such awards. Under the COFC’s Tucker Act bid protest jurisdiction, COFC’s review is limited to protests “in connection with a procurement or a proposed procurement.” Disappointed OTA competitors also have been unsuccessful seeking relief in U.S. Federal District Courts.

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ABA Section of Public Contract Law’s Roundtable on Impact of New Administration on Government Contracting

February 26, 2025
2:00–4:00 p.m.
McLean, Virginia

Blank Rome partner Jennifer Short will serve as a panelist at the American Bar Association (“ABA”) Section of Public Contract Law’s “Roundtable on Impact of New Administration on Government Contracting,” taking place in McLean, Virginia, on Wednesday, February 26, 2025, from 2:00 to 4:00 p.m., with a light reception to follow. A virtual participation option will be available.

ABOUT THE PROGRAM

The panel will discuss the impact of the new administration on government contracting, including the President’s Executive Orders regarding DEI and how to respond to them; stop works, terminations, and other contract actions and what contractors can be doing in light of them; and the legal issues surrounding a decision by the Executive Office not to spend appropriated funds.

Panelists:

  • Facilitator: Jeff Chiow, Greenberg Traurig LLP
  • Jayna Marie Rust, Thompson Coburn LLP
  • Jennifer Short, Blank Rome LLP

For more information, please visit the registration page.

Preliminary Injunction Granted Related to DEI-Related Executive Orders—Takeaways for Government Contractors

Dominique L. Casimir ●

In the four weeks since President Trump issued Executive Order (“EO”) 14151 (“Ending Radical and Wasteful Government DEI Programs and Preferencing”) and EO 14173 (“Ending Illegal Discrimination and Restoring Merit-Based Opportunity”), virtually all sectors of American society have been scrambling to understand their compliance obligations and seeking to reduce legal risk. Businesses have taken a range of approaches, from preparing to defend their diversity, equity, and inclusion (“DEI”) commitments to removing public-facing references to DEI. Some government contractors have received DEI-related certifications required by EO 14173, which implicate enforcement under the False Claims Act (“FCA”).

In a significant new development, on February 21, 2025, the United States District Court for the District of Maryland issued a nationwide preliminary injunction against both EO 14151 and EO 14173. Here’s what federal contractors need to know.

Continue reading “Preliminary Injunction Granted Related to DEI-Related Executive Orders—Takeaways for Government Contractors”

What GSA Contractors Need to Know About the New FAR Deviation for Revoked Executive Order 11246, Equal Employment Opportunity

Dominique L. Casimir and Amanda C. DeLaPerriere ●

On February 18, 2025, the General Services Administration (“GSA”) announced that it issued GSA Class Deviation CD-2025-04 (“the GSA Class Deviation”) effective February 15, 2025, to implement Executive Order (“EO”) 14173 titled “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” which, as Blank Rome has previously written about here and here, revoked the landmark 60-year-old EO 11246 titled “Equal Employment Opportunity.”

Continue reading “What GSA Contractors Need to Know About the New FAR Deviation for Revoked Executive Order 11246, Equal Employment Opportunity”

What CMMC Level Do I Need? The Department of Defense Issues New Guidance for Determining Appropriate CMMC Compliance Level

Michael Joseph Montalbano ●

The Department of Defense (“DOD”) recently issued new guidance outlining how it will determine Cybersecurity Maturity Model Certification (“CMMC”) levels for its solicitations and contracts. Prior to this guidance, contractors generally understood that contracts with only Federal Contract Information (“FCI”) would require a CMMC Level 1 self-assessment; contracts with Controlled Unclassified Information (“CUI”) would require either a CMMC Level 2 self-assessment or a CMMC Level 2 certification; and DOD contracts “supporting its most critical programs and technologies” would require a CMMC Level 3 certification. DOD’s new guidance provides additional information contractors can use to help them determine which CMMC Level they should achieve.

Continue reading “What CMMC Level Do I Need? The Department of Defense Issues New Guidance for Determining Appropriate CMMC Compliance Level”

Webinar: Navigating the Impact of President Trump’s Executive Orders on DEI Initiatives

Blank Rome-Hosted Live Webinar
February 19, 2025
1:00–2:00 p.m. EST | 10:00–11:00 a.m. PST


Within days of the new administration taking office, there have been tectonic shifts in the employment law and government contracts landscape affecting all employers, large and small, across every industry and every sector of the economy.

The Executive Order “Ending Illegal Discrimination and Restoring Merit-Based Opportunity” has implications for any company that has adopted a formal diversity, equity, and inclusion (“DEI”) policy and puts companies on notice that the new administration considers DEI policies and programs to be “illegal” if they have the effect of reverse discrimination under federal anti-discrimination laws. The Executive Order requires the heads of all federal agencies to submit a plan outlining specific measures to deter illegal discrimination or preferences. Additionally, each agency must identify up to nine major corporations or institutions for compliance investigations on DEI violations and the Attorney General has been tasked with developing strategies to deter “illegal discrimination and preferences, including DEI,” in the broader private sector. This plan will be presented in 120 days.

The Executive Order also has drastic implications for federal contractors. It revokes Executive Order 11246, which for 60 years has required federal contractors adopt affirmative action plans. The Executive Order gives federal contractors until April 21, 2025, to end their compliance with Executive Order 11246. All federal contractors will now be expected to certify that they “do not operate any programs promoting DEI that violate any applicable Federal anti-discrimination laws” in all contracts with federal agencies.

In addition to this Executive Order, other directives on gender and DEI efforts and civil and criminal enforcement across the private and public sector carry both direct and indirect implications for companies. This landscape is evolving rapidly, influenced by guidance from new agency heads—including the Department of Justice—as well as emerging state-level pressures. Special guest speaker Lisa R. Davis, Senior Managing Director and Co-Lead, DEI Advisory at Teneo, will join Dominique, Anthony, and Brooke to explore the intricate implications of these Executive Orders and offer actionable insights for navigating and communicating changes effectively.

Blank Rome partners Dominique L. Casimir, Anthony B. Haller, and Brooke T. Iley, along with Lisa R. Davis, Senior Managing Director and Co-Lead, DEI Advisory at global CEO consulting and advisory firm Teneo, will serve as speakers for the 60-minute, Blank Rome-hosted live webinar, “Navigating the Impact of President Trump’s Executive Orders on DEI Initiatives,” taking place on Wednesday, February 19, 2025, from 1:00 to 2:00 p.m. EST / 10:00 to 11:00 a.m. PST.

For more information and to register, please visit our website: Navigating the Impact of President Trump’s Executive Orders on DEI Initiatives.

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