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Triple Whammy: Agencies Flunk Price Evaluations

Client Alert | 1 min read | 07.30.15

With the government's increased focus on price in the face of tightening budgets, GAO has also increased its focus on price evaluations by agencies. In recent weeks, disappointed offerors have successfully challenged (1) the Air Force's price reasonableness and price realism analysis in KWR Constr. Inc., (2) the VA's failure to meaningfully evaluate price realism—despite an express statement requiring it in the solicitation—in B&B Med. Servs., Inc., and (3) the Air Force's unequal treatment of the protester's labor rates when performing price realism analysis in Cubic Applications, Inc.


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Client Alert | 14 min read | 03.13.26

AI for Government: 7 Days for Contractor Comments on GSA Proposed Contract Clause for AI Systems

On March 6, 2026, the General Services Administration (GSA) issued a significant proposed contract clause, GSAR 552.239-7001, Basic Safeguarding of Artificial Intelligence Systems (“Clause”), for inclusion in GSA Schedule solicitations and contracts for AI capabilities.  The proposed clause would impose substantial new requirements related to AI sources, intellectual property rights, data use, change management, and performance standards.  The Clause would also take precedence over any other contract terms (including commercial licensing terms) related to AI, including a Seller’s terms of sale and service to which the Government had previously agreed.  GSA requests comments by March 20, 2026....