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Veterans Affairs Snubs GAO?

Client Alert | less than 1 min read | 10.24.11

In Aldevra, GAO held that the Veterans Benefits, Health Care, and Information Technology Act of 2006 and implementing regulations required the Department of Veterans Affairs to conduct procurements as service-disabled, veteran-owned, small-business set-asides (if market research first showed that two or more SDVOSB’s could perform the work), before purchasing from the Federal Supply Schedule.  In a rare instance of an agency defying a GAO recommendation, the VA has reportedly decided that, because “Executive Branch agencies are not bound by GAO's legal advice,” the GAO decision should not be followed, advising VA acquisition and procurement professionals “to continue using the Federal Supply Schedules Program.”

Insights

Client Alert | 3 min read | 06.12.26

DOJ Guidance Backs Away From Disparate Impact Liability

On June 9, 2026, the U.S. Department of Justice (DOJ) issued a formal opinion concluding that the Equal Opportunity Employment Commission’s (EEOC) existing interpretations of Title VII of the Civil Rights Act of 1964 (Title VII) disparate-impact liability, including the Uniform Guidelines on Employee Selection Procedures (UGESP), are unconstitutional. According to the opinion, EEOC’s prior interpretations contemplate liability based on disproportionately adverse effects alone, without regard to an employer’s likely intent, rather than treating disparate impact as an evidentiary mechanism to “smoke out” intentional discrimination. DOJ found that this approach functions as a “qualified racial-proportionality mandate” that places “a racial thumb on the scales, often requiring employers to evaluate the racial outcomes of their policies, and to make decisions based on (because of) those racial outcomes.” The opinion fulfills one mandate of Executive Order 14281, which rejected disparate-impact liability insofar as it “creates a near insurmountable presumption that unlawful discrimination exists wherever there are any differences in outcomes among different [demographic groups].”...