On June 15, 2018, the Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA) published in the Federal Register an interim rule [FAC 2005-99; FAR Case 2017-018; Item II; Docket No. 2017- 0018, Sequence No. 1] amending the Federal Acquisition Regulation (FAR) to implement a section of the National Defense Authorization Act for Fiscal Year 2017 (Pub. L. 114- 328, codified at 22 U.S.C. 2593e) that addresses measures against persons involved in activities that violate arms control treaties or agreements with the United States. Written comments are due on or before August 14, 2018.

Also, on June 15, 2018, the Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA) published in the Federal Register an interim rule [FAC 2005-99; FAR Case 2018-010; Item I; Docket 2018-0010, Sequence 1] amending the Federal Acquisition Regulation (FAR) to implement a section of the National Defense Authorization Act (NDAA) for Fiscal Year 2018 (Pub. L. 115-91). Section 1634 of this law prohibits the Federal Government’s use on or after October 1, 2018, of hardware, software, and services developed or provided, in whole or in part, by Kaspersky Lab or related entities. Written comments are due on or before August 14, 2018.

To implement section 1634, the clause at 52.204-23 prohibits contractors from providing any hardware, software, or services developed or provided by Kaspersky Lab or its related entities, or using any such hardware, software, or services in the development of data or deliverables first produced in the performance of the contract. The contractor must also report any such hardware, software, or services discovered during contract performance; this requirement flows down to subcontractors.

This rule applies to all acquisitions, including acquisitions at or below the simplified acquisition threshold and to acquisitions of commercial items, including commercially available off-the-shelf items. It may have a significant economic impact on a substantial number of small entities.

See also Federal Acquisition Regulation: Federal Acquisition Circular 2005-99; Introduction [Docket No. FAR 2018-0001, Sequence No. 3] and companion Federal Acquisition Regulation: Federal Acquisition Circular 2005-99; Small Entity Compliance Guide [Docket No. FAR 2018-0001, Sequence No. 3].