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ARTICLE · 23 MAY 2016

It's Arrived! FAR Final Rule Addressing "Basic Safeguarding Of Contractor Information Systems"

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The new provisions address systems that process, store, or transmit Federal contract information by identifying fifteen (15) security control requirements "reflective of actions a prudent business person would employ."

United StatesGovernment, Public Sector

After nearly four years of planning and comments, DoD, GSA, and NASA issued a final rule today amending the Federal Acquisition Regulations ("FAR") with a new Subpart 4-19 and a new contract clause 52.204-21 addressing the basic safeguarding of contractor information systems.  Applicable to all acquisitions, including commercial items other than commercial off-the-shelf items ("COTS"), the Final Rule applies to any contractor information system that may contain "Federal contract information," meaning "information, not intended for public release, that is provided by or generated for the Government under a contract to develop or deliver a product or service to the Government."  See FAR 4.1901.  The term expressly excludes information provided by the Government to the public (e.g., on public-facing web sites) or simple transactional information, "such as that necessary to process payments."

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