DHS Would Get More Power to Bar Risky Contractors Under Dueling Proposals

Gil C/Shutterstock.com

Congress and the White House are zeroing in on supply chain threats.

Two House Republicans are working on legislation that would expand the Homeland Security Department’s authority to deny contracts to companies that pose cybersecurity supply chain threats while the Trump administration is pushing an even more expansive proposal.

The bill in the House will be modeled on authorities Congress gave the Defense Department in 2011 that were implemented in 2015, said Rep. Scott Perry, R-Pa., who is drafting the bill with Rep. Peter King, R-N.Y.

Under those rules, Pentagon contracting officers can bar vendors that pose a security risk from competing for contracts before they’re awarded and halt contractors from hiring risky subcontractors after an award.

Under current Homeland Security Department rules, contracting officers working on unclassified contracts can’t bar vendors before an award based on information provided by intelligence agencies, Soraya Correa, the department’s chief procurement officer, who testified before two House Homeland Security panels Thursday.

Intelligence agencies are only allowed to tell contracting officers that a particular vendor poses a security concern and whether the concern can be mitigated, not what the concern is, Correa told the committee’s oversight panel, chaired by Perry, and its intelligence panel, chaired by King.

“Federal acquisition regulations and their underlying statues were designed around the procurement of products and services that were neither anticipated to be vulnerable to, nor the target of, sophisticated foreign intelligence activity,” Correa said.

She urged lawmakers to expand Homeland Security contracting officers’ ability to respond to supply chain threats before a contract award.

That authority should also extend to other federal agencies, said Jeanette Manfra, who leads Homeland Security’s cyber division.

Perry’s and King’s offices did not immediately respond to a Nextgov query for more details about their proposed legislation or if they’re seeking Democratic cosponsors.

A separate legislative proposal floated by the White House Thursday would give the Homeland Security Department broad authority to bar contractors that present cybersecurity risks from civilian government contracts based on the advice of a “critical information technology supply chain risk evaluation board.”

The proposal would give similar power to the Pentagon for defense contracts and to the Office of the Director of National Intelligence for intelligence contracts.

The proposal would also create a cyber supply chain council, which would include members from the White House, intelligence community and the Homeland Security, Defense and Justice departments. That council would write guidance to help agencies share information about supply chain risks and help develop shared services and contracts to reduce those risks.

That portion of the proposal resembles a bill introduced in June by Sens. Claire McCaskill, D-Mo., and James Lankford, R-Okla.

The legislative proposals are part of a broader effort to rid government supply chains of software and hardware that can be exploited by cyber criminals or adversary nations, such as Russia and China.  

Congress passed legislation in December barring the Russian anti-virus company Kaspersky Lab from federal and contractor networks and is finalizing similar legislation targeting the Chinese companies Huawei and ZTE.

Homeland Security is also launching a program to vet other agencies’ supply chains for cyber vulnerabilities. That program only has two dedicated employees so far, but recently got a funding boost and will grow significantly over the next two years, Manfra testified.

The department’s supply chain work is initially focusing on the government’s highest value systems that are most likely to be targeted by foreign adversaries, Manfra told Nextgov in a podcast interview this spring.

A Government Accountability Office report, also released Thursday, described substantial vulnerabilities across the government supply chain that “could create an unacceptable risk to federal agencies.”

Thursday’s GAO report looked back to a 2012 audit, which found serious supply chain deficiencies at the Justice, Energy and Homeland Security departments and fewer at the Defense Department.

Those agencies have implemented all of GAO’s recommendations since the 2012 report except for Homeland Security, which hasn’t fully implemented a recommendation to monitor the effectiveness of new supply chain security measures, GAO said.

Editor's Note: This article and its headline have been updated to include information about the White House's proposal.

X
This website uses cookies to enhance user experience and to analyze performance and traffic on our website. We also share information about your use of our site with our social media, advertising and analytics partners. Learn More / Do Not Sell My Personal Information
Accept Cookies
X
Cookie Preferences Cookie List

Do Not Sell My Personal Information

When you visit our website, we store cookies on your browser to collect information. The information collected might relate to you, your preferences or your device, and is mostly used to make the site work as you expect it to and to provide a more personalized web experience. However, you can choose not to allow certain types of cookies, which may impact your experience of the site and the services we are able to offer. Click on the different category headings to find out more and change our default settings according to your preference. You cannot opt-out of our First Party Strictly Necessary Cookies as they are deployed in order to ensure the proper functioning of our website (such as prompting the cookie banner and remembering your settings, to log into your account, to redirect you when you log out, etc.). For more information about the First and Third Party Cookies used please follow this link.

Allow All Cookies

Manage Consent Preferences

Strictly Necessary Cookies - Always Active

We do not allow you to opt-out of our certain cookies, as they are necessary to ensure the proper functioning of our website (such as prompting our cookie banner and remembering your privacy choices) and/or to monitor site performance. These cookies are not used in a way that constitutes a “sale” of your data under the CCPA. You can set your browser to block or alert you about these cookies, but some parts of the site will not work as intended if you do so. You can usually find these settings in the Options or Preferences menu of your browser. Visit www.allaboutcookies.org to learn more.

Sale of Personal Data, Targeting & Social Media Cookies

Under the California Consumer Privacy Act, you have the right to opt-out of the sale of your personal information to third parties. These cookies collect information for analytics and to personalize your experience with targeted ads. You may exercise your right to opt out of the sale of personal information by using this toggle switch. If you opt out we will not be able to offer you personalised ads and will not hand over your personal information to any third parties. Additionally, you may contact our legal department for further clarification about your rights as a California consumer by using this Exercise My Rights link

If you have enabled privacy controls on your browser (such as a plugin), we have to take that as a valid request to opt-out. Therefore we would not be able to track your activity through the web. This may affect our ability to personalize ads according to your preferences.

Targeting cookies may be set through our site by our advertising partners. They may be used by those companies to build a profile of your interests and show you relevant adverts on other sites. They do not store directly personal information, but are based on uniquely identifying your browser and internet device. If you do not allow these cookies, you will experience less targeted advertising.

Social media cookies are set by a range of social media services that we have added to the site to enable you to share our content with your friends and networks. They are capable of tracking your browser across other sites and building up a profile of your interests. This may impact the content and messages you see on other websites you visit. If you do not allow these cookies you may not be able to use or see these sharing tools.

If you want to opt out of all of our lead reports and lists, please submit a privacy request at our Do Not Sell page.

Save Settings
Cookie Preferences Cookie List

Cookie List

A cookie is a small piece of data (text file) that a website – when visited by a user – asks your browser to store on your device in order to remember information about you, such as your language preference or login information. Those cookies are set by us and called first-party cookies. We also use third-party cookies – which are cookies from a domain different than the domain of the website you are visiting – for our advertising and marketing efforts. More specifically, we use cookies and other tracking technologies for the following purposes:

Strictly Necessary Cookies

We do not allow you to opt-out of our certain cookies, as they are necessary to ensure the proper functioning of our website (such as prompting our cookie banner and remembering your privacy choices) and/or to monitor site performance. These cookies are not used in a way that constitutes a “sale” of your data under the CCPA. You can set your browser to block or alert you about these cookies, but some parts of the site will not work as intended if you do so. You can usually find these settings in the Options or Preferences menu of your browser. Visit www.allaboutcookies.org to learn more.

Functional Cookies

We do not allow you to opt-out of our certain cookies, as they are necessary to ensure the proper functioning of our website (such as prompting our cookie banner and remembering your privacy choices) and/or to monitor site performance. These cookies are not used in a way that constitutes a “sale” of your data under the CCPA. You can set your browser to block or alert you about these cookies, but some parts of the site will not work as intended if you do so. You can usually find these settings in the Options or Preferences menu of your browser. Visit www.allaboutcookies.org to learn more.

Performance Cookies

We do not allow you to opt-out of our certain cookies, as they are necessary to ensure the proper functioning of our website (such as prompting our cookie banner and remembering your privacy choices) and/or to monitor site performance. These cookies are not used in a way that constitutes a “sale” of your data under the CCPA. You can set your browser to block or alert you about these cookies, but some parts of the site will not work as intended if you do so. You can usually find these settings in the Options or Preferences menu of your browser. Visit www.allaboutcookies.org to learn more.

Sale of Personal Data

We also use cookies to personalize your experience on our websites, including by determining the most relevant content and advertisements to show you, and to monitor site traffic and performance, so that we may improve our websites and your experience. You may opt out of our use of such cookies (and the associated “sale” of your Personal Information) by using this toggle switch. You will still see some advertising, regardless of your selection. Because we do not track you across different devices, browsers and GEMG properties, your selection will take effect only on this browser, this device and this website.

Social Media Cookies

We also use cookies to personalize your experience on our websites, including by determining the most relevant content and advertisements to show you, and to monitor site traffic and performance, so that we may improve our websites and your experience. You may opt out of our use of such cookies (and the associated “sale” of your Personal Information) by using this toggle switch. You will still see some advertising, regardless of your selection. Because we do not track you across different devices, browsers and GEMG properties, your selection will take effect only on this browser, this device and this website.

Targeting Cookies

We also use cookies to personalize your experience on our websites, including by determining the most relevant content and advertisements to show you, and to monitor site traffic and performance, so that we may improve our websites and your experience. You may opt out of our use of such cookies (and the associated “sale” of your Personal Information) by using this toggle switch. You will still see some advertising, regardless of your selection. Because we do not track you across different devices, browsers and GEMG properties, your selection will take effect only on this browser, this device and this website.