Numerous AI platforms exist that are designed to assist government contractors with finding opportunities and developing proposals. Caution does need to be exercised to ensure that the use of AI does not cause you to compromise quality controls or erode trust, which can negatively affect your chances of being awarded future contracts.
With the rise in the use of AI growing concern about responsible use and potential pitfalls, some governmental guidelines have been issued, as follows:
- EO 14110, October 30, 2023. Safe, Secure and Trustworthy Development and Use of Artificial Intelligence. Companies should have practices to ensure job applications are evaluated fairly when using AI. Given the language in EO 14110, It is highly recommended to add language to your Affirmative Action Plan (AAP) regarding AI, and also to update your Employee Handbook language. Remember if one of your employer’s facilities is a government contractor, then all of your employer’s facilities must comply with AAP requirements. An AAP is required for each establishment (work site) unless multiple sites share the same labor market or recruiting area.
- EO 738, February 8, 2024. Governor Ivey created a task force to promote responsible use of generative artificial intelligence in Alabama State Government.
- Office of Management and Budget (OMB) Memorandum M-24-10, March 28, 2024, Advancing Governance, Innovation, and Risk Management for Agency Use of Artificial Intelligence. Directs agencies to improve their capacity for the responsible acquisition of AI and contains new requirements and guidance for agencies on establishing meaningful cross-functional and interagency collaboration to reflect new AI responsibilities, managing AI risk and performance, and promoting a competitive AI market with innovative acquisition.
- OMB Memorandum M-24-18, dated September 24, 2024, Advancing the Responsible Acquisition of Artificial Intelligence in Government, builds on OMB Memorandum M-24-10. Requires agencies to create or update acquisition policies, procedures, and practices to reflect new responsibilities and governance for AI. Applies to new and existing AI that is developed, used, or procured by or on behalf of government agencies. This guidance is an “initial means” for regulating AI acquisitions and will likely be a building block for future regulations, such as updates to the Federal Acquisition Regulation (FAR), more directly applicable to contractors. An implementation of these new requirements will be on an expedited timeline, with key deadlines for contracts for certain high-risk AI applications in November and December 2024, and deadlines for other contracts for AI in March 2025. Thus, even though updates to the FAR may be years away, contractors will start to see terms prescribed by M-24-18 in solicitations and contracts with greater frequency in the coming months (source:https://www.wiley.law/alert-OMB-Requirements-for-AI-Acquisition-Will-Impact-Government-Contractors).
By Karen Burton, SHRM-SCP, SPHR
