Cybersecurity threats against federal contractors are escalating, with adversaries continuously seeking vulnerabilities within governmental supply chains. To address this challenge, the Federal Contractor Cybersecurity Vulnerability Reduction Act of 2025 (HR 872) is poised to mandate stronger security measures across contractors working with the U.S. government. This legislation, which has garnered strong bipartisan support, represents a crucial step in reinforcing the nation's cybersecurity posture.
Aligning federal contractors with security best practices
Federal contractors often handle sensitive data and operate critical infrastructure, making them prime targets for cyber threats. However, while federal agencies have long been required to adopt Vulnerability Disclosure Programs (VDPs), contractors have not been subject to the same standards—until now.
The bill summary states: "This bill requires revisions to acquisition regulations related to information systems vulnerabilities for certain federal contractors. The revisions apply to contractors whose contract is at or above the simplified acquisition threshold ($250,000 in most cases) or that use, operate, manage, or maintain a federal information system on behalf of an agency."
This means that thousands of government contractors will soon be required to implement structured processes for identifying, reporting, and mitigating vulnerabilities, aligning them with U.S. National Institute of Standards and Technology (NIST) guidelines.
Industry leaders voice support
Leading cybersecurity firms—including Microsoft, HackerOne, Bugcrowd, Rapid7, Tenable, Schneider Electric, Infoblox, and Trend Micro—have endorsed this bill, recognizing its potential to enhance national security. In a letter to Congress, these companies urged swift passage, emphasizing that VDPs are critical for securing the government's digital infrastructure.
"This legislation requires federal contractors to implement a VDP, ensuring they have a structured process to receive and address security vulnerabilities…. The bill builds upon existing policies that have encouraged the adoption of VDPs, promoting a proactive approach to cybersecurity and helping protect critical systems before they can be exploited."
Why vulnerability disclosure matters
A VDP is more than a compliance requirement—it is a proven mechanism for proactively identifying and addressing security weaknesses before they can be exploited by malicious actors.
Casey Ellis, Founder at Bugcrowd, underscores the importance of this shift, saying: "HR 872 transforms VDPs and the reception of hacker feedback from a 'nice-to-have' into a mandatory FAR/DFAR procurement requirement. By making VDP a procurement requirement, HR 872 will accelerate the acceptance of hacker feedback within the U.S. government and among the many contractors and vendors that support federal agencies."
Similarly, Trey Ford, CISO at Bugcrowd, highlights how VDPs are indicators of a company’s overall security posture: "Every company building or implementing technology and services needs a VDP, and this is a significant milestone in aligning contractors with industry best practices. Ultimately, the performance of a VDP is the best external proxy indicator for performance of a company's security program."
The role of NIST and standardized frameworks
The bill directs the Office of Management and Budget (OMB) to review the Federal Acquisition Regulation (FAR) and recommend updated contract language requiring contractors to adopt VDPs. It also mandates the Department of Defense (DOD) to update the Defense Federal Acquisition Regulation Supplement (DFARS) for defense contractors.
According to Ken Dunham, Cyber Threat Director at Qualys Threat Research Unit, the reliance on NIST's SP 800-216 framework will introduce structured oversight and governance. "VDP guidelines are based on NIST SP 800-216 to help manage risk related to reporting security vulnerabilities in software and information systems owned or utilized by the federal government," Dunham said. "The intended outcome of VDP oversight and use of this framework is to increase visibility and compliance for vulnerability management in the federal government."
Beyond VDPs: the growing need for identity security
While many experts agree that vulnerability disclosure is essential, some argue that it is only one piece of the puzzle. Piyush Pandey, CEO at Pathlock, warns that identity-related risks are becoming an even greater threat: "While ensuring application vulnerability is managed effectively is important, it's just one risk dimension and perhaps not the most important," Pandey said. "Over the last five years, unauthorized identity-related access to critical applications at the transaction level has introduced far more risk."
This perspective suggests that future cybersecurity legislation may need to expand beyond VDPs to address identity and access management (IAM) concerns.
A lasting impact on government and private sector security
Beyond the federal market, HR 872 could set a precedent for the private sector, influencing how corporations handle vulnerability disclosures. Jim Richberg, Head of Cyber Policy at Fortinet, predicts a wider impact: "As many of these companies also serve private sector customers, the bill is likely to improve cybersecurity across the broader market, extending its benefits beyond just the federal market."
By enforcing security best practices among federal contractors, the U.S. government is raising the bar for cybersecurity across industries.
The Federal Contractor Cybersecurity Vulnerability Reduction Act of 2025 is a pivotal step toward fortifying the security of federal supply chains. By mandating VDPs, the bill ensures that contractors meet the same rigorous security standards as federal agencies, while fostering collaboration between security researchers and the government.
With strong industry support and bipartisan momentum, HR 872 is expected to pass into law, reinforcing the U.S. government's commitment to proactive cybersecurity measures. However, as experts suggest, VDPs are just the beginning, and future legislation may need to address identity security and access management to combat evolving threats.
The bill marks a watershed moment in cybersecurity, and its passage will undoubtedly shape the future of federal contractor security for years to come.
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