Federal Court Interprets SDVOSB “Unconditional Ownership” Less Strictly Than SBA

The Court of Federal Claims recently issued an opinion that defines “unconditional ownership” of an SDVOSB in a more relaxed manner than the SBA, creating a split of authority on the issue.

The Court, rejecting SBA precedent, held that certain restrictions on ownership of an SDVOSB by a service-disabled veteran are acceptable under the SBA’s unconditional ownership regulations. In particular, the SDVOSB company can retain a right of first refusal that would allow it to purchase the shares of the veteran upon death, incompetency, or insolvency, and that right does not result in a violation of the unconditional ownership requirement.

With the Court and the SBA’s administrative judges staking out different positions, what should SDVOSBs do?

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SmallGovCon Week in Review: November 13-17, 2017

It’s the Friday before Thanksgiving, which means if you haven’t gone shopping yet, you may be facing the chaos of the grocery stores this weekend in preparation. Or, perhaps, you’re skipping the extensive meal preparation and going for something very simple (as a college student in North Carolina, I once classed it up by having Bojangles for Thanksgiving. Fantastic sweet tea, special seasoning, and no dishes!)

Even around the holidays, the world of government contracting doesn’t slow down that much. In this pre-Thanksgiving edition of SmallGovCon Week in Review, we take a look at two men facing five years in prison for fraudulently obtaining $20 million in contracts at Fort Gordon, the 2018 NDAA’s effect on GAO bid protests, new legislation intended to give equal consideration to VOSBs for contract awards, and much more.

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GAO Bid Protest Effectiveness Hits 47%–So Why Doesn’t Bid Protest “Reform” Address Government Shortcomings?

GAO bid protests succeeded almost half the time in Fiscal Year 2017.

According to the GAO’s latest Bid Protest Annual Report, the effectiveness rate of GAO bid protests was 47% in the recently-completed fiscal year.  The statistics are striking, because they come just as Congress is finalizing the 2018 National Defense Authorization Act, which includes measures aimed at reducing bid protests.  But with bid protests succeeding at a nearly 50% clip, why does the protest “reform” debate seem to center almost entirely on discouraging contractors to protest, rather than on decreasing the number of flawed source selection evaluations?

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Sorry: No GAO Protests of U.S. Mint Procurements

As a branch of the Treasury Department, the United States Mint would usually be subject to federal procurement laws, like bid protests. As one contractor recently discovered, however, certain activities at the Mint have been exempted from many federal procurement laws, including GAO protest review.

Simply put, the GAO can’t decide a bid protest of Mint procurements.

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