The VA has officially withdrawn its November 2015 proposal to overhaul its SDVOSB and VOSB regulations.
The VA’s action isn’t surprising, given that the 2017 National Defense Authorization Act requires the VA to work with the SBA to prepare a consolidated set of SDVOSB regulations, which will then apply to both VA and non-VA procurements. What’s interesting, though, is that the VA doesn’t say that it’s withdrawing the 2015 proposal because of the 2017 NDAA, but rather because of numerous objections to the proposal–including objections from the SBA.
SDVOSBs and VOSBs will only be required to obtain reverification every three years under an interim final rule adopted yesterday by the VA.
The VA’s new rule replaces the prior rule, which required reverification every two years. The purpose of the change? To “reduce the administrative burden on SDVOSB/VOSBs regarding participation in VA acquisition set asides for these types of firms.”
A large business couldn’t demonstrate that it was eligible to pursue a bid protest challenging a VA SDVOSB sole source contract award.
In a recent decision, the U.S. Court of Federal Claims held that a protester, which was a large business under the NAICS code assigned to the SDVOSB sole source contract, had not demonstrated standing to challenge the contract award. The sole source contract in question wasn’t just any contract, either–but a contract to oversee the VA’s verification process for SDVOSBs and VOSBs.