Author Archives: SmallGovConContributor

Update: SBA Says 5-Year Receipts Calculation Period Not Yet Effective

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On December 17, 2018, the Small Business Runway Extension Act became law. As we’ve previously written, this Act had a single purpose: to extend the measurement period of the SBA’s calculation of average annual receipts, from three years to five.

We opined that the Act became effective with the stroke of the President’s pen. Just a few days ago, however, the SBA disagreed—according to the SBA, the 5-year calculation period will not become effective until its regulations are revised.

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Realities of Cost Recovery in the Wake of the Federal Shutdown

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Shuttering of the government (or parts of the government) following appropriations lapses has become an increasingly common phenomenon in recent years. Funding lapses interrupt the usual predictability of government operations, which is often to the detriment of both agencies and federal contractors that are left in proverbial limbo with stop work orders.

Unfortunately, unlike many other topics, the FAR does not substantively address procedures for contractors during or following a government shutdown. As such, recovering expenses incurred as a consequence of government shutdowns can be challenging.

Here are some pointers.

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Failure to Update Joint Venture Agreement Costs Mentor-Protégé SDVOSB JV a Contract

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Updating your joint venture agreement is essential to maintaining compliance with SBA’s regulations and failing to update could cost you contracts.

In Stacqme, LLC, SBA No. SIZ-5976 (Dec. 10, 2018), the SBA Office of Hearings and Appeals held that a mentor-protege joint venture’s failure to update its JV agreement caused the agreement to be non-compliant with the SBA’s rules, and meant that the joint venture was ineligible for an SDVOSB set-aside contract.

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5 Things You Should Know: NAICS Code Appeals

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NAICS code appeals are a useful tool in any small business government contractor’s toolbox. If successful, an appeal can dramatically change a procurement’s competitive landscape—either by limiting the pool of eligible offerors, or expanding it.

Even still, NAICS code appeals are underutilized among contractors. So I wanted to take just a few minutes to walk through the basics of NAICS codes appeals, in case your business ever needs to file one.

Here are 5 Things You Should Know about NAICS appeals:

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GAO Dismisses Protest Where Proposal was Unacceptable

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In a protest before GAO, prejudice is an essential element. Even if GAO might agree that an agency’s action was improper, it will not sustain a protest where the protester would not have received the award anyway.

That’s what happened in the protest of Benaka Inc., B-416836 et al. (Dec. 16, 2018).

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GAO: Contractors – Not the Agency – Must Know Applicable Local Laws

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Agencies must draft solicitations and RFPs with enough detail that prospective offerors can determine if they are qualified to perform the work as well as be able to submit an educated offer.

But how much detail is the agency required to provide in a solicitation? In some cases, GAO has allowed fairly generic language to suffice.  

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