SDVOSB Programs: House-Passed 2015 NDAA Transfers Verification To SBA

Last week, the U.S. House of Representatives passed the 2015 defense authorization bill.  The House-passed version of the 2015 National Defense Authorization Act would transfer VetBiz SDVOSB verification from the VA to the SBA.

If the Senate agrees, and the President signs the bill into law, the process of transferring SDVOSB verification from the VA CVE to the SBA could begin later this year.

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SDVOSB Programs: New Bill Would Standardize Eligibility Requirements; Study Government-Wide SDVOSB Verification

The definition of a “service-disabled veteran-owned small business” would be standardized under a new bill introduced by Senators Angus King and Richard Burr.

The King-Burr bill, S.2334, could resolve a serious problem: under current law, the requirements to qualify as a SDVOSB vary (in some cases, significantly) depending on whether an acquisition falls under the VA’s SDVOSB rules or the SBA’s SDVOSB rules.

The King-Burr bill also directs the GAO to study whether it is practical to implement a Government-wide SDVOSB verification system.

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NAICS Code Appeals: No New Challenges To SBA OHA Decisions

A NAICS code appeal cannot validly be filed against a NAICS code designated by the SBA Office of Hearings and Appeals.

In a recent decision, SBA OHA held that when SBA OHA determines the appropriate NAICS code as the result of a NAICS code appeal, that NAICS code cannot itself be attacked in a new NAICS code appeal.  The message to prospective offerors: participate in the initial NAICS code appeal, or hold your peace.

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Thank You, Oklahoma!

I am back in Lawrence after a trip to Oklahoma, where I spoke at an industry day event sponsored by the Mid-America Government Industry Coalition.  My presentation provided an overview of recent legal developments of importance to small government contractors, as well as a look at potential changes on the horizon.

A big “thank you” to Kay Bills and her team at MAGIC for inviting me to participate, and that you to the other speakers who shared their detailed knowledge about social media, cyber security, Department of Labor regulations, and other timely topics.  And of course, a big “thank you” to all the contractors, PTAC counselors and others who attended.

If you are in the Oklahoma area but missed my presentation to MAGIC (or even if you came), I will be back in the Sooner State in August for the Indian Country Business Summit.  Hope to see you there!

Limitations On Subcontracting: 1099 Contractor’s Work Didn’t Count

Under the FAR’s limitations on subcontracting clause, the work to be performed by a 1099 independent contractor did not count toward the prime contractor’s performance.

In a recent bid protest decision, the GAO held that a procuring agency properly rejected an offeror’s proposal because the offeror was relying, in part, on an independent contractor to meet its obligations under the limitations on subcontracting clause.

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Newly Organized Concern Affiliation: “Key Employee” Must Influence Entire Company

Newly organized concern affiliation under the SBA’s affiliation rules did not exist when the alleged former key employee of the affiliate did not exercise influence over the entire company.

In a recent decision, the SBA Office of Hearings and Appeals held that no matter the size of the alleged affiliate, a former “key employee” must have had the ability to influence the entire company in order for the newly organized concern affiliation rule to apply.

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Thank You, Quad Cities!

I am back from a trip to the Quad Cities of Illinois and Iowa, where I gave two presentations at the Midwest Small Business Government Contracting Symposium.

It was great to spend two days meeting with small government contractors, large mentors and small business liaison officers, government officials and others in the industry.  A big “thank you” to the Iowa/Illinois Chapter of the National Defense Industrial Association for organizing an outstanding event that is rapidly becoming known as one of the nation’s premier conferences for small government contractors.  Thanks also to the Illinois PTAC, the Quad Cities Chamber of Commerce, and all of the other event sponsors for their contributions, and to the Midwest SBLO Group for inviting me to address its quarterly meeting.  And of course, thanks to all of those who attended the conference (and my presentations!)

If you weren’t able to make it to this year’s symposium, it’s never too early to start planning for 2015.  Hope to see you there!