Author Archives: Steven Koprince

VA Replaces Annual SDVOSB Re-Verification With Two-Year System

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The VA has enacted an interim final rule changing the re-verification requirement for SDVOSBs.  Currently, SDVOSBs must be re-verified annually, a process some service-disabled veterans have complained is unnecessary and unduly burdensome.

In the preamble to the rule, the VA writes that although it initially believed annual re-verification would be necessary, “in administering this program since February 2010, VA has concluded that an annual examination is not necessary to adequately maintain the integrity of the program and proposes a 2-year eligibility period.”  The VA notes that although formal re-verification will only be required every two years, SDVOSBs must continue to maintain ongoing program eligibility throughout their terms.

The amendment to the VA’s system has been released as an “interim final rule,” meaning that it is effective immediately, but subject to change.  Comments on the rule (which I would expect will be overwhelmingly positive) are due by August 27, 2012.

GAO: Agencies Must Consider SDVOSB Set-Asides Before Issuing Small Business Set-Aside RFPs

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One day back when I was in fourth grade, my teacher informed our class that Thomas Jefferson had never been a United States president.  I marched to the back of the classroom, pulled out the Encyclopedia Britannica, and quickly proved that Mr. Jefferson had, in fact, served in our nation’s highest office, leading to a chorus of laughter among the fourth graders of Winship Elementary.  After all, it’s rather amusing to find out that the person in charge got it wrong.  (No wonder my teacher never liked me very much after that stunt).

In a recent GAO bid protest decision, both the procuring agency and the SBA initially got it wrong, too, by erroneously relying on outdated regulations to argue that the agency need not consider a SDVOSB set-aside before awarding a small business set-aside contract.  Fortunately for SDVOSBs, the GAO set matters straight.

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Thank You to The ASBC!

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I would like to give a big “thank you” to Guy Timberlake and The American Small Business Coalition for sponsoring an excellent networking and book signing event for The Small-Business Guide to Government Contracts, last night in Tysons Corner, Virginia.  Thanks also to Courtney Fairchild and the team at Global Services, Inc. for co-sponsoring the event and Grace Maupin, Morgan Waston, and the wonderful folks at Carr Workplaces for hosting the event in one of their beautiful spaces.  And of course, thank you to all who attended and bought the book!

Last night’s event was part of The ASBC’s monthly GovConnections networking series.  If you are a small business contractor in the DC metro area, you owe it to yourself to attend one in the near future.  For information on GovConnections and other events sponsored by the ASBC, visit the ASBC’s events calendar.

GAO: Agency’s SBIR Phase III Decision Not Protestable

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A procuring agency’s decision not to enter into a Small Business Innovation Research program phase III funding agreement cannot be protested to the GAO in most cases, according to a recently-released GAO bid protest decision.

In Complere, Inc., B-406553 (June 25, 2012), NASA awarded Complere SBIR phase I and phase I research contracts.  After the phase II contract concluded, Complere submitted an unsolicited phase III proposal, which NASA did not accept–electing instead to do its own research on the topic in-house.  Complere filed a GAO bid protest, alleging that NASA had acted improperly.

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Ostensible Subcontractor Rule: More Than Subcontract Value

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I travel with some frequency, but will readily admit that I hate flying (I trace it largely to an unpleasant incident several years ago involving a rapid cabin depressurization and emergency landing).  I’ve been known to pay a few dollars more to take a direct flight rather than a less expensive option involving a connection.  For me, while price is an important factor, other factors, like convenience–and fewer takeoffs and landings–matter, too.

A recent size appeal decision issued by the SBA Office of Hearings and Appeals demonstrates that, like my flying arrangements, price is not the only factor when it comes to determining whether a prime/subcontractor team has violated the ostensible subcontractor rule.  As this size appeal decision shows, in some cases, there may be no ostensible subcontractor affiliation even if the subcontractor will perform the bulk of the overall contract value.

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8(a) Joint Ventures and SBA Size Protests: SBA OHA Narrows The Scope of Review

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When the SBA Area Office reviews a SBA size protest against a SBA-approved 8(a) joint venture, the SBA Area Office must confine itself strictly to size issues.  According to a recent decision of the SBA Office of Hearings and Appeals, in conducting its review of a SBA size protest, the SBA Area Office cannot examine whether the joint venture complies with the 8(a) program’s regulations.

Although the distinction between size and 8(a) issues may sound like a technicality, it can make the difference between a sustained SBA size protest and an unsuccessful one.  As a result, this SBA OHA decision provides an extra layer of protection to SBA-approved 8(a) joint ventures–any makes filing a successful SBA size protest against an approved 8(a) joint venture that much more difficult.

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A Note About Links to SBA OHA Decisions

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Have you clicked on a link in one of my recent posts about a SBA Office of Hearings and Appeals case, only to be taken to the SBA OHA decision search page, rather than the decision itself?  No, it’s not because I am too lazy to find a direct link for you, but because the way in which SBA OHA publishes its decisions no longer allows for direct links.

I am not a fan of SBA OHA’s new publishing policy, but it obviously was not developed with bloggers in mind.  Oftentimes, the search page is as close as I can get you to a particular SBA OHA decision.  To find the decision, just enter the case name in the search box, or, if the decision was issued in the last few months, click on the “Most Recent Decisions” link on the right side of your screen.

Sometimes, I link to a full-text version of the SBA OHA decision published by Stan Hinton on his excellent website, stanhinton.com.  However, you should be aware–as Mr. Hinton mentions–that these versions of the SBA OHA decisions are unofficial, and may have been edited (usually to correct typos or other problems) before they were posted.  For the official version of any SBA OHA decision,  you should use the SBA OHA decision page.