Will The Supreme Court Put “Veterans First” In The Kingdomware SDVOSB Case?

Is the Department of Veterans Affairs required to prioritize service-disabled veteran-owned small businesses (“SDVOSBs”) when it buys supplies and services?  That, essentially, will be the question before the Supreme Court when it takes up the case of Kingdomware Technologies, Inc. vs. United States.  On June 22, the Supreme Court agreed to hear the case.

The Supreme Court’s decision in Kingdomware will end a long-running battle between the VA and various SDVOSBs, which have accused the VA of creating loopholes to avoid a statutory contracting preference for veterans.  Hopefully, the Court will get it right.  As a matter of policy and law, the underlying decision of the U.S. Court of Appeals for the Federal Circuit is fundamentally flawed.

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GAO: “Best Value” Tradeoff Must Consider Benefits Of Lower-Cost Proposal

In a best value tradeoff evaluation, a procuring agency must consider the benefits of a lower-cost proposal, even if that proposal’s cost is not as close to the agency’s internal cost estimate as a higher-priced proposal.

As demonstrated by a recent GAO bid protest decision, it is improper in a tradeoff analysis for an agency to refuse to consider the relative benefits of paying a lower cost for a lower-rated proposal.

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Supreme Court Will Hear Kingdomware SDVOSB Dispute

The U.S. Supreme Court has agreed to hear an appeal filed by Kingdomware Technologies, Inc.

News outlets are reporting that the Supreme Court will take on the question of whether the VA’s “Veterans First” rules permit the VA to circumvent SDVOSBs by using the Federal Supply Schedule.  The case is an appeal from a 2014 decision of the U.S. Court of Appeals for the Federal Circuit, in which a three-judge panel ruled 2-1 in favor of the VA.

The Supreme Court grants only a small fraction of the petitions for certiorari filed with it, so just getting in the courthouse door is a victory of sorts for Kingdomware.

Much more on the pending Supreme Court case as I get the details.

SmallGovCon Week In Review: June 15-19, 2015

With the summer solstice this weekend we are looking forward to the longest day of the year and enjoying the outdoors. Meanwhile, new developments continue in the world of federal government contracting.

Some articles you may find of interest below include comments on a long awaited reverse auction memo, two stories about deception, and the SBA receiving a nice boost from government funding.

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Ostensible Subcontractor Affiliation: SBA Must Review Final Proposal

To determine whether ostensible subcontractor affiliation exists between a prime contractor and its subcontractor, the SBA must use the prime contractor’s final proposal revision.

In a recent size appeal decision, the SBA Office of Hearings and Appeals overturned an SBA Area Office affiliation determination that did not contemplate an offeror’s final proposal.

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SAM Certification Problem Proves Costly For Small Business Offeror

A company’s failure to certify itself as a small business on its SAM profile resulted in the elimination of the company from a set-aside competition.

In a recent bid protest decision, the GAO held that a procuring agency properly excluded the low bidder from award of a small business set-aside contract because the low bidder’s SAM profile stated that it was not a small business under the solicitation’s NAICS code.

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