GAO Sustains Protest to Solicitation’s Implementation of Randolph-Sheppard Act

GAO recently sustained a protest to the terms of a solicitation incorporating the Randolph-Sheppard Act (RSA). The RSA is a statutorily-prescribed preference for blind individuals in the operation of vending facilities (which include cafeterias, snack bars, and automatic vending machines) on Federal property.

The protester here, the incumbent contractor and a non-RSA HUBZone concern, challenged the agency’s decision to include the RSA preference in its HUBZone set-aside solicitation for food service attendant services, arguing the work the solicitation contemplated was not for the operation of a cafeteria. And GAO agreed. This GAO decision could have a significant impact, given the broad range of food service solicitations that agencies have been (seemingly increasingly) applying the RSA to lately. Let’s take a deeper dive.

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Industrial Expansion: Proposed New Size Standards for Manufacturing and Other Industries with Employee-Based Size Standards

The SBA’s regulations state it will examine monetary-based size standards (e.g., receipts, net income, assets) at least once every five years and determine if adjustments are needed to those standards at such time. 13 C.F.R. § 121.102. But what about employee-based size standards? In fact, the same rule applies for reviewing and adjusting those standards as a result of the Small Business Jobs Act of 2010. On April 26, 2022, the SBA published its proposed rule to change the size standards for a number of employee-based size standards for manufacturing and other industries. Let’s look at these changes.

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The FAR will Soon Allow Small Business Set-Asides Outside the US

Small business federal contractors may soon want to think about getting new luggage. The FAR will be updated to allow for–but not require–small business set-asides in overseas procurements. This has the potential to open up a substantial number of contracting opportunities to small businesses who have the capabilities to compete. The final rule will be effective May 26, 2022. Here are some of the key details to know about.

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Back to Basics: The Nonmanufacturer Rule

To qualify as a small business under most set-aside or sole-source contracts seeking manufactured products or supplies, SBA’s regulations require an offeror to be the item’s manufacturer or, alternatively, comply with the nonmanufacturer rule.

In this post, we’ll discuss qualifying under the nonmanufacturer rule.

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New Senate Bill Takes Aim at Organizational Conflicts of Interest

These days it often seems like both sides of the congressional aisle cannot agree on anything and bipartisan support is in short supply. However, one thing that Congress can agree on is the fact that organizational conflicts, which can lead to unfair advantages, have no place in Federal contracting. On March 23, 2022, Michigan Senator Gary Peters, with support of three other senators, introduced S. 3905, the Preventing Organizational Conflicts in Federal Acquisition Act (the Act). The bill aims to identify and prevent organizational conflicts of interest (OCI) that have been slipping through the cracks, stating that “[p]rotecting against conflicts of interest in Federal acquisition is vital to the integrity of Government operations.”

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Limitations on Subcontracting Part 1: What They Are and How They Apply

Congratulations! Your woman-owned small business (WOSB), Sun Corp, has just been awarded a contract. This particular contract was set aside for WOSBs, meaning only WOSBs may be considered for award. Small Corp is a relatively new company, and you have determined that you will need some help to successfully complete performance of the contract. As luck would have it, you are acquainted with the owner of Moon Corp, and Moon Corp is in the business of doing the exact type of work that Sun Corp needs help with. While diligently reading through the contract prior to its execution, you notice the following language:

Performance of this contract must comply with the subcontracting limitations set forth in FAR 19.505 and 13 C.F.R. § 125.6.

What do you do?

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