SmallGovCon Week In Review January 7- January 11, 2019

As we enter day 21 of the government shutdown (as of this writing, the second-longest in U.S. history), federal employees and contractors are feeling the sting.

In this week’s edition of the Week In Review, we’ll take a look at the shutdown in more detail. It has, after all, been the predominant news story of late in the government contracting world. But we’ll also discuss other news, including a new law aimed at helping veteran-owned companies, recent OTA guidance, and more.

Have a great weekend!

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Unpopulated Joint Venture Can Be “Manufacturer” For SBA Size Purposes

When a small business sells products to the government under a contract designated with a manufacturing NAICS code, the small business either must be the “manufacturer” of the products, or separately qualify under the nonmanufacturer rule. The nonmanufacturer rule, in turn, requires the prime contractor to have no more than 500 employees, whereas manufacturers may fall under larger size standards–some as big as 1,500 employees.

But what about an unpopulated joint venture that doesn’t itself manufacture any products, relying on the individual venturers to manufacture the solicited goods? Does it also have to comply with the 500-employee size standard under the nonmanufacturer rule? Or can the joint venture be deemed the “manufacturer” of the products in question?

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Why Does the 8(a) Program Penalize Older Business Owners?

The 8(a) Program can offer incredible opportunities: sole source contracts, set-aside competitions, mentor-protege relationships, SBA business training and much more.

But for business owners older than 59 1/2, getting admitted to the 8(a) Program can be very difficult: unlike their younger counterparts, funds these owners have saved in traditional retirement accounts will likely count against the 8(a) Program’s $250,000 adjusted net worth cap.

How is this fair? (Spoiler alert: in my opinion, it ain’t).

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SmallGovCon Week In Review December 24, 2018–January 4, 2019

Happy New Year! It looks as if the government needed a longer holiday break than planned. As we enter the third week of the shutdown, it’s our hope that the powers-that-be might reach a quick resolution and let government personnel and contractors alike get back to work.

In this two-week New Year’s edition of the Week In Review, we’ll look (of course) at the effects of the shutdown. But we’ll also look at the need for transparency in the upcoming year’s procurement process, how a contract dispute led up to the closing of living history in Washington D.C., and much more.

Happy New Year—2019 is going to be an exciting year!

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