Confusion About the Nonmanufacturer Rule: When Does it Apply?

One of the rules we get asked about the most as government contracts attorneys is what’s known as the nonmanufacturer rule, 13 C.F.R. § 121.406 (So much so that we felt it wise to go over the rule in one of our “Back to Basics” posts to help clear some things up). It’s pretty understandable why: It has numerous provisions, exceptions, and requirements that can make it pretty difficult to follow. It also shows up in two different regulations: 13 C.F.R. § 121.406 as mentioned above, as well as FAR 19.505. Unfortunately, this often leads to contractors getting tripped up by the rule, either not realizing it applies where it does or, as we’ll explore here, thinking it applies where it doesn’t. Recently, SBA addressed a size protest that asserted the awardee didn’t meet the requirements of the nonmanufacturer rule, and noted to the unfortunate protestor that the rule didn’t apply for the procurement anyways.

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SBA Reminder: Ensure all Joint Venture Requirements are Met to have a Successful JV

Joint ventures pursuing a contract under any of the SBA’s socioeconomic programs (Woman-Owned Small Business Program, Service-Disabled Veteran-Owned Small Business Program, 8(a) Program, and HUBZone) all have requirements beyond the general requirements that a non-joint venture prime contractor must meet to be eligible for those types of set-asides. The joint venture must be considered small, which may take into account the size of both venturers, and the joint venture agreement itself must contain specific information. But what happens when the regulatory text isn’t exactly clear on how those two requirements fit together? And how are unsuccessful offerors, contracting officers, and the SBA itself supposed to challenge the status of those joint ventures if the regulatory text doesn’t explicitly provide for the means to do so? Read our analysis of the decision in Chenega Base and Logistics Services, LLC to find out!

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SmallGovCon Week in Review: February 17-21, 2025

Here is your Week in Review as you head into the weekend. We are still attempting to get through this second artic blast here in the Midwest this week. I think it’s safe to say we are all looking forward to those warmer temperatures that are returning next week. Enjoy the weekend!

This week in federal government contracting news includes a new SBA administrator, updates on federal workforce reductions, and new guidance from GSA.

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Govology Webinar Announcement! The Concept of “Responsibility” in Government Contracting (2025 Update), March 6, 1:00pm EST

Winning a government contract requires more than just submitting the best proposal—your company must also be deemed “responsible” by the federal government. Responsibility in government contracting goes beyond technical capabilities and pricing; it encompasses financial stability, past performance, ethics, compliance with laws, security clearances, and overall business integrity. Failure to meet responsibility requirements can lead to a contract award being denied, even if a company submits the most competitive bid.

In this webinar, government contracts attorneys, Nicole Pottroff and Stephanie Ellis of Koprince McCall Pottroff LLC, will provide a comprehensive breakdown of responsibility determinations and what they mean for government contractors. You’ll gain insights into how contracting officers evaluate responsibility, what documentation and evidence contractors can provide to strengthen their case, and key actions businesses should take to avoid responsibility-related issues. 

Additionally, this session will explore the special rights that small businesses have to challenge negative responsibility determinations through the SBA’s Certificate of Competency (COC) process. Understanding how and when to leverage this option can be the difference between losing a contract and securing a valuable government opportunity.

Whether you’re a new contractor or an experienced one looking to solidify your compliance and competitiveness, this webinar will equip you with the knowledge, tools, and strategies needed to meet responsibility requirements and position your company for long-term success in the federal marketplace.

Register here.

Why File: A COFC Protest

As a federal contractor, there are many factors to consider in filing a potential bid protest. In this post, we look at the potential considerations, both pros and cons, for filing a bid protest at the Court of Federal Claims (COFC). Below are some of the main items to think about in considering a bid protest at the COFC, as opposed to a bid protest at the Government Accountability Office (GAO) or an agency level protest. The decision of whether, and where, to file a bid protest is one that should only be taken with care and, preferably, with the advice of counsel.

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GovCon FAQs: How do I Show Service-Disabled Veteran Status for SBA?

Many federal contractors are familiar with or have heard of the Service-Disabled Veteran Owned Small Business (SDVOSB) program. It is currently run by the SBA, but previously was administered by the VA. Due to the nature of the program being around for a while, and shifting from one agency to another in the past few years, undoubtedly there are some requirements that have changed, but contractors may not realize it. One of the requirements that has experienced change is one of the most basic: how you establish that you are a Service-Disabled Veteran. In this installment of our GovCon FAQs series, we tackle, how do you show or prove your Service-Disabled Veteran Status, now that the SDVOSB program is under the SBA?

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