VA CVE Verification Appeals Must be Filed at SBA, Not VA

If the VA Center for Verification and Evaluation denies a company’s application for verification as a service-disabled veteran-owned small business, the applicant has the right to appeal–but the appeal must be filed with the SBA, not the VA.

In a recent case, an applicant tried to appeal its denial to the VA, apparently based on the erroneous advice of a VA employee. By the time the applicant realized that it had appealed to the wrong agency, it was too late.

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Don’t Forget the Attachments: A Quick Reminder from SBA’s OHA

Did you remember to staple the cover sheet to your TPS report? And, more importantly, if you recently filed a CVE Appeal with the Small Business Administration’s Office of Hearings and Appeals, did you remember to attach a copy of your CVE denial or cancellation? In OHA’s recent, and very short, decision, Joy Corporation, SBA No. CVE-155-A (Aug. 13, 2020), it reminded appellants that failure to do so will result in almost instant dismissal. To ensure you avoid this fate, read on.

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VA Updates, Expands, and Clarifies Its Verification Assistance Briefs

The VA and SBA have numerous regulations defining the eligibility requirements for participation in the veteran-owned and service-disabled veteran-owned small business programs. To help laypersons better understand these regulatory hurdles the VA publishes Verification Assistance Briefs. These “are resources to assist applicants in obtaining VA Verification for the Veterans First Contracting Program” and understand SBA’s ownership and control criteria. The VA recently updated all of its existing Briefs and added some new ones. Read on for an overview of the 26 Briefs and a more detailed look at some of the more notable ones.

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VA Simplifies SDVOSB Reverification Process

A happy Veterans Day to all veterans and their families as we remember what you’ve done for our country. And there’s good reason for veteran business owners in particular to be happy. The Department of Veteran Affairs has recently made it easier to stay verified as a veteran-owned or service-disabled veteran-veteran owned small business.

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VA CVE, Under New Rules, Closely Examining Franchise and Similar Agreements

Government contractors seeking to be certified through the Vets First Verification Program under the VA’s Center for Verification and Evaluation have to submit a number of documents. We’ve recently been hearing that CVE is taking a closer look at some of these documents, and this is in line with VA’s recent rule change expanding its list of required documents for verification.

Specifically, CVE will examine franchise agreements and similar documents like distributor agreements. Depending on the language in those agreements, this could lead to a denial of CVE verification. Because of that, we offer a reminder of CVE’s position on these types of agreements, which seems to still be quite strict in spite of regulatory changes implemented last fall.

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OHA Confirms: SDVOSBs Owed Notice and Opportunity to Respond Before Verification Cancellation

For service-disabled veteran owned small businesses, or SDVOSBs, contracting with the VA, verification by the VA’s Center for Verification and Evaluation, or CVE, is essential. CVE verification is mandatory to compete for VA SDVOSB set-asides and listing on the VA’s Vendor Information Pages (VIP).

The SBA Office of Hearings and Appeals recently confirmed that notice and opportunity to respond to allegations is required before a business’ verification is cancelled.

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COFC: False Information in SDVOSB Application Proper Grounds for VA Removal

While most of the rules for SDVOSB eligibility now reside with the SBA, the VA is still responsible for verification of entities for inclusion into its database of verified SDVOSBs and VOSBs. A recent Court of Federal Claims case describes what sort of conduct might get a business removed from the VA’s database–even if that conduct doesn’t run afoul of the SBA’s SDVOSB rule.

While the conduct in this case is somewhat egregious, it is a good reminder that VA has the power to thoroughly investigate the eligibility of an SDVOSB and can revoke the verified status based on inaccurate statements in an application.

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