Effective March 17, DOD contracting officers won’t have to issue a justification or obtain approval for award of a sole-source contract under the Small Business Administration’s 8(a) program for awards up to $100 million, up from the prior $22 million limit. This Department of Defense class deviation implements the higher dollar amount that Congress set in the 2020 National Defense Authorization Act.

This change will likely matter most for 8(a) concerns owned by an Indian Tribe, Alaska Native Corporation (ANC) or Native Hawaiian Organization (NHO), as other 8(a) firms are limited to a smaller dollar amount for sole source awards unless only one 8(a) firm can perform the work.