GAO: Agency Has Discretion on Type of Socioeconomic Set-Aside for Procurement

From a recent GAO decision it appears that the ends can, in fact, justify the means; at least when it comes procurement set-asides for HUBZone companies. The decision is Foxhole Technology, Inc. B-419577 (May 12, 2021). In this matter, Foxhole Technology, Inc., a service-disabled veteran-owned small business, protested the Department of Education’s decision to set aside an RFQ to supply cybersecurity services for HUBZone businesses. In its protest, Foxhole argued that the agency’s decision to set aside the procurement for HUBZone small business concerns was based on inadequate market research and was therefore not justified. GAO denied the protest.

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2020 NDAA: Subcontractors May Be Allowed to Take Non-Payment Allegations to OSDBU

The draft 2020 National Defense Authorization Act includes a dispute process for subcontractors when the prime contractor fails to pay.

Section 831 of the draft bill would amend the Small Business Act to allow subcontractors to report nonpayment to the Office of Small and Disadvantaged Business Utilization.

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