Congress Should Codify–and Expand–SBA’s Solution to the “Runway Extension” Small Business Size Calculation Problem

In January 2022, the rules regarding calculating small business size status for federal procurements will change dramatically. Companies operating under receipts-based size standards will be required to use their last five completed fiscal years–not three. And businesses operating under employee-based size standards will be made to use their last 24 months of payroll, instead of 12.

These changes will benefit growing businesses, allowing stay small longer by including older numbers in their averages. But the new size rules–what Congress has termed a small business “runway extension”–actually penalize some businesses, forcing them to stay large longer, and freezing these companies out of the very small business set-aside opportunities that could help reverse their declining fortunes. That can’t be what Congress intended!

Fortunately, the SBA has come up with a simple, elegant solution to the problem, and I think Congress should codify it before January.

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GAO: Small Business Rule of Two Doesn’t Require Set-Aside for Task Order

Generally, the small business Rule of Two requires an agency to set aside contracts for small business, assuming that there are at least two small businesses with competitive prices who will bid on the contract. But does the small business Rule of Two apply to orders under a multiple award contract? In a recent decision, GAO affirmed the answer is no–application of the small business Rule of Two for orders under a multiple-award contract is discretionary.

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SBA Clarifies that SBIR and STTR Programs Will Allow Successor-In-Interest Transfers of Awards

SBA recently issued a technical amendment to its SBIR and STTR Programs Policy Directive to clarify that successor-in-interest entities are, in fact, eligible to receive phase III awards. The amendment will take effect on October 1 of this year.

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YouTube Tuesday: What is EDWOSB Status?

There have been a few changes recently to the WOSB and EDWOSB certification process–so now is as good a time as any to walk through the requirements for EDWOSB (or Economically-Disadvantaged Woman-Owned Small Business) status. In this video, I provide an overview of the benefits of and requirements for EDWOSB status:

If you have questions, we are happy to help! You can reach us here.

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YouTube Tuesday: What is a WOSB?

With changes coming next week to the WOSB program certification process for women-owned small businesses (which we have discussed recently here and here), we thought we’d take a step back to look at the basics of program benefits and eligibility requirements. In this video, I lay out the reasons why women-owned businesses should consider participating in the program and discuss the three primary eligibility requirements:

Need assistance determining whether you’re eligible? Call us!

YouTube Tuesday: Why Should You File Bid Protests at GAO?

We here at Koprince Law have been seeing a lot of GAO bid protests lately, but for those of you unfamiliar with the Government Accountability Office and what it means to file a bid protest, this video is for you:

For more information, or if you need assistance filing your GAO protest, learn more about how we can help here.

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YouTube Tuesday: What is a Small Business?

There’s been a lot of discussion about “small businesses” lately, but there are still many misconceptions about how large “small businesses” can actually be! In this YouTube video, I breakdown how Uncle Sam decides which businesses are small:

If you have questions about the size of your business, you can check out our many, MANY blog posts on the matter & this useful overview of affiliation, or give us a call!