Back to Basics: Small Business Sole Source Awards

One of the perks of being certified in any of the SBA’s small business socioeconomic contracting programs is the fact that there is potential for a sole source award. What is a sole source award? Well, it’s a non-competitive award used when there is no expectation that two or more offerors will submit proposals, or using a dollar cap in the 8(a) program. (In this post we’re not talking about other exceptions to competition, such as only one responsible source). We most frequently see them used for contracts made to participants in the 8(a) Small Business Development Program, but the other programs (WOSB, SDVOSB, and HUBZone) have the ability to make sole source awards as well. So, let’s take a look and see what the FAR and SBA rules have to say about sole source awards in each of these programs.

Continue reading

House-Passed 2022 NDAA Raises Sole Source Thresholds for 8(a), SDVOSB, HUBZone, and WOSB/EDWOSB Contracts

The sole source thresholds for the major socioeconomic preference programs would increase significantly under the House-passed version of the 2022 National Defense Authorization Act.

The House version of the 2022 NDAA includes an amendment that would raise the sole source caps for contracts awarded to qualified 8(a) Program participants, service-disabled veteran-owned small businesses, HUBZone Program participants, and woman-owned small businesses (as well as the economically disadvantaged subcagetory of WOSBs).

Continue reading

SBIR Program: Agencies Have Broad Discretion Over Phase III Awards, GAO Confirms

A federal agency has broad discretion to make a sole source award under Phase III of the Small Business Innovation Research program.

In a recent bid protest decision, the GAO confirmed that an agency may make a Phase III award when the contract “derives from, extends, or completes efforts made under prior funding agreements under the SBIR program.” What’s more, an agency has “relatively limited requirements to justify a phase III award,” and considerable discretion when it comes to determining whether a new contract fits this definition.

Continue reading

COVID-19 & SBA 8(a) Program Suspensions: FAQs

If you are a government contractor participating in the Small Business Administration’s 8(a) Business Development Program, there is a good chance you received an email this week about COVID-19 and the SBA’s 8(a) suspension authority. What is this authority and, more importantly, how would suspension impact your 8(a) status?

In this post, we aim to provide some answers to frequently asked questions about these suspensions.

Continue reading

The Coronavirus Stimulus Package Could do More for Small Business Contractors

Congress is expected to pass a huge coronavirus stimulus package in the coming days. While lobbyists and congressional staffers wrestle over the last bits and pieces to find their way in to the bill, there seems to be a pretty important group left out—small business federal contractors.

Continue reading

DOD: Sole-Source Contracts up to $100 Million Don’t Need Justification

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.

Continue reading

The Basics: Socioeconomic Sole Source Awards

Just last week during a Govology webinar on Women-Owned Small Businesses, one of the attendees asked an insightful question about the different standards for giving sole source awards to participants in various government programs. She wanted to know the difference between how contracting officers go about offering an 8(a) sole source award and a WOSB sole source award.

So, let’s take a look, shall we?

Continue reading