 | On Friday, May 1, 2015 and just in time for National Small Business Week (May 4 -8) , the Small Business Administration (SBA) issued a Proposed Rule implementing those provisions of the 2015 National Defense Authorization Act (NDAA) which provide for sole-source contracts for Women-Owned Small Businesses (WOSB) and Economically Disadvantaged Women-Owned Small Businesses (EDWOSB). |
In general, the rule-making process is not what one would call quick. For example the SBA only just issued regulations implementing provisions of the 2013 NDAA in the beginning of this year. Therefore, the speed with which SBA issued this proposed rule is a pleasant surprise, but is not completely unexpected. Shortly after the 2015 NDAA passed, many influential organizations and companies submitted comments and letters to the SBA requesting that the SBA expedite the rule-making process to allow for sole-source contracts.
The proposed rule provides the following:
The proposed rule is open for public comment until June 30, 2015. To submit comments, visit www.regulations.gov.
The proposed rule provides the following:
- Sole-source awards can be made to EDWOSBs in those industries the SBA has determined that WOSB are underrepresented; sole-source awards can be made to WOSBs in those industries the SBA has determined WOSBs are substantially underrepresented.
- Contracting officers will be able to make a sole-source award to a EDWOSB/WOSB in the appropriate industry under the following circumstances: (1) the contracting officer does not have a reasonable expectation that 2 or more EDWOSB/WOSB will submit offers (perform at a fair and reasonable price); (2) the contracting officer has identified one EDWOSB/WOSB that can perform the requirement at a fair and reasonable price; (3) the contract value, including options, will not exceed $6.5 million for manufacturing and $4 million for all other contracts; (4) the contractor is responsible with respect to performance of the requirement.
- The prospective awardee's status as a EDWOSB/WOSB can be protested by the SBA and/or the contracting officer. However, a competitor or unsuccessful offeror is not able to file a formal protest challenging EDWOSB/WOSB status with respect to a sole-source award (this is consistent with sole-source awards to the other small business set-aside programs).
The proposed rule is open for public comment until June 30, 2015. To submit comments, visit www.regulations.gov.
| SBA Proposed Rule on Sole-Source Contracts for WOSB |
