SBA Issues Final Rule Establishing Regulations for WOSB and EDWOSB Set-Asides and Sole-Source Contracts

On September 14, 2015, the Small Business Administration published its final rule implementing new regulations for awards to Women-Owned Small Business (WOSB) and Economically Disadvantaged Women-Owned Small Businesses (EDWOSB). Now, as with other "special status" concerns such as 8(a) and Service Disabled Veteran Owned businesses, women-owned businesses will have access to set-aside and sole-source contracting opportunities. The legal basis for this final rule is §825 of the National Defense Authorization Act for Fiscal Year 2015.

 

Under the current WOSB program, SBA reports that WOSBs received approximately $15 billion in contract actions according to FY 2013 small-business goaling reports. The new sole-source authority for awards to EDWOSBs and WOSBs can only be used where a contracting officer’s market research cannot identify two or more WOSBs or EDWOSBs that can perform at a fair and reasonable price but identifies one that can perform. WOSB and EDWOSB competitive set-asides and sole-source contracts can only be awarded in those industries for which WOSB and EDWOSB opportunities are authorized.

 

The final rule announced in the Federal Register is attached here and becomes effective October 14, 2015.

SBA Increasing Size Standards - Issues Interim Final Rule Effective July 14, 2014

Today the Small Business Administration issued an interim final rule that increases revenue-based size standards.  The adjustment is made, in part, to take account of inflation since the last inflation-adjustment in 2008.  In Sector 23, Construction, for example, the $35 million size standard increased to $36.5 million.

To see all size standard adjustments in the interim rule, click here.  The interim final rule takes effect July 14, 2014, but the SBA will receive comments on it through August 14, 2014.

SBA PUBLISHES PROPOSED RULE TO INCREASE TWO SIZE STANDARDS IN HEAVY AND CIVIL ENGINEERING NAICS CODES

Today the Small Business Administration published a proposed rule to increase the size standard for Land Subdivision and for Dredging and Surface Cleanup Activities, which are both in the Heavy and Civil Engineering Construction sector. SBA proposes to increase the size standard for Land Subdivision (NAICS 237210) from $7 million to $25 million in average annual receipts. Dredging and Surface Cleanup Activities is an "exception" sub-category of Other Heavy and Civil Engineering Construction. For Dredging and Surface Cleanup Activities, SBA proposes to increase the size standard from $20 million to $30 million in average annual receipts. Otherwise, the size standard for Other Heavy and Civil Engineering Construction (NAICS 237990) remains at $33.5 million.

If adopted as a final rule, these changes would allow contractors that have outgrown the previous size standards to become "small" again and prevent contractors that may be on the "other than small" bubble to remain "small". These changes also increase the pool of small businesses in these industry categories, allowing agencies to set more procurements aside for small-business concerns.

Interested parties must submit their comments not later than September 17, 2012, to SBA. The proposed rule is attached here.