The Small Business Administration has ruled that sole-source contracts with WOSBs (and EDWOSBs) will be authorized under the SBA’s regulations as of October 14, 2015.
The final rule, published September 14, 2015, states that the SBA implemented regulatory authority pursuant to which Contracting Officers may issue sole-source contracts.
The rule implements statutory authority adopted as part of the 2015 National Defense Authorization Act, which authorized WOSBs and EDWOSBs to receive sole-source contracts.
As of October 14, 2015, a WOSB (or EDWOSB) may be awarded a sole-source contract of up to $4 million (or up to $6.5 million for a manufacturing contract) so long as: (1) the WOSB or EDWOSB is a responsible contractor; (2) the Contracting Officer does not have a reasonable expectation that two or more WOSBs or EDWOSBs will submit offers; and (3) award can be made at a fair and reasonable price.
This means that WOSBs will have greater access to federal contracting opportunities. Under this new authority, if an agency Contracting Officer cannot identify two or more WOSBs that can perform at a fair and reasonable price, the officer can elect to sole-source the contract to the WOSB that can perform the work.
