SBA Releases Final Rule Allowing WOSB and EDWOSB Sole Source

Implements WOSB/EDWOSB Sole Source Authority Provisions in FY15 NDAA

On September 14th, the Small Business Administration (SBA) published their final rule allowing sole source awards to Women-Owned Small Businesses (WOSBs) or Economically Disadvantaged Women-Owned Small Businesses (EDWOSBs) in certain circumstances, implementing a provision in the FY15 National Defense Authorization Act (NDAA). The Federal Acquisition Regulations (FAR) will need to be amended to include the sole source authority so that there is no conflict between the SBA’s rules and the FAR.

Effective October 14, 2015, the sole source authority will be allowed for industries in which WOSB or EDWOSB set-asides are authorized, and the CO – through market research – cannot identify two or more WOSBs or EDWOSBs that can perform the requirement at a fair and reasonable price, but does identify one WOSB or EDWOSB that can perform. The sole source authority for WOSBs and EDWOSBs is limited to contracts valued at $6.5 million or less for manufacturing and $4 million or less for all other procurements.

The final rule did not address the NDAA’s requirement for WOSB and EDWOSB certification, other than in reference to comments received. It states: “SBA did not propose to address the certification portion . . . because its implementation is more complicated, . . . . SBA continues to believe that the new WOSB sole source authority can and should be implemented as quickly as possible, using existing program rules and procedures, while SBA proceeds with development of the certification requirement through a separate rulemaking.”



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