SBA Proposes New Small Biz Guidelines For Multiple Award Contracts

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The Small Business Administration recently proposed guidelines outlining how agencies should list small-businesses on multiple-award contracts.

A Wednesday Federal Register post includes three ways for agencies to classify small-businesses before awarding multiple-award contracts.

These alternatives include:

  • partial set-asides, where agencies set aside parts of a multiple-award schedule
  • contract reserves, where agencies reserve the entire award
  • order set-aside, where agencies set aside certain orders

Since these rules do not compel agencies to award contracts to small businesses, they must now document explanations in the event they opt not to use these tools.

Additionally, the proposed regulations will amend the process of assigning business size codes to companies in MACs, with the goal of avoiding inconsistencies.

Contracting officers would be able to divide a multiple-award contract for divergent goods and services into separate categories while assigning their corresponding codes.

SBA will take comments on the proposed regulations until July 16.

Recently, the House recently passed six bills, with one setting standards that agencies must use small businesses for 25 percent of their contracting work.

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