SBA Regulation Invalidated by Court of Federal Claims: Nonmanufacturer Rule Applies to Supply Portions of Service Contracts

It has been the common understanding within the U.S. Small Business Administration (“SBA”), and the small business government contracting community as a whole, that the nonmanufacturer rule applies only to contracts for the provision of supplies (i.e., goods) and not to service contracts, regardless of whether or not such service contracts have a supply component. This understanding was even memorialized in a regulatory change that SBA made in 2011 whereby the agency stated that the nonmanufacturer rule did not apply . . . Read More

The Ins and Outs of NAICS Code Appeals

By Katie Flood In this time of heightened competition on all federal procurements, it is critically important that small business contractors use the tools at their disposal to help them stay competitive and secure work. While agencies are able to “set-aside” work for small businesses, a fundamental aspect of these set-asides ends up being the North American Industry Classification System (NAICS) codes and the corresponding size standards which must be assigned. The NAICS code determines the industry which “best describes” the work to be performed . . . Read More

SBA’s Template for Joint Venture Agreements – Is it OK to Use for your 8(a) Joint Venture?

By Kimi Murakami The answer as to whether 8(a) firms can use the U.S. Small Business Administration’s (“SBA”) joint venture (“JV”) agreement template seems to depend on which SBA District Office your small business is governed by. Recently, some of our small business clients that are governed by the SBA’s Washington Metropolitan Area District Office received notice from their Business Opportunity Specialist (“BOS”) that the agency’s template for JV agreements would no longer be accepted. It is unclear whether this is true for all SBA . . . Read More

Attract and Retain Top Talent When You Cannot Compete Straight Up on Cash

One of the biggest challenges that a business owner may face is attracting and retaining top talent to help drive value and build their company. There are a variety of employee incentive compensation tools that can be used to attract and retain talent. Business owners need to consider: Which type of employee incentive tools will work best for that particular business owner’s company? To answer that question, a business owner needs to drill down on what goal is to be . . . Read More

Skipping Intervention in a GAO Bid Protest Can Be a “Pound Foolish” Exercise

Virtually everyone agrees that bid protests before the U.S. Government Accountability Office (“GAO”) are valuable tools to ensure the integrity, fairness, consistency, and predictability of the federal procurement system. However, for awardees of federal contracts, bid protests by their competitors are often a frustrating and costly process that can cause delays and uncertainties for their future operations. Because of the costs and distractions to the business, it is not uncommon for contractors—particularly those who are small—to choose not to intervene or otherwise participate in . . . Read More

Big Jumps Proposed to Size Standards for Environmental Remediation and Other Employee-Based Size Standards

 On September 10th, SBA released proposed increases to the small business size standards for many of the industries that use employee-based size standards.  The affected industries include some very popular ones for the contracting community, such as Environmental Remediation Services (exception to 562910), Research and Development in Biotechnology (541711), and Research and Development in the Physical, Engineering, and Life Sciences (541712).  In many cases, the proposed increases are significant, allowing more and larger firms to qualify as small in these . . . Read More