Aug 28, 2008

Thomas Marcinko

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VA to Set-Aside Contracts for Veteran and Service Disabled Veteran Owned Small Businesses

The Department of Veterans Affairs (VA) published a proposed rule in the Federal Register that would establish a set-aside program for Veteran and Service Disabled Veteran Owned small businesses.  (VOSB/SDVOSB) The rule implements portions of the Veterans Benefits, Health Care, and Information Technology Act of 2006.  The proposed rule would require that VA procurements valued in excess of $100,000 be set-aside if there is a expectation that two or more VOSBs / SDVOSBs will submit proposals.  SDVOSBs would be given priority.  The VA would also be allowed to award contracts valued at less than $100,000 to such firms on a sole-source basis.  To participate, firms must register at VetBiz.gov.   The proposed rule is also likely to increase subcontracting opportunities as prime contractors will receive extra evaluation points if they propose to use VOSBs / SDVOSBs as subcontractors.  The downside to the proposed rule is that it will likely lead to less work for other types of small businesses.  Comments are due on October 20, 2008.