What does the 8(a) Business Development Program do under current federal rules?
Under current rules, SBA runs the 8(a) program, designates participants in DSBS and SAM, and FAR Subpart 19.8 governs competitive and sole-source awards.
AI-assisted and automatically checked against the linked primary sources.
What is the 8(a) Business Development Program?
Under current federal rules, the 8(a) Business Development Program is the SBA program that authorizes SBA to enter into contracts with agencies and award subcontracts to firms eligible for program participation. A business accepted into the program is a participant; when it is performing on a Federal contract or order set aside for 8(a) participants, it is an 8(a) contractor, according to FAR Subpart 19.8. SBA, not the contracting officer, determines eligibility, and the eligibility regulations are at 13 CFR 124.101 through 124.112. SBA also designates 8(a) participants in the Dynamic Small Business Search, and that designation appears in SAM. For contracting actions, the FAR says the contracting officer must comply with 19.203 before offering an acquisition to a small business under the 8(a) program, and for acquisitions above the simplified acquisition threshold, must consider 8(a) set-asides or sole-source awards before other small business set-asides. SBA’s contracting-official guidance also states that agencies use 8(a) set-asides to help meet the federal government’s five-percent goal for small disadvantaged business prime and subcontracting dollars each year.
Who determines 8(a) eligibility?
- SBA determines whether a firm is eligible for 8(a) participation.
- SBA designates 8(a) participants in DSBS, and the designation also appears in SAM.
- Contracting officers must consider 8(a) set-asides or sole-source awards before other small-business set-asides above the simplified acquisition threshold.
- Competitive and sole-source 8(a) awards are both allowed, but the quoted thresholds and conditions must be met.
Process
- 1
Review the eligibility rules
Use 13 CFR 124.101 through 124.112, because SBA controls 8(a) eligibility determinations.
- 2
Confirm participant status
Check whether SBA has designated the firm in DSBS and whether that designation appears in SAM.
- 3
Apply the FAR 8(a) procedures
Follow FAR Subpart 19.8 and, above the simplified acquisition threshold, consider 8(a) set-asides or sole-source awards before other small-business set-asides.
Important Note
For set-aside contracts above $250,000, SBA guidance says both SBA rules and the FAR require consideration of socio-economic programs first, and there is no order of preference among the programs.
Sources & Citations
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