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New Preference Program for Service-Disabled Veteran-Owned Small Business Concerns
The Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council have agreed on an interim rule amending the Federal Acquisition Regulation (FAR) to implement Section 308 of the Veterans Benefits Act of 2003, Procurement Program for Small Business Concerns Owned and Controlled by Service-Disabled Veterans (Pub. L. 108-183).
The interum rule, effective May 5, 2004, establishes procurement preferences for service-disabled veteran-owned small business concerns.
Specifically, the program allows contracting officers to restrict requirements to service-disabled veteran-owned small business concerns when the contracting officer has a reasonable expectation that two or more service-disabled veteran-owned small businesses will likely bid on the requirement, be responsive to the terms and conditions of that contract, and be able to make the award at a fair market price.
The second preference provides contract officers the ability to do a sole-source requirement with a service-disabled veteran-owned small business concern if there is only one known service-disabled veteran-owned small business that can perform the requirements at a fair market price and the estimated total value of the contract is less than $3,000,000 for services or $5,000,000 for manufacturing.
For more information, see Federal Register - May 5, 2004, pages 25274-25280.
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