Final rule raises threshold for 8(a) sole source justifications

      The Defense Dept. has made it easier for small businesses participating in the government’s 8(a) Business Development program to obtain large sole source contracts without going through the justification and approval process.

      DOD issued a final rule--effective June 5--to amend the Defense Federal Acquisition Regulation Supplement (DFARS) to raise the threshold for requiring a justification and approval to award a sole-source contract to an 8(a) participant. It now applies to contracts of $100 million and up. The previous threshold was $22 million.

      The final rule implements Section 823 of the National Defense Authorization Act for fiscal year 2020.

      Section 823 also designates the head of the procuring activity as the approval authority. More information:

More information:
Final rule: https://bit.ly/2W6MyhN

Final rule raises threshold for 8(a) sole source justifications

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