On December 16, 2003, President Bush signed Public Law No. 108-183, the Veterans Benefits Act of 2003, which created the “Service-Disabled Veteran-Owned Small Business (SDVOSB) Procurement Program. The purpose of the program is to provide Federal contracting assistance to service-disabled veteran-owned small business enabling veterans to realize the American dream that they fought to protect while serving our country. The objective is to provide contracting officials a means to meet the statutorily mandated 3% goal for procurement from SDVOSB’s.

Section 308, the Procurement Program for Small Business Concerns Owned and Controlled by Service-Disabled Veterans authorizes Contracting Officers (CO) to:

  • Set aside procurements for Service Disabled Veteran Owned Small Business (SDVOSB. CO’s may restrict competition and award to SDVOSB’s if there is a reasonable expectation that two or more SDVOSB’s will submit an offer. Note: If the CO receives only one bid from an SDVOSB, CO is to make award to that concern.
  • Award sole source contracts to an SDVOSB. Note: Sole source awards up to $ 5 million for a manufacturing acquisition and $3 million for all others.FAR Subpart 19.14 sets forth the policy and procedures for the SDVOSB Procurement Program. FAR 52.219-27 sets forth the definition of SDVOSB. Note: A CO shall document why a small business set-aside is inappropriate for an acquisition unless it is set-aside for SDVOSB. What’s SDVOSB? Service Disabled Veteran Owned Small Business (SDVOSB)

The Whitehouse Office of Manpower&Budget mandated a 3% goal for all federal agencies to conduct business with SDVOSBs. By doing so, your office will earn kudos from higher authority.

  • You will face no overhead charges from a Prime Contractor and/or intermediary contracting authority like GSA. This can easily total 20% or more.
  • You’ll be dealing directly with the principals of the company rather than a hierarchy.
  • You’ll be supporting disabled veterans of America.

Recent changes (May 2004) to the Federal Acquisition Regulations (FAR) (see below) strongly encourage all federal agencies to engage SDVOSBs. In October, 2004, President Bush made this encouragement a mandate.

The process is easy and fast:

  • Notify your local contracting office that you are interested in engaging an SDVOSB, and
  • Submit a proposed Statement of Work (SOW)

You do not have to go through a Government Service Office (GSO).

This alone save time and money. Additional Files: