Navigating the New Landscape: SDVOSB Certification Changes and Opportunities in 2024
2024 marks a pivotal year in Government Contracting, especially for Service-Disabled Veteran-Owned Small Businesses (SDVOSBs). A recent memorandum from the General Services Administration (GSA) outlines critical modifications to the Federal Acquisition Regulation (FAR) concerning SDVOSB certification. This article aims to dissect these changes, elucidate their implications for SDVOSBs.
Understanding the FAR Class Deviation
Jeffrey A. Koses, the Senior Procurement Executive at GSA, issued a memorandum approving a Class Deviation from the FAR regarding the certification of SDVOSB concerns. This deviation, significant for its impact on set-aside or sole-source awards under the SDVOSB Program (FAR subpart 19.14), marks a strategic shift in the certification process.
The Shift in SDVOSB Certification
The Small Business Administration (SBA) published rules in 2022 and 2023, introducing new criteria for SDVOSB eligibility. From January 1, 2024, an SDVOSB must either be certified by the SBA or have submitted a complete certification application by December 31, 2023, to qualify for set-aside or sole-source awards. This change from self-representation to mandatory SBA certification aims to streamline the process and ensure only qualified SDVOSBs benefit from the program.
Impact on SDVOSBs
SDVOSBs that fail to meet the new certification requirements by the end of 2023 will no longer be eligible for set-aside or sole-source awards. However, they can still represent themselves as SDVOSBs for other awards, such as small business set-asides or unrestricted procurement.
The Role of Contracting Officers
Contracting officers play a critical role in implementing these changes. They must verify the eligibility of SDVOSB concerns for set-aside or sole-source awards by checking the SBA’s VetCert system or the concern’s representation in SAM.gov and their application status. This verification is pivotal in maintaining the integrity of the SDVOSB Program.
Challenges and Transitional Strategies
One of the significant challenges is that SAM.gov will not reflect the new SBA SDVOSB certification criteria by January 1, 2024. Therefore, contracting officers must adhere to the procedures outlined in the Class Deviation to determine a concern’s eligibility.
Authority and Applicability
The Class Deviation, issued under FAR 1.404 and the GSAM 501.404, applies to acquisitions contemplating an SDVOSB set-aside or sole-source award. This deviation aligns with the Civilian Agency Acquisition Council (CAAC) Letter 2024-02, ensuring consistency across the board.
The New Timeline
Effective immediately, this Class Deviation will remain in effect until SAM.gov is updated to reflect the SBA’s SDVOSB certification or is otherwise rescinded. This timeline underscores the urgency for SDVOSBs to comply with the new requirements.
Opportunities for SDVOSBs
Despite the challenges, these changes open up new opportunities for SDVOSBs. The move towards stricter certification processes can help legitimate SDVOSB concerns stand out and gain better access to government contracts. This change underscores the government’s commitment to supporting veteran-owned businesses.
How FedBiz Access Can Help
For over 23 years, FedBiz Access has been a trailblazer in helping businesses, especially SDVOSBs, navigate the complexities of government contracting. We specialize in expediting SDVOSB certification, ensuring that businesses meet the criteria and are well-positioned to take advantage of set-aside contract opportunities.
Your Next Steps
If you’re an SDVOSB looking to maximize your chances under the new regulations, or if you’re contemplating SDVOSB certification, now is the time to act. Schedule a complimentary consultation with a FedBiz Specialist at FedBiz Access. Our expertise can guide you through the certification process, ensuring your business is poised for success in the government contracting arena in 2024 and beyond.
Conclusion
The 2024 changes to SDVOSB certification represent a significant shift in the government contracting landscape. Understanding and adapting to these changes is crucial for SDVOSBs aiming to thrive in this competitive environment. With FedBiz Access by your side, navigating these changes becomes a journey of opportunities, leading to success in the realm of government contracts.