Overview
This section prescribes the requirements and procedures for contracting officers to conduct set-asides for Economically Disadvantaged Women-Owned Small Businesses (EDWOSB) and Women-Owned Small Businesses (WOSB). It details the "Rule of Two" application, certification verification processes, and the SBA appeal mechanism for these specific socio-economic programs.
Key Rules
- The Rule of Two: A contracting officer may set aside requirements exceeding the micro-purchase threshold if there is a reasonable expectation that at least two eligible EDWOSB or WOSB concerns will submit offers and the award can be made at a fair and reasonable price.
- NAICS Code Restrictions: Set-asides are only permitted in NAICS codes designated by the SBA as "underrepresented" (for EDWOSB) or "substantially underrepresented" (for WOSB).
- Mandatory Certification: To be eligible for award, a concern must be certified by the SBA or have a pending application for certification in the Dynamic Small Business Search (DSBS) at the time of offer.
- Verification Procedures: Contracting officers must verify certification status via SAM or DSBS; if an application is pending for an apparently successful offeror, the CO must notify the SBA, which then has 15 calendar days to make a determination.
- Set-aside Withdrawal: If no acceptable offers are received from EDWOSB or WOSB concerns, the set-aside must be withdrawn and the requirement reconsidered under other small business programs or as a general small business set-aside.
- SBA Appeal Rights: The SBA Procurement Center Representative (PCR) may appeal a contracting officer's decision not to use a WOSB/EDWOSB set-aside, which stays the procurement until the head of the agency issues a decision.
Practical Implications
- Contracting officers must perform diligent market research and check the SBA’s specific list of eligible NAICS codes before deciding on a WOSB or EDWOSB set-aside.
- For contractors, maintaining an active and accurate certification in SAM and DSBS is critical, as the CO is prohibited from making an award to any firm that is not certified or does not have a confirmed pending status.