Overview
This section prescribes the procedures for challenging a firm's eligibility as an Economically Disadvantaged Women-Owned Small Business (EDWOSB) or a Women-Owned Small Business (WOSB) under the Women-Owned Small Business Program. It outlines the roles of the Contracting Officer (CO) and the Small Business Administration (SBA) in receiving, processing, and adjudicating these status-based protests.
Key Rules
- Protesting Parties: For sole-source acquisitions, only the CO or the SBA may protest; for all other acquisitions, any "interested party" (typically a competing offeror) may file a protest.
- Separation of Protests: Status protests are distinct from size protests; an interested party wishing to challenge both must file two separate protests under different regulatory procedures (FAR 19.308 vs. FAR 19.302).
- Timelines: An interested party must submit a protest within five business days after bid opening (for sealed bids) or notification of the apparent successful offeror (for negotiated procurements).
- Specific Grounds Required: Protests must state specific facts/evidence regarding ownership, control, or citizenship; they may also challenge "undue reliance" on a subcontractor (the ostensible subcontractor rule) for set-aside service contracts.
- Contracting Officer Actions: Upon receipt of a protest, the CO should generally withhold contract award for 15 business days while the SBA makes a determination, unless an award is necessary to protect the public interest or meet an immediate need.
- Consequences of Ineligibility: If a protest is sustained after award, the CO must terminate the contract (unless it is not in the government's best interest) and is prohibited from exercising any options or issuing further orders.
- Appeals: SBA's decision is final unless appealed to the SBA Office of Hearings and Appeals (OHA) within 10 business days of the determination.
Practical Implications
- Strict Vigilance: Competing firms must be prepared to act immediately upon notification of an award, as the five-day window to challenge status is unforgiving.
- Compliance Risk: Firms certified as WOSB or EDWOSB must ensure their ownership and "control" structures—including relationships with subcontractors—are fully compliant with 13 CFR 127, as a sustained protest can lead to immediate contract termination and removal from the Dynamic Small Business Search (DSBS) database.