The United States Government sets aside contract for companies considered
"Service-Disabled Veteran-Owned Small Business (SDVOSB.)"
The most notable of
these contracts is the "VETS-GWAC"
is the result of
Executive Order 13360 that is designed to strengthen federal contracting
opportunities for Service Disabled Veteran firms.
Veteran or Service Disabled Veteran Owned Small Business are small
business concerns with not less than 51 percent ownership by one or more
service-disabled veterans or, in the case of any publicly owned
business, not less than 51 percent of the stock of which is owned by one
or more service-disabled veterans; and the management and daily business
operations of which are controlled by one or more service-disabled
veterans or, in the case of a veteran with permanent and severe
disability, the spouse or permanent caregiver of such veteran.
Service-disabled veteran means a veteran, as defined in
38 U.S.C. 101(2)
as, a person who served in the active military, naval, or air service,
and who was discharged or released there from under conditions other
than dishonorable with a disability that is service-connected, as
defined in 38 U.S.C. 101(16) as, with respect to disability or death,
that such disability was incurred or aggravated, or that the death
resulted from a disability incurred or aggravated, in line of duty in
the active military, naval, or air service.
OSDBU is the advocate that monitors theVeteran-Owned
Small Business (VOSB)
Program, with a special emphasis on SDVOSBs. Under the authority granted
in Public Law 109-461, VA is authorized to set aside contracts and/or
award sole source contracts, to SDVOSB and VOSB firms.
Far 19.1405 allows the Contracting Officer to set aside acquisitions
exceeding the micro-purchase threshold for service-disabled veteran
owned business concerns when the Contracting Officer has a reasonable
expectation that Offers will be received
from two or more service disabled veteran owned small business
concerns; and Award will be made at a
fair market price.
The Contracting Officer shall consider service-disabled veteran owned
small business set-asides before considering service-disabled veteran
owned small business sole source awards.
A Contracting Officer may award contracts to service-disabled veteran
owned small business concerns on a sole source basis providing Only one
service-disabled veteran owned small business can satisfy the
The anticipated award
price of the contract (including options) will not exceed $5 million
for a requirement within the NAICS codes for manufacturing; or $3
million for a requirement within any other NAICS code.