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ARTICLE · 24 JULY 2023

New SBA Subtracting Regulations Impact Size Status, Limitations

Taft, Stettinius & Hollister LLP
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The U.S. Small Business Administration (SBA) issued its final rule on April 27, 2023, implementing a number of changes to various government contracting programs and regulations.

United StatesGovernment, Public Sector
Suzanne Sumner
Suzanne Sumner
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The U.S. Small Business Administration (SBA) issued its final rule on April 27, 2023, implementing a number of changes to various government contracting programs and regulations. In a previous article, changes pertaining to the 8(a) Program and joint ventures were discussed. This article will cover changes to the timing of size status determinations; new requirements for updating size status in SAM.gov; and the limitations on subcontracting requirements. The SBA's final rule can be found here.

Determining Size Status

According to the regulations, for indefinite delivery, indefinite quantity (IDIQ) multiple award contracts (MACs), where concerns are not required to submit price as part of the offer for the contract, a small business's size for the contract is determined as of the date of its initial offer (13 C.F.R. § 121.404(a)(1)(iv)). The final rule clarifies when size is determined for set-aside orders issued under IDIQ MACs – where offerors were not required

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