---
kind: "section"
citation: "48 C.F.R. § 19.1505"
title: "48"
number: "19.1505"
heading: "Set-aside procedures."
url: "https://uscodex.org/cfr/48/19.1505"
---

# §19.1505. Set-aside procedures.

- (a) **The contracting officer—**
  - (1) Shall comply with 19.203 before deciding to set aside an acquisition under the WOSB Program; and
  - (2)
    - (i) May set aside acquisitions exceeding the micro-purchase threshold for competition restricted to EDWOSB concerns when the acquisition is assigned a NAICS code in which SBA has determined that WOSB concerns are underrepresented in Federal procurement; or
    - (ii) May set aside acquisitions exceeding the micro-purchase threshold for competition restricted to WOSB concerns eligible under the WOSB Program when the acquisition is assigned a NAICS code in which SBA has determined that WOSB concerns are substantially underrepresented in Federal procurement, as specified on SBA's website at http://www.sba.gov/WOSB.
- (b) For requirements in NAICS codes designated by SBA as underrepresented, a contracting officer may restrict competition to EDWOSB concerns if the contracting officer has a reasonable expectation based on market research that—
  - (1) Two or more EDWOSB concerns will submit offers for the contract; and
  - (2) Contract award will be made at a fair and reasonable price.
- (c) A contracting officer may restrict competition to WOSB concerns eligible under the WOSB Program (including EDWOSB concerns), for requirements in NAICS codes designated by SBA as substantially underrepresented if there is a reasonable expectation based on market research that—
  - (1) Two or more WOSB concerns eligible under the WOSB Program (including EDWOSB concerns), will submit offers; and
  - (2) Contract award may be made at a fair and reasonable price.
- (d) An EDWOSB or WOSB concern may submit an offer under an EDWOSB or WOSB set-aside when the offeror—
  - (1) Qualifies as a small business concern under the size standard corresponding to the NAICS code assigned to the contract; and
  - (2)
    - (i) For an EDWOSB set-aside, is certified pursuant to [13 CFR 127.300](/cfr/13/127.300.md) as an EDWOSB or has a pending application for EDWOSB certification in the DSBS (see [13 CFR 127.504(a)](/cfr/13/127.504.md?p=a)); or
    - (ii) For a WOSB set-aside, is certified pursuant to [13 CFR 127.300](/cfr/13/127.300.md) as an EDWOSB or WOSB, or has a pending application for EDWOSB or WOSB certification in the DSBS (see [13 CFR 127.504(a)](/cfr/13/127.504.md?p=a)).
- (e) The contracting officer shall verify that offers received are eligible for consideration for award by checking SAM to see if the EDWOSB or WOSB concern is designated as a certified concern or checking DSBS for a pending application for certification.
  - (1) If the offeror is designated as certified in SAM or has a pending application for certification in DSBS, proceed with the offer evaluation.
  - (2) Unless the offeror is designated as certified in SAM or has a pending application for certification in DSBS, the offer is not eligible for award and shall be removed from consideration.
- (f) Prior to award, the contracting officer shall verify the apparently successful offeror is certified in SAM, or has a pending application for certification in DSBS. If the apparently successful offeror's EDWOSB or WOSB certification is pending in DSBS, the contracting officer shall notify SBA's Director/Government Contracting by email at WOSBpendingcertification@sba.gov, and request SBA's status determination. The contracting officer shall provide SBA with the offeror's name, unique entity identifier, type of set-aside, NAICS code, and solicitation number.
  - (1) Within 15 calendar days from the date of the contracting officer's notification, SBA will make a determination regarding the offeror's status as an EDWOSB or WOSB eligible under the WOSB program.
  - (2) If the contracting officer does not receive a determination from SBA within 15 calendar days, the contracting officer at their discretion, may provide SBA additional time to make a determination, or may proceed with award to the next highest evaluated offeror.
  - (3) The contracting officer shall not make award to an offeror who is not a certified EDWOSB or WOSB concern eligible under the WOSB program.
- (g) The contracting officer may make an award, if only one acceptable offer is received from a qualified EDWOSB concern or WOSB concern eligible under the WOSB Program.
- (h) If no acceptable offers are received from an EDWOSB concern or WOSB concern eligible under the WOSB Program, the set-aside shall be withdrawn and the requirement, if still valid, must be considered for set aside in accordance with 19.203 and [subpart 19.5](/cfr/48/subpart19.5.md).
- (i) The SBA procurement center representative (PCR) may recommend use of the WOSB Program. If the contracting officer rejects a recommendation by SBA's PCR—
  - (1) The contracting officer shall notify the PCR as soon as practicable;
  - (2) SBA shall notify the contracting officer of its intent to appeal the contracting officer's decision no later than five business days after receiving notice of the contracting officer's decision;
  - (3) The contracting officer shall suspend further action regarding the procurement until the head of the agency issues a written decision on the appeal, unless the head of the agency makes a written determination that urgent and compelling circumstances which significantly affect the interests of the United States compel award of the contract;
  - (4) Within 15 business days of SBA's notification to the head of the contracting activity, SBA shall file a formal appeal to the head of the agency, or the appeal will be determined withdrawn; and
  - (5) The head of the agency, or designee, shall specify in writing the reasons for a denial of an appeal brought under this section.

## Notes

### Amendments

[76 FR 18311, Apr. 1, 2011, as amended at 77 FR 12917, Mar. 2, 2012; 78 FR 37694, June 21, 2013; 80 FR 81891, Dec. 31, 2015; 81 FR 67736, Sept. 30, 2016]; 87 FR 58241, Sept. 23, 2022

### Source

Source: 76 FR 18311, Apr. 1, 2011, unless otherwise noted.

### Authority

Authority: 41 U.S.C. 1121(b); 40 U.S.C. 121(c); 10 U.S.C. chapter 4 and 10 U.S.C. chapter 137 legacy provisions (see 10 U.S.C. 3016); and 51 U.S.C. 20113.

### Source

Source: 48 FR 42240, Sept. 19, 1983, unless otherwise noted.

### Amendments

[76 FR 18311, Apr. 1, 2011, as amended at 77 FR 12917, Mar. 2, 2012; 78 FR 37694, June 21, 2013; 80 FR 81891, Dec. 31, 2015; 81 FR 67736, Sept. 30, 2016]; 87 FR 58241, Sept. 23, 2022