---
kind: "section"
citation: "48 C.F.R. § 808.002"
title: "48"
number: "808.002"
heading: "Priorities for use of mandatory Government sources."
url: "https://uscodex.org/cfr/48/808.002"
---

# §808.002. Priorities for use of mandatory Government sources.

- (a) **Priorities.** Contracting activities shall satisfy requirements for supplies and services from or through the mandatory sources listed in paragraphs [(a)(1)](#a-1) and [(2)](#a-2) of this section in descending order of priority:
  - (1) **Supplies.**
    - (i) VA inventories including the VA supply stock program ([41 CFR 101-26.704](/cfr/41/101-26.704.md)) and VA excess.
    - (ii) Excess from other agencies (see FAR [subpart 8.1](/cfr/48/subpart8.1.md)).
    - (iii) **Federal Prison Industries, Inc.** (see 808.603). Prior to considering award of a contract to Federal Prison Industries, Inc., contracting officers shall apply the VA Rule of Two (see 802.101) to determine whether a requirement should be awarded to veteran-owned small businesses under the authority of [38 U.S.C. 8127-28](/usc/38/8127-28.md), by using the preferences and priorities in [subpart 819.70](/cfr/48/subpart819.70.md). If an award is not made to a VIP-listed and verified service-disabled veteran-owned small business (SDVOSB)/veteran-owned small business (VOSB) as provided in subpart [819.70](/cfr/48/subpart819.70.md), [FPI](/cfr/48/subpartFPI.md) remains a mandatory source in accordance with FAR 8.002.
    - (iv) Supplies that are on the Procurement List maintained by the Committee for Purchase From People Who Are Blind or Severely Disabled, through the AbilityOne Program (FAR [subpart 8.7](/cfr/48/subpart8.7.md)). Supplies that are on the Procurement List but which do not meet the definition of a covered product in [paragraph (a)(1)(iv)(A)](#a-1-iv-A) of this section are only required to be procured from a mandatory source in accordance with FAR 8.002 if an award is not made to a VIP-listed and verified SDVOSB/VOSB after following the procedures set forth in [subpart 819.70](/cfr/48/subpart819.70.md).
      - (A) **Definition.** As used in this [paragraph (a)(1)(iv)](#a-1-iv), covered product means a product that—

        (1) Is included on the Procurement List as authorized under [41 U.S.C. 8503(a)](/usc/41/8503.md?p=a) (see FAR 8.703) and was included on the Procurement List on or before December 22, 2006; or

        (2) Meets the following criteria—

        (i) Is a replacement for a product under this [paragraph (a)(1)(iv)](#a-1-iv);

        (ii) Is essentially the same and meeting the same requirement as the product being replaced; and

        (iii) The contracting officer determines the product meets the quality standards and delivery schedule requirements of VA.

      - (B) **Policy.** Except as provided in paragraphs [(a)(1)(iv)(C)](#a-1-iv-C) and [(D)](#a-1-iv-D) of this section, contracting officers shall procure covered products that are on the Procurement List through the AbilityOne Program as set forth in FAR [subpart 8.7](/cfr/48/subpart8.7.md). Contracting officers shall not procure products that are on the Procurement List, but which do not meet the definition of a covered product using the procedures set forth in FAR [subpart 8.7](/cfr/48/subpart8.7.md), unless award cannot be made to a VIP-listed and verified SDVOSB/VOSB pursuant to the procedures set forth in [subpart 819.70](/cfr/48/subpart819.70.md).
      - (C) **Exception for certain contracts awarded in accordance with the Veterans First Contracting Program in subpart 819.70.** If a contract for a covered product awarded under the authority of [38 U.S.C. 8127(d)(1)](/usc/38/8127.md?p=d-1) to a VIP-listed SDVOSB or VOSB was in effect as of August 7, 2020, the requirement shall continue as an SDVOSB/VOSB set-aside in accordance with 819.7006 and 819.7007.
      - (D) **Termination or expiration of excepted contracts.** When a contract previously awarded as set forth in [paragraph (a)(1)(iv)(C)](#a-1-iv-C) of this section is terminated or expires, contracting officers shall procure such covered product through the AbilityOne Program as a priority mandatory Government source (see [paragraph (a)(1)(iv)(B)](#a-1-iv-B) of this section), provided the head of the contracting activity or designee determines there is no reasonable expectation that—

        (1) Two or more SDVOSBs/VOSBs will submit offers; and

        (2) Award can be made at a fair and reasonable price that offers best value to the United States.

    - (v) Wholesale supply sources, such as stock programs of the General Services Administration (GSA) (see [41 CFR 101-26.3](/cfr/41/101-26.3.md)), the Defense Logistics Agency (see [41 CFR 101-26.6](/cfr/41/101-26.6.md)), the Department of Veterans Affairs (see [41 CFR 101-26.704](/cfr/41/101-26.704.md)), and military inventory control points.
  - (2) **Services.** Services that are on the Procurement List maintained by the Committee for Purchase From People Who Are Blind or Severely Disabled, through the AbilityOne Program (FAR [subpart 8.7](/cfr/48/subpart8.7.md)). For services that are on the Procurement List, but which do not meet the definition of a covered service in [paragraph (a)(2)(i)](#a-2-i) of this section are only required to be procured from a mandatory source in accordance with FAR 8.002 if an award is not made to a VIP-listed and verified SDVOSB/VOSB after following the procedures set forth in [subpart 819.70](/cfr/48/subpart819.70.md).
    - (i) **Definition.** As used in this [paragraph (a)(2)](#a-2)—

      Covered service means a service that—

      (1) Is included on the Procurement List as authorized under [41 U.S.C. 8503(a)](/usc/41/8503.md?p=a) (see FAR 8.703) and was included on the Procurement List on or before December 22, 2006; or

      (2) Meets the following criteria—

      (i) Is a replacement for a service under this [paragraph (a)(2)](#a-2);

      (ii) Is essentially the same and meeting the same requirement as the service being replaced; and

      (iii) The contracting officer determines the service meets the quality standards and delivery schedule requirements of VA.

    - (ii) **Policy.** Except as provided in paragraphs [(a)(2)(iii)](#a-2-iii) and [(iv)](#a-2-iv) of this section, contracting officers shall procure covered services that are on the Procurement List through the AbilityOne Program as set forth in FAR [subpart 8.7](/cfr/48/subpart8.7.md). Contracting officers shall not procure services that are on the Procurement List, but which do not meet the definition of a covered service using the procedures set forth in FAR [subpart 8.7](/cfr/48/subpart8.7.md), unless award cannot be made to a VIP-listed and verified SDVOSB/VOSB pursuant to the procedures set forth in [subpart 819.70](/cfr/48/subpart819.70.md).
    - (iii) **Exception for certain contracts awarded in accordance with the Veterans First Contracting Program in subpart 819.70.** If a contract for a covered service awarded under the authority of [38 U.S.C. 8127(d)(1)](/usc/38/8127.md?p=d-1) to a VIP-listed SDVOSB or VOSB was in effect as of August 7, 2020, the requirement shall continue as an SDVOSB/VOSB set-aside in accordance with 819.7006 and 819.7007.
    - (iv) **Termination or expiration of certain excepted contracts.** When a contract previously awarded as set forth in [paragraph (a)(2)(iii)](#a-2-iii) of this section is terminated or expires, contracting officers shall procure such covered service through the AbilityOne Program as a priority mandatory Government source (see [paragraph (a)(2)(ii)](#a-2-ii) of this section), provided the head of the contracting activity or designee determines there is no reasonable expectation that—
      - (A) Two or more SDVOSBs/VOSBs will submit offers; and
      - (B) **Award can be made at a fair and reasonable price that offers best value to the United States.**
- (b) **Unusual and compelling urgency.** The contracting officer may use a source other than those listed in [paragraph (a)](#a) of this section when the need for supplies or services is of an unusual and compelling urgency (see FAR 6.302-2, 8.405-6, and 13.106-1 and [part 806](/cfr/48/part806.md) for justification requirements).

## Notes

### Authority

Authority: 38 U.S.C. 8127-8128; 40 U.S.C. 121(c); 41 U.S.C. 1121(c)(3); 41 U.S.C. 1702; and 48 CFR 1.301 through 1.304.

### Source

Source: 87 FR 63002, Nov. 17, 2022, unless otherwise noted.
