FAR and DFARS › FAR Part 19: Small Business Programs › Subpart 19.8
FAR 19.805-1 General.
The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.
In plain English
This section explains when an 8(a) acquisition must be competed among eligible 8(a) participants rather than awarded sole source. Competition is generally required when at least two eligible, responsible 8(a) firms are expected to bid at a fair market price and the contract value exceeds the stated thresholds. It also limits splitting requirements to avoid competition and allows SBA to approve below-threshold competitions in limited cases.
Applies to: Acquisitions offered to the SBA under the 8(a) program
What it requires
- Award on the basis of competition limited to eligible 8(a) participants when the conditions in paragraph (a) are met
- Do not divide a proposed 8(a) requirement exceeding the applicable competitive threshold into several requirements for lesser amounts to use sole source procedures for a single firm
Key terms: 8(a) program · eligible 8(a) participants · competitive threshold · sole source 8(a) award · fair market price
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
(a) Except as provided in paragraph (b) of this section, an acquisition offered to the SBA under the 8(a) program shall be awarded on the basis of competition limited to eligible 8(a) participants when—
(1) There is a reasonable expectation that at least two eligible and responsible 8(a) participants will submit offers and that award can be made at a fair market price; and
(2) The anticipated total value of the contract, including options, will exceed $8.5 million for acquisitions assigned manufacturing North American Industry Classification System (NAICS) codes and $5.5 million for all other acquisitions.
(b) Where an acquisition exceeds the competitive threshold (see paragraph (a)(2) of this section), the SBA may accept the requirement for a sole source 8(a) award if—
(1) There is not a reasonable expectation that at least two eligible and responsible 8(a) participants will submit offers at a fair market price; or
(2) SBA accepts the requirement on behalf of a concern owned by an Indian tribe or an Alaska Native Corporation.
(c) A proposed 8(a) requirement with an estimated value exceeding the applicable competitive threshold amount shall not be divided into several requirements for lesser amounts in order to use 8(a) sole source procedures for award to a single firm.
(d) The SBA Associate Administrator for Business Development may approve a contracting office's request for a competitive 8(a) award below the competitive thresholds. Such requests will be approved only on a limited basis and will be primarily granted where technical competitions are appropriate or where a large number of responsible 8(a) participants are available for competition. In determining whether a request to compete below the threshold will be approved, the SBA Associate Administrator for Business Development will, in part, consider the extent to which the contracting activity is supporting the 8(a) program on a noncompetitive basis. The agency may include recommendations for competition below the threshold in the offering letter or by separate correspondence to the SBA Associate Administrator for Business Development.
← 19.805 Competitive 8(a). · 19.805-2 Procedures. →
Rule changes for FAR Part 19
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · final rule 2025-08-27 · effective 2025-10-01
- Federal Acquisition Regulation: Small Business Participation on Certain Multiple-Award Contracts ↗ · proposed 2025-06-12
- Federal Acquisition Regulation: Small Business Participation on Certain Multiple-Award Contracts ↗ · proposed 2025-01-15 · comments due 2025-03-17
- Federal Acquisition Regulation: Subcontracting to Puerto Rican and Covered Territory Small Businesses ↗ · final rule 2025-01-03 · effective 2025-01-17
- Federal Acquisition Regulation: Rerepresentation of Size and Socioeconomic Status ↗ · final rule 2025-01-03 · effective 2025-01-17
- Federal Acquisition Regulation: Certification of Service-Disabled Veteran-Owned Small Businesses ↗ · final rule 2024-12-16 · effective 2024-12-16
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · proposed 2024-11-29 · comments due 2025-01-28
- Federal Acquisition Regulation; Technical Amendments ↗ · final rule 2024-08-29 · effective 2024-09-30
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.