FCC SBA 8(a), SDVOSB & HUBZone 3 — Questions and Answers
Question 1: Which of the following contract types CANNOT be set aside exclusively for HUBZone firms?
- Fixed-price supply contracts
- Architect-engineer contracts under FAR Part 36 (Correct answer)
- Service contracts
- Construction contracts
Correct answer: Architect-engineer contracts under FAR Part 36
Architect-engineer contracts are awarded under Brooks Act procedures (qualifications-based selection), which do not permit socioeconomic set-asides.
Question 2: In an SDVOSB joint venture, what percentage of the work must the SDVOSB perform to comply with the performance-of-work requirement?
- 25%
- 40%
- 51% (Correct answer)
- More than 50%
Correct answer: 51%
The SDVOSB member of a joint venture must perform at least 40% of the work performed by the joint venture.
Question 3: A company's principal office moves from a HUBZone to a non-HUBZone area mid-contract. What is the general rule?
- The contract is immediately terminated for default
- The firm loses certification but may complete existing contracts (Correct answer)
- The firm must renegotiate the contract
- The firm has 30 days to relocate back
Correct answer: The firm loses certification but may complete existing contracts
If a HUBZone firm loses its certification during contract performance, it may typically complete that contract but cannot receive new HUBZone set-aside awards.
Question 4: What is the primary purpose of the SBA's 8(a) Business Development program?
- To provide grants to minority-owned businesses
- To assist small disadvantaged businesses in competing in the mainstream economy (Correct answer)
- To guarantee loans for veteran-owned businesses
- To register small businesses in SAM.gov
Correct answer: To assist small disadvantaged businesses in competing in the mainstream economy
The 8(a) program is a business development program designed to help small disadvantaged businesses compete in the mainstream American economy.
Question 5: Which term describes the process by which the SBA accepts a requirement from an agency and awards it to an 8(a) participant?
- Sole-source negotiation
- Acceptance and offer (Correct answer)
- Set-aside competition
- Contract novation
Correct answer: Acceptance and offer
When an agency offers a requirement to the 8(a) program, the SBA formally accepts it; this 'acceptance and offer' process is distinct from a direct agency award.
Question 6: Under current SBA rules, which entity must certify a firm as an SDVOSB for federal civilian agency contracts?
- The VA Center for Verification and Evaluation (CVE)
- SBA's SDVOSB certification program (Correct answer)
- The contracting officer
- The Department of Defense
Correct answer: SBA's SDVOSB certification program
Following the National Defense Authorization Act changes, the SBA now serves as the single certifier for SDVOSB status for all federal contracts, including those from civilian agencies.
Question 7: What is the competitive HUBZone set-aside price evaluation preference percentage that a HUBZone firm receives when competing against large businesses in full-and-open competition?
- 5%
- 10% (Correct answer)
- 15%
- 20%
Correct answer: 10%
HUBZone firms receive a 10% price evaluation preference when competing against non-HUBZone, non-small businesses in unrestricted procurements.
FCC SBA 8(a), SDVOSB & HUBZone 3
Which of the following contract types CANNOT be set aside exclusively for HUBZone firms?