Office of Acquisition and Logistics (OAL)
Acquisition Policy Flash! 20-24
Class Deviation from the VA Acquisition Regulation 808.002, Priorities for Use of Mandatory Government Sources
Purpose: To issue a class deviation in accordance with Federal Acquisition Regulation (FAR) 1.404, Class Deviations, and VA Acquisition Regulation (VAAR) 801.404, Class Deviations. The class deviation will implement legislative amendments to VA’s Veteran’s First Contracting Program (VFCP) to provide for an exception to small business contracting requirements applicable to the VA’s procurement of certain goods and services covered under the AbilityOne program. This class deviation supersedes Class Deviation from VAAR 808.002, Priorities for Use of Government Supply Sources and VAAR Subpart 808.6, Acquisition from Federal Prison Industries, Inc., dated May 20, 2019.
VAAR Section Referenced: VAAR 808.002.
Effective Date: Immediately.
Background: On August 08, 2020, Public Law 116-155, the Department of Veterans Affairs Contracting Preference Consistency Act of 2020 (H.R. 4290), amending 38 U.S.C. 8127, was enacted and effective as of the same date. In summary, the new legislation requires a contracting officer of the Department to procure covered products and services on the Procurement List maintained by the Committee for Purchase from People Who Are Blind or Severely Disabled (the Committee), through the AbilityOne Program, as a priority mandatory Government source. The legislation also provides an exception when a covered product or service was procured from an eligible Service-Disabled Veteran-Owned Small Business (SDVOSB) or Veteran-Owned Small Business (VOSB) as a result of a VA Rule of Two determination between the period after December 22, 2006 and the day before the date of enactment of the Act, August 07, 2020. In such case the covered product or service shall continue to be procured under VA’s SDVOSB/VOSB set-aside program, provided two or more SDVOSB/VOSB are expected to provide the same or similar product at a fair and reasonable price, that offers the best value to the United States. In the event that a contract for any covered product or service previously awarded under the VFCP is terminated or expires, before it can be procured under the AbilityOne Program, the Head of the Contracting Activity or designee is required to make a determination that a reasonable expectation no longer exists that two or more SDVOSB/VOSB will submit offers and that award can be made at a fair and reasonable price that offers best value to the United States. The legislation provides a definition of covered products and services, and certain exceptions which the VA is implementing through this class deviation.
Applicability: This class deviation applies to all VA contracts (see definition of contract at FAR 2.101). Additionally, this deviation applies to contracts conducted by VA or on behalf of VA, using interagency acquisitions in accordance with FAR subpart 17.5, VAAR subpart 817.5, and FAR 8.404(b)(2), and any other arrangement with any governmental entity to acquire goods and services by contract on behalf of the VA.
Action Required: Contracting officers shall comply with the attached class deviation.
Additional Information: Direct any questions or comments to Procurement Policy and Warrant Management Service (003A2A) via email at va.procurement.policy@va.gov or via telephone at (202) 632-5288.
