Question 1

What is 8(a)?

Accepted Answer

Restricted to firms in the SBA 8(a) Business Development Program. The 8(a) program helps small, disadvantaged businesses compete for federal contracts. Participants get access to sole-source contracts (up to $4.5M for services, $7M for manufacturing), mentorship, and management assistance. The program lasts 9 years. You must apply through the SBA and meet social/economic disadvantage criteria.

Question 2

What is Amended?

Accepted Answer

The solicitation has been modified since it was originally posted. One or more amendments have been issued. Check the amendments section to understand what changed — it could be a deadline extension, changed requirements, answers to questions, or corrected specifications. You must acknowledge amendments in your proposal.

Question 3

What is Amendments?

Accepted Answer

Official changes or additions to the original solicitation. Amendments modify the solicitation after it is published — they can change requirements, deadlines, specifications, or answer contractor questions. ALWAYS check for amendments before submitting your bid. You typically must acknowledge all amendments in your proposal or your bid may be rejected as non-responsive.

Question 4

What is Award Notice?

Accepted Answer

Announces that a contract has been awarded. The opportunity has closed and a winner has been selected. Award notices are useful for competitive intelligence — you can see who won, at what price, and for what scope. This helps you price future bids and identify teaming partners or subcontracting opportunities.

Question 5

What is Best Value?

Accepted Answer

Award based on the best combination of price and non-price factors. In a best value evaluation, the government considers technical approach, past performance, management plan, and other factors in addition to price. The lowest price does not automatically win. The solicitation states the evaluation factors and their relative importance. Your proposal should emphasize strengths in the highest-weighted factors.

Question 6

What is Bid Bond?

Accepted Answer

A guarantee that you will honor your bid price if you win. A bid bond (typically 20% of the bid price) ensures that if your bid is accepted, you will enter into the contract at the bid price and provide the required performance and payment bonds. If you withdraw your bid after opening, the bond amount may be forfeited. Required on most federal construction contracts over $35,000.

Question 7

What is Bonding Required?

Accepted Answer

A surety bond guarantees you will complete the work. Federal construction contracts over $35,000 typically require surety bonds. There are three types: a Bid Bond (guarantees you will honor your bid price), a Performance Bond (guarantees you will complete the work), and a Payment Bond (guarantees you will pay your subcontractors and suppliers). Bond costs are typically 1-3% of the contract value. The SBA Surety Bond Guarantee Program can help small businesses that cannot get bonding on their own. Need help? Get a quote at suretybondsandconstruction.com.

Question 8

What is BPA?

Accepted Answer

Blanket Purchase Agreement — a simplified ordering method. A BPA is a simplified method for filling anticipated repetitive needs for supplies or services. Think of it like a pre-approved account with set terms. The government can place orders quickly without going through the full procurement process each time. BPAs are common for supplies, IT equipment, and recurring services.

Question 9

What is Buy American Act?

Accepted Answer

Requires domestic materials on federal contracts. The Buy American Act (1933) requires that the federal government prefer domestic products and construction materials. For construction, this means substantially all articles, materials, and supplies must be produced in the United States. There are exceptions for items not available domestically or when the domestic cost is unreasonable (typically >20-25% more).

Question 10

What is CAGE Code?

Accepted Answer

Commercial and Government Entity Code identifying your business. A 5-character alphanumeric code assigned by the Defense Logistics Agency (DLA). You receive a CAGE code automatically when you register in SAM.gov. It is used by the Department of Defense and NATO to identify contractor facilities. International businesses receive an NCAGE code instead.

Question 11

What is Cancelled?

Accepted Answer

This solicitation has been withdrawn by the agency. The agency has decided not to proceed with this procurement. This can happen for many reasons — budget changes, requirement changes, or lack of qualified responses. No bids will be accepted. Watch for a re-solicitation if the need still exists.

Question 12

What is Capability Statement?

Accepted Answer

A one-page summary of your business's qualifications. A capability statement is your company's resume for federal contracting. It should fit on one page and include: your core competencies, past performance highlights, differentiators, company data (DUNS/UEI, CAGE, NAICS codes, certifications), and contact information. Bring them to industry days, small business events, and when meeting with contracting officers.

Question 13

What is Closing Soon?

Accepted Answer

The deadline to submit bids is within the next 7 days. Time is running out. If you have not already started preparing your bid, it may be too late for this opportunity. If you are already working on your proposal, prioritize completing it and submit early to avoid last-minute technical issues.

Question 14

What is Combined Synopsis/Solicitation?

Accepted Answer

A combined announcement and request for bids in a single notice. Instead of posting a separate announcement and solicitation, the agency combines them into one notice. This is common for simpler acquisitions. The full solicitation details and submission instructions are included in this single posting. Deadlines tend to be shorter.

Question 15

What is Contracting Officer?

Accepted Answer

The government official authorized to award and manage this contract. The Contracting Officer (CO) is the only person who can legally bind the government to a contract. Direct all questions about the solicitation to this person. They make decisions about contract modifications, disputes, and payments. Be professional and responsive in all communications with the CO.

Question 16

What is COR?

Accepted Answer

Contracting Officer's Representative — your daily point of contact. The COR is designated by the Contracting Officer to monitor and manage the technical aspects of a contract. They are your primary point of contact for day-to-day performance issues, inspections, and deliverable reviews. The COR cannot modify the contract or obligate funds — only the CO can do that.

Question 17

What is Cost-Reimbursable?

Accepted Answer

The government pays your allowable costs plus a fee. The government reimburses your actual costs incurred in performing the work, plus a negotiated fee (profit). Used for research, development, or other work where costs are difficult to estimate. Requires an adequate accounting system approved by the government. Less common for small businesses.

Question 18

What is CPARS?

Accepted Answer

Contractor Performance Assessment Reporting System. CPARS is the government's official system for evaluating contractor performance. After contract completion (or annually on multi-year contracts), the government rates your performance in areas like quality, schedule, management, and cost control. Ratings range from Exceptional to Unsatisfactory. Good CPARS ratings are essential for winning future contracts. You can review and respond to your evaluations.

Question 19

What is Davis-Bacon Act?

Accepted Answer

Federal law requiring prevailing wages on construction contracts. The Davis-Bacon Act (1931) requires that workers on federal construction contracts over $2,000 be paid no less than the locally prevailing wage and fringe benefits. Wage rates are set by the Department of Labor for each geographic area and type of construction. You must post the wage determination at the job site and submit certified payroll records weekly.

Question 20

What is DFARS?

Accepted Answer

Defense Federal Acquisition Regulation Supplement. DFARS supplements the FAR with additional rules specific to Department of Defense (DoD) contracts. Key requirements include cybersecurity (CMMC/NIST 800-171), specialty metals, and Buy American provisions. If you work with DoD, you must comply with both FAR and DFARS.

Question 21

What is Documents?

Accepted Answer

The solicitation package with full requirements and instructions. These documents contain everything you need to prepare your bid: the Statement of Work (SOW), specifications, evaluation criteria, required forms (like SF-1442 for construction), and submission instructions. Read every page carefully — missing a single requirement can disqualify your bid.

Question 22

What is Estimated Value?

Accepted Answer

The government's estimated dollar value for this contract. This is the agency's estimate, not a guaranteed amount. It helps you assess whether the contract is the right size for your business. Key thresholds: under $10K is a micro-purchase (simplified buying), $10K-$250K is simplified acquisition (less paperwork), and over $250K follows full FAR procedures. Contracts above $35K typically require bonding for construction work.

Question 23

What is FAR?

Accepted Answer

Federal Acquisition Regulation — the rules for government buying. The FAR is the primary set of rules governing federal procurement. It covers everything from how contracts are advertised to how they are awarded and managed. Understanding FAR basics is essential for federal contractors. Key sections: FAR Part 12 (commercial items), Part 13 (simplified acquisition), Part 15 (negotiated procurement), Part 19 (small business programs).

Question 24

What is Firm-Fixed-Price (FFP)?

Accepted Answer

A contract where the price is set and does not change. The most common federal contract type. You agree to deliver the work for a specific price, regardless of your actual costs. If you finish under budget, you keep the difference. If costs overrun, you absorb the loss. FFP contracts put the risk on the contractor, so accurate estimating is critical.

Question 25

What is GSA Schedule?

Accepted Answer

Pre-negotiated government-wide contracts managed by GSA. GSA Multiple Award Schedules (MAS) are long-term contracts with pre-negotiated prices, terms, and conditions. Getting on the GSA Schedule means agencies can buy from you quickly without a full competitive process. It is a significant undertaking to get listed (6-12 months), but provides ongoing access to federal buyers.

Federal Contracting Glossary

8

8(a)

A

Amended

Amendments

Award Notice

B

Best Value

Bid Bond

Bonding Required

BPA

Buy American Act

C

CAGE Code

Cancelled

Capability Statement

Closing Soon

Combined Synopsis/Solicitation

Contracting Officer

COR

Cost-Reimbursable

CPARS

D

Davis-Bacon Act

DFARS

Documents

E

Estimated Value

F

FAR

Firm-Fixed-Price (FFP)

G

GSA Schedule

H

HUBZone

I

IDIQ (Indefinite Delivery/Indefinite Quantity)

IFB

Intent to Bundle Requirements

J

Justification

L

Lowest Price Technically Acceptable (LPTA)

M

Micro-Purchase Threshold

N

NAICS Code

Notice Type

O

Open

P

Past Performance

Payment Bond

Performance Bond

Pre-solicitation

Prevailing Wage

Prime Contractor

PSC

R

Response Deadline

RFP

RFQ

S

Sale of Surplus Property

SAM.gov

SBA

SDVOSB

Set-Aside Type

Simplified Acquisition Threshold

Site Visit

Small Business

Small Business Specialist

Sole Source

Solicitation

Solicitation Number

Sources Sought

Special Notice

Subcontractor

T