8(a) Contractors: To Suspend or Not Suspend In Light of COVID-19

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If you are an 8(a) contractor, you may have received a notification from your Business Opportunity Specialist regarding a voluntary suspension due to the March 13, 2020 declaration of a national emergency concerning the COVID-19 outbreak. Covered below are considerations for 8(a) government contractors before they decide to suspend or not to suspend their participation in the 8(a) program.

SBA regulations provide a process by which 8(a) contractors may voluntarily elect to suspend their participation in the 8(a) program for a period of up to one year from the date of the disaster declaration to allow 8(a) contractors to recover from the disaster and take full advantage of the program.[1] Then, once the suspension is over, either due to the passing of one year or the election to lift the suspension, the length of the suspension is added to the participant’s program term.

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