Federal HB2804 aims to codify the Rule of Two in the Small Business Act.
Federal HB2804, the Protecting Small Business Competitions Act of 2025, seeks to amend the Small Business Act by adding a new paragraph under Section 15(j). This amendment introduces the Rule of Two, which reserves contracts, task orders, or delivery orders valued above the simplified acquisition threshold for small business concerns. This reservation applies when the contracting officer expects to receive offers from two or more responsible small business concerns and to award the contract at a fair market price.
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