FAR 19.1504—Exclusions.
Plain-English Summary
FAR 19.1504 explains when the rules in this subpart do not apply. It covers four exclusion categories: requirements currently being performed by an 8(a) contractor or already accepted by SBA for the 8(a) program unless SBA releases them; requirements that must be satisfied through mandatory Government sources under FAR 8.002; orders placed under indefinite-delivery contracts under FAR subpart 16.5; and orders placed against Federal Supply Schedules under FAR subpart 8.4. The section exists to prevent overlap between this subpart and other acquisition authorities, and to preserve the priority of existing statutory or regulatory sourcing mechanisms. In practice, it tells contracting officers and contractors that this subpart is not a universal rule for all acquisitions, especially where the 8(a) program, mandatory sources, task or delivery orders, or schedule orders are already governed elsewhere. The cross-references to FAR 16.505 and 8.405-5 are important because they preserve limited discretion to set aside certain orders even though the general subpart does not apply.
Key Rules
8(a) work is excluded
This subpart does not apply to requirements currently being performed by an 8(a) contractor or already accepted by SBA under the 8(a) program. The only exception is when SBA consents to release the requirement from the 8(a) program.
Mandatory sources take priority
Requirements that can be met through mandatory Government sources are excluded from this subpart. Contracting officers must follow FAR 8.002 and use the required source instead of applying this subpart.
Indefinite-delivery orders are excluded
Orders placed under indefinite-delivery contracts are outside the scope of this subpart. However, FAR 16.505(b)(2)(i)(F) allows discretionary set-asides of orders in certain circumstances, so the exclusion is not an absolute bar to small business targeting at the order level.
Federal Supply Schedule orders are excluded
Orders against Federal Supply Schedules are also outside the scope of this subpart. Even so, FAR 8.405-5 permits discretionary set-asides of schedule orders, which means agencies may still reserve some orders for small business when appropriate.
SBA release is required for 8(a) removal
If a requirement is already in the 8(a) program, it cannot be treated as outside the program unless SBA agrees to release it. This protects SBA’s control over accepted 8(a) work and prevents unilateral agency removal.
Responsibilities
Contracting Officer
Determine whether the requirement falls into one of the excluded categories before applying this subpart. Follow the governing rules for 8(a) requirements, mandatory sources, indefinite-delivery orders, and schedule orders, and use the cited discretionary set-aside authorities only when permitted.
SBA
Control release of requirements already accepted into the 8(a) program and decide whether to consent to removal from the program. SBA’s consent is required before an accepted 8(a) requirement can be treated as released.
Agency
Use mandatory Government sources when applicable and ensure acquisition planning does not improperly apply this subpart to excluded procurements. Agencies must also recognize the separate authorities that govern task orders, delivery orders, and schedule orders.
8(a) Contractor
Continue performance of accepted 8(a) requirements unless and until SBA releases the requirement. The contractor should understand that accepted work remains protected from this subpart unless SBA consents otherwise.
Ordering Activity
For orders under indefinite-delivery contracts or Federal Supply Schedules, apply the specific ordering rules in FAR subparts 16.5 and 8.4 rather than this subpart, while considering whether discretionary set-asides are available.
Practical Implications
This section is mainly a scope-and-priority rule: before using this subpart, the contracting officer must confirm the acquisition is not already governed by the 8(a) program, mandatory sources, or ordering procedures under FAR 16.5 or 8.4.
A common pitfall is trying to move an accepted 8(a) requirement out of the program without SBA consent; that is not allowed unless SBA releases the requirement.
Another frequent mistake is assuming that because this subpart does not apply to task orders or schedule orders, small business set-asides are never possible there. The cited FAR provisions still allow discretionary set-asides in some cases.
Contracting officers should document the basis for exclusion early in acquisition planning so the file shows why this subpart was not used and which other FAR authority controlled the action.
For contractors, the practical effect is that eligibility and competition rules may change depending on whether the action is a stand-alone requirement, an 8(a) action, a mandatory-source purchase, or an order under an existing contract or schedule.
Official Regulatory Text
This subpart does not apply to- (a) Requirements that an 8(a) contractor is currently performing under the 8(a) program or that SBA has accepted for performance under the authority of the 8(a) program, unless SBA has consented to release the requirements from the 8(a) program; (b) Requirements that can be satisfied through award to mandatory Government sources (see section 8.002 ); (c) Orders under indefinite-delivery contracts (see subpart 16.5 ). (But see 16.505 (b)(2)(i)(F) for discretionary set-asides of orders); or (d) Orders against Federal Supply Schedules (see subpart 8.4 ). (But see 8.405-5 for discretionary set-asides of orders.)