SectionUpdated April 16, 2026

    FAR 6.208Set-asides for local firms during a major disaster or emergency.

    Plain-English Summary

    FAR 6.208 implements the special authority tied to 42 U.S.C. 5150 for disaster- and emergency-related local area set-asides. It explains when a contracting officer may restrict competition to firms that reside or primarily do business in the area affected by a Presidential declaration of a major disaster or emergency, and it points readers to FAR subpart 26.2 for the related procedures. The section also clarifies that this type of set-aside does not require a separate justification or determination and findings (D&F) under FAR part 6. In practice, the rule gives agencies a fast way to direct contract opportunities to local businesses to support response and recovery efforts, while still requiring the contracting officer to define the set-aside area within the declared disaster/emergency area and any additional areas identified by DHS.

    Key Rules

    Local set-aside authority

    Contracting officers may set aside solicitations so that only offerors residing or doing business primarily in the affected area may compete. This authority exists to satisfy the statutory requirements associated with 42 U.S.C. 5150.

    Applies to declared disasters

    The set-aside area must be within the area covered by a Presidential declaration of a major disaster or emergency. The rule is tied to the official disaster/emergency declaration, not to a general local preference.

    DHS may expand area

    The contracting officer may also include additional geographic areas identified by the Department of Homeland Security. This allows the set-aside area to reflect the broader practical impact of the disaster or emergency when DHS has identified additional affected locations.

    No separate D&F required

    A contracting officer does not need a separate justification or determination and findings under FAR part 6 to use this set-aside authority. The statute itself supplies the basis for the restriction when the conditions are met.

    Follow subpart 26.2

    The section directs users to FAR subpart 26.2 for the related set-aside procedures. In practice, the contracting officer must still apply the applicable disaster/emergency set-aside rules and documentation requirements found there.

    Responsibilities

    Contracting Officer

    Determine whether the acquisition falls within a Presidential major disaster or emergency declaration and whether the set-aside area is properly located within the declared area or any DHS-identified additional areas. If appropriate, set aside the solicitation for offerors residing or doing business primarily in that area and apply the procedures in FAR subpart 26.2.

    Department of Homeland Security

    Identify any additional geographic areas that may be included in the set-aside area beyond the core area covered by the Presidential declaration. These identifications help define the permissible geographic scope of the local set-aside.

    Offerors/Contractors

    Compete only if they meet the locality requirement—residing or doing business primarily in the designated set-aside area. Contractors should be prepared to show that they qualify as local firms under the applicable disaster/emergency set-aside rules.

    Agency

    Support contracting officers in applying the disaster/emergency set-aside authority consistently and ensure acquisition planning and file documentation reflect the statutory basis and the geographic limits of the set-aside.

    Practical Implications

    1

    This is a streamlined authority: if the disaster/emergency conditions are met, the contracting officer can use a local set-aside without preparing a separate FAR part 6 justification or D&F.

    2

    The biggest practical issue is defining the geographic area correctly. The set-aside must stay within the Presidential declaration area and any DHS-designated additions; going beyond that risks an improper restriction.

    3

    Contracting officers should verify that the solicitation language clearly states the locality requirement and aligns with the procedures in FAR subpart 26.2.

    4

    Contractors should not assume they qualify just because they are nearby; the rule focuses on firms residing or doing business primarily in the specified area.

    5

    Because this authority is tied to emergency response and recovery, it is often time-sensitive. Delays in confirming the declaration, the area, or the applicable procedures can undermine the purpose of the set-aside.

    Official Regulatory Text

    (a) To fulfill the statutory requirements relating to 42 U.S.C. 5150 , contracting officers may set aside solicitations to allow only offerors residing or doing business primarily in the area affected by such major disaster or emergency to compete (see subpart  26.2 ). (b) No separate justification or determination and findings is required under this part to set aside a contract action. The set-aside area specified by the contracting officer shall be a geographic area within the area identified in a Presidential declaration(s) of major disaster or emergency and any additional geographic areas identified by the Department of Homeland Security.