FAR Subpart 19.14 (Service-Disabled Veteran-Owned Small Business Procurement Program)
FAR Subpart 19.14 is the Federal Acquisition Regulation section governing the Service-Disabled Veteran-Owned Small Business (SDVOSB) Procurement Program. It defines eligibility requirements, set-aside procedures, sole-source authorities, and joint venture rules for SDVOSB contracting under federal procurement. Established by Executive Order 13360 and statutory authority from the Veterans Benefits Act of 2003.
Also called: FAR 19.14, FAR Subpart 19.14 · Last updated: May 27, 2026 · By Joseph W. Anady
Why it matters.
FAR Subpart 19.14 is the operational rulebook for SDVOSB federal contracting. It defines who qualifies, how set-aside contracts must be procured, when sole-source awards are authorized, and how joint ventures between SDVOSB protégés and larger mentors can compete for set-asides. Understanding FAR 19.14 is essential for SDVOSB firms pursuing federal contracts and for contracting officers awarding to them.
How it works.
FAR 19.14 authorizes federal contracting officers to set aside contracts for SDVOSB competition when (a) the procurement is expected to exceed the Simplified Acquisition Threshold and (b) there is reasonable expectation of two or more SDVOSB offerors. Sole-source SDVOSB awards are authorized below $7 million for manufacturing or $4.5 million for other industries when only one SDVOSB can perform. The 'Rule of Two' is fundamental: if two SDVOSBs can compete, the contract should be set aside.
2026 reality check.
FAR Subpart 19.14 was last substantively updated in 2020 (codified VOSB program parity with SDVOSB program). 2024-2025 SBA rule changes consolidated SDVOSB certification under VetCert. Federal contracting officers have measurably increased SDVOSB set-aside use post-2024, with FY2025 SDVOSB awards reaching $28.6B (record high). Compliance is straightforward for properly-certified SDVOSBs.
Data points
- FAR Subpart 19.14 codifies SDVOSB Procurement Program
- Sole-source thresholds: $7M manufacturing, $4.5M non-manufacturing (2025)
- Rule of Two: two SDVOSB offerors = mandatory set-aside
- Last substantive update: 2020 (VOSB-SDVOSB parity)
- FY2025 federal SDVOSB awards: $28.6B (record high)
First-hand insight from ThatDeveloperGuy.
ThatDeveloperGuy operates under FAR Subpart 19.14 as an SDVOSB-eligible contractor. We track FAR 19.14 set-asides via SAM.gov daily searches (filter: set-aside type = SDVOSB, NAICS = 541511). Joint venture partnerships with mentor firms (SBA Mentor-Protégé Program) extend our eligibility to larger SDVOSB set-aside opportunities under FAR 19.14 + 13 CFR 128.
How TDG approaches it
TDG tracks FAR 19.14 set-aside opportunities daily via SAM.gov. We respond to Sources Sought notices early (15-30 day windows) to influence whether contracts get set aside. JV relationships with SBA-approved mentors enable bidding on larger FAR 19.14 set-asides. All proposal responses cite FAR 19.14 eligibility and reference our SAM.gov UEI FFG3A4SK9HY6.
Common mistakes.
- Confusing FAR 19.14 (SDVOSB program) with FAR 19.15 (WOSB program) or FAR 19.8 (8(a) program)
- Not understanding the Rule of Two (two SDVOSB bidders = mandatory set-aside)
- Joint venture missing required SBA-approved Mentor-Protégé agreement
- Bidding sole-source above the $4.5M/$7M thresholds (must compete above thresholds)
- Failing to maintain SDVOSB certification through contract performance period
FAQ.
What's the SDVOSB sole-source threshold under FAR 19.14?
$7 million for manufacturing NAICS, $4.5 million for non-manufacturing (most IT/services), as of 2025. Above these thresholds, SDVOSB set-asides must be competitively procured.
What's the 'Rule of Two'?
FAR 19.14 requires contracting officers to set aside contracts for SDVOSB competition when there is reasonable expectation of two or more SDVOSB offerors at fair market price. The Rule of Two is fundamental to SDVOSB set-aside enforcement.
Can SDVOSB JV with non-SDVOSB?
Yes, under SBA Mentor-Protégé Program (13 CFR 128). The SDVOSB protégé must perform >=40% of the JV's work. The mentor can be any size including large primes.
How is FAR 19.14 different from VA VAAR Part 819?
FAR 19.14 governs SDVOSB set-asides for non-VA federal agencies. VA VAAR Part 819 governs SDVOSB set-asides specifically for the Department of Veterans Affairs (where SDVOSB rules are even stronger — SDVOSB-first preference).
Does FAR 19.14 apply to subcontracts?
Primes on federal contracts often have SDVOSB participation goals defined in their contract. Subcontracts to SDVOSB firms count toward those goals.
Maintained by Joseph W. Anady at ThatDeveloperGuy. Back to glossary · Suggest a term