Effective Oct. 1, participants in the U.S. Small Business Administration’s 8(a) Business Development Program will once again be required to have an actual, physical office within the geographic area in which they are bidding on federal construction contracts. The temporary COVID-era suspension of this rule ends Sept. 30.

“This requirement existed pre-covid and reinstatement of this rule brings business operations back to where the projects are happening, as intended,” said Acting District Director Aregnaz Mooradian, SBA North Carolina District Office. “The local North Carolina SBA team stands ready to support 8(a) firms in establishing their bona fide offices to stay compliant. Latest data shows that over $234 million in 8(a) contracts, including construction, were awarded to North Carolina based 8(a) firms in fiscal year 2023. This has a significant impact on the local economy, and we support those construction firms to continue bidding and receiving 8(a) construction contracts while participating in the program.”

There are 17 8(a) construction firms headquartered in North Carolina, including two in Cumberland County, one in Harnett County and three in Robeson County.

Under the applicable rule, 8(a) construction contractors must have a legitimate office that is within their project’s geographical boundary, have at least one full-time employee physically present and ensure that their bona fide place of business is not a portable trailer, temporary unit or virtual address.

Firms participating in the 8(a) program can email questions to their local servicing district office or visit 8(a) Business Development Program.