Sole-source Advantages

As an NHO-owned 8(a) firm,
Kekolu Contracting may receive sole-source contracts
of up to $100 million each.

Kekolu offers contracting offices and their customers immediate, effective and valuable solutions through the authorized use of sole-source contracts up to $100 million each. These valuable solutions include reliable access to our exceptional construction services, budget-controlled pricing, refreshingly rapid scheduling, and prompt completion dates.

Contracting officers no longer need to issue a justification or obtain approval for sole-source contracts under the SBA’s 8(a) program for awards of up to $100 million for NHO-owned 8(a) firms like Kekolu. In addition, direct awards are not protestable, further helping to keep vital projects on schedule.

The Authorization

The Office of the Under Secretary of Defense authorized the increase by its “Class deviation—Justification and Approval Threshold for 8(a) Contracts,” issued March 17, 2020. This change only affects 8(a) companies, like Kekolu, that are owned by NHOs.
This means that for NHO-owned 8(a) companies, DoD contracting officers must use the $100 million threshold instead of the $22 million threshold currently in a number of rules in the Federal Acquisition Regulation (FAR). FAR 6.302-5(b)(4), 6.303-1(b), and 19.808-1(a) will now allow direct award (sole-source) contracts up to $100 million with fewer agency requirements.
See the memo here.

What it means

  • A quicker, more streamlined process for the procurement of larger sole-source contracts (3–4 weeks rather than 12–18 months)
  • Fast, flexible, agile and customizable contracting solutions
  • Open, collaborative negotiations for more tailored, budget-wise performance

For more information, contact us at or at (301) 934-3639