The 8(a) Program provides small businesses owned and operated by socially and economically disadvantaged entities, including Alaska Native Corporations, with opportunities to contract with the U.S. government.

 

Overseen by the Small Business Administration, the primary goal of the 8(a) Program is to help these disadvantaged entities gain access to government contracts to foster growth, competitiveness, and economic development. Government agencies are required to allocate a certain percentage of their contracts to 8(a)-certified firms to promote a level playing field for disadvantaged entities and encourage their participation in federal contracting.

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Alaska Native Corporations enjoy very special preferences in federal contracting that enable them to team with larger corporations to the mutual advantage of each. These special preferences stem from section 8(a) of the Small Business Act with several unique variations available only to Alaska Native Corporations. Among these variations is a rule that allows Alaska Native companies to receive “sole source” procurements in excess of the amounts other 8(a) companies can receive.

 

These sole source bid awards are generally not protestable. The clients of Sorensen & Edwards have received substantial federal contracting awards as a result of these special rules and the profits from these contracts have allowed our Alaska Native clients to provide increased benefits to their shareholders directly through financial distributions and through investments in long-term “Settlement Trusts” as authorized under ANCSA.