(a) A contracting officer shall consider a contract award to a HUBZone small business concern on a sole-source basis (see 6.302-5(b)(5)) before considering a small business set-aside (see 19.203 and subpart 19.5), provided none of the exclusions at 19.1304 apply; and-

1. (1) The contracting officer does not have a reasonable expectation that offers would be received from two or more HUBZone small business concerns;

2. (2) The anticipated price of the contract, including options, will not exceed-

   1. (i) $7 million for a requirement within the North American Industry Classification System (NAICS) codes for manufacturing; or

   2. (ii) $4.5 million for a requirement within all other NAICS codes;

3. (3) The requirement is not currently being performed by an 8(a) participant under the provisions of subpart  19.8 or has been accepted as a requirement by SBA under subpart  19.8;

4. (4) The HUBZone small business concern has been determined to be a responsible contractor with respect to performance; and

5. (5) Award can be made at a fair and reasonable price.

(b) The SBA has the right to appeal the contracting officer’s decision not to make a HUBZone sole-source award (see 13 CFR 126.610).