# § 3203. Exclusion of particular source or restriction of solicitation to small business concerns
**(a)** **Exclusion of Particular Source.—**
**(1)** **Criteria for exclusion.—** The head of an agency may provide for the procurement of property or services covered by chapter 137 legacy provisions using competitive procedures but excluding a particular source in order to establish or maintain an alternative source or sources of supply for that property or service if the head of the agency determines that to do so—
**(A)** would increase or maintain competition and would likely result in reduced overall costs for such procurement, or for any anticipated procurement, of property or services;
**(B)** would be in the interest of national defense in having a facility (or a producer, manufacturer, or other supplier) available for furnishing the property or service in case of a national emergency or industrial mobilization;
**(C)** would be in the interest of national defense in establishing or maintaining an essential engineering, research, or development capability to be provided by an educational or other nonprofit institution or a federally funded research and development center;
**(D)** would ensure the continuous availability of a reliable source of supply of such property or service;
**(E)** would satisfy projected needs for such property or service determined on the basis of a history of high demand for the property or service; or
**(F)** in the case of medical supplies, safety supplies, or emergency supplies, would satisfy a critical need for such supplies.
**(2)** **Determination for Class Disallowed.—** A determination under paragraph (1) may not be made for a class of purchases or contracts.
**(b)** **Exclusion of Other Than Small Business Concerns.—** The head of an agency may provide for the procurement of property or services covered by chapter 137 legacy provisions using competitive procedures, but excluding concerns other than small business concerns in furtherance of sections 9 and 15 of the Small Business Act (15 U.S.C. 638, 644).
**(c)** **Inapplicability of Justification and Approval Requirements.—** A contract awarded pursuant to the competitive procedures referred to in subsections (a)(1) and (b) shall not be subject to the justification and approval required by section 3204(e)(1) of this title.
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**Source Credit**: (Added and amended Pub. L. 116–283, div. A, title XVIII, § 1811(d)(1), (2), Jan. 1, 2021, 134 Stat. 4166; Pub. L. 117–81, div. A, title XVII, § 1701(d)(3), Dec. 27, 2021, 135 Stat. 2136.)
## Editorial Notes
### Codification
The text of subsec. (b) of , which was transferred to this section and amended by , was based on , , ; , , ; , , ; , 853(d), , ; , , ; , , ; , , .
### Prior Provisions
A prior section 3203, , ; , , , prescribed authorized strength of Regular Army in members on active duty, exclusive of officers candidates, prior to repeal by , title VII, § 701, , , 2955, effective .
### Amendments
2021—Subsec. (a). , redesignated subsec. (b) of as subsec. (a) of this section and inserted heading.
Subsec. (a)(1). –(C), inserted heading, substituted “covered by chapter 137 legacy provisions” for “covered by this chapter” in introductory provisions, and realigned margins of subpars. (A) to (F).
Subsec. (a)(2). , redesignated par. (4) as (2), inserted heading, and realigned margin. Former pars. (2) and (3) redesignated subsecs. (b) and (c), respectively.
Subsec. (b). , redesignated subsec. (a)(2) as (b), inserted heading, and substituted “chapter 137 legacy provisions” for “this section”.
Subsec. (c). substituted “subsections (a)(1) and (b)” for “paragraphs (1) and (2)”.
, redesignated subsec. (a)(3) as (c), inserted heading, and substituted “” for “subsection (f)(1)”.
## Statutory Notes and Related Subsidiaries
### Effective Date of 2021 Amendment
Amendment by to take effect immediately after the amendments made by title XVIII of have taken effect, see , set out in a note preceding and Effective Date note below.
### Effective Date
Section and amendment by effective , with additional provisions for delayed implementation and applicability of existing law, see , set out as an Effective Date of 2021 Amendment note preceding .