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NHO Procurement Advantage

Lighting the way to a rapid procurement advantage

Our Procurement Advantage, tied to our NHO status, offers the best value for the Government.


The Alaka`ina Foundation Family of Companies (FOCs) are positioned to support any acquisition strategy: as a Prime Offeror through Full and Open or 8(a) competitions released through Fed Biz Opps, through 8(a) Directed Sole Source awards, and Sole Source contracting. Our NHO status enables us to receive service contract awards on sole source basis above standard 8(a) competitive thresholds. With our procurement advantage, the FOCs can respond to any customer requirements—delivering exactly what is needed, when it’s needed. The FOCs capitalizes on our ability to source, select, secure, and retain skilled & qualified personnel to ensure high-quality and continuous support.

NHO Procurement Advantage

  • Multiple contract vehicles

  • Solutions to meet 8(a) and Small Business goals; 13CFR124.110(c)

  • Faster procurement via Alpha contracting, which enables contracting officers to work jointly with us prior to solicitation, reducing procurement time and streamlining the contract process

  • 8(a) Sole source awards that cannot be protested; 13 CFR 124.517(a)

  • No contract ceilings for our 8(a) companies as we are exempt from competitive thresholds; 13CFR124.506(b)(2)

  • 5% of subcontract award bonus incentive for Prime contractors who subcontract with us; DFARS 252.226-7001

Native Hawaiian Organization

According to U.S. Small Business Administration (SBA) regulations, a Native Hawaiian Organization (NHO) is a non-profit organization that is managed by Native Hawaiians and principally serves the Native Hawaiian community (See 13 CFR 124.3). Since the term NHO applies in the context of the SBA 8(a) program, NHOs must also have a majority ownership of a for-profit, small business that has been approved to participate in the 8(a) Business Development program.


NHOs each have a unique mission, but their sole purpose is to serve the Native Hawaiian community. Profits generated by the NHO-Owned 8(a) firms, are dispersed to their parent NHO, which then engages in activities to meet the needs of the Native Hawaiian community. NHO missions range across social and community objectives including: youth programs, access to legal defense, leadership development, innovative youth education, specialized job training, health, financial literacy, business development, cultural engagement, community development, and other community needs.”  (source: NHO Association)


Native Hawaiian Organizations (NHOs) are defined by the Small Business Act (PL 85-536) Section 8(a) (15); (15.U.S.C.637(a)(15); and DFARS 219.805-1 as an organization that meets the following criteria:


  • Majority Ownership through Non-Profit Corporation

  • Board of Directors Controlled by Native Hawaiians

  • Foundation Charter to Principally Benefit Native Hawaiians


NHOs in the U.S. Small Business Administration 8(a) Business Development Program

Small businesses owned by NHOs are authorized to participate in the SBA 8(a) program in order to drive development within the Native Hawaiian Community through profits generated by these businesses.


The 8(a) Business Development Program was named for section 8(a) of the U.S. Small Business Act, which established a Business Development Program to assist small disadvantaged businesses to compete in the market place. One of the benefits of the program is participants in good standing can receive sole source contracts, sometimes referred to as direct award contracts.  These sole source awards are a very flexible contract mechanism that provides many benefits to Contracting Officers such as:


  • No dollar ceiling on NHO-owned 8(a) set asides for the Department of Defense. 13 CFR 124.506 (b): NHO-owned 8(a) companies are eligible for direct award set-aside contracts regardless of dollar amount, resulting in savings to the Government and the taxpayer through reduced procurement costs and bidding processes. NHO-owned 8(a) organizations are exempt from competitive threshold limitations in accordance with existing law and 13 CFR 124.506 (b).

  • Awards cannot be protested: CFR 124.517 (a).

  • Alpha contracting process used in direct award negotiations: Per DFARS 219.808-1, NHO 8(a) firms are eligible to receive sole source awards up to $100M with no justification required.​ 

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