Summary

Creates a mandatory "Rule of Two" in the Small Business Act requiring that any federal contract, task order, or delivery order for goods or services with an anticipated value above the simplified acquisition threshold must be reserved for small businesses when the contracting officer reasonably expects offers from two or more responsible small businesses and can award at a fair market price. One section sets the short title; the operative change amends procurement law to make small-business reservation automatic under those conditions.

• Codifies a mandatory "Rule of Two" in the Small Business Act for procurements above the simplified acquisition threshold.
• Requires reservation for small businesses when a contracting officer reasonably expects two or more responsible small business offers and a fair market price can be obtained.
• Applies to contracts, task orders, and delivery orders for goods and services exceeding the simplified acquisition threshold.
• Makes small-business reservation mandatory under the stated conditions, converting a discretionary tool into a required step.
• Does not allocate new funds or set implementation timelines; it is a statutory procurement rule change.
• Increases emphasis on the contracting officer's judgement about small-business market capacity and price reasonableness.
• May require agency guidance, training, and process updates to document and apply the new reservation rule consistently.
• Could shift awards toward small businesses and reduce opportunities for larger contractors on affected procurements.
• Potential for legal or administrative disputes over what constitutes a "reasonable expectation" and a "fair market price."