Last reviewed on May 12, 2026.
What STARS III is
8(a) STARS III is a multiple-award, government-wide acquisition contract (GWAC) reserved exclusively for SBA-certified 8(a) Business Development Program participants. Operated by GSA's Federal Acquisition Service, it provides federal agencies with a streamlined path to award IT services task orders to 8(a) firms. The "III" reflects the third iteration of the program; STARS II preceded it.
STARS III is one of the most consequential vehicles for 8(a) IT services firms. It combines the speed of GWAC task order procedures with the sole-source authority that makes 8(a) status valuable in the first place. For an 8(a) IT services firm, holding STARS III is often the single most important business development asset.
Why STARS III exists
The 8(a) program awards sole-source contracts up to a statutory ceiling without competition (or with limited competition above the ceiling). Agencies frequently want to use 8(a) sole-source authority but find the procurement administration cumbersome on a deal-by-deal basis. STARS III addresses this by pre-vetting a population of 8(a) IT services firms; ordering agencies issue directed or competitive task orders against the master contract instead of running a full source selection.
For the government, STARS III converts a sequence of independent 8(a) source selections into a single curated marketplace. For 8(a) firms, it provides predictable access to ordering agencies that might otherwise default to non-8(a) vehicles for IT work.
Scope and constellations
STARS III's scope covers a broad range of IT services. The program organizes the work into "constellations" or focus areas that highlight specific emerging technology categories alongside the broader IT services baseline. Categories generally include:
- Custom software development and integration
- Cloud services and migration
- Cybersecurity and information assurance
- Data management and analytics
- Artificial intelligence and machine learning
- IT infrastructure services
- IT operations and support
- Service desk and end-user support
Specific constellation labels and emerging-technology categories evolve over the contract's life. GSA periodically updates the scope and may adjust which technology areas receive emphasis.
Directed and competitive task orders
STARS III supports two task order award paths:
- Directed task orders. Up to a statutory ceiling, an ordering agency may issue a task order directly to a single 8(a) STARS III contract holder without competition. This is the standard 8(a) sole-source authority applied within the GWAC framework. The maximum value for directed orders is set by statute and updated periodically.
- Competitive task orders. Above the directed-award ceiling or by agency preference, task orders are competed among STARS III contract holders. Competitions follow FAR 16.505 fair opportunity procedures.
The directed-order path is where STARS III provides the most distinctive value compared to other IT GWACs. A contracting officer who wants to award to a specific 8(a) firm can do so without running a competition, with materially less procurement administration than a stand-alone 8(a) sole-source.
Eligibility
STARS III contract holders must be SBA-certified 8(a) participants at the time of the original award. The continuing requirement is:
- 8(a) certification must be maintained while the contractor is active on STARS III
- The firm must remain small under the relevant NAICS size standards
- Ownership and control requirements continue to apply
The 8(a) program runs for nine years from certification. When a firm graduates from 8(a), its ability to receive new task orders under STARS III is affected — though it may complete task orders already in progress. Firms approaching graduation should plan their STARS III pipeline accordingly.
How STARS III fits with other 8(a) work
STARS III is one of several paths for 8(a) firms to pursue federal work. The most common combinations:
- STARS III plus direct 8(a) sole-source. Many firms hold STARS III for streamlined access to ordering agencies and also pursue traditional stand-alone 8(a) sole-source contracts at agencies that prefer that path.
- STARS III plus GSA MAS. Schedule provides broader scope; STARS III provides 8(a)-only access. Most active 8(a) IT firms hold both.
- STARS III plus joint ventures. Under the SBA Mentor-Protégé Program, an 8(a) protégé can form a JV with a larger mentor; the JV may be eligible to compete for STARS III task orders depending on the specific task order rules.
- STARS III plus other small business GWACs. CIO-SP4 and OASIS+ both have 8(a) pools that overlap with STARS III's scope.
What holding STARS III requires operationally
- SAM registration current. See SAM.gov registration.
- 8(a) certification maintained. Recertification reporting, ownership compliance, and annual program reviews continue.
- Adequate accounting system. Cost-type and T&M task orders require DCAA-compliant accounting.
- Active business development. Holding the contract does not generate orders. Targeted capture against ordering agencies is necessary.
- Compliance overlays. Section 889, CMMC (for DoD task orders involving CUI), and CUI handling obligations all flow into individual orders.
Common mistakes
- Treating STARS III as a substitute for capture. The contract opens doors; it does not walk through them.
- Letting 8(a) graduation surprise the pipeline. Firms that don't track their remaining 8(a) program time end up unable to compete for STARS III orders late in the program.
- Bidding tasks outside the constellation strengths. Underqualified bids waste effort and damage the firm's reputation with NITAAC-equivalent ordering offices.
- Missing the JV interaction with mentor-protégé. A mentor-protégé JV can pursue some STARS III work but only when the JV agreement and SBA approval are in place before the task order proposal.
- Underestimating compliance flow-down. CMMC and 889 obligations apply to STARS III task orders the same way they apply to direct contracts.