Scope Definitions Size Standards Policies Determinations Types of set asides Certificates of Competency Subcontracting Opportunities Programs FAR Part 19 implements: Acquisition related sections of Small Business Act (15 USC 631) Applicable sections of Armed Services Procurement Act (10 USC 2302) Federal Property and Administrative Services Act (41 USC 252) Section 7102 of the Federal Acquisition Streamlining Act of 1994 (Public Law ) 10 USC 2323 Contract goal for small disadvantaged businesses and certain institutions of higher education Executive Order 1238 (18 May 1979) Concern means any business entity organized for profit with a place of business located in US or outlying areas that makes a significant contribution to US Economy Fair Market Price price based on reasonable costs under normal competitive conditions not lowest possible price Industry means all concerns primarily engaged in similar lines of activity as listed/described in North American Industry Classification System (NAICS) manual Nonmanufacturer rule means that a contractor under a small business set-aside or 8(a) contract shall be a small business under the applicable size standard and shall provide either its own product or that of another domestic small business manufacturing or processing concern SBA establishes small business size standards on an industry-by-industry basis Based on $$ or number of employees Matched to NAICS code Published by SBA Are applied by: Classifying product/service being acquired Identifying size standard SBA established Specifying the size standard in solicitation so Offerors can appropriately represent themselves as large or small FAR states It is the policy of the Government to provide maximum practicable opportunities in its acquisitions to small businesses, veteran-owned businesses, service-disabled veteran-owned businesses, HUBZone small businesses, small disadvantaged businesses, and women-owned small business concerns. FAR Contractors may self certify & CO shall accept unless: Another offeror or interested party challenges CO has reason to question the representation If either occurs it will go to SBA for evaluation Total Small Business Set Aside Partial Set Aside Multiple-Award Contracts and Small Business Set Asides SAT: Acquisitions are AUTOMATICALLY set-aside for small business concerns unless CO determines there is no reasonable expectation of obtaining competitive offers from 2 or more small businesses > SAT: Acquisitions shall be set-aside for small businesses when CO determines there is a reasonable expectation that offers will be obtained from at least 2 responsible small business concerns and award will be made at fair market prices Certificate of Competency (COC) is the certificate issued by SBA stating that the holder (SB) is responsible for the purpose of receiving and performing a specific Government contract COC program is applicable to all Government acquisitions CO shall, upon determining an apparent successful small business offeror to be nonresponsible, refer that small business to the SBA for a possible COC, even if the next acceptable offer is also from a small business CO will: Withhold contract award Refer to SBA SBA (within 15 days or longer agreed upon) receipt of notice Inform the SB and offer them a chance to apply for a COC Deny issuance of a COC and notify PCO Indicate decision to issue a COC and notify PCO PCO may appeal issuance of the COC if action is greater than $100K Final decision is made by SBA/HQ CO will issue contract depending on outcome of COC In solicitations of offers to perform a contract or contract modification, that individually is expected to exceed $650K ($1.5 M for construction) and that has subcontracting possibilities, shall require the apparently successful offeror to submit an acceptable subcontracting plan. In sealed bidding acquisitions, iff the selected bidder fails to submit a plan within the time limit prescribed by the contracting officer, the bidder will be ineligible for award. Subcontracting plans are not required -- From small business concerns For personal services contracts For contracts or contract modifications that will be performed entirely outside of the United States and its outlying areas For modifications to contracts within the general scope of the contract that do not contain the clause at No subcontracting opportunities exist; CO determination is approved one level above CO 15 U.S.C. 637(d)(8), any contractor or subcontractor failing to comply in good faith with the requirements of the subcontracting plan is in material breach of its contract. 15 U.S.C. 637(d)(4)(f) directs that a contractors failure to make a good faith effort to comply with the requirements of the subcontracting plan shall result in the imposition of liquidated damages. 15 U.S.C. 637(d)(11), certain costs incurred by a mentor firm in providing developmental assistance to a protg firm under the Department of Defense Pilot Mentor-Protg Program agreement must have been approved by the Director, Small Business Programs of the cognizant DoD military department or defense agency, before developmental assistance costs may be credited against subcontract goals Any concern that is at or under size standard for products or services as established by SBA At least 51% owned and controlled by veteran(s) Self-certifying At least 51% owned and controlled by service- disabled veteran(s). Can receive sole-source contracts, up to a ceiling, including options of $6M for manufacturing and $3.5M for any other NAICS code Self-certifying Established to promote job growth, capital investment, and economic development to historically underutilized business zones Provides contracting assistance to small businesses located in these economically distressed communities. Stimulates economic development and creates jobs in urban and rural communities by providing Federal contracting preferences to small businesses; preferences go to small businesses that obtain HUBZone certification in part by employing staff who live within the zone and maintain a "principal office" in one of these specially designated areas. Can receive sole-source contracts, up to a ceiling, including options, of $6.5M for manufacturing and $4M for any other NAICS code. The SBA regulates and implements the program, determines which businesses are eligible to receive HUBZone contracts, maintains a listing of qualified HUBZone small businesses federal agencies can use to locate vendors, and adjudicates protests of eligibility to receive HUBZone contracts At least 51% owned and controlled by a socially and economically disadvantaged individual or individuals. African Americans, Hispanic Americans, Asian Pacific Islander American, Subcontinent Asian Americans, and Native Americans are presumed to qualify. Self-certifying At least 51% owned and controlled by woman(en). Acquisitions may be set-aside for WOSB/EDWOSBs at any dollar value within the appropriate NAICS code No sole source Authority for this program Self-certifying SBA Administered business assistance program for small disadvantaged businesses Is a development Program Offers a broad scope of assistance to firms that are at least 51% owned and controlled by a socially and economically disadvantaged individuals SBA Certifying Participants can receive sole-source contracts, up to a ceiling, including options, of $4 million for goods and services and $6.5 million for manufacturing. While SBA helps 8(a) firms build their competitive and institutional know-how, the agency also encourages them to participate in competitive acquisitions. Are permitted to form joint ventures and teams to bid on contracts. This enhances the ability of 8(a) firms to perform larger prime contracts and overcome the effects of contract bundling. Businesses must meet specific criteria to receive certification by the SBA.