About this file

This is a Limitation of Subcontracting Certification Form (Exhibit B) that bidders/offerors must complete and submit with their proposals to demonstrate compliance with 13 C.F.R. 125.6(a)(3). Contractors must certify either that no subcontractors are anticipated or that the prime contractor and similarly situated subcontractors will collectively receive at least 85% of the contract value. Similarly situated subcontractors must meet the applicable NAICS size standard and be certified in the Veterans Integration Program (VIP). The form requires contractors to itemize work descriptions and associated costs to show the percentage of value self-performed versus subcontracted, with totals for both the prime contractor and similarly situated subcontractors.

The form includes a detailed warning regarding severe penalties for violations of the limitations on subcontracting rule under 13 C.F.R. 125.6(g), including potential fines of the greater of $500,000 or the dollar amount spent in excess of permitted levels on subcontractors, as well as possible debarment under FAR 9.406-2(b)(1)(i). The Contracting Officer may require demonstration of compliance at any time during contract performance through invoices, subcontract copies, or task value documentation. Completed certifications must be returned via email to Amber Milton at amber.milton@va.gov.

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LIMITATION OF SUBCONTRACTING FORM FOR BIDDER/OFFEROR TO COMPLETE & SUBMIT WITH PROPOSAL

Subject: Compliance with 13 C.F.R. 125.6 (a)3

DATE:

Contractor Point of Contact

Business Name

DUNS #:

Solicitation Number:

Offerors are required to comply with 13 C.F.R 125-6 (a)3. Offerors are to check which block applies:

[ ] I certify that no subcontractors are anticipated in performing services under this contract.

[ ] I certify that my company and those anticipated subcontractors that are similarly situated, are estimated to receive at least 85% of the value of this contract. I understand that a similarly situated subcontractor must meet the size standard for NAICS assigned by the prime and must be in certified in VIP. Please provide the following information to identify and calculate the cost of the work self-performed and what is subcontracted.

Contractor DUNs Number Description of Work COST of work in %

Total % of value of contract by Prime Contractor ____________ Total % of value of contract by similarly situated subcontractors ____________

WARNING: Severe Penalties for Contractors that violate the Limitations on Subcontracting Rule: If caught during the performance violating the FAR government subcontracting rules or limitations on subcontracting clause under the Code of Federal Regulations 13 C.F.R. 125.6(g), there can be stiff penalties: “Whoever violates the requirements set forth in paragraph (a) of this section shall be subject to the penalties prescribed in 15 U.S.C. 645(d), except that the fine shall be treated as the greater of $500,000 or the dollar amount spent, in excess of permitted levels, by the entity on subcontractors. A party's failure to comply with the spirit and intent of a subcontract with a similarly situated entity may be considered a basis for debarment on the grounds, including but not limited to, that the parties have violated the terms of a Government contract or subcontract pursuant to FAR 9.406-2(b)(1)(i) (48 CFR 9.406-2(b)(1)(i)).” Contracting Officers may require the contractor to demonstrate its compliance with the limitations on subcontracting at any time during the performance of the contract by having the Contractor provide invoices, copies of subcontracts, or a list of the value of tasks performed.

IAW 1001 of Title 18, I certify the above representations are true and correct to the best of my knowledge.

(Contractor)

Date

Return this certification via email to: Amber Milton at amber.milton@va.gov (Version 1 Dec 17, 2020)

File details come from the government source that posted it. Updated .