Attachment III - Limitation of Subcontracting Certification VAAR 852.219-75.pdf

This is a VA Notice of Limitations on Subcontracting - Certificate of Compliance for Services and Construction (January 2023), a required federal contracting form that establishes subcontracting limitations for VA contract awards.

The certificate mandates that offerors certify compliance with specific subcontracting thresholds based on contract type. For service contracts (excluding construction), contractors cannot pay more than 50% of the government-paid amount to firms not certified as Small Disadvantaged Veteran-Owned Small Businesses (SDVOSBs) or Veteran-Owned Small Businesses (VOSBs). For general construction contracts, the threshold is 85%, while special trade construction contracts are limited to 75%. The certificate requires offerors to acknowledge that false, fictitious, or fraudulent certification may result in criminal, civil, or administrative penalties. Contracting officers retain discretion to request compliance documentation at any time during performance, including invoices, subcontracts, or task value lists. Offerors must complete and sign the certification form with their printed name, title, date, and company information to be eligible for evaluation and award; responses without this certification will be deemed ineligible. The VA may pursue remedial action if offerors fail to provide requested compliance documentation, and certified SDVOSB/VOSB contractors found to have violated the 38 U.S.C. 8127 requirement may face suspension or debarment, fines under the Small Business Act, or prosecution.