IFB Attachment 10 - Limitations on Subcontracting - Construction.docx
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- Solicitation number
- 36C77625B0012
About this file
This document is an Invitation for Bid (IFB) Attachment detailing limitations on subcontracting for a VA construction project, specifically focusing on service-disabled veteran-owned small business (SDVOSB) requirements. The attachment mandates that for a general construction contract, the contractor cannot pay more than 85% of the government contract amount to non-certified SDVOSB or VOSB firms, with material costs excluded from this calculation.
The related federal contract opportunity is for constructing a new women's health clinic at the Jesse Brown VA Medical Center in Chicago, IL. The project involves a 16,350 square foot second-story addition to Building 30, requiring demolition and renovation of existing spaces. The solicitation is a total SDVOSB set-aside with NAICS code 236220, anticipated to be issued in summer 2025, with a 708-calendar day performance period. The project's estimated value is between $10-20 million, and only SDVOSB firms will be considered for the competitive bid.
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Text version
VAAR 852.219-75 VA Notice of Limitations on Subcontracting—Certificate of Compliance for Services and Construction (JAN 2023)(DEVIATION)
(a) Pursuant to 38 U.S.C. 8127(k)(2), the offeror certifies that—
(1) If awarded a contract (see FAR 2.101 definition), it will comply with the limitations on subcontracting requirement as provided in the solicitation and the resultant contract, as follows:
(ii) [X] General construction. In the case of a contract for general construction, the contractor will not pay more than 85% of the amount paid by the government to it to firms that are not certified SDVOSBs listed in the SBA certification database as set forth in 852.219–73 or certified VOSBs listed in the SBA certification database as set forth in 852.219–74. Any work that a similarly situated certified SDVOSB/VOSB subcontractor further subcontracts will count towards the 85% subcontract amount that cannot be exceeded. Cost of materials are excluded and not considered to be subcontracted.
(2) The offeror acknowledges that this certification concerns a matter within the jurisdiction of an Agency of the United States. The offeror further acknowledges that this certification is subject to Title 18, United States Code, Section 1001, and, as such, a false, fictitious, or fraudulent certification may render the offeror subject to criminal, civil, or administrative penalties, including prosecution.
(3) If VA determines that an SDVOSB/ VOSB awarded a contract pursuant to 38 U.S.C. 8127 did not act in good faith, such SDVOSB/VOSB shall be subject to any or all of the following:
(i) Referral to the VA Suspension and Debarment Committee;
(ii) A fine under section 16(g)(1) of the Small Business Act (15 U.S.C. 645(g)(1)); and
(iii) Prosecution for violating section U.S.C. 1001.
(b) The offeror represents and understands that by submission of its offer and award of a contract it may be required to provide copies of documents or records to VA that VA may review to determine whether the offeror complied with the limitations on subcontracting requirement specified in the contract. Contracting officers may, at their discretion, require the contractor to demonstrate its compliance with the limitations on subcontracting at any time during performance and upon completion of a contract if the information regarding such compliance is not already available to the contracting officer. Evidence of compliance includes, but is not limited to, invoices, copies of subcontracts, or a list of the value of tasks performed.
(c) The offeror further agrees to cooperate fully and make available any documents or records as may be required to enable VA to determine compliance with the limitations on subcontracting requirement. The offeror understands that failure to provide documents as requested by VA may result in remedial action as the Government deems appropriate.
(d) Offeror completed certification/fill-in required. The formal certification must be completed, signed and returned with the offeror’s bid, quotation, or proposal. The Government will not consider offers for award from offerors that do not provide the certification, and all such responses will be deemed ineligible for evaluation and award.
Certification:
I hereby certify that if awarded the contract, [insert name of offeror] will comply with the limitations on subcontracting specified in this clause and in the resultant contract. I further certify that I am authorized to execute this certification on behalf of [insert name of offeror].
Printed Name of Signee:
Printed Title of Signee:
Signature:
Date:
Company Name and Address:
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