1.3.4. NMR Waiver Request Approved - 142 TT Buy.pdf

All SBA programs and services are extended to the public on a nondiscriminatory basis. 1

Office of Government Contracting and Business Development | 409 3rd Street SW | Washington DC 20416

June 30, 2023

Via Email: William.Tillman@fema.dhs.gov

Mr. William Tillman, Contracting Officer Department of Homeland Security Federal Emergency Management Agency 500 C Street SW, 3rd Floor Washington, DC 20472

RE: NMR Individual Waiver Request

Dear Mr. Tillman:

On June 26, 2023, the Department of Homeland Security (DHS), Federal Emergency Management Agency (FEMA) submitted a request to the U.S. Small Business Administration (SBA) for an individual waiver of the Nonmanufacturer Rule (NMR) for 142 commercial, off the shelf (COTS) travel trailers to house disaster survivors. FEMA is seeking travel-trailer style Recreation Vehicles (RV) for immediate purchase. The anticipated solicitation number is 70FB8023R00000020. The applicable North American Industry Classification System (NAICS) code is 336214, Travel Trailer and Camper Manufacturing. The estimated dollar value of the procurement is $5,608,000.00.

The waiver of the NMR on an individual procurement is provided for in section 8(a)(17) of the Small Business Act, 15 U.S.C. § 637(a)(17), and section 121.406(b)(5) of title 13 of the Code of Federal Regulations, 13 C.F.R. § 121.406(b)(5). At a minimum, an individual NMR waiver request must include a definitive statement of the specific item sought to be waived, a justification as to why the specific item is required, the proposed solicitation number, the NAICS code, the dollar amount of the procurement, a brief statement of the procurement history, and a Statement of Work (for contracts expected to exceed $500,000). 13 C.F.R. § 121.1204(b)(1). The term “item” can be a specific broad identifying thing ( e.g., all spare parts related to aircraft X), but cannot be so broad as to have no real identification ( e.g., all medical supplies).

mailto:William.Tillman@fema.dhs.gov

All SBA programs and services are extended to the public on a nondiscriminatory basis. 2

In addition, the contracting officer must provide a determination that no small business manufacturer can reasonably be expected to submit an offer for the item that meets the specifications and solicitation’s requirements (including period of performance). This determination must be supported by a narrative of market research and supporting documentation. 13 C.F.R. § 121.1204(b)(1)(iii).

According to your submission, FEMA seeks an individual NMR waiver for 142 COTS travel trailers to house disaster survivors. FEMA has identified that this is the only item that will meet its needs and that no small business manufacturer can reasonably be expected to offer this item. This is because FEMA routinely utilizes travel trailer to house disaster survivors as part of disaster response and recovery efforts in accordance with the Stafford Act. FEMA has also located several small businesses that can provide the required item as resellers or distributors.

Since FEMA has demonstrated that no small business manufacturer can reasonably be expected to submit an offer for 142 COTS travel trailer to house disaster survivors as part of disaster response and recovery efforts in accordance with the Stafford Act, an individual waiver is granted.

This individual waiver applies to this one-time award only and does not apply to modifications to the scope of the contract or other procurement actions. Modifications determined by the contracting officer to be within the scope of the contract will require an additional waiver. 13 C.F.R. § 121.1203(b).

This individual waiver is good for the duration of the contract provided that it does not exceed five years. At the end of the fifth year, whether the contract is in the base period or an option period, the agency must request and receive a new waiver before entering into the contract’s sixth year.

Notice that an individual waiver has been granted must be published with the solicitation so that potential offerors are aware of the waiver and the specific item(s) covered. 13 C.F.R. § 121.1206. The effect of this waiver is to allow an otherwise qualified small business to supply the item of an other-than-small manufacturer or processor on this intended small business set-aside contract. However, it must be emphasized that this waiver of the NMR does not waive other legal requirements applicable to Government procurements, such as the Buy American Act and the Trade Agreements Act.

This individual waiver must be used within one year of issuance. If that time period expires, the agency may request a waiver extension by contacting nmrwaivers@sba.gov. Please inform SBA of the date you enter a contract using this waiver, the contract number, and the actual dollar value of the contract. Should you have any questions or require any additional information, please contact Bernard Durham at (202) 510-0292 or Bernard.Durham@sba.gov.

mailto:nmrwaivers@sba.gov mailto:Bernard.Durham@sba.gov

All SBA programs and services are extended to the public on a nondiscriminatory basis. 3

Sincerely, For Wallace D. Sermons, II Deputy Director Office of Government Contracting