DAF MPP AMA v1.2 18Dec24-FINAL POSTED 30DEC24.pptx

Department of the Air Force (DAF) Mentor Protégé Program (MPP) FY25 OPEN CALL Announcement “Ask Me Anything”

MSgt. Kyle Mead

AFDW/PKS

Ms. Moira McLaughlin

AFDW/PKS

Mr. David Sikora

SAF/SB

Department of the Air Force One Team, One Fight!

SAF/SB Mission SAF/SB supports the full spectrum of Departmental Missions across air, space, and cyberspace:

U.S. Air Force Mission: “Fly, Fight, and Win...Airpower Anytime, Anywhere” U.S. Space Force Mission: “Secure our Nation’s Interests In, From, and To Space” SAF/SB: Fosters “Innovation, Agility, Efficiency” through SBIR/STTR & socioeconomic programs Promote innovation & efficiencies Foster competition Expand the Defense Industrial Base

The Department of the Air Force continues to evolve and innovate Our warfighters are focused on three interrelated domains of air, space, and cyberspace The Air Force and Space Force missions are stated here And we’d like to think we support all of these critical missions by Fostering INNOVATION, AGILITY, AND EFFICIENCY through consideration of small business solutions to their warfighting requirements.

America’s small business are the engine of our economy, the foundation of a healthy defense industrial base, and bring many vital products and services to the equation.

Objectives and Goals

The Mentor-Protégé Program (MPP) assists disadvantaged small business concerns (Protégé Firms) to successfully compete for prime contract and subcontract awards by partnering with eligible companies (Mentor Firms).

Facilitate the establishment of long-term business relationships to develop a stable and robust small business Defense Industrial Base.

To provide assistance designed to increase and enhance the capabilities of a Protégé to perform as subcontractors and suppliers under DoD contracts and subcontracts, other Federal Government contracts, and commercial contracts.

Types of Assistance A MPA may provide the following types of developmental assistance:

General business development assistance;

Engineering and technical assistance (technology transfer); and Any other assistance designed to develop the capabilities of the protege firm to:

Participate in DoD, Federal, and/or commercial contracts and subcontracts; and Increase small business subcontracting opportunities in industry categories where eligible protégés or other small business firms are not dominant in the company’s vendor base.

A MPA must provide assistance in understanding contract regulations of the Federal Government and DoD (such as FAR, DFARS, DAFFARS, etc.).

Engineering and Technical Assistance Technical Program Management Cybersecurity Information Technology (IT) Software Development IT Infrastructure Network Support The Internet of Things (IoT) Cloud Computing Authority to Operate (ATO) Quality Quality Management System (QMS) Quality Control Operational Excellence (OpEx) Process Optimization Modeling and Simulation (M&S) Product Lifecycle Management Artificial Intelligence (AI) Data Management Workforce Development Systems Engineering (SE) Facility Security Clearance (FCL) Design and Manufacturing Automation Enterprise Resource Planning (ERP) Supply Chain Test and Evaluation (T&E) Manufacturing Readiness Level (MRL) Computer-Aided Design (CAD) Design for Manufacturing and Assembly (DFMA) Additive Manufacturing Specific Manufacturing Processes Modeling and Simulation (M&S) Facility Layout Certifications

Refer to Attachment 8 of Open Call for examples

General Business Development Assistance Organizational Management Organizational Planning Change Management Business Development (BD) Sales Human Resource Management Financial Management Facilities Management Contract Management Understanding contract regulations of the Federal Government and DoD Business Ethics Enterprise Risk Management Executive / Leadership Coaching Knowledge Management Legal Program Management Certifications

Refer to Attachment 9 of Open Call for examples

Other Mentor Assistance Award of subcontracts to the Protégé firm under DoD contracts or other contracts on a noncompetitive basis;

Payment of progress payments for performance of the Protege firm under such a subcontract in amounts as provided for in the subcontract;

Advance payments under such subcontracts;

Loans; and Assistance obtained by the Mentor for the Protege from one or more Authorized Subcontractor.

Authorized Subcontractors Historically Black Colleges and Universities (HBCUs) Minority Serving Institutions (MSIs) Small Business Development Centers (SBDCs) Apex Accelerators (Formerly PTACs) Manufacturing Extension Partnerships (MEPs) Women Business Centers (WBCs) Manufacturing Innovation Institutes (MIIs) Authorized Subcontractors

Mentor:

Develop a high-quality subcontracting pool Enhance the technical capability of the firm Pursue new market opportunities as part of a team Issue subcontracts to their Protégé on a non-competitive basis Receive cost reimbursement or SB subcontracting credit

Protégé:

Improve competitive advantage Receive relevant and specific developmental assistance Develop a business relationship with an experienced prime contractor Expand subcontracting opportunities Leverage expertise of the Mentor to bid on small business set-aside contracts May be able to receive funds for engineering, software development, and manufacturing customization (Protégé Technical Reimbursement Pilot Program) DoD / DAF:

Support the warfighter Develop a more capable and robust small business Defense Industrial Base (DIB) Combat obsolescence Assist in transition of innovative technology into Defense acquisition programs Ensures capacity & capability to support prime and subcontracting requirements Foster the establishment of long-term business relationships which benefit DoD, DAF, and the DIB

DLAMPP@dla.mil Benefits of the Program

Mentor Eligibility To be eligible to participate as a Mentor, an entity must:

Be eligible for the award of a Federal contracts; and Demonstrate that it:

Is qualified to provide assistance that will contribute to the purpose of the program;

Is of good financial health and character;

Is not on a Federal list of debarred or suspended contractors; and

Mentor Eligibility Con’t Be capable of imparting value to a Protégé firm because of experience gained as DoD contractor or through knowledge of general business operations and government contracting, as demonstrated by evidence that such entity:

Received DoD contracts and subcontracts equal to or greater than $25 Million during the previous FY;

Is a Prime contractor to DoD with an active subcontracting plan;

Has graduated from the 8(a) Business Development Program and provides documentation of its ability to serve as a Mentor; or Demonstrates the capability to assist in the development of Proteges firms.

Protégé Eligibility The term “Disadvantaged Small Business Concern” means a firm is:

Eligible for the award of Federal contracts;

Not more than the SBA size of standard for its primary North American Industry Classification System (NAICS) code;

Not owned or managed by individuals or entities that directly or indirectly have stock options or convertible securities in the Mentor firm; and

Protégé Eligibility Con’t Is at least one of the following:

A qualified HUBZone small business concern;

A women-owned small business concern;

A service-disabled veteran-owned small business concern;

An entity owned and controlled by an Indian tribe;

An entity owned and controlled by a Native Hawaiian organization;

An entity owned and controlled by socially and economically disadvantaged individuals;

A qualified organization employing severely disabled individuals; or A small business concern that:

Is a nontraditional defense contractor; or Currently provides goods or services in the private sector that are critical to enhancing the capabilities of the defense supplier base and fulfilling key DoD needs.

Other Information OSBP manages the Mentor application and approval process Located at: https://mpp.acq.osd.mil/mpp/#/ Mentors required to revalidate approval every 5 years Mentor firms are solely responsible for selecting Protégé firms A Protégé firm may not be a party to more than one DoD MPA at a time There is no current limit on the number of MPAs for a Mentor

Types of Agreements Direct Reimbursement:

Allows for direct Cost reimbursement-type contract with allowable costs, including:

Direct labor costs (for assistance by Mentor firm employees) Assistance provided by Authorized Subcontractor(s) Other costs Cost Reimbursement as Credit:

Costs incurred under Credit Agreement may be applied towards SDB subcontracting goals under any Federal Agency Subcontracting plan Hybrid:

Agreements start out as a Credit Agreement for the first year and then can be modified to include Reimbursable Agreement provisions for remainder of the agreement

The DAF MPP is looking for Mentor Protégé Agreements (MPA) that:

Directly supports a DoD or DAF Program of Record;

Aligns with a DoD or DAF mission need or strategic plan; or Increases the likelihood of success in transition and/or commercialization of a technology funded by another authority DAF Objectives

DAF Process Published: 27 Nov 2024 Announcement will be open for a set period, closes on 31 Jan 25 at 3:00 pm EST.

Number of awards will be determined on the amount of available funding.

Announcement: https://sam.gov/opp/d27728a83dfb4a2a996e855d0cd3f21f/view Step 1 – Tentative Agreement Package Executive Overview Proposed Agreement Information Letters of Endorsement and Commitment Executive Quad Chart Protégé Pilot Initiative (PPI) Application

Selected Offeror – By Notification Only Step 2 – Selected Offeror Fully executed Mentor Protégé Agreement (MPA) Cost Proposal Technical Proposal

Contract Negotiations

Contract Award!

Tentative Agreement Package The package includes:

1. Executive Overview.

2. DAF MPP Proposed Agreement Information (Attachment 1). Includes:

A Comprehensive Needs Assessment (Attachment 2).

Developmental Assistance Approach with Work Breakdown Structure (Attachment 3) Key Personnel Addendum (Attachment 4).

Rough Order of Magnitude.

DoD Protégé Pilot Initiative (PPI) Application (Attachment 6) DoD Protégé Pilot Cost spreadsheet (Attachment 7) Key Personnel Addendum (Attachment 4)

DAF Specifics Minimum 50% Engineering and Technical Assistance (Technology Transfer) is required Typical annual cost reimbursement is $500,000 per year Must demonstrate significant benefits to exceed Do not require letter of affirmation from a Gov Office, must show alignment to need or mission Allow non-traditional mentors - DAF was the first to have a University as a Mentor, subject to OSD approval Participation by an Authorized Subcontractor is highly encouraged but is not required Mentor subcontracting to Protégé is highly encouraged but is not required Mentors, do not forget your current Indirect Cost Rate Agreements!

Refer to Open Call for complete details and mandatory templates

Protégé Pilot Initiative The Protégé Pilot Initiative (PPI) or as identified in statute, the Protégé Technical Reimbursement Pilot Program The Director of the Office of Small Business Programs of the Department of Defense shall establish a pilot program under which a protege firm may receive up to 25 percent of the reimbursement for which the mentor firm of such protege firm is eligible under the Mentor-Protege Program for a covered activity.

A covered activity under this paragraph is an engineering, software development, or manufacturing customization that the protege firm implements in order to ensure that a technology developed by the protégé firm will be ready for integration with a program or system of the Department of Defense.

Application of PPI Funding is primarily intended for capital expenditures, not to offset current labor expenses Potential exception for use in hiring new personnel, but requires assessment of supportability after MPP ends The Protégé is responsible for identifying the items intended to be covered under this reimbursement, in coordination with the Mentor Mentor is ultimately not responsible for how the Protégé uses the funding, will not impact DCMA risk rating or CPARS Protégé data rights regarding the technology they are developing will not be affected by the funding they receive under this initiative.

All items purchased are the property of the Protégé

PPI Funding This is an additional annual amount and will not affect the amount of reimbursement approved for the Mentor Will be awarded as a separate line item on the Mentor’s contract Mentor is eligible for an amount not to exceed of 3% of the Protégé cost for administrative costs Example:

Core MPP agreement funding: $500,000 per year Eligible PPI is: 25% of $500,000 or $125,000 Mentor admin: 3% of $125,000 or $3,750 Total award: $500,000 + $125,000 + $3,750 = $628,750

Establish a Counterpart Mentors and Protégés are solely responsible for finding their counterpart.

Determine the Type of Agreement Decide what works best: Direct Reimbursement, Credit, or Hybrid Develop Agreement An assessment of the needs of a protégé, which includes measurable milestones, is recommended prior to the development of an agreement.

Submit Agreement Proposal Developmental assistance should align with the protégé's strategic vision.

Start Agreement Credit agreements start on the date they are approved. Directly reimbursed agreements start on the date funds are obligated to the contract.

Reporting and DCMA Review Requirements Semi-annual reports, annual DCMA performance reviews and protégé five-year-out reports are required for each DoD MPP agreement.

How to Participate

Mentor Recognize the Protégés limitations (resources and schedule) Focus on the critical areas the Protégé needs to rise to the next level of qualifications for competitiveness for both prime and subcontract opportunities The Authorized Subcontractors can be vital members of the team

Protégé Realistically evaluate the level of investment needed (time and money) Priority is being a business, somewhere after is being a Protégé Focus on the critical areas….

Don’t be afraid to ask for assistance

Communication and Commitment are keys to success!

Keys to Successful Agreements

Contact Information Contracting

Contracting Officer

Mentor Protégé Program Office Mr. David Sikora Email: David.Sikora.2@us.af.mil Phone: 703-693-5995

Mr. Dave Morgan Email: Dave.Morgan.4@us.af.mil Phone: 703-693-6047

DAF Small Business Website: www.airforcesmallbiz.af.mil Email: DAFSmallBusinessInquiries@Outlook.com

DAF OFFICE OF SMALL BUSINESS PROGRAMS (SAF/SB)

Department of the Air Force Small Business Website

Facebook.com/ airforcesmallbiz Twitter.com/ AFSmallBiz LinkedIn.com/ airforcesmallbiz Stay Connected With Us

FAQ #1

“How should I find a Mentor?”

Do you have a customer where you have a good history of providing goods or services to?

Is there someone that is potentially interested in working with you “if you only had...”?

If you are looking to see what companies are currently approved Mentors, please visit the DoD Office of Small Business Programs website (https://business.defense.gov/Programs/Mentor-Protege-Program/) and look under the “Additional Information” for a link to the current list but recognize you are not limited to only those on the list.

We have new Mentors and new Proteges apply every announcement and win contracts.

FAQ #2

“Is it ok if a small business is not registered with SBA?”

At the time of the Tentative Agreement Package submission, all parties (Mentor, Protégé, Subcontractors) must be registered in SAM.gov.

Proteges should know their primary and secondary NAICS codes and register them.

If you would like assistance with registering, there are many local resources available such as the:

APEX Accelerators (https://www.apexaccelerators.us/#/) Small Business Development Centers (SBDCs) (https://americassbdc.org/), and Women's Business Centers (WBCs) (https://www.sba.gov/local-assistance/resource-partners/womens-business-centers).

FAQ #3

“Are there any minimum requirements for a small business?”

The Air Force has no minimum:

Number of employees required, Amount of annual revenue required, or Length of time being in business.

However…..

You will need to have a conversation with any potential mentor(s). They may have a different view.

FAQ #4

“At what point should we consider participating?”

Mentor Protégé is an intensive program for the proteges (not an insignificant investment). Some questions to consider:

Have you reached a plateau when the next step in growth requires additional capabilities or certifications?

Do you have the needed infrastructure to be able to absorb the developmental assistance?

Do you have the needed resources available (time and money)?

Have an open and honest conversation with any potential mentor(s). Ask them for their honest evaluation on where you are and where you can improve.

Questions?

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