Small_Business_Subcontracting_Requirements.pdf

SMALL BUSINESS SUBCONTRACTING REQUIREMENTS

National and Nuclear Communications Support (N2CS)

4 August 2016

(a) This requirement does not apply to small businesses. The magnitude of this contract may require many business concerns to team, partner, and/or subcontract with other business concerns

(large and small). The Government has set a small business subcontracting requirement of at least 20% of total obligated dollars for this contract. All large business prime contractors are required to meet and maintain the small business subcontracting requirement throughout the life of the contract. The higher of the contractor proposed small business subcontracting target or the

Government requirement will be considered the small business subcontract requirement.

Small Business subcontracting requirements will be expressed in terms of percent of contract value in addition to percent of subcontracted amount. Large businesses are required to subcontract 20% of the total contract value for the E-4B N2CS acquisition to small businesses. First-tier (subcontractor one level below prime contractor) awards may be considered in meeting or exceeding requirements. No lower tier will be considered. The small business subcontracting requirement will be reviewed annually and rated as an element of the Contractor

Performance Assessment Reporting Systems (CPARS). In addition, large businesses shall provide goals for the utilization of Small Disadvantaged Business firms to include the usage of

Historically Black Colleges and Universities and Minority Institutions IAW FAR 52.219-9.

IAW DFARS 219.705-4, any small disadvantaged business (SDB) goal of less than 5% of the total subcontracted dollars shall be justified. The contractor’s expressed targets will be incorporated into and become part of the contract. The contractor will be required to provide reports on SDB subcontractor participation in accordance with FAR clause 52.219-9.

For this contract, the Offeror has proposed a small business subcontract target of Taken from

Proposal% of the total obligated dollars for this contract.

Data regarding each Contractor's subcontractor performance will be obtained in a Small Business

Participation Report as follows: after contract award, prime contractors shall report its achievement in meeting subcontracting requirements through submission of documentation supporting actual total contract dollars subcontracted to small business concerns. This Small

Business Participation Report shall include information in Small Business Participation Report and be submitted as directed in Reporting Requirements so that the Government can determine the extent of compliance by the prime contractor. In accordance with DFARS 252.219-7003, the Contractor shall report annually its achievement in meeting subcontracting requirements through submission of the Individual Subcontract Report (ISR) and the Summary Subcontract

Report (SSR) using the web-based Electronic Subcontracting Reporting System (eSRS) http://www.esrs.gov.

(b) If it is determined that a prime contractor is not meeting the requirement specified in paragraph (a) at the time of submission of the Small Business Participation Report, the contractor shall be required to submit a "get well plan" to the Air Force within 30 calendar days thereafter.

http://www.esrs.gov/

The "get well plan" shall set forth the remedial actions the contractor intends to take to meet the

Small Business Subcontracting Requirement within the next 6 months. This "get well plan" must be approved by the Contracting Officer.

(c) The Contractor's performance in failing to meet, meeting, or exceeding proposed subcontracting requirement in paragraph (a) above, will be reflected in the annual contract

CPARS and the Government’s determination on exercise of options.

(d) Failure to meet the subcontracting requirements of the contract may have a negative impact on the CPAR rating. It may also negatively impact the determination of the Government to exercise options on this contract and may be handled as any other contract breach. Conversely, exceeding the small business participation and subcontracting plan requirements may result in a favorable CPARS rating and have a positive impact on past performance ratings.