C5__Industry_Day_2017_Small_Business_Briefing.pptx

Overview of AFLCMC Small Business

25 July 2017 Angela Arnold, Deputy Director AFLCMC Small Business Office angela.arnold.2@us.af.mil AF Life Cycle Management Center

AFLCMC… Providing the Warfighter’s Edge

Overview Who We Are What We Do Doing Business With AFLCMC AFLCMC/SB Current Initiatives Things You Need to Know

AFLCMC Small Business Offices

AFLCMC-Eglin AFB (Including AFRL Munitions Directorate & 96th TW) AFLCMC-Hanscom AFB

AFLCMC/SB WPAFB

AFLCMC-Crypto Div

AFLCMC Maxwell-Gunter AFB

AFLCMC-AFMETCAL

Who We Are Who We Are Integrated team spanning Center Operating Locations Part of the AF and AFMC Offices of Small Business AFLCMC Small Business Office Mission:

Maximize opportunities for small businesses to deliver technology and innovative solutions to meet warfighter needs Align with AFMC Mission:

Create and deliver strategies that bring innovative, agile and efficient small business solutions to the Air Force to fly, fight and win in air, space and cyberspace

As the Life Cycle Management Center SB office, we are headquartered at Wright Patterson with Operating Location at Eglin, Hanscom, Gunter and Lackland Air Force Bases as well as an operating location in Heath, OH

Our Mission: to maximize Contracting Opportunities for Small Businesses as appropriate…as prime or sub. Also to promote effective inreach and outreach

Wright Patterson SBS Contacts Dr. Mary Haley AFLCMC/SB Director Ms. Angela Arnold AFLCMC/SB Deputy Director and ACS PEO Ms. Jennifer Gallagher Mobility PEO and PZIT/PZIE Ms. Kelly Thirtyacre

AFSAC, PZIT/PZIE, PAR & ISR/SOF PEO

Ms. Alicia Draines Fighter Bomber, Tanker, and HI Sue Tormey Strategic Initiatives Kate Fleming PAQ Intern

What We Do

Core purpose of AFLCMC SB Office: Support the Warfighter Encourage program offices to seek & consider small businesses when appropriate Participate in:

Early Strategy & Issues Sessions (ESIS) Acquisition Strategy Panels (ASP) Industry Days and Conferences Meet with Contractors Advise on AFLCMC needs Coordinate inquiries and guidance requests Promote effective In-Reach & Outreach Programs

Building Better Opportunities to do Business with AFLCMC Procurement Technical Assistance Centers http://www.aptac-us.org/ Small Business Administration Small Business Development Centers http://www.sba.gov/sbdc/sbdcnear.html Dynamic Small Business http://dsbs.sba.gov/dsbs/search/dsp_dsbs.cfm Can query by type business, state, NAICS code, CAGE code, keyword, etc… Networking Opportunities Industry Days FedBizOpps

PTAC - Most PTACs sponsor regular “matchmaking” events, providing critical opportunities to connect with agency buying officers, prime contractors and other businesses that may offer teaming or subcontracting opportunities.

You Have the Power to Influence Respond to every RFI or Sources Sought possible These determine SB set-aside Further determine socio-economic set-aside If not at least two SB or socio-economic capabilities present, decision is sealed RFI’s and Sources Sought provide basis for other decisions Total number of interested parties Cost/price consideration Be concise!

Less is more – often viewed as impressive Avoid major marketing – focus on the questions Don’t fill maximum pages unless absolutely necessary

AFLCMC/SB Current Initiatives AFLCMC/SB Website http://afrlsbhub.com/aflcmcsbo/

Events on Public Calendar http://afrlsbhub.com/wp-content/uploads/2017/07/AFLCMC-SBO-Events-Calendar_Q4.pdf AFLCMC happenings throughout all geographic locations Industry Days and other Outreach events

SB Capability Catalog http://afrlsbhub.com/aflcmcsbo/ Indexing of contractor capabilities as ready-source for CO’s doing market research

NAICS Code – Supply or Service Rule of Two – Two or more small businesses LOS – Limitations on Subcontracting Non-Manufacturers Rule (NMR) What is a manufacturer?

What is a non-manufacturer?

Who is a kit assembler?

Applicability of the NMR Applicable size standards - NMR

Things You Need to Know

NAICS Code North American Industry Classification System (see FAR 19.102) Determined by CO based on principal nature of product or service SBA establishes a Size Standard for each NAICS Determines who is Small and who is not?

2012 NAICS/Size Standards still in effect until new Size Standards published by SBA at https://www.sba.gov/contracting/getting-started-contractor/make-sure-you-meet-sba-size-standards/table-small-business-size-standards

Rule of Two If two or more SBs are capable – Set-Aside Required!

FAR 19.502-2

Limitations on Subcontracting FAR Clause 52.219-14

(1) Services (except construction). At least 50 percent of the cost of contract performance incurred for personnel shall be expended for employees of the concern.

(2) Supplies (other than procurement from a nonmanufacturer of such supplies). The concern shall perform work for at least 50 percent of the cost of manufacturing the supplies, not including the cost of materials.

Rule of Two/LOS

Non-Manufacturer Rule, 13 C.F.R. § 121.406(a), (b):

Applies to firms that receive supply contracts, above $25K, under the 8(a) program or on a small business set aside To qualify as a small business concern, a small business offeror must either be The manufacturer of the end item; or Supply the end item of a domestic small business manufacturer If qualifying on the basis of non-manufacturer, the firm must meet four criteria listed in paragraph (b)(1) Applies only to procurements that have been assigned a manufacturing or supply NAICS code Does not apply to contracts that have been assigned a service, construction, or specialty trade construction NAICS code Applies only to the supply component of a requirement classified as a manufacturing or supply contract (embedded services, but predominantly supply) If a requirement is classified as a service contract, but also has a supply component, the non-manufacturer rule does not apply to the supply component of the requirement

Non-Manufacturer Rule (NMR)

A manufacturer is a concern that produces a product, with its own facilities, performs primary activities, including the assembly of parts and components, into the end item being acquired.

What is a Manufacturer?

Does not exceed 500 employees

Primarily engaged in retail or wholesale and normally sells type of product being supplied

Takes ownership or possession of the item(s) with its personnel, equipment or facilities in a manner consistent with industry practice

Will supply the end product of a small business manufacturer or processor made in U.S.

What is a Non-Manufacturer?

When the manufactured item being acquired is a kit of supplies, or other goods provided an offeror for a special purpose, the offeror cannot exceed 500 employees, and 50 percent of the total value of the components of the kit must be a small business under the size standards for the NAICS codes of the components being assembled.

The offeror doesn’t need to be the manufacturer of any items assembled

Who is a Kit Assembler?

Small business set-asides on SUPPLY contracts, orders, BPAs over $150k

The NMR will be applied when a small business nonmanufacturer will provide the end item of:

a small business manufacturer an other than small business manufacturer under a waiver (an existing class waiver or individual –or solicitation specific-waiver)

Does not apply to full and open solicitations

Applicability of the NMR

A small business non-manufacturer must meet size standards that apply to acquisitions covered by the NMR.

A small business non-manufacturer (500 or less employees) will provide the end item of:

a small business manufacturer (as regulated by SBA’s Table of Size Standards 13 C.F.R. § 121 whether the size standard is 500 employees or not) an other than small business manufacturer under a waiver

The size standard for a non-manufacturer is 500 or less employees. In any case, a small business non-manufacturer cannot exceed 500 employees.

Applicable Size Standards - NMR

Questions? Appointment Request?

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