VA Notice of Limitations on Subcontracting.pdf

This file is a VA Notice of Limitations on Subcontracting - Certificate of Compliance for Supplies and Products (November 2022), which is a required federal contracting clause template for inclusion in VA solicitations.

The clause establishes subcontracting limitations and certification requirements that offerors must comply with when bidding on VA contracts for supplies and products. For non-manufacturer supply contracts, offerors cannot pay more than 50% of the government-paid amount to non-VIP-listed firms, with exceptions for VIP-listed subcontractors. For nonmanufacturer contracts, offerors must supply products from domestic small business manufacturers or processors unless an SBA waiver is granted. Offerors must certify their status as either a manufacturer/producer or a nonmanufacturer, with nonmanufacturers required to demonstrate they do not exceed 500 employees (or 150 for IT Value Added Resellers under NAICS 541519), are primarily engaged in retail or wholesale trade, and will take ownership of items in accordance with industry practice. For multiple-item acquisitions, at least 50% of the estimated contract value must consist of items manufactured by small businesses. The clause requires offerors to provide signed certifications with their bids, proposals, or quotations; failure to provide certification renders the response ineligible for award. The document includes provisions for VA enforcement, including referral to suspension and debarment committees, fines under the Small Business Act, and prosecution for false certifications under 18 U.S.C. Section 1001. The clause specifies that contracting officers may require contractors to demonstrate compliance with subcontracting limitations during performance and upon completion, and includes a standardized certification form with fields for the offeror's name, title, signature, date, and company information.