VAAR 852.219-75 VA Notice of Limitations on Subcontracting.pdf

This is a VA Notice of Limitations on Subcontracting—Certificate of Compliance for Services and Construction (January 2023 Deviation), which is a required certification document for federal contract offerors.

The document establishes subcontracting limitations that offerors must comply with if awarded a VA contract. For services contracts, contractors cannot pay more than 50% of the government-paid amount to non-certified small business concerns (SDVOSBs or VOSBs listed in the SBA certification database), with work by similarly situated certified SDVOSB/VOSB subcontractors counting toward the 50% limit and certain direct costs excluded. For general construction contracts, the limitation is 85% of the government-paid amount to non-certified firms, with materials excluded from subcontracting calculations. For special trade construction contracts, the limitation is 75%. The certification acknowledges that false or fraudulent certifications may result in criminal, civil, or administrative penalties under 18 U.S.C. 1001. Offerors must provide executed certifications with their bids or proposals, and the Government reserves the right to request documentation demonstrating compliance throughout contract performance and upon completion. Non-compliant SDVOSBs/VOSBs determined to have acted in bad faith may face suspension, debarment, fines, or prosecution. The document includes a certification template requiring the offeror's name, authorized signatory information, printed name and title, signature, date, and company name and address.