Module 1 - (DoD) Northeast Regional Council

The MATCHMAKERS HPT

Subcommittee of the

Northeast Regional Council

The Matchmaker Team

Mark I: Professional Small Business Program Training

Series for Large Businesses and Federal Agencies

Small Business Utilization Series

Training Guide

The MATCHMAKERS HPT

Subcommittee of the

Northeast Regional Council

What you have before you is a “Weapon System” designed to fight lack of knowledge and misunderstanding about Small Business Programs. We hope to pass this body of information from this dedicated team, the Matchmakers HPT, to the fighters for supplier diversity all over this nation. While this training does not replace the actual regulations, the Mark I course can light the path to the wisdom needed to get the Small Business participation mission accomplished.

This is the users guide to the system. Please use it wisely and often. Its application is what the

American Dream is all about. Small Business owners, their families, the President and the Congress of these United States are all counting on you to get the job done.

We wish you great success!

Ira M. Brand, Team Leader (Retired) on behalf of the Matchmakers HPT a subcommittee of the Northeast Regional Council

Small Business Utilization Series

Training Guide

SMALL BUSINESS LIAISON OFFICER TRAINING

Small Business Training

Mark I: Professional Small Business Program Training Series

 Module 1: Public Laws and Regulations 4

 Module 2: Identifying a Small Business 22

 Module 3: How Small Business Programs Work 41

 Module 4: Preparing a Small Business Subcontracting Plan 64

 Module 5: Small Business Assessment 99

 Module 6: Small Business Metrics and Reporting 106

 Module 7: Information Resources and FAQs 129

 Module 8: Staying Current 136

 Resources 140

3

Module 1: Public Laws and Regulations


 This Module contains information on the Public Laws and Federal

Acquisition Regulations (FAR) that govern the requirements for Small

Business Subcontracting Programs. These small business laws and regulations form the framework for what we do and why we do it.

 The Module includes the goals for each business type and the Public Law basis for these requirements. The module also covers FAR references for incentive programs and liquidated damages provisions.

4


001A – FAR Regulations


What Federal Regulations govern the formation of small business plans and the goals set for small business subcontracting?





Answer: E

FAR part 19 and 52 outline all the requirements for preparing small business plans.

Public Laws are the basis for the regulations.

 A. FAR Parts 19 and 52

 B. Public Laws

 C. The Small Bus Law

 D. A and C

 E. A and B

(check one)

5


001B – FAR Regulations


What are the percentage goals set by Public Laws for?

And the answer is:

Small Business (SB)

Small Disadvantaged Business (SDB)

Woman-Owned SB (WOSB)

Historically Black Colleges & Universities and Minority Institutions (HBCU/MI’s)

HUBZone SB

Veteran-Owned SB (VOSB)

Service-Disabled VOSB (SDVOSB)

Alaska Native Corp. & Indian Tribes

*Included as part of SDB Goal

6


001C – FAR Regulations


About the Law

 Section 8(d) of the Small Business Act requires “Small, SDB, HUBZone, WOSB,

VOSB, and SDVOSB have the maximum practicable opportunity to participate as subcontractors on Federal contracts, to the extent that such opportunity is consistent with efficient contract performance.”

Revision of the Small Business Act of

1978 (Public Law 95-507)

 Redefined minority firms as Socially and

Economically Disadvantaged Small Business

Concerns (SDB’s).

 Required Federal agencies to establish small business goals and explain to

Congress when goals were not met.

 Required small and small disadvantaged business subcontracting goals for major contracts awarded to large businesses.

 Reserved all Federal awards under

$100,000 for small businesses.

 Required establishment of the Office of

Small Business Programs.

 Directors appointed by Head of Agency.

7


001D – FAR Regulations


What is the goal for Small

Disadvantaged subcontracting emphasis?

 A. 1%

 B. 2%

 C. 3%

 D. 4%

 E. 5%

(check one)

Answer: E

National Defense Authorization Act

(Public Law 99-661)

 Passed in 1987.

 Established Small Disadvantaged

Business Program.

 5% goal for minority owned businesses.

 Emphasized contracting with

Historically Black Colleges &

Universities/Minority Institutions

(HBCUs/MIs).

8


001E – FAR Regulations


Public Law 103-355 introduced a 5% goal against the value of all prime contracts for

Woman-Owned Small Businesses.

 A. True

 B. False

(check one)

Answer: A

Federal Acquisition Streamlining

Act of 1994 (Public Law 103-355)

Section 7106

 Established a government-wide goal for Woman-Owned Small Businesses

(WOSBs).

 Not less than 5% of the total value of all prime contract/subcontract awards for each fiscal year.

 Note: There are no preference programs for Woman-Owned Small

Businesses.

9


001F – FAR Regulations


How is a HUBZone (Historically Underutilized

Business Zone) Small Business Verified?

 A. By SBA certification as shown in

Central Contractors Registry (CCR)

 B. By DOC Zone Charts

 C. By the Census Bureau

(check one)





Answer: A

The HUBZone Empowerment Act

(Public Law 105-135)

 Included in the Small Business

Reauthorization Act of 1997.

Stimulates economic development.

Creates jobs in urban and rural communities.





Provides contracting preferences to small businesses that are located in a HUBZone and that hire employees who live in a

HUBZone.

1% of prime contracts for HUBZone small businesses for FY1999, not less than

1.5% for FY2000, 2% for FY2001, 2.5% for FY2002, and 3% for FY2003 and each year thereafter.

10


001G – FAR Regulations


What is the Service-Disabled Veteran-

Owned goal as set forth in the subcontracting provisions of Public Law

106-50?

 A. 1%

 B. 2%

 C. 3%

 D. 4%

 E. 5%

(check one)

Answer: C

The Veteran's Entrepreneurship and

Small Business Development

Act of 1999 (Public Law 106-50)

 Established a goal for subcontracts awarded by prime contractors to

(SDVOSB) concerns of 3%.

 A best effort goal for veteran-owned small businesses shall apply.

 Individual, Master, and

Comprehensive Subcontract and

Commercial Plans must incorporate these goals.

11


001H – SB Program Success


“Incentive Clauses”

FAR 52.226-1

“Utilization of Indian Organizations and Indian Owned Economic Enterprises”

 The Indian Incentive Program provides for a payment of 5% of the amount subcontracted to an Indian organization or Indian-owned economic enterprise. The clause must be included in the contract.

12


001I – SB Program Success



FAR 52.219-26

“Small Disadvantaged Business Participation Program”

 Incentive Subcontracting for specific parameters. Monetary incentives shall be based on actual achievement as compared to proposed monetary targets for SDB sub-contracting. The incentive subcontracting program is separate and distinct from the establishment, monitoring and enforcement of SDB subcontracting goals in a sub-contracting plan. This is an incentive to encourage increased subcontracting in the North America

Industry Classification System (NAICS) Major Groups and is reported at the end of the contract via the OF312 attached to the final ISR.

13


001J – SB Program Success



FAR 52.219-10

“Incentive Subcontracting Program”

 Monetary incentive from 0-10%, which encourages the development of increased subcontracting opportunities based on actual achievement for small, Small Disadvantaged Business, Woman-Owned Small Business,

HUBZone small business, Veteran-Owned Small Business, and Service-

Disabled Veteran-Owned Small Business.

14


001K – SB Program Success



FAR 52.219-16

“Liquidated Damages - Subcontracting Plan”

 Failure to comply with a subcontracting plan is considered a material breach of the contract and could result in the imposition of liquidated damages to be paid by the contractor.

 Size of damages is equal to the actual amount by which the contractor missed each goal.

15


001L – SB Program Success


“Good Faith Effort”

13 CFR 125.3

“Provide the maximum practicable subcontracting opportunities for small business concerns.”

“Consistent with the efficient performance of the contract.”

16


001M – SB Program Success


Example of “maximum practicable opportunity”

13 CFR 125.3

 Breaking out contract work items into economically feasible units, as appropriate.

 Conducting market research to identify small business subcontractors and suppliers through all reasonable means.

 Soliciting small business concerns early in the acquisition.

 More>>

17


001N – SB Program Success



13 CFR 125.3

 Providing adequate and timely information about the plans, specifications, and requirements for performance of the prime contract to assist them in submitting a timely offer.

 Negotiating in good faith with interested small businesses.

 Assisting them to obtain bonding, lines of credit, required insurance, necessary equipment, supplies, materials, or services.

 More >>

18


001O – SB Program Success



13 CFR 125.3

 Utilizing the available services of small business associations, local, state, and Federal small business assistance offices; and other organizations.

 Participating in a formal mentorprotégé program with one or more small business protégés that results in developmental assistance to the protégés.

19


001P – Small Business Goal Summary


Small Business Type

Small Business

Small Disadvantaged Business

Woman-Owned Small Business

HUBZone Small Business

Service-Disabled VOSB

Historically Black Colleges &

Universities and Minority

Institutions

Veteran-Owned Small Business

ANCs and Indian Tribes

Goals Public Law Ref

23% PL: 100-656

5% PL: 99-661

5% PL: 103-355

3% PL: 106-135

3% PL: 106-50

Part of PL: 99-661

SDB

Best Effort PL: 106-50

Part of SDB PL: 99-661

20


001Q – Small Business Goal Summary


DoD Subcontracting Goals can Be Different

Small Business Type

Small Business

HUBZone Small Business

SDVOSB

SDB includes HBCU/MIs

WOSB

FY 2007 FY 2008 and FY 2009

35% 37.2%

Require negotiation

3%

5%

5%

3%

3%

5%

5%

21

Module 2: Identifying a Small Business


 This Module covers the requirements for a Small Business to qualify as a specific recognized type for identification and reporting credit under

Federal contracts.

 The module includes definitions of Small Disadvantaged Businesses, the minority groups and the certification requirements for HUBZone firms.

22



002A – Identifying Small BiZ

How is a Small Business Identified and Certified?

 Small Business Self-Certify.

 Does not exceed NAICS code size standard, is not owned by a large business, self certified.

Size standard exception for ANCs and Indian tribes.

How is a Small Disadvantaged Business Identified and Certified?

 SDBs Self-certify as of October 3, 2008.

 Meets size standard (except ANCs and Indian tribes), listed in CCR, 51% owned and operated by a Socially and Economically Disadvantaged person as designated by the SBA.

How is a Woman-Owned Small Business Identified and Certified?



WOSB’s Self-Certify.

 Meets size standard, 51% owned and operated by one or more Women, Self Certified.

How is a HUBZone Firm identified and Certified?

 Certified by the SBA.

 Meets size standard, located in a HUBZone, 35% of employees live in a HUBZone, owner

US citizen, Certified by SBA and listed in CCR.

23



002B – Identifying Small BiZ

How is a Veteran-Owned Business Identified and Certified?

 SelfCertified but can be verified by Center for Veteran’s Enterprise.

 Meets size standard, 51% owned and operated by one or more veterans with active duty (other than training).

How is a Service-Disabled Veteran-Owned Business Identified and Certified?

 SelfCertified but can be verified by Center for Veteran’s Enterprise.

 Meets size standard, 51% owned and operated by one or more veterans with active duty (other than training) and a service-related disability (0-

100%).

24



002C – Identifying Small BiZ

Definition of a Small Business

 A “for profit” concern including its affiliates that is independently owned and operated.

 Not dominant in the field of operations in which it is bidding on government contracts.

 Qualified as a small business under the criteria and size standards in CFR

Part 121 (See 19.102).

25



002D – Identifying Small BiZ

Definition of Small Disadvantaged Business

 Net worth of each individual does not exceed $750,000 excluding home & firm equity.

 The firm must be at least 51% unconditionally owned by one or more socially and economically disadvantaged individuals, or in the case of any publicly owned business, at least 51 percent of the voting stock is unconditionally owned by one or more socially and economically disadvantaged individuals; and whose management and daily business operations are controlled by one or more such individuals.

26



002F – Identifying Small BiZ

Definition of Socially Disadvantaged Individuals

 Those who have been subjected to ethnic prejudice or cultural bias because of their identity as a member of a group without regard to their individual qualities.

27


002G – Identifying Small BiZ

Who are the Socially Disadvantaged Individuals?

 Black Americans

 Hispanic Americans

 Native Americans

(American Indians, Native Alaskans, or Native Hawaiians)


28


002H – Identifying Small BiZ

Who are the Socially Disadvantaged

Individuals?

 Asian Pacific Americans (persons with origins from Burma, Thailand, Malaysia,

Indonesia, Singapore, Brunei, Japan,

China (inc Hong Kong), Taiwan, Laos,

Cambodia (Kampuchea), Vietnam, Korea,

Philippines, US Trust Territory of Pacific

Islands (Republic of Palau), Republic of

Marshall Islands, Federated States of

Micronesia, Commonwealth of the

Northern Marina Islands, Guam, Samoa,

Macao, Fiji, Tonga, Kiribati, Tuvalu, or

Nauru).

 Subcontinent Asian Americans (persons with origins from India, Pakistan,

Bangladesh, Sri Lanka, Bhutan, the

Maldives or Nepal).


29



002I – Identifying Small BiZ

Definition of Economically Disadvantaged Individuals

 Socially disadvantaged individuals whose ability to compete in the free enterprise system has been impaired due to the diminished capital and credit opportunities as compared to others in the same or similar line of business who are not socially disadvantaged.

30


002J – Identifying Small Biz


New regulation (Sept. 17, 2007) regarding Alaskan Native

Corporations and Indian Tribes

* Subcontracts count towards goals for SB and SDB, regardless of the size or SBA certification status.

* This new provision does not apply to Hawaiian Native owned firms.

31



002K – Identifying Small BiZ

Definition of Woman-Owned Small Business (FAR 19.001)

 A small business firm at least 51% owned by one or more women, or, in the case of any publicly owned business, at least 51% of the stock of which is owned by one or more women; and whose management and daily business operations are controlled by one or more women. DoD does not consider Woman-owned businesses as disadvantaged.

32



002L – Identifying Small BiZ

Historically Black Colleges & Universities and Minority Institutions

(HBCUs/MIs) (DFARS 252.219-7003)

 Minority Institutions are those organizations having significant minority enrollment.

 Designated minority groups include African Americans, Native Americans,

Hispanic Americans, Asian Americans, and Pacific Islanders.

 The latest list of HBCUs can be obtained at www.ed.gov/about/inits/list/whhbcu/edlite-list.html

 The latest list of MIs can be obtained at

 www.ed.gov/about/offices/list/ocr/edlite-minorityinst-list-tab.html

33



002M – Identifying Small BiZ

Definition of HUBZone Empowerment (Public Law 104-135)

 Historically Underutilized Business Zone.

 An area located within one or more qualified census tracts.

 Qualified non-metropolitan counties (Rural Districts).

 Lands within the external boundaries of an Indian Reservation.

 HUBZones have higher unemployment and lower salaries than the state average.

34



002N – Identifying Small BiZ

Definition of Veteran-Owned Small Business Concern

 A small business firm where, not less than 51% of which is owned by one or more veterans (as defined at 38 U.S.C. 101(2) or, in the case of any publicly owned business, not less than 51% of the stock of which is owned by one or more veterans; and the management and daily business operations of which are controlled by one or more veterans.

35



002O – Identifying Small BiZ

Definition of Service-Disabled Veteran-Owned

Small Business Concern

 A small business firm where not less than 51% of which is owned by one or more service-disabled veterans or, in the case of any publicly owned business, not less than 51% of the stock of which is owned by one or more service-disabled veterans; and the management and daily business operations of which are controlled by one or more service-disabled veterans or, in the case of veteran with permanent and severe disability, the spouse or permanent caregiver of such veteran.

36



002P – Identifying Small BiZ

(Native American) Indian Incentive Program (FAR 26.101, 52.226-1)

 The Indian Incentive Program provides an incentive to prime contractors that use Indian Organizations and Indian-Owned Economic Enterprises as subcontractors.

 The program allows for an incentive payment to the prime contractor equal to 5% of the amount paid to a performing Indian subcontractor, if it is authorized by the contract.

 Indian organization means the governing body of any recognized Indian tribe or Indian entity.

37



002Q – Identifying Small BiZ

(Native American) Indian Incentive Program (FAR 26.101, 52.226-1)

 Indian-Owned economic enterprise means any Indian-owned (as determined by the Secretary of the Interior) commercial, industrial, or business activity established or organized for the purpose of profit, provided that Indian ownership shall constitute not less than 51 percent of the enterprise.

38



002R – Identifying Small BiZ

MentorProtégé Program (DFARS 219.71)

Public Law 101-510, the National Defense Authorization Act of 1991, as amended, established the Pilot MentorProtégé Program.

 Provides incentives to prime contractors (mentors) to assist small disadvantaged businesses (SDB) firms (protégés) in enhancing their technical and business capabilities.

 Hopefully lead to increased SDB participation as subcontractors in

Federal and commercial contracts.

 Fosters the establishment of long-term business relationships.

 Firms are eligible to be mentors if they are currently performing a contract with an approved subcontracting plan and are currently eligible for the award of Federal contracts.

39



002S – Identifying Small BiZ

MentorProtégé Program (DFARS 219.71)

 Firms eligible to be a protégé:

• SDB firms or

• Qualifying organization that employ the severely disabled

 Recent law allows HUBZones, WOSBs and VOSBs to be protégés.

 Mentors and Protégés are required to execute a formal agreement that sets forth the type of developmental assistance that will be provided to the protégé.

 MentorProtégé Programs may be for SDB credit or reimbursement.

40


Module 3: How Small Business Programs Work

 This Module introduces the key elements of a successful Small Business

Program. A rating system is provided to assist in the assessment of your current program and the suggested levels for reaching an “Outstanding” rating.

41



003A – Small Business Program Success

What should an effective small business subcontracting program include?

 A. 10 Key Elements

 B. 8

 C. 6

 D. 4

 E. As many as it takes

(check one)

Answer: A

Ten Key Elements

1.

Management Support.

2.

An active SBLO.

3.

4.

A good Subcontracting Plan.

Matchmaker SB Training.

5.

6.

7.

8.

Meeting SB Goals & Objectives.

A good Outreach Program.

Connected to a Regional Council and a

PTAC/PTAP.

Active Procurement Staff Participation.

9.

Connection to CCR & Dynamic Small

Business Search.

10.

Accurate and On-Time reporting.

42



003B – Small Business Program Success

1. Management Support

My company score is:

1 2 3 4 5 6 7 8 9 10

SCORE GUIDE

1 = No management support.

3 = Management has minimal program knowledge.

5 = Management knows about the program.

7 = Management actively endorses the program.

9 = Management endorses, monitors and participates in the program.

Mark Score Here: ______

43



003C – Small Business Program Success

2. An Active SBLO


1 2 3 4 5 6 7 8 9 10

SCORE GUIDE

1 = Our company does not have an

SBLO.

3 = Our SBLO has not been

“Matchmaker” certified.

5 = Our SBLO is “Matchmaker” certified and is involved with at least 5 of the success elements.

7 = Same as 5 but does 7 of the success elements.

9 = Same as 5 but does all 10 elements.


44



003D – Small Business Program Success

3. A Good Subcontracting Plan


1 2 3 4 5 6 7 8 9 10


SCORE GUIDE

1 = My company does not have a subcontracting plan.

3 = Our subcontracting plan is not approved by the agency buying office.

5 = Our subcontracting plan is current and approved by the agency buying office.

7 = Same as 5 and we are actively working our plan.

9 = Same as 5 and we are meeting our plan goals.

10 = Same as 5 and we are exceeding our plan goals.

45



003E – Small Business Program Success

4. Matchmaker SB Training


1 2 3 4 5 6 7 8 9 10

SCORE GUIDE

1 = My company does not have a training module for Small Business.

5 = We are scheduled for “Matchmaker” training in the next 6-12 months.

10 = We are “Matchmaker” Certified.


46



003F – Small Business Program Success

5. Meeting SB Goals & Objectives


1 2 3 4 5 6 7 8 9 10


SCORE GUIDE

1 = My company has no goals or objectives for small business.

3 = People are aware of subcontracting goals.

5 = Management has established company small business goals.

7 = Company goals are established and metrics reported.

9 = Same as 7, most goals are being met.

10 = Same as 7, all goals are being met or exceeded.

47



003G – Small Business Program Success

6. A Good Outreach Program


1 2 3 4 5 6 7 8 9 10

SCORE GUIDE

1 = Our company does not do Outreach.

3 = Our SBLO does limited Outreach.

5 = Our Company has an active

Outreach Program.

7 = Our company is active and has participated in one or more matchmaking events.

9 = Same as 7, we have connected to sources through this process.


48



003H – Small Business Program Success

7. Connected to a Regional Council and a PTAC/PTAP


1 2 3 4 5 6 7 8 9 10

SCORE GUIDE

1 = What's a PTAC/PTAP?

3 = How do I connect to the SBA and a

Region Council?

5 = Our company is active in our

Regional Council.

7 = Same as 5, and we work with our state PTAC/PTAP.

9 = Same as 7 and we are on a

“Matchmaker” Sub-Committee.


SBA = Small Business Administration

PTAC = Procurement Technical Assistance

Center

PTAP = Procurement Technical Assistance Program

49



003I – Small Business Program Success

8. Active Procurement Participation


1 2 3 4 5 6 7 8 9 10

SCORE GUIDE

1 = Procurement staff is untrained.

3 = Procurement staff is aware.

5 = Procurement staff is active.

7 = Procurement staff is “Mark I

Matchmaker” Certified.

9 = Same as 7, and procurement is meeting the goals.


50



003J – Small Business Program Success

9. Connection to CCR – Dynamic

Small Business Search


1 2 3 4 5 6 7 8 9 10


SCORE GUIDE

1 = What is CCR – Dynamic Small

Business Search?

3 = How do I use CCR - Dynamic Small

Business Search ?

5 = CCR - Dynamic Small Business

Search is used to verify certifications.

7 = Our database is checked against

CCR - Dynamic Small Business

Search database regularly.

9 = Same as 7, and we are compliant.

CCR WWW.CCR.GOV

(click on Dynamic Small

Business Search)

51



003K – Small Business Program Success

10. Accurate and On Time reporting.


1 2 3 4 5 6 7 8 9 10


SCORE GUIDE

1 = Reporting…What reporting?

3 = What’s an ISR?

5 = ISRs and SSRs are issued.

7 = Same as 5, and all data is compliant.

9 = Same as 7, and reports are issued on time.

ISR – Individual Subcontracting Report

(formerly SF294).

SSR – Summary Subcontracting Report

(formerly SF295).

52



003L – Small Business Program Success

How did your company rate?

1.

2.

3.

4.

____

____

____

____

5.

6.

7.

8.

____

____

____

____

9.

____

10.

____

Total: ______

SCORE CHART

10 - 29 score Unsatisfactory

30 - 49 score Marginal

50 - 69 score Acceptable

70 - 90 score Highly Successful

91 - 100 score Outstanding

 Note: This approximate score rating is subject to other factors and a formal review by Federal agencies. Individual results may vary from site to site.

53



003M – Small Business Program Success

OUTSTANDING

 Exceeded all negotiated goals or exceeded at least one goal and met all of the others. [Negotiated goals for rating purposes compares the percentage goals with the percentage achievements.]

 Has exceptional success with initiatives to assist, promote and utilize SB,

SDB, WOSB, HUBZone, VOSB, and SDVOSB. [Examples include, but are not limited to, participating in a MentorProtégé program, performing compliance reviews at subcontractors' sites, administering a buyer incentive program, participating in trade fairs, promoting registration in

CCR, and contacting suppliers to encourage SDB and HUBZone certification.]

 An outstanding rating signifies that the company has an exemplary program that could be used as a model by other contractors in similar industries.

54



003N – Small Business Program Success

HIGHLY SUCCESSFUL

 Met all of its negotiated goals in the traditional socio-economic categories

(SB, SDB, and WOSB) and met at least one of the newer socio-economic goals (HUBZone, VOSB, and SDVOSB) for each contract that contains two or more of these goals.

 Has significant success with initiatives to assist, promote and utilize SB,

SDB, WOSB, HUBZone, VOSB and SDVOSB.

 Makes an effort to go above and beyond the required elements of the program and can provide documentation and success stories to support such efforts.

55



003O – Small Business Program Success

ACCEPTABLE

 Demonstrated a good-faith effort to meet all of its goals, but has not met the rigorous criteria for a Highly Successful or Outstanding rating.

 Fulfills the requirements of its subcontracting plan and the regulations.

ISR and SSR reports are complete and accurate.

56



003P – Small Business Program Success

MARGINAL

 Deficient in meeting key subcontracting plan elements, the ISR and/or

SSR reports are not correct, or the contractor has failed to satisfy one or more requirements of a corrective action plan currently in place.

 However, contractor's management does show an interest in bringing its program to an acceptable level and has demonstrated a commitment to apply the necessary resources to do so. A corrective action plan is required, and the Administrative Contracting Officer(s) must be notified.

57



003Q – Small Business Program Success

UNSATISFACTORY

 Non-compliant with the contractual requirements of DFARS and FAR

52.219-8 and 52.219-9.

 Contractor's management shows little interest in bringing its program to an acceptable level or is generally uncooperative [for example, recommendations made by SBA or DCMA on previous reviews have never been implemented].

 A corrective action plan is required, and the Administrative Contracting

Officer(s) must be notified.

58



003R – Small Business Program Success

Who is the Small Business Liaison Officer (SBLO)?

Appointment

 The Small Business Liaison Officer (SBLO) should have a Letter of

Appointment defining their roles and responsibilities.

 Reports directly to the CEO or senior level management and has influence over all subcontracting activities and can effectively implement the overall SB Program.

 Assures maximum opportunities are afforded to those entities outlined in the company policy statement.

 The cognizant DCMA office should be notified when a new SBLO is appointed.

59



003S – Small Business Program Success

What is the SBLO responsible for in most organizations?

The SBLO is responsible for the entire program for their organization.

 Develop local procedures.

 Develop source lists, guides to identify suppliers. Use of CCR, PTAC’s,

SBA, DCMA and other sources.

 Ensure updates to supplier base and that on going efforts are being made to locate, utilize and develop SB, SDB,WOSB, HUBZone, SDVOSB and

VOSB vendors.

 Attend and sponsor procurement conferences.

 Brief management and other personnel involved in the supply chain management on SB program.

60



003T – Small Business Program Success

What is the SBLO responsible for in most organizations?

The SBLO is responsible for the entire program for their organization.

 Conduct training for all personnel involved in the subcontracting effort.

 Completion of ISR/SSR semi-annually.

 Use of SubNet (SBA’s program) and United States Air Force Interactive

Mall to advertise subcontracting opportunities.

 Networking with industry SBLO’s, PTAC/PTAP, DCMA and SBA.

61



003U – Small Business Program Success

Important: Small Business Programs are subject to monitoring and review by DCMA and the SBA.

 DCMA Offices provide performance data to Contracting Officers when evaluating the subcontracting plans prior to contract award.

 5 year trend data is maintained on the contractor’s overall performance

 At contract completion, the Contracting Officer is provided a copy of the results of your individual contract performance.

 Monitor your program from every aspect.

 Reduce the size of the supplier base and maintain long-term relationships.

 Ensure that small business concerns have an opportunity to compete over a period of time; therefore the search should be continuous.

62



003V – Small Business Program Success

 Ongoing process involves all personnel involved in the supplier process.

 Recommended that you request continuous input/feedback/reporting from these individuals so that you have the information readily available.

 Upon completion of the review, it is requested that an exit briefing be scheduled with the CEO/President or senior management.

 A program rating will be assigned as a result of the review. The five categories were previously identified.

63


Module 4: Preparing a Small Business Subcontracting Plan

 This Module will provide the information needed to prepare a Small

Business Subcontracting Plan as part of a proposal or contract.

 The required elements are covered as well as the calculation methods used in establishing the goals. Incentive programs are also discussed.

64



004A – Select Plan Type

First, Select the Plan Type

 For Example:

Individual Subcontracting Plan

(FAR 19.704(a))

 OR another plan type

A separate plan for each contract over:

$1,000,000

(Construction)

$550,000

65



004B – Select Plan Type

Commercial plan (FAR 19.704(d))

 A subcontracting plan (including goals) that covers the offeror's fiscal year and that applies to the entire production of commercial items sold by either the entire company or a portion thereof (eg., division, plant, or product line).

 Preferred type of subcontracting plan for contractors furnishing commercial items (FAR 19.701).

 Submitted to (1) the first Contracting Officer awarding a contract subject to the plan during the contractor’s fiscal year or (2) if the contractor has ongoing contracts with commercial plans, to the Contracting Officer responsible for the contract with the latest completion date.

 Approved plan shall remain in effect during the contractor’s fiscal year for all Government contracts during that period.

66



004C – Select Plan Type

Comprehensive Subcontracting Plan (DFARS 219.702(a))

 DoD is currently conducting a test program to determine whether a corporate, division, or plant-wide basis will increase subcontracting opportunities for small business concerns.

 The test is being conducted from October 1, 1990 through

September 30, 2010.

 No Incentive Clauses are applicable during the period of the test program.

Eligible contractors are large business concerns at the major (total) corporate level that during the preceding fiscal year:

 Were performing under at least 3 DoD Contracts, and were paid $5 million or more for the contracts.

 Achieved a small disadvantaged business goal of 5% or more during the preceding year.

67



004D – Select Plan Type

Comprehensive Subcontracting Plan (DFARS 219.702(a))

Comprehensive subcontracting plans:

 Are negotiated on an annual basis by DCMA.

 Incorporated into all contractors’ active DoD contracts, which require a plan.

 Use by all DoD Contracting Officers in contracts which require a plan awarded contractors during the test period.

 Not subject to application of the liquidated damages during the period of the test.

68



004E – Select Plan Type

Master Plan

 A subcontracting plan that contains all the required elements of an individual contract plan, except goals (and description), and may be incorporated into individual contract plans, provided the master plan has been approved.

69



004F – Select Plan Type

Master Subcontracting Plan (FAR 19.704(b))

 Incorporated, maintained and updated by the contractor’s cognizant contract administration office and established on a plant or division-wide basis.

 Contains all required elements except goals.

 Separate goals for SB, SDB, WOSB, HUBZone, SDVOSB, and VOSB are submitted for each contract.

 Effective for a 3-year period AFTER approval by the Administrative

Contracting Officer.

 When incorporated in an Individual Plan, shall apply throughout the life of the contract.

70



004G – Select Plan Type

Individual Subcontracting Plan

 A subcontracting plan that covers the entire contract period (including option periods), applies to a specific contract, and has goals that are based on the offeror's planned subcontracting in support of the specific contract, except that indirect costs incurred for common or joint purposes may be allocated on a prorated basis to the contract.

71



004H – Establish Goals

1. Identify needs to satisfy the contract:

•

Purchased Parts

•

Subcontracts

•

Service Contracts

•

Indirect (MRO) Items

2. Identify Supplier Ownership Type

3. Estimate Current Cost

•

Cost estimating may be based on

•

Historical Data

•

Supplier Quotes

•

Purchase agreement

4. Goals

 Based on perceived subcontracting opportunities.

 Categorize the dollars and percentages by business type (i.e.: small + large = total subcontracted dollars) SDB, WOSB, HUBZone,

VOSB & SDVOSB are subcategories of small business.

 Goal percentages are calculated based on total subcontracting dollars.

 Prepare a “Goal Sheet” to add to your

Small Business plan.

72



004I – Self-Certifications

Contractors acting in good faith may rely on written representations by their subcontractors regarding their small business status or SBA

Certifications, when required by regulation.

REMEMBER: Credit for Small

Business goals may require a

Certified supplier.

Self Certification is required for:

 a small business.

 a veteran-owned small business

 a service-disabled veteran-owned small business.

 a Woman-owned small business

 a small disadvantaged business.

SBA Certification is required for:

 HUBZone businesses.

73



004J – Dollars



Plan must include:

- Total dollars to be subcontracted

- Total dollars planned for each category of small business

- Percentage goals for each category of small business

74



004K – Identify Current Suppliers

Identify current Supplier category

 Small Business

 Large Business

 Small Disadvantaged Business

 HUBZone Small Business

 Woman-Owned Small Business

 Veteran-Owned Small Business

 Service-Disabled Veteran-Owned

Small Business

 HBCU/MI

List Goals for each category

75



004L – Type Product/Service Contracted

Prepare a matrix showing the supply/service to be procured and the SB categories that will provide the supplies or services

(Helps to identify ideal type of plan)

Identify the source of the supply as:

1. Commercial Item

2. Standard Catalog Item

3. Contract Specific Item

4. Qualified Military Product

5. Sole/Single Source Item

Provide an explanation of the goals based on the supply mix used in the plan.

76



004M – To Calculate Goals

Total planned subcontracting dollars =

Total of all Large and Small Subcontracting dollars

Anticipated spend with companies located in the United States to perform customer contract

(this is the denominator for ALL GOAL calculations)

77



004N – Small Business Concerns

Goal percentage to be subcontracted to:

Small Business Dollars / (divided by)

Total Planned Subcontracting Dollars ( x100)

= % SB goal

(Congressional goal 23.0%)

78



004O – Small Business Goals

Total dollars planned / Goal % to be subcontracted to:

Small Disadvantaged Business Concerns

Total Planned Subcontracting Dollars x100 = % SDB goal

(Congressional goal 5.0% & includes HBCU/MIs and ANCs)

79



004P – Small Business Goals


Woman-Owned Small Business Concerns

Total Planned Subcontracting Dollars x100 = % WOSB goal

(Congressional goal 5.0%)

80



004Q – Small Business Goals


HBCU/MIs

Total Planned Subcontracting Dollars x100 = % HBCU/MI goal

(Congressional SDB goal 5.0% includes HBCU/MIs)

81



004R – Small Business Goals


HUBZone Small Business Concerns

Total Planned Subcontracting Dollars x100 = % HUBZone goal

(Congressional goal 3.0%)

82



004S – Small Business Goals


Veteran-Owned Small Business Concerns

Total Planned Subcontracting Dollars x100 = % VOSB goal

(Congressional goal 3.0% placed only on Service Disabled)

(VOSB goal includes SDVOSB goal)

83



004T – Small Business Goals


Service-Disabled Veteran-Owned Small Business Concerns

Total Planned Subcontracting Dollars x100 = % SDVOSB goal

(Congressional goal 3.0%)

(Included in VOSB goal)

84



004U – Small Business Goals



For any percentage goal less than the Congressional goal, provide an explanation as to why the goal is lower.

85



004V – Small Business Goals

The Plan must include:

 A description of methods used to develop goals.

• Example: How SB content was realistically established based on historical or

Bill of Material sourcing analysis.

 A description of methods used to identify potential sources.

• Example: Historical or CCR.

 A Statement whether or not offeror included indirect costs in establishing goals.

• Note: Indirect subcontracting is useful when NO direct subcontracting is planned ( an allocation method may be used).

86



004W – Indirect Allocation

 If indirect costs (overhead) are included in the goal, then the allocation method must be explained.

 Each firm has its own method to allocate indirect costs to a contract.

 For Small Business purposes, one method would be to determine the total indirect spending for the last year. Analyze the spending by source to determine which categories the spending falls into.

 Once the spending is categorized, determine what percentage of the total indirect applies to each category of small business.

 Apply that percentage to planned indirect costs and add the resulting dollars to the planned direct dollar spending.

87



004X – Name of Individual Administering

Individual Responsible for Administrating the Plan :

Employee (name, title, contact information) who will administer the offeror’s subcontracting program

& description of duties

Ref: FAR 52.219-9 (d) (10)

88



004Y – Assurances



Describe efforts offeror will make to assure small business concerns have an equitable opportunity to compete for subcontracts. See FAR 52.219-9 (e) for details.

FAR ref: 52.219-9 (d) (8)

89



004Z – Assurances

 FAR 52.219-9(e) lists 5 functions that a contractor is expected to perform in implementing its plan:

- Assist small firms by arranging solicitations, time for bid preparation, quantities, specifications and delivery schedules to facilitate participation.

- Provide adequate and timely consideration of the potentialities in all

“make-or-buy” decisions.

- Counsel and discuss subcontracting opportunities.

90



004AA – Assurances

 FAR 52.219-9(e) lists 5 functions that a contractor is expected to perform in implementing its plan (cont.):

- Confirm that a subcontractor representing itself as a HUBZone firm is identified as certified in the Central Contractor Registration or by contacting SBA.

- Provided notice to subcontractors concerning the penalties and remedies for misrepresentation of business status for the purpose of obtaining a subcontract that is to be included as part of a goal.

91



004AB – Assurances



Statement:

Contractor will cooperate in any studies or surveys as may be required.

FAR ref: 52.219-9 (d) (10)



Statement:

Contractor will submit periodic reports as required

ISRs & SSRs (formerly SF 294 & 295).

FAR ref: 52.219-9 (d) (10)

92



004AC – Assurances

Statement that the offeror will include the following clause:

“Utilization of Small Business Concerns”

(FAR 52.219-8) in all subcontracts that offer further subcontracting opportunities, and that the offeror will require all subcontractors (except small business concerns) that receive subcontracts in excess of $550,000

($1,000,000 for construction of any public facility) to adopt a subcontracting plan that complies with the requirements of this clause.

93



004AD – Records

FAR 52.219-9(d)(11) lists 6 specific records that the contractor must agree to maintain:

--

Source lists, guides and other data identifying small business concerns.

-- Organizations contacted to locate small business concerns.

94



004AE – Records (cont.)

Were firms in each of the small business categories solicited?

If not, Why not?

AND, if applicable, why the award was not made

95



004AF – Records (cont.)

 Outreach efforts to contact trade associations, business development organizations, conferences and trade fairs.

 Records of internal guidance and encouragement to buyers through workshops, seminars, training, etc. and monitoring performance to evaluate program compliance.

 On a contract-by-contract basis, records to support award data including the name, address and business size of each subcontractor.

96



004AG – Participation Plans

Some contracts may require a Small Business Participation Plan

(DFARS 215.304)

 The contracting officer shall evaluate the extent to which offerors identify and commit to small business and Historically Black Colleges &

Universities and Minority Institutions in the performance of the contract, whether as a joint venture, teaming arrangement, or subcontractor.

(A) Evaluation factors may include:

1. The extent to which such firms are specifically identified in proposals.

2. The extent of commitment to use such firms (for example, enforceable commitments are to be weighted more heavily than non-enforceable ones).

3. The complexity and variety of the work small firms are to perform.

4. The realism of the proposal.

97



004AH – Assurances – Records of Awards of $100,000

Sample Matrix

Received

Award

SB

SDB

WOSB

HUBZone

VOSB

SDVOSB

Solicited

Did not

Respond

Not Solicited

Because

98

Module 5: Small Business Assessment


 This module covers the assessment of small business firms in preparation for solicitations and source selection. A series of recommendations on the evaluation process are made to assist the user in determining the probability of subcontractor success. The information will ensure that buyers do not overlook the capability of small business entities in performing subcontracts.

99



005A – SB Assessment

How should small business firms be assessed and evaluated for prime or subcontracting opportunities?





A. Gut feel

B. Company brochures

 C. An organized assessment process

 D. An introduction at a Matchmaker event

(check one)

Answer: C

This Module covers:

1. Use of evaluation tools

2. The evaluation process

3. Fundamental success factors

4. Technical/Business Expertise

5. Integrity/Ethics/Vision

6.

“Owner in the store”

7. Subjective assessment

100



005B – SB Assessment



1. Use of Evaluation Tools

The use of evaluation tools may vary from state to state and company to company but here are the basic tool types to consider.

Evaluation Tools:

1. Standard business reports

2. Commercial evaluations

3. Lean Manufacturing

4. CCR Certifications

5. Not on Debarred List (EPLS)

2. The Evaluation Process

 Key elements that can assist in the true picture of a company’s capability.

Evaluation Elements

1. Past performance

2. Relationships

3. Inspection and Pre-award Surveys

4. References/History

5. Inventory position

6. Financial status

101



005C – SB Assessment

3. Fundamental and Critical Success

Factors

 Elements that effect a firms ability to be successful.

Critical Success factors:

1.Adequately capitalized

2. Drive and determination

3. Competitive advantage

4. Demand for product or service

5. Pricing and profit margins

4. Technical Expertise

 The minimum required expertise to conduct business and projects.

Technical Expertise Required

1. Marketing/Pricing

2. Production

3. Organization and management

4. Financial and Accounting

5. Quality Management

6. Safety and loss control

102



005D – SB Assessment

5. Integrity/Ethics/Vision

 The foundation of any organization is the ethical basis of the operation.

Integrity/Ethics/Vision

1. Honesty

2. Vision - long term goals

3. People skills

4. Workers that share the vision

6. Expertise

 The basis for the firms ability to perform any given task.

Expertise:

1. Are the skill sets present to do the work?

2. Is training a way of life?

3. Are there single points of failure?

103



005E – SB Assessment

7. Owner in the Store

 Local management may be key to the effectiveness of the business unit.

Owner in the Store

1. Is the owner involved on a day to day basis?

2. Does management have good financial relations with financing and professional services?

3. Are they profitable?

4. Is this a serious business for the owners or just a hobby?

104



005F – SB Assessment

8. Subjective Assessment

 Use your experience and the information from the above items to help formulate the evaluation report.

Subjective Assessment:

1. Housekeeping and general appearance.

2. Is this the company you would do business with if it was your money?

3. How’s the attitude of the people?

Are they ready to take our order and perform all aspects of it well?

YES or NO ?

105


Module 6: Small Business Metrics and Reporting

 This Module covers the reporting required against the Small Business

Subcontracting Plans created in Module #4. The ISR and SSR are reviewed in detail. Optional form OP312 is also discussed.

 Note: The information contained herein is for guidance and education only and does not replace or supersede any Federal Acquisition Regulations or instructions.

 Some of the material to be presented in the following slides was taken from the eSRS website and from a TRIAD presentation given earlier this year.

106



006A – Reporting

What is eSRS?

 eSRS is the electronic reporting system that replaces paper reporting on

SF294s and SF295s.

 SF294 has been replaced with the ISR – Individual Subcontracting

Report.

 SF295 has been replaced with the SSR – Summary Subcontracting

Report.

107



006B – Reporting

Individual Subcontracting Report/Summary Subcontracting Report

(ISR/SSR)

 Both reports are due semi-annually for those contractors reporting under

Individual Subcontracting Plans.

 ALL Contractors including those in the Comprehensive Subcontracting

Program report semi-annually via the SSR (except those with Commercial

Plans).

 Contractors under Commercial Plans report via the SSR annually, at the end of the Government’s fiscal year.

 The performance data is based on the Government’s fiscal year between

October 1 through September 30.

108



006C – Reporting

Semi Annual Reporting Means:

Sending the reports to DCMA or the contracting agency on time

 Midyear reports are due 30 days after the end of the first reporting period

(March 31), which is April 30 and

 30 days after the end of the fiscal year September 30, which is October

30.

109



006D – Reporting

Authority:

 On July 19, 2008, the Deputy Under Secretary of Defense issued a Memorandum directing that eSRS be implemented for FY08 year-end subcontracting reporting for ALL DoD agencies.

 http://www.acq.osd.mil/osbp/doing_business/e-srs.htm

110



006E – Reporting

FAR 52.219.9

ISR

 Report for individual contracts

 Data is cumulative during the life of your program as purchased from US firms

 At the end of contract performance, the final data is sent to the

Contracting Officer as a performance record

 Timeliness and accuracy of the report is critical

 Reports are deliverables under the contract

111



006F – Metrics and Reporting





Contractor Registration in eSRS:

Registration in eSRS is a two-part process - Submitting a registration request and Waiting for approval from eSRS.

Part 1 – Requesting Approval

1.

2.

Visit www.esrs.gov

to register

Select “Contractors” under “Log-In or Register Now”

3.

Select “New Contractors: Register”

4

.

Enter your company’s DUNS number

112



006G – Metrics and Reporting

Requesting Approval, (cont’d)

5

. Review your company information. This information is pulled directly from CCR. If it needs to be updated, stop the registration process and go to www.ccr.gov

to update your information.



6.

Fill in the contact information.

TIP: Make sure that the DUNS number you are using is the same as the DUNS number used on the contract you are submitting the report for.

113



006H – Metrics and Reporting

Part 2 – Registration Approval:

 Check your email for an email from esrs@sba.gov

. This email will confirm your registration request. To finish the registration process, click on the link provided in the email.

114



006I – Reporting

Entering an ISR:

1.

2.

3.

Make sure you are registered in eSRS

Click on “Contractor”

Click on “File ISR” from the left navigation and then on “Continue”.

Because eSRS contains a number of new fields that did not exist on the

SF294, you will need the following for referral:

DUNS number as it appears on your contract

Product and Service Codes

NAICS as it appears on your contract

4 . Enter the contract number (no dashes). If there are existing contracts in the system under the DUNS number you entered, they will appear in the drop down menu.

115



006J – Reporting

Entering an ISR (Cont’d)

*** TIP ***

If you get an error message that your contract number does not match any contracts in the system, contact your

Government contracting official. The contract you are trying to reference is not coded in FPDS as having a subcontracting plan. Accordingly, this needs to be updated in FPDS by the

Government before you can proceed with entering your ISR.

116



006K – Reporting


5 . Once eSRS has found your contract, indicate whether you are the prime or the sub for the contract.

6.

Your contract information will be pulled directly from FPDS (discussed a few slides ahead). Ensure that the information provided is correct. If not, inform your Government contracting official of the error(s).

7.

8.

9.

Fill in any open boxes showing on the screen. These represent information not found in FPDS.

Enter the dollar values in each box. All mandatory fields are marked with a red * . eSRS will automatically calculate percentages.

Certify your information and include contact information for the person at your organization that administers the contract. This may be different from the person who is submitting the report.

117



006L – Reporting


10.

Include the email addresses of those individuals you would like notified that your report has been submitted. This must include the Government contracting official responsible for your contract.

11.

Review the information you have inputted and select “Submit”. Those that you have designated with email addresses will receive notification that the report has been filed.

12.

The Approving Official is the Contracting Officer that issued the contract.

118



006M – Reporting

FPDS: Federal Procurement Data Systems – Next Generation

 FPDS/NG identifies contracts having subcontracting requirements https://www.fpds.gov

 Use FPDS/NG if you are unable to find or report against a contract in eSRS.

 In FPDS you will find the Contract Number as it will appear in eSRS,

DUNS number, Vendor Name and Location.

 If your contract is in FPDS/NG but not in eSRS, then the likely problem is that the Government contracting official has not checked off that a subcontracting plan is required.

119



006N – Reporting

SSR

 SSR is a report of your entire US Owned Supplier Spend

 Data collected should include all direct US Govt. contracts, large and small dollars as well as indirect dollars with US Firms.

 The report is completed semi-annually and covers overall performance on

Federal contracts

 The Approving Official for your DoD SSR will be the cognizant Assistant

Director of Small Business at DCMA

120



006O – Reporting

Entering an SSR:

1.

2.

3.

4.

5.

Make sure you are registered in eSRS

Log into www.esrs.gov

and select “Contractor”

Click on “File SSR” from the left navigation and then “Continue”.

Because eSRS contains a number of new fields that did not exist on the

SF295, have your DUNS number, Product and Service Codes and

NAICS for referral.

Select the type of Subcontracting Plan for which you are submitting the

SSR: “Individual” or “Commercial”.

Input your company’s DUNS number. Your company information will be pulled directly from CCR. If your company information is incorrect, you must go to www.ccr.gov

and update the information before proceeding with the SSR.

121



006P – Reporting

Entering an SSR (Cont’d)

6.

7.

8.

Input the date submitted and your contact information.

Reporting Period: For a report submitted under an Individual

Subcontracting Plan, select the correct reporting period and year that corresponds with your report. For a report submitted under a

Commercial Subcontracting Plan, the reporting period and the year are the dates covered by your Commercial Subcontracting Plan.

For a report submitted under an Individual Subcontracting Plan, select the “Agency” from the drop-down menu. Do not select “Department of

Defense” as your Agency. You should select the organization at the

Department of Defense that administers the majority of subcontracting plans (e.g., USAF or USTRANSCOM).

122



006Q – Reporting


9.

Check the box indicating whether you are a prime contractor or subcontractor for this report.

10.

Provide the name and NAICS Code of the major product(s) or service line(s) of your company.

11.

Fill in the subcontracting data for each business category. If you are submitting a report based on a Commercial Subcontracting Plan, specify agencies to which you are submitting your report and the percentages of dollars attributable to each. Also indicate which agency approved your Commercial Subcontracting Plan.

123



006R – Reporting


12 . Provide the contact information for the person at your company that administers your subcontracting program. This person may be different than the person who is submitting the report. (NOTE: This will not be the name of any

Government contracting official responsible for your contracts.) Then certify that the information contained in the report is accurate and that the totals do not include lower-tiers.

13.

Provide the name and title of the CEO in your company. Certify that the CEO will review your report and will sign a hard copy that will be kept on file for four

(4) years.

14.

15.

Include the email addresses of those individuals you would like to be notified that your report has been submitted. This must include the Government contracting official responsible for your contract.

Review the information you have inputted. Select “Continue” and then “Submit”.

Those that you have designated with email addresses will receive notification that the report has been filed.

124



006S – Reporting

Optional Form 312

#1 Reason

 If a contract contains either of the SDB Participation mechanisms - the

Evaluation Factor for SDB Participation or the Monetary Subcontracting

Incentive- the contracting officer needs a way to determine at contract completion that the contractor met its SDB target in the authorized NAICS

Major Groups codes. The Optional Form 312 does not have to be submitted semi-annually, as does the ISR; rather it is submitted only once, at contract completion.

125



006T – Reporting

Optional Form 312

#2 Reason

 Is to provide a way for the Government to collect comprehensive subcontracting data by NAICS code. This information will enable the

Dept. of Commerce to fine-tune its industry benchmarks in subcontracting.

It will be accomplished by requiring all Government contractors that normally submit the Summary Subcontract Report, to include a breakout of subcontract awards to SDBs by NAICS code.

126



006U – Reporting

NOTE:

 Effective Oct 1, 2000, FAR Clause 52.219-9, under Paragraph (j)(2), SSR

Reporting, changed to read as follows: “All reports at the close of each fiscal year (both commercial and individual plans) shall include a breakout, in the Contractors format, of subcontract awards, in whole dollars, to Small Disadvantaged Business concerns by NAICS

Classification Industry Subsector. For a Commercial Plan, the Contractor may obtain from each of its subcontractors a predominant NAICS Major

Group and report all awards to that subcontractor under its predominant

NAICS Code.

127



006V – Reporting

Common mistakes on the forms:

Make sure the data is ACCURATE

 Block 2: Wrong or incomplete DUNS Number

 Block 6: Administering Activity. If you are reporting to NASA or Civilian

Agencies, you will have to issue a SSR to those agencies. DCMA does not collect data for the Corps of Engineers – they have their own reporting mechanism.

 Block 7: Report on both subcontract number, if applicable, and appropriate contract #.

 Block 8: Use most recent address and street number for the Buying

Activity.

 Ensure data is cumulative on an annual basis for the SSR and for the life of the contract for the ISR.

128


Module 7: Information Resources and FAQs

 This Module covers Frequently Asked Questions and the resources to help find the answers. It is an overall resource management section for small business professionals.

 This is a starter module and should be enhanced as new questions come up in the training sessions.

129



007A – FAQ #1

FAQ #1:

Q: A supplier states they are certified as a minority business by the State of

Connecticut. Is that certification valid for a DOD prime contractor?

A: NO. A supplier is considered a Small Disadvantaged Business if they are self-certified by signed statement from responsible company management.

130



007B – FAQ #2

FAQ #2:

Q: Are certifications from the National Minority Supplier Development

Council or the U.S. Department of Transportation valid for US DOD contractors?

A: NO. A supplier is considered a Small Disadvantaged Business if they are self-certified by signed statement from responsible company management.

131



007C – FAQ #3

FAQ #3:

Q: A Woman-Owned Small Business is certified by a National Woman-

Owned Supplier Organization. Is this certification valid for US DoD contractors?

A: NO. A supplier is considered a Woman-Owned business if they are selfcertified by signed statement from responsible company management.

132



007D – FAQ #4

FAQ #4:????

Q: A Woman-Owned Small Business claims to also be a DBE.

Is this valid proof they also are certified as an SDB and valid for US

DOD contractors?

A: NO. A supplier is considered a Woman-Owned business if they are selfcertified by signed statement from responsible company management.

133



007E – FAQ #5

FAQ #5:

Q: Where can I get information about small businesses in my state?

A: The SBA Office, the Dynamic Small Business Search, or the

Procurement Technical Assistance Center/Procurement Technical

Assistance Program (PTACs or PTAPs near you).

PTACs or PTAPs are very helpful in connecting you with local small businesses.

134



007F – PTAC/PTAP Contacts

Contact List of Northeast PTACs/PTAPs

 NH

– David Pease phone: 603-271-7581 email: dpease@dred.state.nh.us

website: www.nheconomy.com/ptac









ME - Pat Rice

CT

– Brien Robertson

VT

– Bill Masterson

RI - Dorothy Reynolds phone: 800-339-6389 website : www.emdc.org

email: price@emdc.org

phone: 860-437-4659 email: brobertson@secter.org

website : www.secter.org/ptap.htm

phone: 802-828-5237 email: bill.masterson@state.vt.us

website : www.thinkvermont.com/vtptac phone: 401-222-2601 website : www.riptac.com

email: dreynold@riedc.com

 MA - Peter Cokotis phone: 413-737-6712 w ebsite : www. msbdc.org/ptac email: pcokotis@som.umass.edu

 NY is divided into regional programs. Go to www.aptac-us.org

or www.dla.mil/db/procurem.htm

for a list.

135


Module 8: Staying Current

 This module is about keeping up with the changes to the regulations and policy statements that govern small business subcontracting.

136



008A

Stay on top of what is happening in the world of Small Business!

 Stay current on the changes to the Federal Acquisition Regulations concerning small business programs.

 Stay abreast of pending legislation in the Federal Register.

 Inform company management about legislative changes.

 Keep company management informed on small business trends.

 Point out the strengths and weaknesses in your program.

 Maintain measurements of your program. Note your successes. Provide continuous improvement methods on weaknesses.

 Continue to develop new suppliers to enhance your program.

 Maintain contact with your SBA, PTAC/PTAP.

 Get involved in your Regional Council.

 Attend conferences and matchmaker events.

137



008B

DO OUTREACH!!

138


Expressions from a winning American Icon

“ It's deja vu all over again"- Yogi Berra

Learn from last year’s 295 or SSR and try to improve performance every year

“ You can observe a lot by watching” - Yogi Berra

We hope that watching this training was helpful

“ We made too many wrong mistakes” - Yogi Berra

Wrong mistakes are the worst kind…don’t make em’.

Hope we helped you to avoid them.

“ It ain't over 'til it's over” - Yogi Berra

Well...It’s Over!

139


Resources

DEFENSE DEPARTMENT AGENCIES

Air Force Small Business http://selltoairforce.org/

Army http:www.acquistion.army.mil/asfi/

Marine Corps http://www.hqmc.usmc.mil/ilweb.nsf

Navy http://www.abm.rda.hq.navy.mil

/

Defense Acquisition University http:www.dau.mil/

Defense Advanced Research Projects Agency (DARPA) http://www.darpa.mil/sbir/

140


Resources


Defense Automated Printing Service http://www.daps.dla.mil/

Defense Contract Management Agency http://www.dcma.mil

Defense Logistics Agency http:www.dla.mil/

Defense Logistics Information Service, Battle Creek, MI http://www.dlis.dla.mil/

Defense Logistics Agency Forms http://www.dla.mil/dss.forms/

Defense Procurement Acquisition Policy http://www.acq.osd.mil/dpap/

141


Resources


Defense Reutilization and Marketing Svc. Battle Creek, MI http://www.drms.dla.mil/

Defense Technical Information Service http://www.dtic.mil/dtic/

Department of Defense Office of Small Business http://www.acq.osd.mil/osbp/

List of DoD Small Business Specialists http://www.acq.osd.mil/osbp/doing_business/index.htm

Small Business Tutorials by Air Force Outreach Programs Office www.selltoairforce.org/Training/Training.aspx

142


Resources

DEFENSE DEPARTMENT SMALL BUSINESS PROGRAMS

HBCU/MI http://www.acq.osd.mil/osbp/programs/hbcumi/Home.htm

Indian Incentive http://www.acq.osd.mil/osbp/iip/index.htm

Mentor Protégé http://www.acq.osd.mil/osbp/mentor_protege

Small Business Innovative Research http://www.acq.osd.mil/osbp/sbir/index.htm

Veterans http://www.acq.osd.mil/osbp/programs/veterans/index.htm

Woman http://www.acq.osd.mil/osbp/programs/wosb/index.htm

143


Resources

OTHER FEDERAL AGENCIES

Department of Commerce http://www.commerce.gov/

Department of Transportation http://www.dot.gov

General Services Administration (GSA) http://www.gsa.gov/

US Government Printing Office http://www.access.gpo.gov/

National Aeronautics and Space Administration (NASA) Small

Business http://www.osbp.nasa.gov/

Office of Government Ethics http://www.usgov.gov/

144

Resources


Federal Acquisition Regulation http://www.arnet.gov/far/ http://farsite.hill.af.mil

NSA http://www.nsaarc.net/


145

Resources


Center for Veterans Enterprise http://www.vetbiz.gov

Office of Personnel Management http://www.opm.gov

Small Business Administration http://www.sba.gov

U.S. House of Representatives http://www.house.gov/

U.S. Senate http://www.senate.gov/

The White House http://www.whitehouse.gov/


146


Resources

OTHER USEFUL GOVERNMENT WEBSITES

Acquisition Central http://www.arnet.gov/

Central Contractor Registration http://www.ccr.gov/

Code of Federal Regulations http://www.gpoaccess.gov/cfr/

Federal Acquisition Regulation http://www.arnet.gov/far http://farsite.hill.af.mil

Federal Register http://www.gpoaccess.gov/fr

Listing of Federal Opportunities http:// www.fedbizopps.gov

147


Resources

OTHER USEFUL GOVERNMENT WEBSITES

DLA FormFlow Index http://www.dla.mil/dss/forms/

GSA Forms Library http://www.gsa.gov/Portal/gsa/ep/formslibrary.do?formType=ALL

National Security Agency http://nsa.gov

Office of Government Ethics Forms http://www.usoge.gov/index.html

Office of Personnel Management Electronic Forms http://www.opm.gov/forms/html/formflow.asp

Historically Black Colleges & Universities and Minority Institutions http.//www.ed.gov/about/inits/list/whhbcu/edlite-list.html

http://www.ed.gov/about/offices/list/ocr/edlite-minorityinst-list-tab.html

148


Resources

OTHER USEFUL WEBSITES

The Federal Marketplace: http:// www.fedmarket.com

National Industries for the Blind (NIB) http://www.nib.org

National Industries for the Severely Handicapped (NISH) http://www.nish.org

National Association of Women Business Owners (NAWBO): http://www.nawbo.org

Womenbiz http://www.womenbiz.gov

149

Module 1 - (DoD) Northeast Regional Council

The MATCHMAKERS HPT

The Matchmaker Team

The MATCHMAKERS HPT

Plan must include:

- Total dollars to be subcontracted

- Total dollars planned for each category of small business

- Percentage goals for each category of small business

For any percentage goal less than the Congressional goal, provide an explanation as to why the goal is lower.

Describe efforts offeror will make to assure small business concerns have an equitable opportunity to compete for subcontracts. See FAR 52.219-9 (e) for details.

FAR ref: 52.219-9 (d) (8)

Statement:

Contractor will cooperate in any studies or surveys as may be required.

FAR ref: 52.219-9 (d) (10)

Statement:

Contractor will submit periodic reports as required

ISRs & SSRs (formerly SF 294 & 295).

FAR ref: 52.219-9 (d) (10)

FAR 52.219-9(d)(11) lists 6 specific records that the contractor must agree to maintain:

--

DO OUTREACH!!

Related documents

Products

Support

Module 1 - (DoD) Northeast Regional Council

The MATCHMAKERS HPT

The Matchmaker Team

The MATCHMAKERS HPT

Plan must include:

- Total dollars to be subcontracted

- Total dollars planned for each category of small business

- Percentage goals for each category of small business

For any percentage goal less than the Congressional goal, provide an explanation as to why the goal is lower.

Describe efforts offeror will make to assure small business concerns have an equitable opportunity to compete for subcontracts. See FAR 52.219-9 (e) for details.

FAR ref: 52.219-9 (d) (8)

Statement:

Contractor will cooperate in any studies or surveys as may be required.

FAR ref: 52.219-9 (d) (10)

Statement:

Contractor will submit periodic reports as required

ISRs & SSRs (formerly SF 294 & 295).

FAR ref: 52.219-9 (d) (10)

FAR 52.219-9(d)(11) lists 6 specific records that the contractor must agree to maintain:

--

DO OUTREACH!!

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