SMALL BUSINESS PROGRAMS
5219.201 (DFARS 219.201) General policy.
(a) DoN policy is to utilize small, small disadvantaged, and women-owned small business concerns to obtain its requirements. Such concerns shall have the maximum practicable opportunity to participate both as prime contractors and as subcontractors.
(d)(7) A small business technical advisor shall be assigned to each office where a
resident SBA procurement center representative is located.
(9) Exceptions to the review requirements are contracts resulting from acceptance of unsolicited proposals; orders against indefinite delivery type contracts; and orders issued under GSA schedule contracts.
(e) Small business specialists shall be appointed in accordance with SECNAVINST
4380.8(current version). Small business specialists, in addition to performing the duties outlined in DFARS 219.201(d), shall -
(i) brief the appointing authority quarterly on implementation of the activity's Small and Disadvantaged Business Utilization (SADBU) program; and
(ii) conduct SADBU program training sessions to ensure that contracting and technical personnel maintain knowledge of program requirements.
(90) Reviews of SADBU program implementation at DoN contracting activities will normally be conducted as a segment of the Procurement Performance Measurement Assessment Program (PPMAP) reviews (see 5201.691). The Director, SADBU, will establish guidelines for the PPMAP review SADBU segment. PPMAP review SADBU segments shall be coordinated with the PPMAP review team leader. For reviews under 5201.691-2(a), the Director, SADBU, will coordinate designation of PPMAP review SADBU team members. Associate Directors of Small Business shall be responsible for implementation of the PPMAP review SADBU segment of their field contracting activities including designating PPMAP review SADBU team members and monitoring compliance with their recommendations. Team members should generally be Deputies for Small Business from other than the activity under review. Associate Directors of Small Business shall be responsible for providing a copy of the PPMAP review SADBU segment report(s) to the Director, SADBU.
5219.202-1 (DFARS 219.202-1) Encouraging small business participation in
acquisitions.
Contracting activities should, when practicable, conduct briefings on planned acquisitions for small, small disadvantaged, and women-owned small business concerns, and Historically Black Colleges and Universities (HCBUs) and Minority Institutions (MIs).
SUBPART 5219.5-SET-ASIDES FOR SMALL BUSINESS
5219.505 Rejecting Small Business Administration recommendations.
(d) The justification shall be forwarded through the HCA to the Director, SADBU, and shall include copies of all correspondence between the activity and the SBA related to the appeal, together with the rationale justifying the activity's non-set-aside determination.
SUBPART 5219.7-SUBCONTRACTING WITH SMALL BUSINESS, SMALL
DISADVANTAGED BUSINESS AND WOMEN-OWNED SMALL
BUSINESS CONCERNS
5219.704 (DFARS 219.704) Subcontracting plan requirements.
(a)(1) Each separate percentage goal should be realistic, justifiable and positive (i.e. greater than zero.)
5219.705 Responsibilities of the contracting officer under the subcontracting assistance program.
5219.705-4 (DFARS 219.705-4) Reviewing the subcontracting plan.
(d) When evaluating proposed subcontracting plans, contracting officers may obtain advice and recommendations from the cognizant contract administration office (CAO), and shall do so for any subcontracting plan that does not contain positive goals. The CAO should be specifically requested to review the factors used by the prime contractor to develop the zero goal, the past performance of the offeror on similar requirements, and the current procedures used by the offeror to maximize opportunities for small, small disadvantaged and women-owned small businesses to participate in its subcontracting program. The contracting officer shall consider the CAO's findings, including any recommendations, prior to approval of the subcontracting plan. The contract file will be documented to reflect the review and the contracting officer's final decision relative to an acceptable goal. If the contracting officer determines that a subcontracting plan which contains a zero goal is appropriate, the determination must be approved at a level above the contracting officer and placed in the contract file.
5219.705-5 Awards involving subcontracting plans.
(a)(5) Contracting officers shall incorporate the approved subcontracting plan into the contract by specific identification by reference in the Schedule, and may also include it as an Attachment to the contract. When the subcontracting plan is incorporated into the contract by reference, ensure the CAO is provided a copy.
5219.706 (DFARS 219.706) Responsibilities of the cognizant administrative
contracting officer.
(90) DoN CAOs shall submit SF 295, "Summary Subcontract Report," data to Washington Headquarters Service, Directorate for Information, Operations and Reports.
SUBPART 5219.8-CONTRACTING WITH THE SMALL BUSINESS
ADMINISTRATION (THE 8(a) PROGRAM)
5219.803 (DFARS 219.803) Selecting acquisitions for the 8(a) Program.
(b)(i) Contracting officers, in evaluating SBA requests for 8(a) Program support, or independently considering other acquisition requirements that may be accomplished by 8(a) firms, should coordinate such efforts with the activity small business specialist and cognizant technical personnel.
(ii) Where possible, procurement activity should be suspended pending final disposition of SBA requests. If the contracting officer determines that urgent mission requirements preclude further consideration, declination responses to SBA should factually explain such determinations.
5219.804 Evaluation, offering, and acceptance.
5219.804-1 (DFARS 219.804-1) Agency evaluation.
(f) Agency reviews, in addition to the factors in FAR 19.803(a), may take the form of a technical presentation or should be structured in a manner that affords an exchange of information between the 8(a) firm and the contracting activity that will enable the 8(a) firm an adequate opportunity to demonstrate its capability and capacity to perform the requirement. For sole source 8(a) contracts, SBA regulations preclude the use of formal technical evaluations. Contracting officers, however, may conduct informal assessments of several 8(a) firms' capabilities to perform a specific requirement.
(S-90) When a lack of capability or capacity forms the basis for declination responses to SBA, such responses should discuss factors such as the 8(a) contractor candidate's:
(1) lack of knowledge and understanding of the work to be performed;
(2) lack of experience in performing requirements of similar size and scope;
(3) lack of resources that are available (including contingent hires) or that must be acquired for contract performance;
(4) lack of ability to comply with subcontracting limitation provisions (see FAR clause 52-219-14);
(5) lack of ability to meet delivery schedules; and/or
(6) deficiencies in record of performance.
Contracting activities shall provide a copy of all 8(a) program declination letters to the Director, SADBU. Such copies shall be provided concurrent with submissions to SBA. Declination letters are subject to direct appeal by the SBA Administrator to the Secretary of the Navy (see FAR 19.810). Contracting officers should coordinate such declinations with the activity small business specialist or the CCO.
(b) Contracting activities shall provide a copy of 8(a) Program offering letters to the Director, SADBU concurrent with submission to SBA.
5219.804-4 Repetitive acquisitions.
(90) Requirements currently in the 8(a) Program are to remain in the 8(a)
Program if a responsible 8(a) firm is available to perform the requirement (but see FAR 19.804-4).
Upon notification that the SBA Administrator has filed an appeal, the contracting officer shall forward to the Director, SADBU, copies of all correspondence between the activity and the SBA related to the appeal, together with the rationale justifying the activity's determination.
