Wednesday, October 5, 2011

SBA proposed rule

SMALL BUSINESS ADMINISTRATION
13 CFR Parts 121 and 125
RIN 3245–AG22
Small Business Subcontracting
AGENCY: U.S. Small Business
Administration.
ACTION: Proposed rule.
SUMMARY: The U.S. Small Business
Administration (SBA or Agency) is
proposing to amend its regulations to
implement provisions of the Small
Business Jobs Act of 2010, which
pertain to small business
subcontracting. SBA is proposing to
amend its regulations to provide for a
‘‘covered contract’’ (a contract for which
a small business subcontracting plan is
required, currently valued above $1.5
million for construction and $650,000
for all other contracts), a prime
contractor must notify the contracting
officer in writing whenever the prime
contractor does not utilize a
subcontractor used in preparing its bid
or proposal during contract
performance. SBA is also proposing to
amend its regulations to require a prime
contractor to notify a contracting officer
in writing whenever the prime
contractor reduces payments to a
subcontractor or when payments to a
subcontractor are 90 days or more past
due. In addition, SBA is proposing to
clarify that the contracting officer is
responsible for monitoring and
evaluating small business
subcontracting plan performance. SBA
is also proposing to clarify which
subcontracts must be included in
subcontracting data reporting, which
subcontracts should be excluded, and
the way subcontracting data is reported.
SBA is also proposing to make other
changes to update its subcontracting
regulations, including changing
subcontracting plan thresholds and
referencing the electronic
subcontracting reporting system (eSRS).
Some of the SBA’s proposed changes
would require the contracting officer to
review subcontracting plan reports
within 60 days of the report ending
date.
Finally, SBA is also proposing to
address how subcontracting plan
requirements and credit towards
subcontracting goals can be
implemented in connection with Multiagency,
Federal Supply Schedule,
Multiple Award Schedule and
Government-wide Acquisition
indefinite delivery, indefinite quantity
(IDIQ) contracts.
DATES: Comments must be received on
or before December 5, 2011.

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