Name: Linda McGrail, Title: Business Specialist Agency: Federal Acquisition Service (FAS)

1. SUBCONTRACTING AND ESRS WORKSHOP Name: Linda McGrail, Title: Business Specialist Agency: Federal Acquisition Service (FAS) Date: May 4-6, 2010

2. Statutes/Authority • SMALL BUSINESS ACT • Created SBA in 1953 • PUBLIC LAW 95-507 • Amended SB Act in 1978 • Voluntary efforts changed to mandatory program. • Primes to provide maximum practicable opportunities. • Requires Annual Agency Goals • Established for Awarding Contracts

3. FAR Subpart 19.7 – The Small Business Subcontracting Program Outlines: • Statutory requirements • Eligibility requirements for participating in the program • Subcontracting Plan Requirements • Responsibilities of the contracting officer

4. SUBCONTRACTING GOALS • Goaling CategoryGoal • Small Business 37 • Veteran-owned Small Business 5 • Service-Disabled Veteran-owned small business 3 • HUBZone Small Business 3 • Small Disadvantaged Business 6 • Women-owned Small Business5

5. Subcontract Plans should be: • Realistic • Challenging • Achievable • With positive percentage and dollar goals “that build upon prior achievements”

6. Determining the Need for a Subcontracting Plan • Is the offeror other than small business? • Will contract action meet the dollar threshold? • MAS AND REAL PROPERTY - $550,000 Including Options • CONSTRUCTION - $1,000,000 Including Options • Do subcontracting opportunities exist?

7. When is a Subcontracting Plan Required? • New Contracts • Individual Plan • Annual Update • Commercial Plan

8. Types of Subcontracting Plans • Commercial • Company-wide • Company Fiscal Year • 12 Month Period • Submitted & Negotiated Annually • Only One Plan covering all commercial contracts • Copy of approval document to each CO after initial plan approved • Submit a new commercial plan, 30 working days before the end of the Contractor’s fiscal year

9. Types of Subcontracting Plans • Individual Plan • Covers the entire contract period (including options) • Base + option period goals submitted up front prior to award • Specific to one contract • Goals are based on the Offeror’s planned subcontracting in support of the specific contract • indirect costs incurred for common or joint purposed may be allocated on a prorated basis to the contract

10. Types of Subcontracting Plans • Master Plan • Contains all the required elements of an Individual Plan except goals • May be incorporated into Individual contract plan, provided the master plan has been approved • Agency Approval Document plus goals for specific contract needed

11. ELEVEN REQUIREMENTS (FAR 19.704) • Separate percentage goals • Total dollars subcontracted • Description of supplies/services • A description of method • Potential sources • Indirect costs • Name and duties • Description of efforts • Assurances clauses • Reporting requirements • Records

12. Commercial Plan Identification Data • Company Name and Address • Date Prepared • Description of Product/Service: general summary of commercial business to be covered by this plan for any government contract, awarded during the same fiscal year • Commercial Plan Period: (Insert dates of offeror’s Fiscal Year) • Estimated annual sales

13. CONTRACTOR IDENTIFICATION DATAINDIVIDUAL PLAN • Company Name and Address • Date Prepared • Description of Product/Service coveredby this specific contract • Solicitation Number • Contract Number • Individual Contract Period: • Base Period:_________ Option Period 1:__________ Option Period 2:______ Option Period 3:___________

14. CONTRACTOR IDENTIFICATION DATAINDIVIDUAL PLAN CONTINUED • Estimated Contract Value • Base Period:_________ Option Period 1:__________ Option Period 2:______ Option Period 3:___________ • Place of Performance • Duns Number: Duns Number under which contract is/will be awarded

15. Dollars Subcontracted and Percentage Goals • Goals must be stated in both • Total dollars AND • Separate Percentage Goals • Contractor must state the total dollars to be subcontracted and percentage of that total for each small business category

16. Commercial Plan (GSA target goal percents) • 1. Estimated TOTAL dollars planned to be subcontracted; i.e. to all types of business concerns: • Annual Commercial Expenditures: $_12,000,000_ = 100% subcontracted • 2. Planned subcontracting to large business concerns (those classified as other than small): • Annual Commercial Expenditures: $__7,560,000__________ = _63_ % of Total • 3. Planned subcontracting to all small business concerns SB (including ANCs and Indian tribes), VOSB, SDVOSB, HUBZone, SDB (including ANCs and Indian tribes), and WOSB small business concerns: • Annual Commercial Expenditures: $__4,440,000__________ = _37_ % of Total • 4. Planned subcontracting to veteran-owned small business concerns (which includes service-disabled veteran-owned small business): • Annual Commercial Expenditures: $____600,000__________ = _5_ % of Total • 5. Planned subcontracting to service-disabled veteran-owned small business concerns (subset of VOSB above and cannot be higher than #4 above): • Annual Commercial Expenditures: $_____360,000______ = __3 % of Total • 6. Planned subcontracting to HUBZone small business concerns: • Annual Commercial Expenditures: $_____360,000____ _ = _3_ % of Total • 7. Planned subcontracting to small disadvantaged business concerns: • Annual Commercial Expenditures: $______720,000_____ ___ = _6_ % of Total • 8. Planned subcontracting to women-owned small business concerns: • Annual Commercial Expenditures: $_____600,000_____ = _5_ % of Total

17. Individual Plan

18. Description of Supplies/Services

19. Description of Method used to Develop Goals • Statement that contractor has reviewed his prior subcontracting efforts, or previous history on similar contracts. • Explain how the goals were developed • Based on what? • Justify low goals, etc.

20. Method used to Identify Potential Sources • Attended conferences & networking sessions • Used existing suppliers • Researched minority directories • Browsed CCR and e-Library etc.

21. Indirect Costs • Provide a statement as to whether or not the offeror included indirect costs in establishing subcontracting goals, • Provide a description of the method used to determine the proportionate share of indirect costs to be incurred with all small business concerns.

22. Name of Program Administrator and Duties • Name of Administrator • Description of Duties • FAR Clause 52.219-9(e)

23. Equitable Opportunity • Provide a description of the efforts the offeror will make to ensure that small business concerns have an equitable opportunity to compete for subcontracts. • Attend outreach events to locate sources • Provide internal efforts to guide and encouragepurchasing personnel to subcontract with small business concerns

24. Assurances that the Offeror will Include • FAR Clause 52.219-8 • Utilization of Small Business Concerns • FAR Clause 52.219-9 • Small Business Subcontracting Plan

25. Reporting Requirements and Assurances that the Offeror will: • (i) Cooperate in any studies or surveys as may be required; • (ii) Submit periodic reports so that the Government can determine the extent of compliance by the offeror with the subcontracting plan;

26. (iii) Submit the Individual Subcontract Report (ISR), and the Summary Subcontract Report (SSR) using the Electronic Subcontracting Reporting System (eSRS) (http://www.esrs.gov), following the instructions in the eSRS; • (iv) Ensure that its subcontractors with subcontracting plans agree to submit the ISR and/or the SSR using the eSRS;

27. (v) Provide its prime contract number and its DUNS number and the e-mail address of the Government or Contractor official responsible for acknowledging or rejecting the reports, to all first-tier subcontractors with subcontracting plans so they can enter this information into the eSRS when submitting their reports; and • (vi) Require that each subcontractor with a subcontracting plan provide the prime contract number and its own DUNS number, and the e-mail address of the Government or Contractor official responsible for acknowledging or rejecting the reports, to its subcontractors with subcontracting plans.

28. Recordkeeping • Description of the type of records to be maintained • FAR Clause 52.219-9(d)(11)

29. All Plans must be Signed and Dated

30. SUBCONTRACTING OPPORTUNITY RESOURCES • Federal Business Opportunities or FedBizOpps (www.fbo.gov) • Forecast of Contracting Opportunities (www.gsa.gov/smbusforecast) • SBA SUB-Net (web.sba.gov/subnet) • SBA Directory and local office contacts (sba.gov/GC/contacts) • CCR - Central Contractor Registration (ccr.gov)

31. Attend large conferences like the GSA EXPO • www.expo.gsa.gov • www.gsa.gov look under “Events” • Attend outreach sessions designed just for small business • Come prepared to ask questions and get contact information • Network, Network, Network

32. SMALL BUSINESS PROGRAM CONTACTS • GSA Associate Administrator, Office of Small Business Utilization (AAOSBU) Janice Keys: 202-501-0838 • FAS Small Business Technical Advisor (SBTA) de’Wayne Carter: 703-605-2587 • Small Business Administration Procurement Center Representative (SBA/PCR) Howard Parker: 703-605-1801 • Electronic Subcontracting Reporting System (eSRS)Janice Keys: 202-501-0838 - Agency CoordinatorDoug DuBois: 703-605-2523 – FAS Contact

33. 703-605-2570 linda.mcgrail@gsa.gov

34. THANK YOU