1 / 6

Important Note

TGIC Exchange Brief Small Business Regulatory Update November 10, 2016 Terence Murphy / (757) 624.3139 / tmmurphy@kaufcan.com. Important Note.

victoir
Download Presentation

Important Note

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. TGIC Exchange BriefSmall Business Regulatory UpdateNovember 10, 2016Terence Murphy / (757) 624.3139 / tmmurphy@kaufcan.com

  2. Important Note The contents of this presentation are intended for general information only and should not be construed or relied upon as legal advice nor as a legal opinion on any specific facts or circumstances. If you need legal advice concerning your specific circumstances, please consider contacting Kaufman & Canoles, P.C.

  3. SBA Final Rule Implementing 2013 NDAA • 81 Fed. Reg. 34,243 (May 31, 2016) (effective June 30, 2016) • Limitations on subcontracting • Similarly situated entities

  4. SBA Final Rule Implementing 2013 NDAA • Limitations on subcontracting • Subcontracting limitations now based on total contract value • Percentage of prime expenditure on subs based on cost of contracts (excluding cost of materials when applicable) cannot exceed: • 50% for services and supply • 85% for general construction • 75% for specialty trade

  5. SBA Final Rule Implementing 2013 NDAA • Similarly Situated Entities • Work subcontracted to “similarly situated entities” counts as work done by the small business prime contractor • “Similarly Situated Entity” defined as a “small business concern subcontractor that is a participant of the same SBA program that qualified the prime contractor as an eligible offeror and awardee of the contract.” • Must also qualify as “small” based on the NAICS code prime contractor assigned to the subcontract

  6. SBA Final Rule Implementing 2013 NDAA • Penalty for violating the new rule • Greater of $500,000 or the dollar amount spent in excess of the limitations • Possible suspension and debarment • Practical Note: SBA regulation only; not yet in FAR • Ask CO question in proposal process whether recognition of this change

More Related