Small Business Subcontracting Requirement. The Contractor’s compliance with the 40% subcontracting requirement detailed in Section H clause, “Small Business Subcontracting Requirement” will be evaluated in Phase II. Adjustments may be made to the award fee determined by the FDO in Phase I in accordance with the Small Business Award Fee schedule detailed in this clause.
Small Business Subcontracting Requirement. The small business subcontracting requirement is that prime contractor(s) subcontract to small businesses, for all scheduled CNO availabilities, emergent maintenance, and continuous maintenance efforts completed over the course of the entire period of performance of the contract to the extent that small business subcontracting goal averages twenty percent (20%) annually of total awarded contract price. The 20% goal is inclusive of the Congressionally mandated five percent (5%) goal for small disadvantaged business concerns. Offerors are encouraged to subcontract with small disadvantaged businesses, women-owned small businesses, veteran-owned small businesses, service-disabled veteran-owned small businesses, and HUB-Zone small businesses. The Offerors should also strive to meet the 20% small business subcontracting goal using the aforementioned subcategories of small businesses to the greatest extent possible. The extent to which the contractor does or does not meet, the small business subcontracting requirements of this provision during actual contract performance, as documented by compliance reports submitted by the Contractor in accordance with Contract Data Requirements List (CDRL) (A001) will be evaluated for Past Performance purposes. The Contracting Officer will validate whether or not the required small business subcontracting goal has been met by evaluating the reports submitted by the prime via the Electronic Subcontracting Reporting System (eSRS). The Government reserves the right, on a case basis, to deviate from requirements of this clause based on circumstances at time of contract performance. NOTE: Purchase orders to a subcontractor for work, which has not been performed, or for equipment ordered but not received within an evaluation period, will not be considered for the purpose of meeting the requirements of this clause. "Open commitments" (e.g., material/equipment ordered but not received, services ordered but not performed) will not be considered during a period just because a purchase order was issued. Material/equipment or services will only be considered once the equipment/material is actually received or the work is actually performed during an Evaluation Period.
