(For informational purposes only.  The following outline meets the minimum requirements as imposed by Section 8(d) of the Small Business Act, and meets the minimum requirements of the Federal Acquisition Regulation (FAR) Subpart 19.7.  This model plan is intended to be used as a guideline.  It is not intended to replace any existing corporate plan which may be more extensive.  If assistance is needed to locate small business sources, contact the Office of Small Business Utilization at 18^th and F Streets, NW, Washington, DC 20405 (Phone: (202) 501-1021; Fax (202) 208-5938), or access the Central Contractor Registration (CCR) Dynamic Small Business Search database at www.ccr.gov.)

I.   IDENTIFICATION DATA:

Company Name:______________________________________________________________

Address:___________________________________________________________________

Date Prepared:_____________________________________________________________

Item/Service:______________________________________________________________

Solicitation Number:_______________________________________________________

Contract Number:___________________________________________________________

Estimated Contract Value/Estimated Sales: (Basic or Option) $______________

Individual Contract Period:

(insert dates)      Base:_____________________ Option:___________________

Commercial Plan Period:____________________________________________________

II.  TYPE OF PLAN: (Check only one)

______ COMMERCIAL PLAN:  Covers the offeror’s fiscal year and applies to the entire production of commercial items sold by either the entire company or a portion thereof (e.g., division, plant, or product line.)  Used when the company sells large quantities of commercial items to many Government agencies, and goals are negotiated on a company-wide basis.  Plan is done annually, effective during the company’s fiscal year, approved by the first Federal agency awarding a contract for commercial supplies/services during the contractor’s fiscal year, and is applicable to every additional Federal contract for commercial supplies/services awarded to that contractor during the same fiscal year.  A new plan must be obtained and approved 30 days prior to the expiration of the current plan. The contractor must provide a copy of the approved plan to each agency contracting officer responsible for an ongoing contract subject to the plan.

______ INDIVIDUAL CONTRACT PLAN:  Covers the entire contract period (including option periods), applies ta specific contract, and has goals that are based on the offeror’s planned subcontracting and purchasing in support of the specific contract, except that indirect costs incurred for common or joint purposes may be allocated on a prorated basis to the contract.  GSA requires that goals be re-negotiated for each option period.

______ INDIVIDUAL CONTRACT PLAN INCORPORATING MASTER PLAN:  A Master plan containing all the required elements of an individual contract plan, except goals, may be incorporated into an individual contract plan providing the master plan has been approved (and the approval document from the approving agency is attached).  A master plan must be approved once every three years.  Once incorporated into a contract with specific goals, it is valid for the life of that contract.

III. GOALS:

A.  (For information only, FAR 19.704(a)(1) requires separate dollar &  percentage goals for using small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns as subcontractors; and a statement of the total dollars planned to be subcontracted and total dollars planned to small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns.  NOTE:  The dollar amounts planned for subcontracting to SB, HUBZ, SDB, WOSB, VOSB, and to SDVOSB’s must be expressed as percentages of the total subcontracting dollars as shown below.)  Commercial plans will always reflect annual company wide goals.  Individual plans will reflect contract goals for either the Base contract period or the respective Option period(s).  Remember that renewal of options are not guaranteed by the government.)

[Company XXX] provides the following separate dollar and percentage goals for small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns.  These goals are a percentage of the total subcontracting dollars.

1. Estimated TOTAL dollars planned to be subcontracted; i.e. to all types of
business concerns (large and small):

Base Contract:     $______________________ equals 100% subcontracted

Or Option Period:  $______________________

2. Planned subcontracting to large business concerns (those classified as
other than small):

Base Contract:     $______________________ = _______% of total

Or Option Period:  $______________________ = _______% of total

3. Planned subcontracting to all small business concerns (includes each subset category below plus any OTHER small businesses which are only small):

Base Contract:     $______________________ = ________% of total

Or Option Period:  $______________________ = ________% of total

4. Planned subcontracting to hubzone small business concerns:

Base Contract:     $______________________ = ________% of #1 total dollars

Or Option Period:  $______________________ = ________% of #1 total dollars

5. Planned subcontracting to small disadvantaged business concerns:

Base Contract:     $______________________ = ________% of #1 total dollars

Or Option Period:  $______________________ = ________% of #1 total dollars

6. Planned subcontracting to women-owned small business concerns:

Base Contract:     $______________________ = ________% of #1 total dollars

Or Option Period:  $______________________ = ________% of #1 total dollars

7. Planned subcontracting to veteran-owned small business concerns (includes

service-disabled veteran-owned small business):

Base Contract:     $______________________ = ________% of #1 total dollars

Or Option Period:  $______________________ = ________% of #1 total dollars

8. Planned subcontracting to service-disabled veteran-owned small business

concerns (subset of VOSB above) is:

Base Contract:     $______________________ = ________% of #1 total dollars

Or Option Period:  $______________________ = ________% of #1 total dollars

B.  (For information only, FAR 19.704(a)(3) requires a description of ALL of the principal types of supplies and services to be subcontracted and an identification of the types planned for subcontracting to SB, HUBZ, SDB, WOSB, VOSB, and to SDVOSB concerns.)  Check all that apply below, ensuring that at least one item is indicated for each column.

The principal types of supplies and/or services that [Company XXX] anticipates to be subcontracted and the identification of the type of business concern planned are as follows:

Business Category or Size

Supplies/Services

Large

Small

HUBZ

SDB

WOSB

VOSB

SDVOSB

C. (For information only, FAR 19.704(a)(4) requires a description of the method used to develop the subcontracting goals above.  Explain the method used and state the basis for establishing your proposed goals; provide justification for any low goal(s); state how the areas to be subcontracted to SB, HUBZ, SDB, WOSB, VOSB; and to SDVOSB concerns were determined, and how the capabilities of each were determined.)

[Company XXX] used the following method to develop the subcontracting goals:

D. (For information only, FAR 19.704(a)(5) requires a description of the method used to identify potential sources for solicitation purpose.  Identify all source lists used in the determination below, including various web sites or agencies and organizations contacted.)

[Company XXX] identifies potential subcontractors using the following source lists and organizations:

E.  (For information only, FAR 19.704(a)(6) requires a statement as to whether or not your company included indirect costs in establishing subcontracting goals, and a description of the method used to determine the proportionate share of indirect costs to be incurred with SB, HUBZ, SDB, WOSB, VOSB, and SDVOSB concerns.)

Indirect and overhead costs _____HAVE BEEN (or) _____HAVE NOT BEEN included in the dollar and percentage subcontracting goals stated above.  If included, the indirect and overhead portion was based on the following:

IV.  PROGRAM ADMINISTRATOR:

(For information only, FAR 19.704(a)(7) requires information about the company employee who will administer the subcontracting program.  Please provide the name, title, address, telephone number, fax number and/or email of this person, position within the corporate structure, and list of duties of that employee.  Provide an alternate point of contact responsible for this subcontracting plan, in case of questions.  Consultants used as contacts are welcome.)

Name:________________________________________________________________________

Title/Position:______________________________________________________________

Address:_____________________________________________________________________

Telephone number:____________________________________________________________

Fax Machine number:__________________________________________________________

Email Address:_______________________________________________________________

Alternate POC with contact information:______________________________________

Duties:  The Program Administrator shall have general overall responsibility for the Contractors subcontracting program; i.e., developing, preparing, and executing individual subcontracting plans and monitoring performance relative to this particular plan.  Such duties may include, but are not limited to, the following activities:

A.  Developing and promoting company/division policy statements that  demonstrate the company’s/division’s support for awarding contracts and subcontracts to small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns.

B.  Developing and maintaining bidders’ lists of small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns from all possible sources.

C.  Ensuring periodic rotation of potential subcontractors on bidders’ lists.

D.  Assuring that small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small businesses are included on the bidders’ list for every subcontract solicitation for supplies and services they are capable of providing.

E.  Ensuring that subcontract procurement “packages” are designed to permit the maximum possible participation of small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small businesses.

F.  Reviewing subcontract solicitations to remove statements, clauses, etc. which might tend to restrict or prohibit small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small businesses.

G.  Ensuring that the subcontract bid proposal review board documents its reasons for not selecting any low bids submitted by small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small businesses.

H.  Overseeing the establishment and maintenance of contract and subcontract award records.

I.  Attending or arranging for the attendance of company counselors at Business Opportunity Workshops, Minority Business Enterprise Seminars, Trade Fairs, etc.

J.  Directly or indirectly counseling small, hubzone small, small disad-vantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns on subcontracting opportunities and how to prepare bids to the company.

K.  Providing notice to subcontractors concerning penalties for misrepresen-tations of business status as small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, or service-disabled veteran-owned small business, for the purpose of obtaining a subcontract that is to be

included in any part of the contractor’s goals contained in this plan.  Small disadvantaged and hubzone small business concerns shall provide a copy of their Small Business Administration (SBA) certification.

(Each SB, WOSB, VOSB, and SDVOSB concern on record as a potential subcontractor shall complete a self-certification form stating their business size.  A penalties clause for falsifying information will also be on the form according to the legal statute 15 U.S.C. 645(d).  Note, the following notice will read near the business owner’s signature.  “NOTICE:  In accordance with U.S.C. 645(d), any person who misrepresents a firm’s proper size classification shall (1) be punishable by imposition of a fine, imprisonment, or both, (2) be subject to administrative remedies, and (3) be ineligible for participation in programs conducted under the authority of the Small Business Act.”)

L.  Conducting or arranging training for purchasing personnel regarding the intent and impact of Section 8(d) of the Small Business Act on purchasing procedures.

M.  Developing and maintaining an incentive program for buyers, that supports the subcontracting program.

N.  Monitoring the company’s performance and making any adjustments necessary to achieve the subcontract plan goals.

O.  Preparing and submitting timely reports.

P.  Coordinating the company’s activities during compliance review by Federal agencies.

V.   EQUITABLE OPPORTUNITY:

(For information only, FAR 19.704(a)(8) requires a description of the efforts the contractor will make to ensure that SB, HUBZ, SDB, WOSB, VOSB, and SDVOSB concerns  have an equitable opportunity to compete for subcontracts.) 

[Company XXX] will make every effort to ensure that small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns will have an equitable opportunity to compete for subcontracts.  These efforts may include one or more of the following activities (please indicate which ones apply or provide your own personalized list of efforts):

A.  Outreach efforts to obtain sources:

___ Contacting minority and small business trade associations

___ Contacting business development organizations

___ Requesting sources from the Central Contractor Registration (CCR),
Dynamic Small Business Search, which integrated data from the
previous SBA PRO-Net database

___ Attending small and minority business trade fairs and procurement
conferences

B.  Internal efforts to guide and encourage purchasing personnel:

___ Presenting workshops, seminars and training programs

___ Establishing, maintaining and using small, hubzone small, small

disadvantaged, women-owned small, veteran-owned small, and service-

disabled veteran-owned small business source lists, guides, and

other data for soliciting subcontracts

___ Monitoring activities to evaluate compliance with the
subcontracting plan

C.  Other Additional efforts:  (Please describe.)

VI.  CLA– — USE INCLUSION AND FLOW DOWN:

(For informational only, FAR 19.704(a)(9) requires assurances that your company will include the FAR Clause 52.219-8, “Utilization of Small Business Concerns” in all subcontracts that offer further subcontracting opportunities, and that your company will require all subcontractors (except small business concerns) that receive subcontracts in excess of $550,000 ($1,000,000 for construction) to adopt a similar plan that complies with the requirements of Clause 52.219-9,“Small Business Subcontracting Plan.”)

[Company XXX] agrees to include the FAR Clause 52.219-8, “Utilization of Small Business Concerns” in all subcontracts that offer further subcontracting opportunities, and will further require all subcontractors (except SB concerns), who receive subcontracts in excess of $550,000, ($1,000,000 for construction) to adopt a plan that complies with the requirements of Clause 52.219-9, “Small Business Subcontracting Plan.”

VII. REPORTING AND COOPERATION:

(For informational only, FAR 19.704(a)(10) requires assurances that your company will: (1) cooperate in any studies or surveys as may be required; (2) submit periodic reports so that the Government can determine the extent of compliance with the subcontracting plan; (3)* submit Standard Form (SF) 294, “Subcontracting Reports for Individual Contracts,” and SF 295, “Summary Subcontract Report,” following the instructions on the forms or as provided in agency regulations; and (4) ensure that subcontractors agree to submit SF 294 and SF 295.)

[Company XXX] agrees to: (1) cooperate in any studies or surveys as may be required; (2) submit periodic reports which show compliance with the subcontracting plan; (3) submit SF 294 and SF 295 or equivalent, in accordance with agency instructions or regulations; and (4) ensure that subcontractors agree to submit electronic Individual and/or Summary Subcontract Reports (ISR and/or SSR’s) via the electronic Subcontracting Reporting System (eSRS).

Reports are to be submitted within 30 days after the close of each calendar period as indicated in the following chart:

Calendar Period    Report Due*    Date Due     Send Reports to:
10/01—03/31          SF 294       04/30         www.esrs.gov

04/01—09/30          SF 294       10/30         www.esrs.gov

10/01—09/30          SF 295       10/30         www.esrs.gov

*Note:  Standard Forms 294 and 295 are no longer acceptable, and have been replaced with the electronic submission of Individual Subcontracting Reports (ISR) and Summary Subcontract Reports (SSR), respectively, to eSRS via www.esrs.gov.

VIII. RECORDKEEPING:

(For informational only, FAR 19.704(a)(11) requires a description or list of the types of records that will be maintained concerning procedures adopted to comply with the requirements and goals in the plan, including establishing source lists; a description of your efforts to locate small business concerns and to award subcontracts to them.)

[Company XXX] will maintain at least the following types of records concerning procedures adopted to comply with the requirements and goals in the plan.  Such records may include, but are not limited to:

1.Other records to support your compliance with the subcontracting plan:  (Please describe)

IX.  TIMELY PAYMENTS TO SUBCONTRACTORS:

(For information only, FAR 19.702 requires your company to establish and use procedures to ensure the timely payment of amounts due pursuant to the terms of your subcontracts with small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns.)

[Company XXX] uses procedures to ensure timely payments of amounts due, pursuant to the terms of its subcontracts with small business concerns, as required in FAR 19.702.  (Briefly describe internal systems below.)

X.   DESCRIPTION OF GOOD FAITH EFFORT:

(For information only, maximum practicable utilization of small, hubzone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns as subcontractors in Government contracts is a matter of national interest with both social and economic benefits.  When a contractor fails to make a good faith effort to comply with a subcontracting plan, these objectives are not achieved, and 15 U.S.C. 637(d)(4)(F) directs that liquidated damages shall be paid by the contractor.  In order to demonstrate your compliance with a good faith effort to achieve the small business subcontracting goals, outline the steps below that your company plans to take.)

[Company XXX] will take the following steps to demonstrate compliance with a good faith effort in achieving small business subcontracting goals:

These steps will be negotiated with the contracting officer prior to approval of the plan.  We understand that this subcontracting plan will be made a material part of the contract and that the submission of reports, mentioned in section VII, will be made a line item deliverable in the contract.

SIGNATURE REQUIRED: Plan must be signed and dated by a company official

 This subcontracting plan was SUBMITTED by:

Signature:   ________________________________________________________________

Typed Name:  ________________________________________________________________

Title:       ________________________________________________________________

Date Signed: ________________________________________________________________