**Full Text of Deviated FAR Parts**

Class FAR Deviation from FAR Subpart 19.8 and Part 52 regarding Section
8(a) Awards

**The following is the full text of the Deviated FAR language to
Implement the 8(a) Partnership Agreement between SBA and DOC**

## Subpart 19.8---Contracting with the Small Business Administration (The 8(a) Program) 

### 19.800  General. (DEVIATION)(JULY 2008)

\(a\) Section 8(a) of the Small Business Act
([15 U.S.C. 637(a)](http://uscode.house.gov/uscode-cgi/fastweb.exe?getdoc+uscview+t13t16+492+90++(15)  AND ((15) ADJ USC)%3ACITE         ))
established a program that authorizes the Small Business Administration
(SBA) to enter into all types of contracts with other agencies and let
subcontracts for performing those contracts to firms eligible for
program participation. The SBA's subcontractors are referred to as "8(a)
contractors."

\(b\) Contracts may be awarded to the SBA for performance by eligible
8(a) firms on either a sole source or competitive basis.

\(c\) When, acting under the authority of the program, the SBA certifies
to an agency that the SBA is competent and responsible to perform a
specific contract, the contracting officer is authorized, in the
contracting officer's discretion, to award the contract to the SBA based
upon mutually agreeable terms and conditions.

\(d\) The SBA refers to this program as the 8(a) Business Development
(BD) Program.

\(e\) Before deciding to set aside an acquisition in accordance with
[Subpart 19.5](http://www.acquisition.gov/far/current/html/Subpart 19_5.html#wp1086824),
[19.13](http://www.acquisition.gov/far/current/html/Subpart 19_13.html#wp1093689),
or
[19.14](http://www.acquisition.gov/far/current/html/Subpart 19_14.html#wp1093836),
the contracting officer should review the acquisition for offering under
the 8(a) Program. If the acquisition is offered to the SBA, SBA
regulations (13 CFR 126.607(b)) give first priority to HUBZone 8(a)
concerns.

~~(f) When SBA has delegated its 8(a) Program contract execution
authority to an agency, the contracting officer must refer to its agency
supplement or other policy directives for appropriate guidance.~~

**\[(f) By Partnership Agreement (PA) dated June 26, 2007 between the
U.S. Small Business Administration (SBA) and the U.S. Department of
Commerce (DOC), the SBA delegated to the DOC Procurement Executive
authority under paragraph 8(a)(1)(A) of the Small Business Act (5 U.S.C.
637(a)) to enter into 8(a) prime contracts, and its authority under
8(a)(1)(B) of the Small Business Act to award the performance of those
contracts to eligible 8(a) Program participants. However, the SBA
remains the prime contractor on all 8(a) contracts, continues to
determine eligibility of concerns for contract award, and retains appeal
rights under FAR 19.810. The SBA delegates only the authority to sign
contracts on its behalf. Consistent with the provisions of the PA, this
authority is hereby re-delegated to DOC contracting officers. Under the
PA, a contract may be awarded directly to an 8(a) firm on either a sole
source or competitive basis. An SBA signature on the contract is not
required.\]**

### 

### 19.811-3  Contract clauses. (DEVIATION)(JULY 2008) 

\(a\) The contracting officer shall insert the clause at
[52.219-11](http://www.acquisition.gov/far/current/html/52_217_221.html#wp1136152),
Special 8(a) Contract Conditions, in contracts between the SBA and the
agency when the acquisition is accomplished using the procedures of
[19.811-1](http://www.acquisition.gov/far/current/html/Subpart 19_8.html#wp1092924)(a)
and (b).

\(b\) The contracting officer shall insert the clause at
[52.219-12](http://www.acquisition.gov/far/current/html/52_217_221.html#wp1136163),
Special 8(a) Subcontract Conditions, in contracts between the SBA and
its 8(a) contractor when the acquisition is accomplished using the
procedures of
[19.811-1](http://www.acquisition.gov/far/current/html/Subpart 19_8.html#wp1092924)(a)
and (b).

\(c\) The contracting officer shall insert the clause at
[52.219-17](http://www.acquisition.gov/far/current/html/52_217_221.html#wp1136196),
Section 8(a) Award, in competitive solicitations and contracts when the
acquisition is accomplished using the procedures of
[19.805](http://www.acquisition.gov/far/current/html/Subpart 19_8.html#wp1092882)
and in sole source awards which utilize the alternative procedure in
[19.811-1](http://www.acquisition.gov/far/current/html/Subpart 19_8.html#wp1092924)(c).

\(d\) The contracting officer shall insert the clause at
[52.219-18](http://www.acquisition.gov/far/current/html/52_217_221.html#wp1136208),
Notification of Competition Limited to Eligible 8(a) Concerns, in
competitive solicitations and contracts when the acquisition is
accomplished using the procedures of
[19.805](http://www.acquisition.gov/far/current/html/Subpart 19_8.html#wp1092882).

\(1\) The clause at
[52.219-18](http://www.acquisition.gov/far/current/html/52_217_221.html#wp1136208)
with its Alternate I will be used when competition is to be limited to
8(a) concerns within one or more specific SBA districts pursuant to
[19.804-2](http://www.acquisition.gov/far/current/html/Subpart 19_8.html#wp1092838).

\(2\) The clause at
[52.219-18](http://www.acquisition.gov/far/current/html/52_217_221.html#wp1136208)
with its Alternate II will be used when the acquisition is for a product
in a class for which the Small Business Administration has waived the
nonmanufacturer rule
(see [19.102](http://www.acquisition.gov/far/current/html/Subpart 19_1.html#wp1101837)(f)(4)
and (5)).

**\[(3) The contracting officer shall insert the clause at FAR
52.219-18, Notification of Competition Limited to Eligible 8(a)
Concerns, with its Alternate III (Deviation) (July 2008), when the
acquisition is processed under the PA cited in 19.800.\]**

\(e\) The contracting officer shall insert the clause at
[52.219-14](http://www.acquisition.gov/far/current/html/52_217_221.html#wp1136175),
Limitations on Subcontracting, in any solicitation and contract
resulting from this subpart.

**\[(f) The contracting officer shall insert the clause at 52.219-71,
Section 8(a) Direct Award (Deviation) (July 2008)," in direct contracts
and purchase orders processed under the PA cited in 19.800; and the
clauses at FAR 52.219-11, Special 8(a) Contract Conditions, 52.219-12,
Special 8(a) Subcontract Conditions, and 52.219-17, Section 8(a) Award,
[shall not be used]{.underline}.**

**(g) The contracting officer shall insert the clause at 52.219-72,
Notification to Delay Performance (Deviation) (July 2008), in
solicitations and purchase orders issued under the PA cited in
19.800.\]**

### 19.812  Contract administration. (DEVIATION)(JULY 2008) 

\(a\) The contracting officer shall assign contract administration
functions, as required, based on the location of the 8(a) contractor
(see Federal Directory of Contract Administration Services Components
(available via the Internet at
<http://www.dcma.mil/casbook/casbook.htm>)).

\(b\) The agency shall distribute copies of the contract(s) in
accordance with
[Part 4](http://www.acquisition.gov/far/current/html/FARTOCP04.html#wp273111).
All contracts and modifications, if any, shall be distributed to both
the SBA and the firm in accordance with the timeframes set forth in
[4.201](http://www.acquisition.gov/far/current/html/Subpart 4_2.html#wp1086955).

\(c\) To the extent consistent with the contracting activity's
capability and resources, 8(a) contractors furnishing requirements shall
be afforded production and technical assistance, including, when
appropriate, identification of causes of deficiencies in their products
and suggested corrective action to make such products acceptable.

\(d\) An 8(a) contract, whether in the base or an option year, must be
terminated for convenience if the 8(a) concern to which it was awarded
transfers ownership or control of the firm or if the contract is
transferred or novated for any reason to another firm, unless the
Administrator of the SBA waives the requirement for contract termination
(13 CFR 124.515). The Administrator may waive the termination
requirement only if certain conditions exist. Moreover, a waiver of the
requirement for termination is permitted only if the 8(a) firm's request
for waiver is made to the SBA prior to the actual relinquishment of
ownership or control, except in the case of death or incapacity where
the waiver must be submitted within 60 days after such an occurrence.
The clauses in the contract entitled "Special 8(a) Contract Conditions"
and "Special 8(a) Subcontract Conditions" require the SBA and the 8(a)
subcontractor to notify the contracting officer when ownership of the
firm is being transferred. When the contracting officer receives
information that an 8(a) contractor is planning to transfer ownership or
control to another firm, the contracting officer must take action
immediately to preserve the option of waiving the termination
requirement. The contracting officer should determine the timing of the
proposed transfer and its effect on contract performance and mission
support. If the contracting officer determines that the SBA does not
intend to waive the termination requirement, and termination of the
contract would severely impair attainment of the agency's program
objectives or mission, the contracting officer should immediately notify
the SBA in writing that the agency is requesting a waiver. Within
15 business days thereafter, or such longer period as agreed to by the
agency and the SBA, the agency head must either confirm or withdraw the
request for waiver. Unless a waiver is approved by the SBA, the
contracting officer must terminate the contract for convenience upon
receipt of a written request by the SBA. This requirement for a
convenience termination does not affect the Government's right to
terminate for default if the cause for termination of an 8(a) contract
is other than the transfer of ownership or control.

**\[(e) Awards under the Partnership Agreement cited in 19.800 are
subject to 15 U.S.C. 637(a)(21). These contracts contain the clause at
52.219-71, Section 8(a) Direct Award (Deviation) (July 2008), which
requires the contractor to notify the SBA and the contracting officer
when ownership of the firm is being transferred.\]**

### Notification of Competition Limited to Eligible 8(a) Concerns -- Alternate III. (DEVIATION)(JULY 2008)

### 

As prescribed in
[19.811-3](http://www.acquisition.gov/far/current/html/Subpart 19_8.html#wp1092946)(d)(3),
insert the following clause:

Notification of Competition Limited to Eligible 8(a) Concerns.
(DEVIATION)(**JULY** 200**8**).

\(a\) Offers are solicited only from small business concerns expressly
certified by the Small Business Administration (SBA) for participation
in the SBA's 8(a) Program and which meet the following criteria at the
time of submission of offer---

\(1\) The Offeror is in conformance with the 8(a) support limitation set
forth in its approved business plan; and

\(2\) The Offeror is in conformance with the Business Activity Targets
set forth in its approved business plan or any remedial action directed
by the SBA.

\(b\) By submission of its offer, the Offeror represents that it meets
all of the criteria set forth in paragraph (a) of this clause.

~~(c) Any award resulting from this solicitation will be made to the
Small Business Administration, which will subcontract performance to the
successful 8(a) offeror selected through the evaluation criteria set
forth in this solicitation~~.

**\[(c) Any award resulting from this solicitation shall be made
directly by the contracting officer to the successful 8(a) offeror
selected through the evaluation criteria set forth in this
solicitation.\]**

(d)(1) *Agreement*. A small business concern submitting an offer in its
own name shall furnish, in performing the contract, only end items
manufactured or produced by small business concerns in the United States
or its outlying areas. If this procurement is processed under simplified
acquisition procedures and the total amount of this contract does not
exceed \$25,000, a small business concern may furnish the product of any
domestic firm. This paragraph does not apply to construction or service
contracts.

\(2\) The \_\_\_\_\_\_\_\_\_\_\_\_ \[*insert name of SBA\'s
contractor*\] will notify the \_\_\_\_\_\_\_\_\_\_\_\_ \[*insert name of
contracting agency*\] Contracting Officer in writing immediately upon
entering an agreement (either oral or written) to transfer all or part
of its stock or other ownership interest to any other party.

(End of clause)

**\[52.219-71 Section 8(a) Direct Award. (DEVIATION)(JULY 2008)**

**As prescribed in 19.811-3(f), insert the following clause:**

**Section 8(a) Direct Award (Deviation)(July 2008)**

**(a) This contract is issued as a direct award between the contracting
activity and the 8(a) contractor pursuant to a Partnership Agreement
between the Small Business Administration (SBA) and the Department of
Commerce (DOC). Accordingly, the SBA, even if not identified in Section
A of this contract, is the prime contractor and retains responsibility
for 8(a) certification, 8(a) eligibility determinations and related
issues, and providing counseling and assistance to the 8(a) contractor
under the 8(a) program. The cognizant SBA district office is:**

**\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_**

**\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_**

**\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_**

**\[To be completed by the contracting officers at time of award\]**

**(b) The contracting activity is responsible for administering the
contract and taking any action on behalf of the Government under the
terms and conditions of the contract. However, the contracting activity
shall give advance notice to the SBA before it issues a final notice
terminating performance, either in whole or in part, under the contract.
The contracting activity shall also coordinate with SBA prior to
processing any novation agreement. The contracting activity may assign
contract administration functions to a contract administration office.**

**(c) The 8(a) contractor agrees:**

**(1) to notify the Contracting Officer, simultaneously with its
notification to SBA (as required by SBA's 8(a) regulations), when the
owner or owners upon whom 8(a) eligibility is based plan to relinquish
ownership or control of the concern. Consistent with 15 U.S.C 637(a)(21)
transfer of ownership or control shall result in termination of the
contract for convenience, unless SBA waives the requirement prior to the
actual relinquishing of ownership or control; and**

**(2) to adhere to the requirements of FAR 52.219-14, Limitations on
Subcontracting.**

**(End of Clause)\]**

**\[52.219-72 Notification to Delay Performance. (DEVIATION)(JULY
2008)**

**As prescribed in 19.811-3(g), insert the following clause:**

**Notification to Delay Performance (Deviation)(July 2008)**

**The Contractor shall not begin performance under this purchase order
until 2 working days have passed from the data of its receipt. Unless
the Contractor receives notification from the Small Business
Administration that it is ineligible for this 8(a) award, or otherwise
receives instructions from the contracting officer, performance under
this purchase order may begin on the third working day following receipt
of the purchase order. If a determination of ineligibility is issued
within the 2-day period, the purchase order shall be considered
cancelled.**

**(End of Clause)\]**

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