# Presentation: 148386

## Subcontracting Plan Requirements

- Lillian A. Retallack
- NNSA Service Center
- Small Business Program Manager

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

## Subcontracting Plan Requirements

- Regulatory Applicability
- Small Business Act (Public Law 644 § 15(g))
- FAR 19.704 Subcontracting Plan Requirements
- FAR 52.219-9 Small Business Subcontracting Plan
- DOE Acquisition Letter 2005 - 8 “Small Business Programs”

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
The regulatory requirements to include subcontracting plans in any requirement over $500K awarded to a large business (and sometimes small businesses) can be found in these referenced documents.

The two clauses listed referenced are a part of your solicitation and will be made a part of any resultant contract.

For those of you that have been familiar with submittal of SF 294 and 295 Reporting requirements will want to pay special attention to the new reporting requirements found in these clauses.  All reporting will be done via entry into the Electronic Subcontracting Reporting System (eSRS) and I will be your responsibility to input your information into the system.  

## Subcontracting Plan Requirements

- Historical Data
- LLNL 5-Year History
- FY 2001-2005 Goals and Accomplishments
- FY 2006 Goals and Accomplishments through 2nd Quarter

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
To help you in development of your socioeconomic goals for this effort, we 
Are providing some historical data for LLNL.  

The next chart will show FY2001-2005 goals and accomplishments.

## Subcontracting Plan Requirements	LLNL Historical Data

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
I will give you a moment to look this chart over.

FY2006 accomplishments to date through the second quarter are 32.7% for SB,
3.7% for SDB and 8(a), 4.7% for WOSB, .2% for HZ, 1.8% for VOSB and .7% for SDVOSB.  

What this trend analysis shows is that there has been steady performance
Accomplishments in most categories.

It also shows that there are certain categories that are in great need of Attention.

## Subcontracting Plan Requirements

- Categories Requiring Establishment of Goals
- Small Business
- Small Disadvantaged Business
- Small HUBZone Business
- Women-Owned Small Business
- Veteran-Owned Small Business
- Service-Disabled Veteran Owned Small Business

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
The socioeconomic categories that should be reflected in your proposed subcontracting plan include
SB – A small business is categorized as small based on the NAICS code used for the item you are procuring.
SDB – Must be certified by SBA and owned and controlled and by a socially and economically disadvantaged individual.  
S HZ – Also must be certified by SBA and the company must be located in a Historically Underutilized area.
WOSB – Self-certified owned and controlled by women
VOSB – self certified owned and controlled by a veteran
SD VOSB – self certified small business concern owned and controlled by service disabled veterans

## Subcontracting Plan Requirements

- Mandatory Minimum Goals as Established in the Small Business Act (Public Law 644 § 15(g))
- Small Disadvantaged Business
- Not less than 5% of the total value of all subcontracts awarded each fiscal year
-  Women-Owned Small Business
- Not less than 5% of the total value of all subcontracts awarded each fiscal year

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
As established in the Small Business Act, the mandated 
SDB goal is 5%

The WOSB goal is 5%

These percentages are based on the total value of all subcontracts awarded each fiscal year.

## Subcontracting Plan Requirements

- Mandatory Minimum Goals as Established in the Small Business Act (Public Law 644 § 15(g))
- Service-Disabled Veteran-Owned Small Business and HubZone Small Business
- Not less than 3% of the total value of all subcontracts awarded each fiscal year

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
Here we see the goal mandated for SDVO and HZ

These are both 3% of the total value of all subcontracts awarded each FY.

## Subcontracting Plan Requirements

- SBA General Guidance on Goal for Veteran-Owned Small Business
- The statute does not specify a minimum percentage for this category; however, since service disabled veteran-owned small business are included here, the goal must be greater than 3% to ensure that the *non-service disabled* veteran-owned small businesses receive maximum practicable opportunity to participate as subcontractors.

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
Your Veteran owned category does not have a mandatory minimum called out.

To ensure that non-service disabled veteran owned sb receive the maximum
Opportunity to participate, we have been given guidance that this goal must be greater 
Than 3%.

## Subcontracting Plan Requirements

- Trend Analysis shows:
- Steady performance accomplishment in several categories
**Certain Categories Need Attention**

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
Here again, I want to emphasize that the trend analysis for the current LLNL contract shows that work needs to be done to ensure that the Current goals are met or exceeded.

## Subcontracting Plan Requirements

- Expectations
- Submittal of Subcontracting Plan by potential offerors which _fully meets_ or preferably _exceeds_ requirements outlined in Small Business Act and FAR
**Aggressive** Subcontracting Goals and Accomplishments

- May 23, 2006, LLNL M&O Contract Competition Pre-Solicitation Conference

**Notes:**
Our expectation from you for this solicitation is for each of you submitting a proposal to do your best in when submitting your subcontracting plan by proposing  aggressive goals against the socioeconomic categories we just covered.