Subpart 926.70 - Implementation of Section

3021 of the Energy Policy Act of 1992

Parent topic: PART 926 - OTHER SOCIOECONOMIC PROGRAMS

926.7001 Policy.

(a) Section 3021(a) of the Energy Policy Act of 1992 (Pub. L. 102-486) specifies that the Department

of Energy (DOE) shall, to the extent practicable, provide that not less than 10 percent of the total

combined amounts obligated for competitively awarded contracts and subcontracts under the

Energy Policy Act be expended with -

(1) Small business concerns controlled by socially and economically disadvantaged individuals or by

women;

(2) Historically Black colleges and universities; or

(3) Colleges and universities having a student body in which more than 20 percent of the students

are Hispanic Americans or Native Americans.

(b) These three groups are collectively referred to in this section as “Energy Policy Act target

groups.”

(c) Awards of Energy Policy Act procurements should be in the following descending order of

preference -

(1) Competitive awards pursuant to a set-aside for small disadvantaged business;

(2) Competitive awards to small businesses owned and controlled by socially and economically

disadvantaged individuals and by women for Energy Policy Act requirements under the Small

Business Administration's section 8(a) program; and

(3) Competitive awards that provide an evaluation preference in accordance with 926.7006 to

offerors from the Energy Policy Act target groups.

(d) The DOE implementation of Section 3021 requirements with regard to the award of subcontracts

under Energy Policy Act procurements is discussed at 926.7006.

(e) Competitive procedures, for purposes of Energy Policy Act implementation, consist of awards

under set-asides to small disadvantaged business and firms certified as 8(a) Small Business

Administration and competitive procedures in accordance with 48 CFR subpart 15.6 and subpart

915.6.

926.7002 Responsibilities.

Offices initiating procurement requests have primary responsibility to identify potential contract

requirements falling within the scope of section 3021 of the Energy Policy Act. Identification shall

occur at the earliest possible point in time in the acquisition cycle, but not later than the submission
of the procurement request to the contracting officer. For purposes of Section 3021, a contract

requirement is any award that directly satisfies an Energy Policy Act program or requirement.

926.7003 Review of the procurement request.

Any Energy Policy Act procurement, including basic research contracts with educational institutions,

shall be reviewed in accordance with the Small Business and 8(a) Program Review Procedures in

order to ensure that full consideration is given to the potential for making Energy Policy Act awards.

926.7004 Size standard for Energy Policy Act procurements.

The size standard for Energy Policy Act engineering services procurements (SIC 8711) shall be the

size standard specified for military and aerospace equipment and military weapons.

926.7005 Preferences under the Energy Policy Act.

(a) Prime contracts. Solicitations for all competitive Energy Policy Act procurements not for 8(a)

firms and in excess of the simplified acquisition threshold shall provide for an evaluation preference

for offers received from entities from among the Energy Policy Act target groups. The evaluation

criteria shall provide that in instances in which two or more proposals being considered for final

selection are ranked as essentially equal after consideration of all technical and cost evaluation

factors, and if one of these proposals is from an offeror from among an Energy Policy Act target

group that offeror will be selected for award.

(b) Subcontracts.

(1) The contracting officer shall assure that all competitive Energy Policy Act solicitations over the

simplified acquisition threshold contain -

(i) A solicitation provision providing for consideration of the extent to which the offerors have

provided for subcontracting opportunities to entities from among the Energy Policy Act target

groups; and

(ii) A clause providing for the maximum utilization of entities from among Energy Policy Act target

groups in the performance of Energy Policy Act contracts.

(2) In addition, the contracting officer shall assure that all competitive Energy Policy Act

procurements expected to exceed $500,000 ($1,000,000 for construction) include a clause for

reporting after award as part of the Small Business and Small Disadvantaged Business

Subcontracting Plan process.

926.7006 Goal measurement and reporting requirements.

(a) General. The following types of contract awards for Energy Policy Act procurements shall be
counted toward achievement by DOE of the 10 percent goal -

(1) Any award set-aside for small disadvantaged business;

(2) Any competitive section 8(a) award;

(3) Any competitive award to one of the three target groups under an unrestricted procurement;

(4) Any award to one of the three target groups conducted under simplified acquisition procedures

in excess of the micro-purchase threshold; and,

(5) Any competitively awarded subcontract to one of the three target groups under a prime award.

(b) Prime contract awards. Award values and dollars obligated under prime contracts and

modifications to prime contracts for Energy Policy Act requirements shall be reported through the

Department of Energy Procurement and Assistance Data System.

(c) Subcontract awards. The contractor shall be required to report, on an annual Federal

Government fiscal year basis, its progress against Section 3021 goals by providing the actual dollar

value of subcontract payments and the relationship of those payments to the incurred contract cost.

If the contract includes reporting requirements under 48 CFR 52.219-9, Small Business and Small

Disadvantaged Business Subcontracting Plan, the contractor's progress against the Section 3021

goals shall be included as an addendum to Standard Form (SF) 294, Subcontracting Report for

Individual Contracts, and/or SF 295, Summary Subcontract Report, as applicable, for the period that

corresponds to the end of the Federal Government fiscal year.

926.7007 Solicitation provisions and contract clauses.

(a) The contracting officer shall insert the provision at 952.226-70, Subcontracting Goals under

Section 3021(a) of the Energy Policy Act of 1992 (Pub. L. 102-486) (Energy Policy Act), in

solicitations for Energy Policy Act procurements.

(b) The contracting officer shall insert the clause at 952.226-71, Utilization of Energy Policy Act

Target Entities, in contracts for the Energy Policy Act requirements with an award value in excess of

the simplified acquisition threshold.

(c) The contracting officer shall insert the clause at 952.226-72, Energy Policy Act Subcontracting

Goals and Reporting Requirements, in contracts for Energy Policy Act requirements with an award

value in excess of $500,000 ($1,000,000 in the case of construction).

(d) The contracting officer shall insert the provision at 952.226-73, Energy Policy Act Target Group

Representation, in solicitations for Energy Policy Act procurements.

(e) The contracting officer shall insert the clause at 48 CFR 52.219-14, Limitation on

Subcontracting, in contracts for Energy Policy Act requirements with an entity from among the

Energy Policy Act target groups.