[Federal Register Volume 73, Number 183 (Friday, September 19, 2008)]
[Proposed Rules]
[Pages 54340-54345]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-21984]


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NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 1819 and 1852

RIN 2700-AD41


NASA Mentor-Prot[eacute]g[eacute] Program

AGENCY: National Aeronautics and Space Administration.

ACTION: Proposed rule.

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[[Page 54341]]

SUMMARY: NASA proposes to revise the NASA FAR Supplement (NFS) to 
update the procedures for NASA's Mentor-Prot[eacute]g[eacute] program. 
The changes will streamline the program; align the mentoring to 
technical skills; expand the program to include Small Disadvantaged 
Businesses (SDB), women-owned small businesses, HUBZone small 
businesses, veteran-owned and service-disabled veteran-owned small 
businesses, Historically Black Colleges and Universities, minority 
institutions of higher education, and NASA Small Business Innovation 
Research (SBIR) Phase II small businesses; and will include award fee 
incentives.

DATES: Comments should be submitted on or before November 18, 2008 to 
be considered in formulation of the final rule.

ADDRESSES: Interested parties may submit comments, identified by RIN 
number 2700-AD41, via the Federal eRulemaking Portal: http://www.regulations.gov. Follow the instructions for submitting comments. 
Comments may also be submitted to Diane Thompson, NASA Headquarters, 
Office of Procurement, Contract Management Division, Washington, DC 
20546. Comments may also be submitted by e-mail to 
<a href="/cdn-cgi/l/email-protection#15517c747b703b417d7a7865667a7b557b7466743b727a63"><span class="__cf_email__" data-cfemail="ebaf828a858ec5bf8384869b988485ab858a988ac58c849d">[email protected]</span></a>.

FOR FURTHER INFORMATION CONTACT: Diane Thompson, NASA, Office of 
Procurement, Contract Management Division; (202) 358-0514; e-mail: 
<a href="/cdn-cgi/l/email-protection#0a4e636b646f245e6265677a7965644a646b796b246d657c"><span class="__cf_email__" data-cfemail="fabe939b949fd4ae9295978a899594ba949b899bd49d958c">[email protected]</span></a>.

SUPPLEMENTARY INFORMATION: 

A. Background

    This proposed rule implements the NASA Mentor-Prot[eacute]g[eacute] 
Program established under the authority of Title 42, U.S.C., 
2473(c)(1). Under the program, eligible entities approved as mentors 
will enter into mentor-prot[eacute]g[eacute] agreements with eligible 
prot[eacute]g[eacute]s to provide appropriate developmental assistance 
to enhance the capabilities of the prot[eacute]g[eacute]s to perform as 
subcontractors and suppliers. This proposed rule also introduces mentor 
award fee incentives and explains the calculated subcontracting credit 
pursuant to FAR 52.219-9, Small Business Subcontracting Plan. This is 
not a significant regulatory action and, therefore, is not subject to 
review under Section 6(b) of Executive Order 12866, Regulatory Planning 
and Review, dated September 30, 1993. This proposed rule is not a major 
rule under 5 U.S.C. 804.

B. Regulatory Flexibility Act

    NASA certifies that this proposed rule will not have a significant 
economic impact on a substantial number of small entities within the 
meaning of the Regulatory Flexibility Act, 5 U.S.C. 601 et seq., 
because participation in the mentor prot[eacute]g[eacute] program is 
voluntary and does not impose an economic impact beyond that addressed 
in the FAC 2005-14 publication of the FAR final rule.

C. Paperwork Reduction Act

    The Paperwork Reduction Act (Pub. L. 104-13) is applicable because 
the NFS changes impose information collection requirements in the form 
of applications and report submissions. The information collection has 
been approved by the Office of Management and Budget under 44 U.S.C. 
3501, et seq. via control number 2007-0078.

List of Subjects in 48 CFR Parts 1819 and 1852

    Government procurement.

William P. McNally,
Assistant Administrator for Procurement.
    Accordingly, 48 CFR parts 1819 and 1852 are proposed to be amended 
as follows:
    1. The authority citation for 48 CFR parts 1819 and 1852 continues 
to read as follows:

    Authority: 42 U.S.C. 2473(c)(1).

    2. Subpart 1819 is revised to read as follows:

Subpart 1819.72--NASA Mentor-Prot[eacute]g[eacute] Program

1819.7201 Scope of subpart.
1819.7202 Eligibility.
1819.7203 Mentor approval process.
1819.7204 Prot[eacute]g[eacute] selection.
1819.7205 Mentor-prot[eacute]g[eacute] agreements.
1819.7206 Agreement contents.
1819.7207 Agreement submission and approval process.
1819.7208 Award Fee Pilot Program.
1819.7209 Credit agreements.
1819.7210 Agreement terminations.
1819.7211 Loss of Eligibility.
1819.7212 Reporting requirements.
1819.7213 Performance reviews.
1819.7214 Measurement of Program success
1819.7215 Solicitation provision and contract clauses.

Subpart 1819.72--NASA Mentor-Prot[eacute]g[eacute] Program


1819.7201  Scope of subpart.

    (a) This subpart implements the NASA Mentor-Prot[eacute]g[eacute] 
Program (hereafter referred to as the Program) established under the 
authority of Title 42, U.S.C., 2473(c)(1). The purpose of the Program 
is to:
    (1) Provide incentives to NASA contractors, performing under at 
least one active approved subcontracting plan negotiated with NASA or 
another Federal agency, to assist prot[eacute]g[eacute]s in enhancing 
their capabilities to satisfy NASA and other contract and subcontract 
requirements;
    (2) Increase the overall participation of prot[eacute]g[eacute]s as 
subcontractors and suppliers under NASA contracts, other Federal agency 
contracts, and commercial contracts; and
    (3) Foster the establishment of long-term business relationships 
between prot[eacute]g[eacute]s and mentors.
    (b) Under the Program, eligible entities approved as mentors will 
enter into mentor-prot[eacute]g[eacute] agreements with eligible 
prot[eacute]g[eacute]s to provide appropriate developmental assistance 
to enhance the capabilities of the prot[eacute]g[eacute]s to perform as 
subcontractors and suppliers. NASA may provide the mentor award fee 
incentives. Additionally, this subpart explains the calculated 
subcontracting credit for a mentor-prot[eacute]g[eacute] program 
pursuant to FAR 52.219-9, Small Business Subcontracting Plan.


1819.7202  Eligibility.

    (a) Eligibility of Mentors: To be eligible to participate as a 
mentor, an entity must be--
    (1) A large prime contractor performing under contracts with at 
least one approved subcontracting plan negotiated with NASA, pursuant 
to FAR Subpart 19.7, The Small Business Subcontracting Program; and
    (2) A contractor eligible for receipt of Government contracts.
    (i) An entity may not be approved for participation in the Program 
as a mentor if, at the time of requesting participation in the program, 
it is currently debarred or suspended from contracting with the Federal 
Government pursuant to FAR Subpart 9.4, Debarment, Suspension, and 
Ineligibility.
    (b) Eligibility of Prot[eacute]g[eacute]s: To be eligible to 
participate as a prot[eacute]g[eacute], an entity must--
    (1) Be classified as a Small Disadvantaged Business (SDB), a women-
owned small business, a HUBZone small business, a veteran-owned or 
service-disabled veteran-owned small business, an historically black 
college and university, minority institution of higher education, or an 
active NASA SBIR Phase II company, as defined in FAR Part 2, 
Definitions of Parts and Terms;
    (2) Be eligible for the award of Federal contracts; and
    (3) Be a small business according to the Small Business 
Administration

[[Page 54342]]

(SBA) size standard for the North American Industry Classification 
System (NAICS) code that represents the contemplated supplies or 
services to be provided by the prot[eacute]g[eacute] to the mentor if 
the prot[eacute]g[eacute] is representing itself as a women-owned small 
business, HUBZone small business, or a veteran-owned or service-
disabled veteran-owned small business.


1819.7203  Mentor approval process.

    (a) An entity seeking to participate as a mentor must apply to the 
NASA Headquarters Office of Small Business Programs (OSBP), to 
establish its initial eligibility and approval as a mentor, prior to 
submission of a mentor-prot[eacute]g[eacute] agreement.
    (b) The application must provide the following information:
    (1) A statement that the entity is currently performing under at 
least one active approved subcontracting plan negotiated with NASA 
pursuant to FAR 19.702, The Small Business Subcontracting Program, and 
that the entity is currently eligible for the award of Government 
contracts.
    (2) A summary of the entity's historical and recent activities and 
accomplishments under its small and disadvantaged business utilization 
program.
    (3) The total dollar amount of NASA contracts and subcontracts that 
the entity received during the two preceding fiscal years. (Show prime 
contracts and subcontracts separately per year.)
    (4) The total dollar amount of all other Federal agency contracts 
and subcontracts that the entity received during the two preceding 
fiscal years. (Show prime contracts and subcontracts separately per 
year.)
    (5) The total dollar amount of subcontracts that the entity awarded 
under NASA contracts during the two preceding fiscal years.
    (6) The total dollar amount of subcontracts that the entity awarded 
under all other Federal agency contracts during the two preceding 
fiscal years.
    (7) The total dollar amount and percentage of subcontracts that the 
entity awarded to all SDB, women-owned small businesses, HUBZone small 
businesses, veteran-owned and service-disabled veteran-owned small 
businesses, Historically Black Colleges and Universities, and minority 
institutions of higher education, under NASA contracts and other 
Federal agency contracts during the two preceding fiscal years. If the 
entity is presently required to submit a Summary Subcontracting Report 
via the Government Electronic Subcontracting Reporting System (eSRS), 
the application must include copies of the final reports for the two 
preceding fiscal years.
    (8) Information on the entity's ability to provide developmental 
assistance to its eligible prot[eacute]g[eacute]s.
    (9) Any additional information as requested by NASA OSBP.
    (c) In accordance with the Small Business Act, developmental 
assistance as described in 1819.7205(c) and provided by a mentor to its 
prot[eacute]g[eacute] pursuant to a mentor-prot[eacute]g[eacute] 
agreement may not be a basis for determining affiliation or control 
(either direct or indirect) between the parties.
    (d) Entities that apply for participation and are not approved will 
be provided the reasons and an opportunity to submit additional 
information for reconsideration.
    (e) Entities approved for participation as a mentor in the NASA 
program must resubmit a mentor application every six (6) years for 
review and approval by NASA OSBP.
    (f) A template of the mentor application is available at: http://www.osbp.nasa.gov.


1819.7204  Prot[eacute]g[eacute] selection.

    (a) Mentors will be solely responsible for selecting 
prot[eacute]g[eacute]s. Mentors are required to identify and select 
concerns that are defined as either an SDB, women-owned small business, 
HUBZone small business, veteran-owned or service-disabled veteran-owned 
small business, Historically Black Colleges and Universities, minority 
institutions of higher education, or an active NASA SBIR Phase II 
company.
    (b) The selection of prot[eacute]g[eacute]s by a mentor may not be 
protested, except as in paragraph (c) of this section.
    (c) In the event of a protest regarding the size or eligibility of 
an entity selected to be a prot[eacute]g[eacute], the mentor must refer 
the protest to the SBA to resolve in accordance with 13 CFR Part 121 
(with respect to size) or 13 CFR Part 124 (with respect to 
disadvantaged status).
    (d) A prot[eacute]g[eacute] may have only one active NASA mentor-
prot[eacute]g[eacute] agreement, and may not participate in the NASA 
Program more than two times as a prot[eacute]g[eacute].
    (e) Prot[eacute]g[eacute]s will be required to submit a 
prot[eacute]g[eacute] application concurrently with the agreement 
submission. This application will include the following information:
    (1) A summary of the entity's historical and recent activities, 
including annual revenue and number of employees.
    (2) The total dollar amount of NASA contracts and subcontracts that 
the entity received during the two preceding fiscal years. (Show prime 
contracts and subcontracts separately per year.)
    (3) The total dollar amount of all other Federal agency contracts 
and subcontracts that the company received during the two preceding 
fiscal years. (Show prime contracts and subcontracts separately per 
year.)
    (4) The total dollar amount of subcontracts that the company 
awarded under NASA contracts during the two preceding fiscal years.
    (5) The total dollar amount of subcontracts that the company 
awarded under all other Federal agency contracts during the two 
preceding fiscal years.


1819.7205  Mentor-prot[eacute]g[eacute] agreements.

    (a) The agreements shall be structured after the Mentor completes 
an assessment of the developmental needs of the prot[eacute]g[eacute] 
and a mutual agreement is reached regarding the developmental 
assistance to be permitted to address those needs and enhance the 
prot[eacute]g[eacute]'s ability to perform successfully under contracts 
and/or subcontracts.
    (b) A mentor shall not require a prot[eacute]g[eacute] to enter 
into a mentor-prot[eacute]g[eacute] agreement as a condition for award 
of a contract by the mentor, including a subcontract under a NASA 
contract awarded to the mentor.
    (c) The mentor-prot[eacute]g[eacute] agreement may provide for the 
mentor to furnish any or all of the following types of developmental 
assistance:
    (1) Assistance by the mentor's personnel in--
    (i) General business management, including organizational 
management, financial management, personnel management, marketing, 
business development, and overall business planning;
    (ii) Engineering, environmental and technical matters; and
    (iii) Any other assistance designed to develop the capabilities of 
the prot[eacute]g[eacute] under the developmental program.
    (2) Award of subcontracts under NASA contracts or other contracts 
on a noncompetitive basis.
    (3) Advance payments under such subcontracts. The mentor must 
administer advance payments when first approved by NASA in accordance 
with FAR Subpart 32.4, Advance Payments for Non-Commercial Items.
    (4) Loans.
    (5) Investment(s) in the prot[eacute]g[eacute] in exchange for an 
ownership interest in the prot[eacute]g[eacute], not to exceed 10 
percent of the total ownership interest. Investments may include, but 
are not

[[Page 54343]]

limited to, cash, stock, and contributions in kind.
    (6) Assistance that the mentor obtains for the 
prot[eacute]g[eacute] from one or more of the following:
    (i) Small Business Development Centers established pursuant to 
Section 21 of the Small Business Act (15 U.S.C. 648).
    (ii) Entities providing procurement technical assistance pursuant 
to 10 U.S.C. Chapter 142 (Procurement Technical Assistance Centers).
    (iii) Historically Black Colleges and Universities.
    (iv) Minority institutions of higher education.
    (d) Developmental assistance provided under an approved mentor-
prot[eacute]g[eacute] agreement is distinct from, and must not 
duplicate, any effort that is the normal and expected product of the 
award and administration of the mentor's subcontracts. Costs associated 
with the latter must be accumulated and charged in accordance with the 
contractor's approved accounting practices; they are not considered 
developmental assistance costs eligible for credit under the Program.
    (e) A template of the mentor-prot[eacute]g[eacute] agreement is 
available at http://www.osbp.nasa.gov.


1819.7206  Agreement contents.

    Each mentor-prot[eacute]g[eacute] agreement will contain the 
following elements:
    (a) The name, address, e-mail address, and telephone number of the 
mentor and prot[eacute]g[eacute] points of contact;
    (b) The NAICS code(s) that represent the contemplated supplies or 
services to be provided by the prot[eacute]g[eacute] to the mentor and 
a statement that, at the time the agreement is submitted for approval, 
the prot[eacute]g[eacute], if an SDB, a women-owned small business, a 
HUBZone small business, or a veteran-owned or a service-disabled 
veteran-owned small business concern, does not exceed the size standard 
for the appropriate NAICS code;
    (c) The DUNS number of the mentor and prot[eacute]g[eacute];
    (d) A statement that the mentor is eligible to participate in 
accordance with 1819.7202(a);
    (e) A statement that the prot[eacute]g[eacute] is eligible to 
participate in accordance with 1819.7202(b);
    (f) A developmental program specifying the type of assistance the 
mentor will provide to the prot[eacute]g[eacute] and how that 
assistance will--
    (1) Increase the prot[eacute]g[eacute]'s ability to participate in 
NASA, Federal, and/or commercial contracts and subcontracts; and
    (2) Increase small business subcontracting opportunities in 
industry categories where eligible prot[eacute]g[eacute]s or other 
small business firms are not dominant in the company's vendor base;
    (g) Factors to assess the prot[eacute]g[eacute]'s developmental 
progress under the Program, including specific milestones for providing 
each element of the identified assistance;
    (h) An estimate of the dollar value and type of subcontracts that 
the mentor will award to the prot[eacute]g[eacute], and the period of 
time over which the subcontracts will be awarded;
    (i) A statement from the mentor and prot[eacute]g[eacute] 
indicating a commitment to comply with the requirements for reporting 
in accordance with 1819.7212 and for review of the agreement during the 
duration of the agreement, and additionally for the 
prot[eacute]g[eacute], two years thereafter;
    (j) Procedures to terminate the agreement in accordance with 
1819.7210;
    (k) A provision that the term for the agreement will not exceed 3 
years for a credit agreement;
    (l) Additional terms and conditions as may be agreed upon by both 
parties; and
    (m) Signatures and dates for both parties to the mentor-
prot[eacute]g[eacute] agreement.


1819.7207  Agreement submission and approval process.

    (a) To participate in the Program, entities approved as mentors in 
accordance with 1819.7203, will submit to a Small Business Specialist 
at a NASA Center--
    (1) A signed mentor-prot[eacute]g[eacute] agreement pursuant to 
1819.7206;
    (2) The estimated cost of the technical assistance to be provided, 
broken out per year and per task, in a separate cost volume; and
    (3) NASA OSBP may require additional information as requested upon 
agreement submission.
    (b) The mentor-prot[eacute]g[eacute] agreement must be approved by 
the Assistant Administrator, NASA OSBP, prior to the mentor incurring 
eligible costs for developmental assistance provided to the 
prot[eacute]g[eacute].
    (c) The cognizant NASA center will issue a contract modification, 
if justified prior to the mentor incurring costs for developmental 
assistance to the prot[eacute]g[eacute].


1819.7208  Award Fee Pilot Program.

    (a) Mentors will be eligible to earn a separate award fee 
associated with the provision of developmental assistance to NASA SBIR 
Phase II Prot[eacute]g[eacute]s only. The award fee will be assessed at 
the end of the Mentor-Prot[eacute]g[eacute] agreement period.
    (b) The overall developmental assistance performance of NASA 
contractors, in promoting the use of small businesses as 
subcontractors, will be a required evaluation factor in award fee plans 
under the Award Fee Pilot Program.
    (c) Evaluation criteria to determine the award fee would include:
    (1) Active participation in the Program;
    (2) The amount and quality of developmental assistance provided;
    (3) Subcontracts awarded to small businesses and others;
    (4) Success of the prot[eacute]g[eacute]s in increasing their 
business as a result of receiving developmental assistance; and
    (5) Accomplishment of any other activity as related to the mentor-
prot[eacute]g[eacute] relationship.
    (d) The Award Fee Pilot Program is an addition to the credit 
agreement. Participants that are eligible for award fee will also 
receive credit as described in 1819.7209.


1819.7209  Credit Agreements.

    (a) The credit permits the mentor to include the cost it expends on 
a mentor-prot[eacute]g[eacute] agreement as part of any subcontracting 
plan pursuant to the clause at FAR 52.219-9, Small Business 
Subcontracting Plan. The following provisions apply to all credit 
mentor-prot[eacute]g[eacute] agreements:
    (1) Developmental assistance costs incurred by a mentor for 
providing assistance to a prot[eacute]g[eacute] pursuant to an approved 
credit mentor-prot[eacute]g[eacute] agreement may be credited as if the 
costs were incurred in a subcontract awarded to that 
prot[eacute]g[eacute]. Credit is given for the sole purpose of 
determining the performance of the mentor in attaining an applicable 
subcontracting goal established under any contract containing a 
subcontracting plan pursuant to the clause at FAR 52.219-9, Small 
Business Subcontracting Plan.
    (2) Other costs that have been reimbursed through inclusion in 
indirect expense pools may also be credited as subcontract awards for 
determining the performance of the mentor in attaining an applicable 
subcontracting goal established under any contract containing a 
subcontracting plan.
    (3) The amount of credit a mentor may receive for developmental 
assistance costs must be reported on a one-to-one basis for all dollars 
spent.


1819.7210  Agreement terminations.

    (a) Agreements may be terminated for cause or on a voluntary basis 
by the mentor or the prot[eacute]g[eacute]. The procedures for 
agreement termination are outlined in the mentor-prot[eacute]g[eacute] 
agreement template available at http://www.osbp.nasa.gov.

[[Page 54344]]

    (b) NASA OSBP maintains the right to terminate an agreement if 
milestones provided under the original agreement submission, pursuant 
to 1819.7206(g), are not satisfactorily achieved, or for other reasons 
as determined necessary by the NASA OSBP.


1819.7211  Loss of Eligibility.

    (a) If the mentor is suspended or debarred while performing under 
an approved mentor-prot[eacute]g[eacute] agreement, the mentor--
    (1) May not be reimbursed or take credit for any costs of providing 
developmental assistance to its prot[eacute]g[eacute], incurred more 
than 30 days after the imposition of such suspension or debarment; and
    (2) Must promptly give notice of its suspension or debarment to its 
prot[eacute]g[eacute] and NASA OSBP.
    (b) If the prot[eacute]g[eacute] is suspended or debarred while 
performing under an approved mentor-prot[eacute]g[eacute] agreement or 
the SBA determines that a prot[eacute]g[eacute] is ineligible according 
to program eligibility requirements, then
    (1) The mentor shall not be able to receive credit for any of the 
costs of providing assistance to the prot[eacute]g[eacute] after the 
date of the determination regarding the prot[eacute]g[eacute]'s loss of 
eligibility; and
    (2) The mentor shall not be eligible to receive an award fee for 
the assistance provided to the prot[eacute]g[eacute] after the date of 
the determination regarding the prot[eacute]g[eacute]'s suspension or 
debarment, if participating in the Award Fee Pilot Program.
    (c) If the prot[eacute]g[eacute] is a Historically Black College or 
University, or other minority institution of higher education that 
loses either their accredited or minority status, then:
    (1) The mentor shall not be able to receive credit for any the 
costs of providing assistance to the prot[eacute]g[eacute] after the 
date of the determination regarding the prot[eacute]g[eacute]'s status.
    (2) The mentor shall not be eligible to receive an award fee for 
the assistance provided to the prot[eacute]g[eacute] after the date of 
the determination regarding the prot[eacute]g[eacute]'s loss of 
accreditation or minority status.


1819.7212  Reporting requirements.

    (a) Mentors must report on the progress made under active mentor-
prot[eacute]g[eacute] agreements semiannually throughout the term of 
the agreement.
    (b) Reports are due 30 days after the end of each six-month period 
of performance commencing with the start of the agreement.
    (c) Each semiannual report must include the following data on 
performance under the mentor-prot[eacute]g[eacute] agreement:
    (1) Dollars obligated by NASA (for reimbursable agreements).
    (2) Expenditures by the mentor.
    (3) The number and dollar value of subcontracts awarded to the 
prot[eacute]g[eacute].
    (4) Description of developmental assistance provided, including 
milestones achieved.
    (5) Impact of the agreement in terms of capabilities enhanced, 
certifications received, and/or technology transferred.
    (d) Semiannually, the prot[eacute]g[eacute] must provide an 
independently developed progress report using the semiannual report 
template, on the progress made during the prior six months by the 
prot[eacute]g[eacute] in employment, revenues, and participation in 
NASA contracts during each year of the Program participation term. The 
Prot[eacute]g[eacute] must also provide an additional post-agreement 
report for each of the two years following the expiration of the 
Program participation term.
    (e) The prot[eacute]g[eacute] semiannual report required by 
paragraph (d) of this section may be provided with the mentor 
semiannual report required by paragraph (a) of this section, or 
submitted separately.
    (f) Reports for all agreements must be submitted to the NASA OSBP 
Mentor-Prot[eacute]g[eacute] Program Manager, the mentor's cognizant 
administrative contracting officer, and their cognizant center small 
business specialist.
    (g) Templates for the semiannual report and the Post-Agreement 
report and guidance for their submission are available at: http://www.osbp.nasa.gov.


1819.7213  Performance reviews.

    (a) NASA OSBP will conduct annual performance reviews of the 
progress and accomplishments realized under approved mentor-
prot[eacute]g[eacute] agreements. These reviews will include 
verification of--
    (1) All costs incurred by the mentor under the agreement to 
determine if they were reasonable in the provision of developmental 
assistance to the prot[eacute]g[eacute] in accordance with the mentor-
prot[eacute]g[eacute] agreement and applicable regulations and 
procedures; and
    (2) The mentor's and prot[eacute]g[eacute]'s reported progress made 
by the prot[eacute]g[eacute] in employment, revenues, and participation 
in NASA contracts during the program participation term.


1819.7214  Measurement of Program success.

    (a) NASA will measure the overall success of the Program by the 
extent to which the Program results in--
    (1) An increase in the number and dollar value of contracts and 
subcontract awards to prot[eacute]g[eacute]s (under NASA contracts, 
contracts awarded by other Federal agencies, and commercial contracts) 
from the date of their entry into the program until two years after the 
conclusion of the agreement;
    (2) An increase in the number and dollar value of subcontracts 
awarded to a prot[eacute]g[eacute] (or former prot[eacute]g[eacute]) by 
its mentor (or former mentor); and
    (3) An increase in the prot[eacute]g[eacute]s number of employees 
from the date of entry into the program until two years after the 
completion of the agreement.


1819.7215  Solicitation provision and contract clauses.

    (a) The contracting officer shall insert the clause at 1852.219-77, 
NASA Mentor-Prot[eacute]g[eacute] Program, in:
    (1) Any contract that includes the clause at FAR 52.219-9, Small 
Business Subcontracting Plan.
    (b) The contracting officer shall insert the clause at 1852.219-79, 
Mentor Requirements and Evaluation, in contracts where the prime 
contractor is a participant in the NASA Mentor-Prot[eacute]g[eacute] 
Program.

PART 1852--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

    3. Sections 1852.219-77 and 1852.219-79 are revised to read as 
follows:


1852.219-77  NASA Mentor-Prot[eacute]g[eacute] Program.

    As prescribed in 1819.7215, insert the following clause:

NASA MENTOR-PROT[Eacute]G[Eacute] PROGRAM

(XX/XX)

    (a) Prime contractors are encouraged to participate in the NASA 
Mentor-Prot[eacute]g[eacute] Program for the purpose of providing 
developmental assistance to eligible prot[eacute]g[eacute] entities 
to enhance their capabilities and increase their participation in 
NASA contracts.
    (b) The Program consists of:
    (1) Mentors, which are large businesses and prime contractors 
with at least one active and approved NASA subcontracting plan;
    (2) Prot[eacute]g[eacute]s, which are subcontractors to the 
prime contractor. Prot[eacute]g[eacute]s must qualify as certified 
small disadvantaged business concerns, women-owned small business 
concerns, veteran-owned or service-disabled veteran-owned small 
business concerns, HUBZone small business concerns, Historically 
Black Colleges and Universities, minority institutions of higher 
education, or active NASA SBIR Phase II companies meeting the 
qualifications defined in FAR Part 2, Definitions of Parts and 
Terms.
    (3) Mentor-prot[eacute]g[eacute] agreements, endorsed by the 
cognizant NASA centers and approved by the NASA Office of Small 
Business Programs (OSBP);
    (4) In contracts with award fee incentives, potential for 
payment of an award fee for

[[Page 54345]]

voluntary participation and successful performance in the Mentor-
Prot[eacute]g[eacute] Program, in accordance with NFS 1819.7209.
    (c) Mentor participation in the Program, described in NFS 
1819.72, means providing technical, managerial and financial 
assistance to aid prot[eacute]g[eacute]s in developing requisite 
high-tech expertise and business systems to compete for and 
successfully perform NASA contracts and subcontracts.
    (d) Contractors interested in participating in the program are 
encouraged to contact the NASA OSBP, Washington, DC 20546, (202) 
358-2088, for further information.


(End of clause)


1852.219-79  Mentor requirements and evaluation.

    As prescribed in 1819.7215, insert the following clause:

MENTOR REQUIREMENTS AND EVALUATION

(XX/XX)

    (a) The purpose of the NASA Mentor-Prot[eacute]g[eacute] Program 
is for a NASA prime contractor to provide developmental assistance 
to certain subcontractors qualifying as prot[eacute]g[eacute]s. 
Eligible prot[eacute]g[eacute]s include certified small 
disadvantaged business concerns, women-owned small business 
concerns, veteran-owned or service-disabled veteran-owned small 
business concerns, HUBZone small business concerns, Historically 
Black Colleges and Universities, minority institutions of higher 
education, and active NASA SBIR Phase II companies meeting the 
qualifications specified in defined in FAR Part 2, Definitions of 
Parts and Terms.
    (b) NASA will evaluate the contractor's performance on the 
following factors. If this contract includes an award fee incentive, 
this assessment will be accomplished as part of the fee evaluation 
process.
    (1) Specific actions taken by the contractor, during the 
evaluation period, to increase the participation of 
prot[eacute]g[eacute]s as subcontractors and suppliers;
    (2) Specific actions taken by the contractor during this 
evaluation period to develop the technical and corporate 
administrative expertise of a prot[eacute]g[eacute] as defined in 
the agreement;
    (3) To what extent the mentor and prot[eacute]g[eacute] have met 
the developmental milestones outlined in the agreement; and
    (4) To what extent the entities participation in the Mentor-
Prot[eacute]g[eacute] Program resulted in the prot[eacute]g[eacute] 
receiving competitive contract(s) and subcontract(s) from private 
firms and agencies other than the mentor.
    (c) Semiannual reports shall be submitted by the mentor and the 
prot[eacute]g[eacute] to the cognizant NASA center and NASA 
Headquarters Office of Small Business Programs (OSBP), following the 
semiannual report template found on the Web site at http://www.osbp.nasa.gov.
    (d) The mentor will notify the cognizant NASA center and NASA 
OSBP in writing, at least 30 days in advance of the mentor's intent 
to voluntarily withdraw from the program or upon receipt of a 
prot[eacute]g[eacute]'s notice to withdraw from the Program;
    (e) At the end of each year in the Mentor-Prot[eacute]g[eacute] 
Program, the mentor and prot[eacute]g[eacute], as appropriate, will 
formally brief the NASA Mentor-Prot[eacute]g[eacute] program 
manager, the technical program manager, and the contracting officer 
during a formal program review regarding Program accomplishments, as 
it pertains to the approved agreement.
    (f) NASA may terminate mentor-prot[eacute]g[eacute] agreements 
for good cause, thereby excluding mentors or prot[eacute]g[eacute]s 
from participating in the NASA Mentor-Prot[eacute]g[eacute] program. 
These actions shall be approved by the NASA OSBP. NASA shall 
terminate an agreement by delivering to the contractor a letter 
specifying the reason for termination and the effective date. 
Termination of an agreement does not constitute a termination of the 
subcontract between the mentor and the prot[eacute]g[eacute]. A plan 
for accomplishing the subcontract effort should the agreement be 
terminated shall be submitted with the agreement as required in NFS 
1819.7211.


(End of clause)

[FR Doc. E8-21984 Filed 9-18-08; 8:45 am]
BILLING CODE 7510-01-P


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