For vendors interested in doing business with the Government but lacking specific experience, the subcontracting program is an excellent way to gain that experience.

Any contractor receiving a contract for more than the simplified acquisition threshold must agree in the contract that small business, veteran-owned small business, service-disabled veteran-owned small business, HUBZone small business, small disadvantaged business, and women-owned small business concerns will have the maximum practicable opportunity to participate in contract performance consistent with its efficient performance. Any contract or contract modification, that individually is expected to exceed $550,000 ($1,000,000 for construction) and that has subcontracting possibilities, is required to have an acceptable subcontracting plan unless the contract is --

(1) From a small business concern;

(2) For personal services;

(3) Will be performed entirely outside of the United States and its outlying areas; or

(4) For modifications within the general scope of the contract that does not contain the clause at 52.219-8, Utilization of Small Business Concerns (or equivalent prior clauses, e.g., contracts awarded before the enactment of Public Law 95-507).

 

For additional information:

• Small Business Administration Sub-Net
• FAR 19.7
• FAR Part 44