[Federal Register: June 16, 2008 (Volume 73, Number 116)]
[Notices]
[Page 33993-33994]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr16jn08-38]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
Reinstitution of Small Business Set-Asides for Certain
Acquisitions Under the Small Business Competitiveness Demonstration
Program
AGENCY: Defense Acquisition Regulations System, Department of Defense
(DoD).
ACTION: Notice of reinstitution of small business set-asides under the
Small Business Competitiveness Demonstration Program.
-----------------------------------------------------------------------
SUMMARY: The Director, Defense Procurement, Acquisition Policy, and
Strategic Sourcing has reinstituted the use of small business set-aside
procedures for solicitations issued under the Designated Industry
Groups (DIGs), including Construction (except dredging), Subsector
236--Construction of Buildings; non-nuclear ship repair acquisitions
conducted by the Department of the Navy under North American Industry
Classification System (NAICS) Code 3366111, Product or Service Code
J999 (West Coast only); Architect and Engineering Services (including
Surveying and Mapping); and Refuse Systems and Related Services. The
Director, Defense Procurement, Acquisition Policy, and Strategic
Sourcing has also reinstituted the use of small business set-aside
procedures for construction solicitations issued under specific
construction NAICS codes for the Army, the Navy, the Air Force, the
Defense Logistics Agency, the Defense Information Systems Agency, the
Defense Threat Reduction Agency, the Defense Education Activity, and
the U.S. Special Operations Command. This action is required under the
Small Business Competitiveness Demonstration Program because DoD has
failed to attain its 40 percent goal in these DIGs.
EFFECTIVE DATE: June 2, 2008.
FOR FURTHER INFORMATION CONTACT: Ms. Lee Renna, OUSD(AT&L), Assistant
Director, DoD Office of Small Business Programs, 201-12th Street South,
Suite 406, Arlington, VA 22202; telephone 703-604-0157.
SUPPLEMENTARY INFORMATION: The Office of Federal Procurement Policy and
the Small Business Administration issued a final policy directive and
an implementation plan on May 25, 1999, for the Small Business
Competitiveness Demonstration Program. The Program is further
implemented in the Federal Acquisition Regulation (FAR) Subpart 19.10
and the Defense FAR Supplement Subpart 219.10.
Under the Program, small business set-asides are suspended for
certain DIGs. However, pursuant to sections III.D.2.a. and IV.A.3. of
the final policy directive and implementation plan, participating
agencies such as DoD are required to reinstitute the use of small
business set-asides whenever the small business awards under any DIG
fall below 40 percent. Reinstitution of small business set-asides is
limited to the organizational units(s) within the participating agency
that failed to meet the small business participation goal(s).
The Federal Procurement Data System--Next Generation indicates that
for the 12-month period ending September 30, 2007, DoD's small business
participation rate was less than 40 percent in the following DIGs:
1. Construction (Except Dredging), Subsector 236, Construction of
Buildings.
2. Non-Nuclear Ship Repair, Product or Service Code J999 (West
Coast only).
3. Architect and Engineering Services (including Surveying and
Mapping).
4. Refuse Systems and Related Services.
In addition to the DIGs identified above, section IV.A.3. of the
final policy directive and implementation plan requires that small
business set-asides also be reinstituted when an individual
organizational unit attained less than a 35 percent small business
participation rate, even when DoD's overall achievement in the DIG was
40 percent or greater. The 35 percent rule applies only to Architect
and Engineering services and the Construction Subsectors and only for
the specific NAICS codes (formerly known as Standard Industrial
Classification codes) that fell below 35 percent. Accordingly, the
Director, Defense Procurement, Acquisition Policy, and Strategic
Sourcing has directed that subsequent contracting opportunities in
excess of the amount reserved for emerging small
[[Page 33994]]
businesses be solicited through competition restricted to eligible
small businesses, for individual organizational units as follows:
1. Department of the Army.
(a)(1) Construction, Subsector 236, Construction of Buildings.
(2) Construction, Subsector 237, Heavy and Civil Engineering
Construction.
NAICS 237120.
(3) Construction, Subsector 238, Specialty Trade
Contractors.
NAICS 238110.
NAICS 238290.
NAICS 238350.
(b) Architect and Engineering Services (including Surveying and
Mapping).
(c) Refuse Systems and Related Services.
2. Department of the Navy.
(a)(1) Construction, Subsector 236, Construction of Buildings.
(2) Construction, Subsector 237, Heavy and Civil Engineering
Construction.
NAICS 237120.
NAICS 237990.
(3) Construction, Subsector 238, Specialty Trade Contractors.
NAICS 238120.
NAICS 238190.
NAICS 238390.
(b) Non-Nuclear Ship Repair, Product or Service Code J999 (West
Coast only).
(c) Architect and Engineering Services (including Surveying and
Mapping).
3. Department of the Air Force.
(a)(1) Construction, Subsector 236, Construction of Buildings.
(2) Construction, Subsector 237, Heavy and Civil Engineering
Construction.
NAICS 237120.
(b) Architect and Engineering Services (including Surveying and
Mapping).
4. Defense Contract Management Agency.
Construction, Subsector 236, Construction of Buildings.
5. Defense Logistics Agency.
(a) Construction, Subsector 236, Construction of Buildings.
(b) Construction, Subsector 238, Specialty Trade Contractors.
NAICS 238110.
NAICS 238120.
NAICS 238220.
6. Defense Commissary Agency.
Refuse Systems and Related Services.
7. Washington Headquarters Services.
(a) Construction, Subsector 236, Construction of Buildings.
(b) Architect and Engineering Services (including Surveying and
Mapping).
8. Defense Information Systems Agency.
Construction, Subsector 238, Specialty Trade Contractors.
NAICS 238990.
9. Defense Threat Reduction Agency.
Construction, Subsector 237, Heavy and Civil Engineering
Construction.
NAICS 237990.
10. Defense Education Activity.
Construction, Subsector 238, Specialty Trade Contractors.
NAICS 238990.
11. U.S. Special Operations Command.
(a) Construction, Subsector 237, Heavy and Civil Engineering
Construction.
NAICS 237310.
(b) Construction, Subsector 238, Specialty Trade Contractors.
NAICS 238170.
Consistent with the revised final policy directive and
implementation plan, section III.D.3.b., competition in the four DIGs
with an estimated award value that is equal to or less than the
emerging small business reserve amount will be restricted to emerging
small businesses, provided that the contracting officer determines
there is a reasonable expectation of obtaining offers from two or more
responsible emerging small businesses that will be competitive in terms
of market price, quality, and delivery. If no such reasonable
expectation exists, requirements will be processed in accordance with
FAR Subpart 19.5 or 19.8.
The use of unrestricted competition will be reinstated upon
determining, after annual review, that contract awards to small
business concerns again meet the required goals.
Michele P. Peterson,
Editor, Defense Acquisition Regulations System.
[FR Doc. E8-13459 Filed 6-13-08; 8:45 am]
BILLING CODE 5001-08-P