[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] ======================================================================= ----------------------------------------------------------------------- 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. ----------------------------------------------------------------------- [[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 [email protected]. FOR FURTHER INFORMATION CONTACT: Diane Thompson, NASA, Office of Procurement, Contract Management Division; (202) 358-0514; e-mail: [email protected]. 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