[Federal Register Volume 76, Number 58 (Friday, March 25, 2011)]
[Proposed Rules]
[Pages 16703-16707]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-7135]
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SMALL BUSINESS ADMINISTRATION
13 CFR Parts 121, 124, 125, 126, and 127
[Docket No. SBA-2011-0006]
Small Business Jobs Act Tour: Selected Provisions Having an
Effect on Government Contracting
AGENCY: U.S. Small Business Administration.
ACTION: Notice of Public Meetings.
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SUMMARY: The U.S. Small Business Administration's (SBA) Office of
Government Contracting and Business Development (GC/BD) is tasked with
implementing several provisions of the Small Business Jobs Act of 2010
(SBJA). On Monday, March 7, 2011, SBA announced a series of public
meetings on its implementation of these provisions. The dates, times
and locations, as well as registration information, are set forth
below. SBA is providing this supplementary information on the
government contracting provisions of the SBJA to provide background and
focus input.
DATES: The meetings will be held on the dates and times specified in
the Event Information section of the Supplementary Information below.
It is recommended that all attendees register at least one week prior
to the scheduled meeting date. In addition, comments to SBA docket
number SBA-2011-0006 must be received on or before April 16, 2011.
ADDRESSES: The meetings will be held at the locations specified in the
Event Information section of the Supplementary Information below.
Parties interested in attending a meeting must register by providing
the requested registration information at http://www.sba.gov/jobsacttour. In addition, you may submit comments, identified by SBA
docket number SBA-2011-0006 by any of the following methods:
Federal eRulemaking Portal: http://www.regulations.gov. Follow the
instructions for submitting comments.
Mail: Small Business Jobs Act Tour--Office of Government
Contracting and Business Development, U.S. Small Business
Administration, 409 Third Street, SW., Suite 8000, Washington, DC
20416.
Hand Delivery/Courier: Richard L. Miller, Small Business Jobs Act
Tour--Office of Government Contracting and Business Development, 409
Third Street, SW., Washington, DC 20416.
SBA will post all comments on http://www.regulations.gov. If you
wish to submit confidential business information (CBI) as defined in
the User Notice at http://www.regulations.gov, please submit the
information to Mr. Miller, address above. Highlight the information
that you consider to be CBI and explain why you believe SBA should hold
this information as confidential. SBA will review the information and
make the final determination whether it will publish the information.
FOR FURTHER INFORMATION CONTACT: Richard L. Miller, Small Business
Job's Act Tour--Office of Government Contracting and Business
Development, 409 Third Street, SW., Washington, DC 20416, at (202) 205-
6895; Fax: (202) 481-4291; e-mail: [email protected].
SUPPLEMENTARY INFORMATION
I. Background
On September 27, 2010, President Obama signed the SBJA, which makes
many significant small business program improvements. The new law
provides critical resources to help small businesses continue to drive
economic recovery and create jobs. The new law extended the successful
SBA enhanced loan provisions while offering billions more in lending
support, tax cuts, and other opportunities for entrepreneurs and small
business owners. The new law also contained numerous provisions to help
enhance small businesses ability to compete in government contracting
and subcontracting. For example, the law addresses small business set-
asides on multiple award contracts, contract consolidation, and timely
payments to small business subcontractors. The contracting provisions
also dovetail with recommendations released by the Interagency Task
Force on Small Business Contracting in September (http://www.sba.gov/content/interagency-task-force-federal-contracting-opportunities-small-businesses). The Task Force was established by the President in April
2010 to identify ways in which to increase small business participation
in the federal marketplace so that agencies meet and exceed their small
business contracting goals.
Accordingly, SBA will conduct a Small Business Jobs Act Tour that
will cover 13 cities. The objective of the tour is to provide
information on SBJA provisions and to receive input on key SBJA
provisions.
II. Topics and Agenda
While the agenda may vary from city to city, a typical agenda is
below. Please visit http://www.sba.gov/jobsacttour for updates on each
location's agenda.
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9 to 10 am................................ Opening Keynote & Overview
of Small Business Jobs Act.
10 to 10:15 am............................ Break.
10:15 to 11:30 am......................... Room 1--CONTRACTING
Discussion and intake
session surrounding key
Jobs Act provisions:
multiple-award set-asides,
bundling, consolidation of
requirements,
subcontracting, mentor-
prot[eacute]g[eacute]
programs, presumption of
loss and misrepresentation
issues, and annual
certification issues.
Room 2--LENDER ROUNDTABLE
Discussion for current and
prospective SBA lenders:
new efforts to simplify/
streamline, enhance
customer service in areas
such as lending policy,
processing, and oversight.
Room 3--EXPORTING
Discussion of new exporting
tools: increased loan
sizes, the Export Express
program, state-level STEP
grants, and additional
efforts under the National
Export Initiative.
11:30 am to 12:45 pm...................... Room 1--CONTRACTING (session
above continues)
Room 2--LENDER ROUNDTABLE
(session above continues)
[[Page 16704]]
Room 3--COUNSELING
Discussion of counseling and
training resources: Jobs
Act support for Small
Business Development
Centers, enhanced efforts
to support export
counseling.
12:45 to 1:45 pm.......................... Break for Lunch.
1:45 to 3 pm.............................. Room 1--CONTRACTING
Discussion of Size
Standards: basics of SBA's
small business size
standards, current
comprehensive review of
size standards including
methodology, other policy
issues.
Room 2--CAPITAL
Discussion of opportunities
in accessing capital: how
SBA loan programs can help
small business owners.
Room 3--EXPORTING (repeat)
Discussion of new exporting
tools: Increased loan
sizes, the Export Express
program, state-level STEP
grants, and additional
efforts under the National
Export Initiative.
3 to 4:15 pm.............................. Room 1--CONTRACTING
Discussion of local/regional
contracting environment and
resources: ``meet-and-
greet'' with
representatives such as
regional/local SBA
officials, 8(a) experts,
and resource partners.
Room 2--CAPITAL
Discussion of new SBA loan
programs and initiatives:
Advantage loans, 504 re-
financing (Jobs Act), the
Dealer Floor Plan pilot
(Jobs Act), and more.
Room 3--COUNSELING (repeat)
Discussion of counseling and
training resources: Jobs
Act support for Small
Business Development
Centers, enhanced efforts
to support export
counseling.
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A. Putting More Capital in the Hands of Small Business Owners
SBA loans continue to be a critical tool for helping small
businesses get the capital they need to grow and create jobs. The Small
Business Jobs Act made permanent enhancements to SBA loan programs,
such as raising the maximum loan sizes of the 7(a) and 504 programs. In
addition, temporary provisions in the new law include a Dealer Floor
Plan financing pilot as well as a program that allows some owner-
occupied businesses to refinance their commercial real estate mortgages
using an SBA loan. Beyond the SBJA, SBA is taking several steps to
better serve its lending partners and borrowers, to simplify and
streamline loan programs, and to improve oversight of SBA lending.
Small business owners, prospective and current SBA lenders are
especially encouraged to attend, share their ideas with the SBA, and
learn more about new tools being offered.
B. Expanding Resources for Counseling and Training
SBA has at least one District Office in each state, as well as
about 14,000 affiliated counselors at Small Business Development
Centers, Women's Business Centers and SCORE chapters. The Small
Business Jobs Act is helping support these groups in a number of ways.
For example, $50 million more is being provided to support the network
of about 900 Small Business Development Centers throughout the country.
Also, SBA is working with a broad group of counselors to equip them
with more tools and information to help small firms start or increase
exporting. All small business owners are encouraged to attend and learn
more about the knowledge, tools, and contacts that SBA affiliated
counselors can help provide.
C. Expanding Exporting Opportunities for Small Business
Small businesses looking for new opportunities to increase sales
and profit, and take advantage of increased demand for high-quality
U.S. goods and services, should consider exporting. The Small Business
Jobs Act includes exporting resources to help small businesses by
making the SBA Export Express pilot loan program permanent, increasing
maximum sizes for SBA's three export loan programs, and creating a new
State Trade and Export Promotion (STEP) grants pilot program which will
provide funds to states to assist small business interested in
exporting. See Notice of Grant Opportunities to States: STEP Grant
Program, 76 FR 10082 (Feb. 23, 2011). These expanded opportunities also
help build upon the goal of doubling exports in the next five years via
the National Export Initiative. Small business owners with a current or
prospective interest in exporting are especially encouraged to attend.
D. Strengthening Small Businesses' Ability To Compete for and Win
Federal Contracts
The federal government awards hundreds of billions of dollars each
year in federal contracts, nearly one-fourth of which goes to small
firms. The Small Business Jobs Act contained 19 provisions that will
help small businesses compete more effectively for federal contracts
and subcontracts. SBA is rolling out these provisions that will help
ensure more fairness, more opportunities, and more tools to help match
federal agencies with small businesses that provide high-quality
products and services. SBA wants to hear from interested parties about
how it can effectively roll out new provisions, such as those relating
to Multiple Award Contract set asides, subcontracting, Mentor
Prot[eacute]g[eacute] Programs, and, at select events, its size
process. Small business contractors are encouraged to attend, learn
more about these new tools, and share their thoughts on improving the
environment for small business contracting. In addition, SBA seeks
input and suggestions on the following specific SBJA government
contracting provisions:
E. Multiple Award Contract Set-Asides (Pub. L. 111-240 Sec. Sec. 1311
1331)
Section 1311 of the SBJA defines the term ``multiple award
contract.'' In addition, Sec. 1331 of the SBJA requires the
Administrator of SBA and the Administrator for Federal Procurement
Policy, in consultation with the Administrator of the General Services
Administration (GSA) to issue regulations under which ``Federal
agencies may, at their discretion--(1) Set aside part or parts of a
multiple award contract for small business concerns, including the
subcategories of small business concerns * * * (2) notwithstanding the
fair opportunity requirements under section 2304c(b) of title 10,
United States Code, and section 303J(b) of the Federal Property and
Administrative Services act of 1949 (41 U.S.C. 253j(b)), set aside
orders placed against multiple award contracts for small business
concerns, including the subcategories of small business concerns * * *
and (3) reserve one or more contract awards for small business concerns
under full and open multiple award procurements, including the
subcategories of small business concerns.'' In reviewing these
provisions, the SBA would like input and suggestions on the following
questions:
[[Page 16705]]
1. How should guidance differentiate between a total set-aside, a
partial set-aside, and a procurement otherwise ``reserved'' for small
businesses When it is appropriate for each to be used? When would it be
inappropriate for each to be used? What types of ``reserves'' might be
effective in a full and open competition for a task and delivery order
contract to facilitate access to small businesses (e.g., designating a
certain number of the multiple awards for award to small businesses or
subcategories of small business, or permitting a small business to
receive a multiple award contract to compete for only a specified
subset of functions on the task or delivery orders issued against the
contract)? Should small businesses compete solely against other small
businesses for contracts that are ``reserved'' for small business?
2. Should set-asides be authorized under GSA's Multiple Award
Schedule (MAS) contracts? Should they be required under certain
circumstances? Why or why not? What additional steps might be
considered to increase small business participation on the Schedules?
(Note: GSA has created a new section of its GSA MAS Web site focused on
small business contracting at http://www.gsa.gov/portal/content/202261.
Readers are encouraged to review this site in considering their
response to this question).
3. Will small business utilization under ``multiple award
contracts'' including GSA MAS contracts be increased through mandatory
or discretionary use of set-asides?
4. If small business set-asides are mandated either at the contract
level or ordering level, how will it affect a procuring agency's use of
``multiple award contracts'' including MAS contracts?
5. If set-asides are applied to ``multiple award contracts''
including GSA MAS contracts at the order level, what are some of the
potential benefits or drawbacks?
6. At what time should small business size be determined for a
multiple-award contract--at the time of (1) submission of a proposal
for the contract, (2) submission of a quotation for the order, or some
combination? What affect would requiring size determinations at the
order level have on the procurement process for multiple award
contracts?
7. How should the small business requirements (e.g., limitation on
subcontracting; non-manufacturer rule) apply to orders set aside for
small business?
F. Bundling Accountability, Consolidation of Contracts Requirements
(Pub. L. 111-240 Sec. Sec. 1312-1313)
Section 1313 of the SBJA provide that an agency may not conduct an
acquisition involving contract requirements with a total value of more
than $2,000,000, unless the senior procurement executive or Chief
Acquisition Officer for the Federal agency, before carrying out the
acquisition strategy--(A) Conducts market research; (B) identifies any
alternative contracting approaches that would involve a lesser degree
of consolidation of contract requirements; (C) makes a written
determination that the consolidation of contract requirements is
necessary and justified; (D) identifies any negative impact by the
acquisition strategy on contracting with small business concerns; and
(E) certifies to the head of the Federal agency that steps will be
taken to include small business concerns in the acquisition strategy.
In addition, Sec. 1312 of the SBJA requires agencies to post their
rationale for a bundled requirement. In reviewing these provisions, the
SBA would like input and suggestions on the following questions:
1. If you are a small business, do you frequently form teams (i.e.,
when small businesses joint venture or form a prime and subcontractor
relationship) for bundled contracts? Do you ever enter into any other
types of arrangements besides joint ventures or prime/subcontract
relationships to compete for bundled contracts? If so, please describe
these arrangements.
G. Subcontracting; Misrepresentations, Plan Improvements, and
Timeliness of Payment (Pub. L. 111-240 Sec. Sec. 1321, 1322, 1334)
The SBJA requires the Administrator to establish a policy on small
business subcontracting compliance, including assignment of periodic
oversight and review responsibilities between contracting offices,
small business offices, and program offices (see Sec. 1321). It
further provides that for contracts requiring subcontracting plans, a
large business contractor must notify the contracting officer in
writing when the prime fails to use a small business concern in
contract performance that the prime used in preparing the bid or offer
(see Sec. 1322). In addition, the SBJA provides that for contracts
requiring subcontracting plans, a large business contractor must notify
the contracting officer in writing when the prime has been paid, the
subcontractor has performed, and the prime's payment to the
subcontractor is 90 days past due, or the prime has paid the
subcontractor a reduced amount. Finally, the SBJA further provides that
a contracting officer may record the identity of a contractor with a
history of unjustified, untimely payments in the Federal Awardee
Performance and Integrity System (see Sec. 1334). In reviewing these
provisions, SBA would like input and suggestions on the following
questions:
1. With respect to Section 1321, who is currently responsible for
monitoring small business subcontracting plan compliance and
performance? Is there a function or office that can better monitor
performance and compliance?
2. In implementing sections 1322 and 1334, what factors should SBA
take into account to ensure the provision facilitates opportunities for
small businesses in a manner that is consistent with economy and
efficiency in federal contracting? For example, should the contracting
officer be responsible for determining whether a prime contractor used
a particular subcontractor in creating a bid or proposal? Should the
contracting officer be responsible for determining whether the
subcontractor has satisfactorily completed performance? How should the
prime contractor report to the contracting officer? How should the
contracting officer use the reported information? Are subcontractors
able to report to the contracting officer when a prime contractor fails
to utilize a subcontractor or fails to pay a subcontractor, or do prime
contractors restrict subcontractors' ability to contact the contacting
officer?
3. With respect to section 1334, what, if any, consequences should
a prime contractor's late or reduced payment to a small business
subcontractor have on that contractor's future ability to receive
federal contracts?
H. Mentor Prot[eacute]g[eacute] Programs for WOSB, HUBZONE, and SDVOSB
(Pub. L. 111-240 Sec. Sec. 1331-1343)
The SBA's 8(a) Business Development Program currently authorizes a
Mentor-Prot[eacute]g[eacute] Program as a tool to aid small Participant
firms gain needed business development assistance, including expertise
within their specific industries to successfully compete in the
marketplace. The SBJA authorizes SBA to implement a Mentor-
Prot[eacute]g[eacute] Program for HUBZone small businesses, service
disabled veteran owned (SDVO) small businesses, and women-owned small
businesses (WOSB) similar in structure to the current SBA 8(a) Mentor-
Prot[eacute]g[eacute] Program. SBA is seeking input and suggestions on
the following questions:
[[Page 16706]]
1. If SBA implements a Government-wide Mentor-Prot[eacute]g[eacute]
program for HUBZone small businesses, SDVO small businesses and WOSBs,
how should these government-wide programs interact with Mentor-
Prot[eacute]g[eacute] programs sponsored by individual agencies? Should
agency-specific Mentor-Prot[eacute]g[eacute] programs of other agencies
be maintained? What, if any, challenges might this pose?
2. Should the Mentor-Prot[eacute]g[eacute] programs be identical
for each of the programs (HUBZone, SDVO, WOSB) or should current
differences contained in the programs be continued (e.g., HUBZone
program regulations currently allow joint ventures for HUBZone
contracts only between 2 or more certified HUBZone firms; if continued,
a mentor that is not a HUBZone firm could not perform a HUBZone
contract as a joint venture with its HUBZone prot[eacute]g[eacute]
firm)?
3. Are there specific industry sectors where small business
development through Mentor-Prot[eacute]g[eacute] programs should be
focused?
4. What types of incentives should be considered to encourage the
formation of Mentor-Prot[eacute]g[eacute] relationships? Are there
examples of incentives used by other agencies in their Mentor-
Prot[eacute]g[eacute] programs (other than those requiring additional
outlays of funds) that would benefit SBA's program?
5. What metrics should be considered to gauge a successful Mentor
Prot[eacute]g[eacute] relationship?
6. What controls should be considered to mitigate potential fraud,
waste, and abuse in the Mentor-Prot[eacute]g[eacute] relationship?
7. Would small businesses be better served if created a Government-
wide Mentor-Prot[eacute]g[eacute] program to provide oversight and
offer best practices, or would small businesses prefer Mentor-
Prot[eacute]g[eacute] programs for each individual socioeconomic group?
I. Presumption of Loss/Misrepresentation and Annual Certification of
Size (Pub. L. 111-240 Sec. Sec. 1341-1343)
Section 1341 of the SBJA provides that there shall be a presumption
of loss equal to the value of the contract, subcontract, grant,
cooperative agreement or cooperative research and development agreement
set aside or intended for award to a small business when a concern
willfully sought and received the award by misrepresentation. Section
1341 also provides that the submission of a bid or proposal for a
contract, subcontract, grant, cooperative agreement or cooperative
research and development set aside for small business concerns shall be
deemed an affirmative, willful and intentional certification of size or
status. Section 1341 further provides that an offer or application for
a contract, subcontract or grant shall contain a certification of size
or status signed by an authorized official on the same page containing
the certification. Finally, Section 1341 also provides that SBA shall
promulgate regulations to protect concerns from liability for
misrepresentations in the case of unintentional errors, technical
malfunctions and other situations. Section 1342 of the SBJA provides
that concerns shall update their size or status in federal procurement
databases at least annually, and firms that fail to update its status
shall no longer be identified as small or some other status in the
database. SBA is seeking input and suggestions on the following
questions:
1. How does the deemed certification provision interact or relate
to the requirement to provide a signature in connection with a size or
status representation or certification?
2. How can an individual or firm claim a misrepresentation was
unintentional or a technical malfunction when the individual signed a
certification that contained the precise size or status being claimed?
3. What effect will the requirement to update size or status in
federal procurement databases annually have on multi-year contracts?
III. Event Information
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Location Date Address
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Columbus, OH.................. March 28, 2011, The Ohio State
Begins 9 a.m., University, Ohio
Ends 4:15 p.m. Union, 1739 N. High
St., Columbus, OH
43210.
Miami, FL..................... March 28, 2011, Miami Dade College,
Begins 9 a.m., Wolfson Campus,
Ends 4:15 p.m. Chapman Center
(Building 3), 300
NE., 2nd Avenue,
Miami, FL 33132.
New York, NY.................. March 30, 2011, 26 Federal Plaza, 6th
Begins 9 a.m., Floor Conference
Ends 4:15 p.m. Room A/B, New York,
NY 10278.
Atlanta, GA................... March 30, 2011, Loudermilk Center, 40
Begins 9:30 Courtland Street,
a.m., Ends 4:45 NE., Atlanta, 30303.
p.m.
Boston, MA.................... April 1, 2011, O'Neill Federal
Begins 9 a.m., Building, 10
Ends 4:15 p.m. Causeway Street,
Boston, MA 02222.
San Antonio, TX............... April 1, 2011, The Norris Conference
Begins 9 a.m., Center, 4522
Ends 4:15 p.m. Fredericksburg Road,
San Antonio, TX
78201.
Albuquerque, NM............... April 11, 2011, Embassy Suites
Begins 9 a.m., Albuquerque, 1000
Ends 4:15 p.m. Woodward Place, NE.,
Albuquerque, NM
87102.
San Diego, CA................. April 11, 2011, County Health
Begins 9 a.m., Services Complex,
Ends 4:15 p.m. 3851 Rosecrans St.,
San Diego, CA 92110.
Denver, CO.................... April 13, 2011, Lowry Conference
Begins 9 a.m., Center, 1061 Akron
Ends 4:15 p.m. Wy. Bldg. 697,
Denver, CO 80230.
Seattle, WA................... April 13, 2011, Holiday Inn, Seattle-
Begins 9 a.m., SeaTac International
Ends 4:15 p.m. Airport, 17338
International Blvd.,
Seattle, WA 98188.
Huntsville, AL................ April 15, 2011, Chan Auditorium,
Begins 9 a.m., College of Business,
Ends 4:15 p.m. 801 Sparkman Drive,
Huntsville, AL
35899.
Chicago, IL................... April 15, 2011, Citigroup Center
Begins 9 a.m., Building, 500 West
Ends 4:15 p.m. Madison Street,
Suite 1150, Chicago,
IL 60661.
Washington, DC................ TBD.............. TBD.
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IV. Registration and Oral Presentation
Any individual interested in attending and making an oral
presentation shall pre-register in advance with SBA. Oral presentations
may consist of comments on existing rules and procedures, general
questions, or new ideas for the SBA to consider. Presentations will be
made in the breakout sessions, pursuant to the format of each session.
Based on the
[[Page 16707]]
number of registrants it may be necessary to impose time limits to
ensure that everyone who wishes to speak has the opportunity to do so.
Please refer to http://www.sba.gov/jobsacttour for registration
information. SBA will attempt to accommodate all interested parties.
V. Information on Service for Individuals With Disabilities
Reasonable accommodations will be provided to those who request
assistance at least one week in advance of the meeting for which
assistance is being requested. For a complete list of meeting dates,
locations and points of contact please visit http://www.sba.gov/jobsacttour.
Authority: Pub. L. 111-240.
Ana Ma,
Chief of Staff.
[FR Doc. 2011-7135 Filed 3-24-11; 8:45 am]
BILLING CODE 8025-01-P