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SBA proposes to give credit for small business subcontracting at any tier

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The U.S. Small Business Administration (SBA) is proposing to amend its regulations to  allow an “other than small prime contractor” to receive credit towards its small business subcontracting goals for subcontract awards made to small business concerns at any tier.

Federal RegisterCurrently, other than small business prime contractors establish small business subcontracting goals at the first tier level, and receive credit toward their subcontracting plan goal performance at the first tier level.

The rule also proposes to implement the statutory requirements related to the subcontracting plans of all subcontractors that are required to maintain such plans, including the requirement to monitor subcontractors’ performance and compliance towards reaching the goals set out in those plans as well as their compliance with subcontracting reporting requirements. SBA is also proposing to clarify that the size standard for a particular subcontract must appear in the solicitation for the subcontract.

The proposed rule implements Section 1614 of the National Defense Authorization Act for Fiscal Year 2014, Public Law 113-66.

In order to be considered, public comments on this proposed rule must be received on or before December 7, 2015.  The proposed rule and instructions for submitting comments may be found at: https://www.federalregister.gov/articles/2015/10/06/2015-25234/credit-for-lower-tier-small-business-subcontracting


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