48Federal Acquisition Regulations System12010-10-012010-10-01falseSmall Business Competitiveness Demonstration Program19.10Subpart 19.10Federal Acquisition Regulations SystemFEDERAL ACQUISITION REGULATIONSOCIOECONOMIC PROGRAMSSMALL BUSINESS PROGRAMSSubpart 19.10—Small Business Competitiveness Demonstration Program19.1001General.
The Small Business Competitiveness Demonstration Program was established by the Small Business Competitiveness Demonstration Program Act of 1988, Public Law 100-656 (15 U.S.C. 644 note). The program is implemented by a joint OFPP and SBA Policy Directive and Implementation Plan, dated May 25, 1999. The program consists of two major components—
(a) Unrestricted competition in designated industry groups; and
(b) Enhanced small business participation in 10 agency targeted industry categories.
[63 FR 9057, Feb. 23, 1998, as amended at 65 FR 16276, Mar. 27, 2000; 70 FR 11742, Mar. 9, 2005]19.1002Definitions.
Emerging small business, as used in this subpart, means a small business concern whose size is no greater than 50 percent of the numerical size standard applicable to the North American Industry Classification System (NAICS) code assigned to a contracting opportunity.
Emerging small business reserve amount, for the designated groups described in 19.1005, means a threshold established by the Office of Federal Procurement Policy of—
(1) $30,000 for construction, refuse systems and related services, non-nuclear ship repair, landscaping and pest control services; and
(2) $50,000 for architectural and engineering services.
[54 FR 5055, Jan. 31, 1989, as amended at 65 FR 16276, Mar. 27, 2000; 65 FR 46056, July 26, 2000; 70 FR 11742, Mar. 9, 2005; 71 FR 57367, Sept. 28, 2006]19.1003Purpose.
The purpose of the Program is to—
(a) Assess the ability of small businesses to compete successfully in certain industry categories without competition being restricted by the use of small business set-asides. This portion of the program is limited to the designated industry groups listed in section 19.1005.
(b) Expand small business participation in 10 targeted industry categories through continued use of set-aside procedures, increased management attention, and specifically tailored acquisition procedures, as implemented through agency procedures.
(c) Measure the extent to which awards are made to a new category of small businesses (ESB's), and to provide for certain acquisitions to be reserved for ESB participation only. This portion of the program is also limited to the designated industry groups listed in section 19.1005.
[54 FR 5055, Jan. 31, 1989, as amended at 55 FR 52792, Dec. 21, 1990; 63 FR 9057, Feb. 23, 1998; 65 FR 16276, Mar. 27, 2000; 70 FR 11742, Mar. 9, 2005]19.1004Participating agencies.
The following agencies have been identified as participants in the demonstration program:
The Department of Agriculture.
The Department of Defense, except the National Imagery and Mapping Agency.
The Department of Energy.
The Department of Health and Human Services.
The Department of Interior.
The Department of Transportation.
The Department of Veterans Affairs.
The Environmental Protection Agency.
The General Services Administration.
The National Aeronautics and Space Administration.
[54 FR 5055, Jan. 31, 1989, as amended at 54 FR 29281, July 11, 1989; 55 FR 38516, Sept. 18, 1990; 63 FR 58602, Oct. 30, 1998]19.1005Applicability.
(a) Designated industry groups.
NAICS codeNAICS description1. Construction (Except Dredging) Subsector 236—Construction of Buildings236115New Single-Family Housing Construction (except Operative Builders).236116New Multi-Family Housing Construction (except Operative Builders).236117New Housing Operative Builders.236118Residential Remodelers.236210Industrial Building Construction.236220Commercial and Institutional Building Construction.Subsector 237—Heavy and Civil Engineering Construction237110Water and Sewer Line and Related Structures Construction.237120Oil and Gas Pipeline and Related Structures Construction.237130Power and Communication Line and Related Structures Construction.237210Land Subdivision.237310Highway, Street, and Bridge Construction.237990Other Heavy and Civil Engineering Construction (except dredging).Subsector 238—Specialty Trade Contractors238110Poured Concrete Foundation and Structure Contractors.238120Structural Steel and Precast Concrete Contractors.238130Framing Contractors.238140Masonry Contractors.238150Glass and Glazing Contractors.238160Roofing Contractors.238170Siding Contractors.238190Other Foundation, Structure, and Building Exterior Contractors.238210Electrical Contractors.238220Plumbing, Heating, and Air-Conditioning Contractors.238290Other Building Equipment Contractors.238310Drywall and Insulation Contractors.238320Painting and Wall Covering Contractors.238330Flooring Contractors.238340Tile and Terrazzo Contractors.238350Finish Carpentry Contractors.238390Other Building Finishing Contractors.238910Site Preparation Contractors.238990All Other Specialty Trade Contractors.2. Non-Nuclear Ship Repair336611Ship Building and Repairing.PSC J998Non-nuclear Ship Repair (East) Ship Repair (including overhauls and conversions) performed on non-nuclear propelled and nonpropelled ships east of the 108th meridian.PSC J999Non-nuclear Ship Repair (West) Ship Repair (including overhauls and conversions) performed on non-nuclear propelled and nonpropelled ships west of the 108th meridian.3. Architectural and Engineering Services (Including Surveying and Mapping)541310Architectural Services;541330Engineering Services.PSC C111Administrative and Service Buildings.PSC C112Airfield, Communication and Missile Facilities.PSC C113Educational Buildings.PSC C114Hospital Buildings.PSC C115Industrial Buildings.PSC C116Residential Buildings.PSC C117Warehouse Buildings.PSC C118Research and Development Facilities.PSC C119Other Buildings.PSC C121Conservation and Development.PSC C122Highways, Roads, Streets, Bridges and Railways.PSC C123Electric Power Generation (EPG).PSC C124Utilities.PSC C129Other Non-Building Structures.PSC C130Restoration.PSC C211Architect-Engineering Services (including landscaping, interior layout, and designing).PSC C212Engineering Drafting Services.PSC C213A&E Inspection Services (non-construction).PSC C214A&E Management Engineering Services.PSC C215A&E Production Engineering Services (including Design and Control, and Building Programming).PSC C216Marine Architect and Engineering Services.PSC C219Other Architect and Engineering Services.541360Geophysical Surveying and Mapping Services or;541370Surveying and Mapping (except Geophysical) Services.PSC T002Cartography Services.PSC T004Charting Services.PSC T008Photogrammetry Services.PSC T009Aerial Photographic Services.PSC T014Topography Services.PSC R404Land Surveys, Cadastral Services (non-construction).4. Refuse Systems and Related Services562111Solid Waste Collection or;562119Other Waste Collection or;562219Other Nonhazardous Waste Treatment and Disposal.PSC S205Trash/Garbage Collection Services—including Portable Sanitation Services.5. Landscaping and Pest Control Services561710Exterminating and Pest Control Services561730Landscaping Services
(b) Targeted industry categories. Each participating agency, in consultation with the Small Business Administration, designates its own targeted industry categories for enhanced small business participation.
[55 FR 52792, Dec. 21, 1990, as amended at 59 FR 67036, Dec. 28, 1994; 64 FR 16276, Mar. 27, 2000; 65 FR 46056, July 26, 2000; 66 FR 65370, Dec. 18, 2001; 68 FR 43874, July 24, 2003; 70 FR 11742, Mar. 9, 2005; 71 FR 20309, Apr. 19, 2006]19.1006Exclusions.
This subpart does not apply to—
(a) Orders placed against Federal Supply Schedules;
(b) Contract awards to educational and nonprofit organizations; or
(c) Contract awards to governmental entities.
[65 FR 16276, Mar. 27, 2000]19.1007Procedures.
(a) General. (1) All solicitations must include the applicable NAICS code and size standards.
(2) The face of each award made pursuant to the program must contain a statement that the award is being issued pursuant to the Small Business Competitiveness Demonstration Program.
(b) Solicitations greater than the ESB reserve amount. (1) Solicitations for acquisitions in any of the designated industry groups that have an anticipated dollar value greater than the emerging small business reserve amount must not be considered for small business set-asides under subpart 19.5. However, agencies may reinstate the use of small business set-asides as necessary to meet their assigned goals, but only within organizational units that failed to meet the small business participation goal.
(2) Acquisitions in the designated industry groups must continue to be considered for placement under the 8(a) Program (see Subpart 19.8), the HUBZone Program (see Subpart 19.13), and the Service-Disabled Veteran-Owned Small Business Procurement Program (see Subpart 19.14).
(c) Solicitations equal to or less than the ESB reserve amount. (1) Solicitations for acquisitions in the designated industry groups with an estimated value equal to or less than the emerging small business reserve amount must be set aside for ESBs, provided that the contracting officer determines that there is a reasonable expectation of obtaining offers from two or more responsible ESBs that will be competitive in terms of market price, quality, and delivery. If no such reasonable expectation exists, the contracting officer must—
(i) For acquisitions $30,000 or less, proceed in accordance with Subpart 19.5, 19.8, 19.13, or 19.14; or
(ii) For acquisitions greater than $30,000 and less than or equal to the ESB reserve amount, proceed in accordance with paragraph (b) of this section.
(2) If the contracting officer proceeds with the ESB set-aside and receives a quotation from only one ESB at a reasonable price, the contracting officer must make the award. If there is no quote from an ESB, or the quote is not at a reasonable price, then the contracting officer must cancel the ESB set-aside and proceed in accordance with paragraph (c)(1)(i) or (ii) of this section.
(d) Expanding small business participation in targeted industry categories. Each participating agency must develop and implement a time-phased strategy with incremental goals, including reporting on goal attainment. To the extent practicable, provisions that encourage and promote teaming and joint ventures must be considered. These provisions should permit small business firms to effectively compete for contracts that individual small businesses would be ineligible to compete for because of lack of production capacity or capability.
[65 FR 16276, Mar. 27, 2000, as amended at 65 FR 46057, July 26, 2000; 69 FR 25278, May 5, 2004; 70 FR 11742, Mar. 9, 2005; 71 FR 57367, Sept. 28, 2006]19.1008Solicitation provisions.
(a) Insert in full text the provision at 52.219-19, Small Business Concern Representation for the Small Business Competitiveness Demonstration Program, in all solicitations in the designated industry groups.
(b) Insert in full text the provision at 52.219-20, Notice of Emerging Small Business Set-Aside, in all solicitations for emerging small businesses in accordance with 19.1007(c).
(c) Insert in full text the provision at 52.219-21, Small Business Size Representation for Targeted Industry Categories under the Small Business Competitiveness Demonstration Program, in all solicitations issued in each of the targeted industry categories under the Small Business Competitiveness Demonstration Program that are expected to result in a contract award in excess of $30,000.
[55 FR 52793, Dec. 21, 1990. Redesignated and amended at 65 FR 16276, Mar. 27, 2000; 70 FR 11742, Mar. 9, 2005; 71 FR 57367, Sept. 28, 2006 ]