[Federal Register Volume 81, Number 190 (Friday, September 30, 2016)]
[Rules and Regulations]
[Page 67093]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-23374]


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SMALL BUSINESS ADMINISTRATION

13 CFR Part 125

RIN 3245-AG58


Small Business Government Contracting and National Defense 
Authorization Act of 2013 Amendments

AGENCY: U.S. Small Business Administration.

ACTION: Correcting amendments.

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SUMMARY: The U.S. Small Business Administration (SBA) is correcting a 
final rule that appeared in the Federal Register on May 31, 2016 (81 FR 
34243). The rule described the limitations on subcontracting that apply 
to set aside contracts. The rule provides that the limitations on 
subcontracting apply to small business set asides above $150,000 and to 
8(a), HUBZone, Service-Disabled and Veteran-Owned (SDVO) or Women-Owned 
Small Business (WOSB) set asides. The $150,000 threshold appears twice 
in 13 CFR 125.6(a), and thus could be misinterpreted as applying the 
threshold to 8(a), HUBZone, SDVO or WOSB set-asides. This action 
deletes the second $150,000 threshold that appears in 13 CFR 125.6(a).

DATES: Effective September 30, 2016.

FOR FURTHER INFORMATION CONTACT: Michael McLaughlin, Office of Policy, 
Planning & Liaison, U.S. Small Business Administration, 409 Third 
Street SW., Washington, DC 20416; 202-205-5353; 
[email protected].

SUPPLEMENTARY INFORMATION: The U.S. Small Business Administration (SBA) 
is correcting a final rule that appeared in the Federal Register on May 
31, 2016 (81 FR 34243). The rule described the limitations on 
subcontracting that apply to set aside contracts. The rule provides 
that the limitations on subcontracting apply to small business set 
asides above $150,000 and to 8(a), HUBZone, Service-Disabled and 
Veteran-Owned (SDVO) or Women-Owned Small Business (WOSB) set asides. 
The $150,000 threshold appears twice in 13 CFR 125.6(a), and thus could 
be misinterpreted as applying the threshold to 8(a), HUBZone, SDVO or 
WOSB set-asides. This action deletes the second $150,000 threshold that 
appears in 13 CFR 125.6(a). This action is consistent with 13 CFR 
12.5(f) which provides that the limitations on subcontracting do not 
apply to small business set aside contracts with a value greater than 
$3,500 but not $150,000, and 13 CFR 121.406(d) which provides that the 
performance requirements (limitations on subcontracting) do not apply 
to small business set-aside acquisitions with an estimated value 
between $3,500 and $150,000.

List of Subjects in 13 CFR Part 125

    Government contracts, Government procurement, Reporting and 
recordkeeping requirements, Small businesses, Technical assistance, 
Veterans.

    Accordingly, 13 CFR part 125 is corrected by making the following 
correcting amendments:

PART 125--GOVERNMENT CONTRACTING PROGRAMS

0
1. The authority citation for part 125 continues to read as follows:

    Authority: 15 U.S.C. 632(p), (q); 634(b)(6); 637; 644; 657f; 
657r.


0
2. Amend Sec.  125.6 by revising paragraph (a) introductory text to 
read as follows:


Sec.  125.6  What are the prime contractor's limitations on 
subcontracting?

    (a) General. In order to be awarded a full or partial small 
business set-aside contract with a value greater than $150,000, an 8(a) 
contract, an SDVO SBC contract, a HUBZone contract, a WOSB or EDWOSB 
contract pursuant to part 127 of this chapter, a small business concern 
must agree that:
* * * * *

    Dated: September 15, 2016.
A. John Shoraka,
Associate Administrator for Government Contracting and Business 
Development.
[FR Doc. 2016-23374 Filed 9-29-16; 8:45 am]
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