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	  <concept id="GSAM_519_705_3"
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            class="- topic/topic concept/concept ">
		    <title class="- topic/title ">
         <ph class="- topic/ph " props="autonumber">519.705-3</ph> Preparing the solicitation.</title>
		    <conbody id="i1884784" class="- topic/body  concept/conbody ">
			      <ol id="d369e13" class="- topic/ol ">
				        <li class="- topic/li ">
					          <p id="d365e17" class="- topic/p ">
                  <ph props="autonumber" class="- topic/ph ">(a)</ph>  If an acquisition, excluding
any multiple award schedule contract, will cover two or more Regions
and is estimated to exceed $50 million (including options):</p>
					          <ol id="d369e23" class="- topic/ol ">
						            <li class="- topic/li ">
							              <p id="d365e27" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(1)</ph>  In
addition to the SBA PCR, the contracting officer shall provide the
SBTA and OSDBU a reasonable
period of time (approximately 10 days) to review any solicitation
requiring submission of a subcontracting plan and to submit advisory
findings before issuing the solicitation. The contracting officer
shall ensure that evaluation criteria contained in the solicitation
do not unnecessarily limit subcontracting opportunities for small,
HUBZone small, small disadvantaged, women-owned small, veteran-owned,
and service-disabled veteran-owned small business concerns.</p>
						            </li>
						            <li class="- topic/li ">
							              <p id="d365e36" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(2)</ph>  For
a negotiated acquisition, if the contracting officer believes that
the acquisition provides substantial subcontracting opportunities,
consider including the offeror’s subcontracting plan as an evaluation
factor for award. This may be most appropriate in acquisitions when
the contracting officer expects individual plans or master plans.
The contracting officer should consult with his or her SBTA or regional
SBUC to obtain any needed assistance with developing subcontracting
plan evaluation criteria before incorporating the plan into the
solicitation as an evaluation factor.</p>
						            </li>
					          </ol>
				        </li>
			      </ol>
			      <section id="KERRBYON" audience="GSAM" class="- topic/section ">
				        <title class="- topic/title ">Target goals in sealed bidding</title>
				        <ol id="d370e12" class="- topic/ol ">
					          <li class="- topic/li ">
						            <p id="d366e16" class="- topic/p ">
                     <ph props="autonumber" class="- topic/ph ">(b)</ph>  Unrealistic target goals
tend to inhibit competition or increase acquisition costs if goals
are too high. Target goals that offer no challenge to potential
contractors reflect poorly on GSA’s commitment to ensure maximum
practicable use of small, HUBZone small, small disadvantaged, women-owned
small, veteran-owned, and service-disabled veteran-owned small business
concerns as subcontractors.</p>
					          </li>
					          <li class="- topic/li ">
						            <p id="d366e25" class="- topic/p ">
                     <ph props="autonumber" class="- topic/ph ">(c)</ph>  In
establishing target goals for sealed bid solicitations, the contracting
officer should avoid using mechanical formulas or similar approaches
that may be considered arbitrary. Reviewing historical performance
by contractors performing similar work is valid, but the contracting
officer should consider each solicitation independently in terms
of the potential for subcontracting. Use as many information sources
as practical, including the contracting officer’s own knowledge
of the supplies or services. Factors to consider in setting targets
include:</p>
						            <ol id="d370e31" class="- topic/ol ">
							              <li class="- topic/li ">
								                <p id="d366e35" class="- topic/p ">
                           <ph props="autonumber" class="- topic/ph ">(1)</ph>  Manufacturing processes
involved.</p>
							              </li>
							              <li class="- topic/li ">
								                <p id="d366e44" class="- topic/p ">
                           <ph props="autonumber" class="- topic/ph ">(2)</ph>  Availability
and location of potential subcontractors.</p>
							              </li>
							              <li class="- topic/li ">
								                <p id="d366e53" class="- topic/p ">
                           <ph props="autonumber" class="- topic/ph ">(3)</ph>  The
basis for establishing subcontracting relationships.</p>
							              </li>
							              <li class="- topic/li ">
								                <p id="d366e62" class="- topic/p ">
                           <ph props="autonumber" class="- topic/ph ">(4)</ph>  The
diversity in prevailing economic conditions in the place of contract
performance.</p>
							              </li>
						            </ol>
					          </li>
					          <li class="- topic/li ">
						            <p id="d366e73" class="- topic/p ">
                     <ph props="autonumber" class="- topic/ph ">(d)</ph>  If
the contracting officer cannot establish realistic target goals,
do not state specific targets in the solicitation.</p>
						            <ol id="d370e79" class="- topic/ol ">
							              <li class="- topic/li ">
								                <p id="d366e83" class="- topic/p ">
                           <ph props="autonumber" class="- topic/ph ">(1)</ph>  Establishing
realistic target goals is likely to be a problem in contracting
for supplies because the place of contract performance may not be
known prior to contract award.</p>
							              </li>
							              <li class="- topic/li ">
								                <p id="d366e92" class="- topic/p ">
                           <ph props="autonumber" class="- topic/ph ">(2)</ph>  Even
if the contracting officer can predict the area of contract performance
because a particular industry is concentrated there, the diversity
of manufacturing processes may affect the amount of subcontracting
and how subcontracting relationships are established. For example,
some manufacturers may use formal teaming arrangements or long term
relationships versus nonrepetitive purchase orders.</p>
							              </li>
						            </ol>
					          </li>
				        </ol>
			      </section>
		    </conbody>
	  </concept>
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