GENERAL SERVICES ADMINISTRATION ACQUISITION MANUAL (GSAM)

### Appendix 519A—Small Business Subcontracting Plan Outline (Model)

GSA provides this plan as a tool. It does not establish minimum requirements for an acceptable plan. The model reflects objectives GSA encourages contractors to adopt. GSA expects offerors to thoroughly review the requirements set forth in FAR 19.704, Subcontracting plan requirements, and FAR clause 52.219-9, Small Business Subcontracting Plan, before submitting their contracting plans.
The model is not intended to replace any existing corporate plan which is more extensive. If you need assistance to locate small business sources, contact [Insert name of organization and phone number]. Please note that the General Services Administration has subcontracting goals of % for small business, % for HUBZone Small Business, % for Small Disadvantaged Business (SDB), % for Women-Owned Small Business (WOSB)__% for veteran-owned small business (VOSB), and ___% for service-disabled veteran-owned small business (SDVOSB) for fiscal year .
Identification Data:

Company Name:

Address:

Type of Plan:

Date Prepared: Solicitation Number:

Item/Service:

Period of Plan:

TYPE OF PLAN: (Check only one).

| INDIVIDUAL PLAN: In this type of plan, all elements are developed specifically for this contract and apply for the full term of this contract.
| MASTER PLAN: In this type of plan, goals are separately developed for this contract in an individual plan; all other elements are standard. The master plan must be approved once every three years. Once incorporated into a contract with specific goals, it is valid for the life of the contract.
| COMMERCIAL PLAN: This type of plan is used when the contractor sells large quantities of off-the-shelf commodities to many Government agencies. Plans and goals are negotiated with the initial agency on a company-wide basis rather than for individual contracts. The plan is effective only during year approved. The contractor must provide a copy of the initial agency approval, and must submit an annual SF 295 to GSA with a breakout of subcontracting prorated for GSA.Contractors must submit a new commercial plan on an annual basis. The subcontracting plan must be submitted at least 30 days prior to the expiration date of the currently in effect subcontracting plan.

I. GOALS ((percentage and dollars)
State separate dollar and percentage goals for small business, HUBZone small, small disadvantaged business, women-owned small, veteran-owned small, and service-disabled veteran-owned small business in the following format. For individual plans, goals for each option must be provided. Express all dollar goals as a percentage of total planned subcontracting dollars..

A. Estimated dollar value of all planned subcontracting, i.e., to all types of business concerns under this contract is:

Estimated Dollar Value of All Planned Subcontracting
Base | 1st Option | 2nd Option | 3rd Option | 4th Option
$ | $ | $ | $ | $
100% | 100% | 100% | 100% | 100%

B. Estimated dollar value and percentage of total planned subcontracting to large business concerns (all business concerns classified as other than small):

Subcontracting to Large Business Concerns
Base | 1st Option | 2nd Option | 3rd Option | 4th Option
$ | $ | $ | $ | $
% | % | % | % | %

C. Estimated dollar value and percentage of total planned subcontracting to small business concerns is: (Include HUBZone Small, Small Disadvantaged, Women-owned Small, Veteran-Owned Small, and Service-Disabled Veteran-Owned Small Business)

Subcontracting to Small Business Concerns
Base | 1st Option | 2nd Option | 3rd Option | 4th Option
$ | $ | $ | $ | $
% | % | % | % | %

D. Estimated dollar value and percentage of total planned subcontracting to HUBZone small business concerns is:

Subcontracting to HUBZone Small Business Concerns
Base | 1st Option | 2nd Option | 3rd Option | 4th Option
$ | $ | $ | $ | $
% | % | % | % | %

E. Estimated dollar value and percentage of total planned subcontracting to small disadvantaged business concerns is:

Subcontracting to Small Disadvantaged Business Concerns
Base | 1st Option | 2nd Option | 3rd Option | 4th Option
$ | $ | $ | $ | $
% | % | % | % | %

F. Estimated dollar value and percentage of total planned subcontracting to women-owned small business concerns is:

Subcontracting to Women-Owned Small Business Concerns
Base | 1st Option | 2nd Option | 3rd Option | 4th Option
$ | $ | $ | $ | $
% | % | % | % | %

G. Estimated dollar value and percentage of total planned subcontracting to veteran-owned small business concerns is:

Subcontracting to Veteran-Owned Small Business Concerns
Base | 1st Option | 2nd Option | 3rd Option | 4th Option
$ | $ | $ | $ | $
% | % | % | % | %

H. Estimated dollar value and percentage of total planned subcontracting service-disabled veteran-owned small business concerns is:

Subcontracting to Service-Disabled Veteran-Owned Small Business Concerns
Base | 1st Option | 2nd Option | 3rd Option | 4th Option
$ | $ | $ | $ | $
% | % | % | % | %

II. PRODUCTS AND/OR SERVICES TO BE SUBCONTRACTED UNDER THIS CONTRACT, AND THE TYPES OF BUSINESSES SUPPLYING THEM, ARE: (Check all that apply).

Business Category or Size |  |
--- | --- | ---
Product Service | NAICS | Large | Small Bus. | HUB Small | SDB | WOSB | VOSB | SDVOSB

(Attach additional sheets if necessary.)

III. DESCRIPTION OF METHOD USED TO DEVELOP THE SUBCONTRACTING GOALS AND DESCRIPTION OF THE METHOD USED TO IDENTIFY POTENTIAL SOURCES

A. Explain the methods used to develop the subcontracting goals for small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns.

B. Explain how the product and service areas to be subcontracted were established, how the areas to be subcontracted to small, HUBZone small, small disadvantaged, women-owned small small,veteran-owned small, and service-disabled veteran-owned small business concerns were determined.

C. How the capabilities of small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled, veteran-owned small business concerns were determined.

D. Identify all source lists used in the determination process.

IV. STATEMENT OF INDIRECT AND OVERHEAD COSTS

A. Indirect and overhead costs HAVE BEEN or HAVE NOT BEEN included in the dollar and percentage subcontracting goals stated above. (Check one.)

B. If indirect and overhead costs HAVE BEEN included, explain the method used to determine the proportionate share of such costs to be allocated as subcontracts to small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns..

V. PROGRAM ADMINISTRATOR
FAR 52.219-9(d)(7) requires information about the company employee who will administer the subcontracting program. Please provide the name, title, address, phone number, position within the corporate structure and the duties of that employee.
Name:
Title:
Address:
Telephone:
Email Address:
Facsimile Number:
Duties: The Program Administrator’s general overall responsibility for the Contractor’s subcontracting program, i.e., developing, preparing, and executing individual subcontracting plans and monitoring performance relative to this particular plan. These duties may include, but are not limited to the following activities.

A. Developing and promoting company/division policy statements that demonstrate the company’s/division’s support for awarding contracts and subcontracts to small, HUBZone small, small disadvantaged, and women-owned small business concerns.

B. Developing and maintaining bidders’ lists of small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns from all possible sources.

C. Ensuring periodic rotation of potential subcontractors on bidders’ lists.

D. Assuring that small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns are included on the bidders' list for every subcontract solicitation for products and services they are capable of providing.

E. Ensuring that subcontract procurement “packages” are designed to permit the maximum possible participation of small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns.

F. Reviewing subcontract solicitations to remove statements, clauses, etc., which might tend to restrict or prohibit small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business participation.

G. Ensuring that the subcontract bid proposal review board documents its reasons for not selecting any low bids submitted by small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns.

H. Overseeing the establishment and maintenance of contract and subcontract award records.

I. Attending or arranging for the attendance of company counselors at Business Opportunity Workshops, Minority Business Enterprise Seminars, Trade Fairs, etc.

J. Directly or indirectly counseling small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns on subcontracting opportunities and how to prepare bids to the company

K. Providing notice to subcontractors concerning penalties for misrepresentations of business status as small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, or service-disabled veteran-owned small business for the purpose of obtaining a subcontract that is to be included as part or all of a goal contained in the contractor's subcontracting plan.

L. Conducting or arranging training for purchasing personnel regarding the intent and impact of Public Law 95-907 on purchasing procedures.

M. Developing and maintaining an incentive program for buyers which supports the subcontracting program.

N. Monitoring the company’s performance and making any adjustments necessary to achieve the subcontract plan goals.

O. Preparing and submitting timely reports.

P. Coordinating the company’s activities during compliance reviews by Federal agencies.

VI. EQUITABLE OPPORTUNITY
FAR 52.219-9(d)(8) requires a description of the efforts your company will make to ensure that small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns will have an equitable opportunity to compete for subcontracts. These efforts may include, but are not limited to the following activities:

A. Outreach efforts to obtain sources:

| Contacting minority and small business trade associations
| Contacting business development organizations
| Requesting sources from the CCR website at http://www.ccr.gov/ “Dynamic Small Business Search”
| Attending small, minority, and women-owned business procurement conferences and trade fairs

B. Internal efforts to guide and encourage purchasing personnel:

| Presenting workshops, seminars and training programs
| Establishing, maintaining and using small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business source lists, guides and other data for soliciting subcontracts
| Monitoring activities to evaluate compliance with the subcontracting plan

C. Additional efforts: (Please describe.)

VII. CLAUSE INCLUSION AND FLOWDOWN
FAR 52.219-9(d)(9) requires that your company provide assurances that it will include the clause at FAR 52.219-8, “Utilization of Small Business Concerns,” in all subcontracts that offer further subcontracting opportunities.
FAR 52.219-9(d)(9) also requires that your company agrees in this plan that it will require all subcontractors, except small business concerns, that receive subcontracts in excess of $500,000 ($1,000,000 for construction) to adopt a plan complies with the requirements of FAR 52.219-9, “Small Business Subcontracting Plan.”

[Insert company name] agrees that the clause will be included and that the plans will be reviewed against the minimum requirements for such plans. The acceptability of percentage goals for small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns must be determined on a case-by-case basis depending on the supplies and services involved, the availability of potential small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business subcontractors and prior experience. Once the plans are negotiated, approved, and implemented, the plans must be monitored through the submission of periodic reports, including Standard Form (SF) 294 and SF 295 reports.

In accordance with policy letters published by the Office of Federal Procurement Policy, such assurance must describe the offer’s procedures for the review, approval and monitoring for compliance with such subcontracting plans.

VIII. REPORTING AND COOPERATION
FAR 52.219-9(d)(10) requires that your company (1) cooperate in any studies or surveys as may be required, (2) submit periodic reports which show compliance with the subcontracting plan; (3) submit Standard Form (SF) 294, “Subcontracting Reports for Individual Contracts,” and SF 295,
“Summary Subcontract Report,” in accordance with the instructions on the forms; and (4) ensure that subcontractors agree to submit SF 294 and SF 295.
Both the Associate Administrator for the Office of Small Business Utilization and the Small Business Technical Advisor must receive the report(s) within 30 days after the close of each calendar period. That is:

Calendar Period | Report Due | Date Due | Send Report To
--- | --- | --- | ---
10/01–03/31 | SF 294 | 04/30 | Contracting Officer/Small Business Technical Advisor
04/01–09/30 | SF 294 | 10/30 | Contracting Officer/Small Business Technical Advisor
10/01–09/30 | SF 295* | 10/30 | Contracting Officer/Associate Administrator for Office of Small Business Utilization

*SF 295 Must be submitted to SBA’s Commercial Market Representative

Small Business Technical Advisor address is: (To be completed by Contracting Officer) | Associate Administrator for Office of Small Business Utilization address is: (To be completed by Contracting Officer)

IX. RECORDKEEPING
FAR 52.219-9(d)(11) requires a list of the types of records your company will maintain to demonstrate the procedures adopted to comply with the requirements and goals in the subcontracting plan. These records include, but are not limited to, the following:

A. Small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concern source lists, guides, and other data identifying such vendors.

B. Organizations contacted for small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business sources.

C. On a contract-by-contract basis, records on all subcontract solicitations over $100,000 which indicate for each solicitation:

C1. Whether small business concerns were solicited, and if not, why not.

C2. Whether HUBZone small business concerns were solicited, and if not, why not.

C3. Whether small disadvantaged business concerns were solicited, and if not, why not.

C4. Whether women-owned small business concerns were solicited, and if not, why not.

C5. Whether veteran-owned small business concerns were solicited, and if not, why not.

C6. Whether service-disabled veteran-owned small business concerns were solicited, and if not, why not.

C7. Reasons for the failure of solicited small, small disadvantaged, women-owned small business, veteran-owned small business, service-disabled veteran-owned small business, and HUBZone small business concerns to receive the subcontract award.

D. Records to support other outreach efforts, e.g., contacts with minority and small business trade associations, attendance at small, HUBZone small, minority, women-owned small, veteran-owned small, and service-disabled veteran-owned small business procurement conferences and trade fairs.

E. Records to support internal activities to (1) guide and encourage purchasing personnel, e.g., workshops, seminars, training programs, incentive awards; and (2) monitor activities to evaluate compliance.

F. On a contract-by-contract basis, records to support subcontract award data including the name, address and business size of each subcontractor. (This item is not required for company or division-wide commercial plans).

G. Other records to support your compliance with the subcontracting plan: (Please describe)

X. TIMELY PAYMENTS TO SUBCONTRACTORS
FAR 52.219-8(a) requires your company to establish and use procedures to ensure the timely payment of amounts due pursuant to the terms of your subcontracts with small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns.

[Insert company name] has established and uses such procedures:

XI. DESCRIPTION OF GOOD FAITH EFFORT
Maximum practicable utilization of small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business concerns as subcontractors in Government contracts is a matter of national interest with both social and economic benefits. When a contractor fails to make a good faith effort to comply with a subcontracting plan, these objectives are not achieved, and 15 U.S.C. 637(d)(4)(F) directs that the contractor must pay liquidated damages. In order to demonstrate your compliance with a good faith effort to achieve the small, HUBZone small, small disadvantaged, women-owned small, veteran-owned small, and service-disabled veteran-owned small business subcontracting goals, outline the steps your company plans to take. These steps will be negotiated with the contracting officer prior to approval of the plan.

The offeror is advised that submission of the subcontracting plan and Standard Form 294 and/or Standard Form 295 will be made a material part of the contract.
XII. SIGNATURES REQUIRED

This subcontracting plan was submitted by: | This subcontracting plan was accepted by:
Signature: | Signature:
Typed Name: | Typed Name:
Title: | Title: Contracting Officer
Date: | Date: