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Contract Awards

The SBA & DOD are teaming up to reinforce Small Business Development

On Friday, December 2, 2022, the Defense Department and the U.S. Small Business Administration signed a memorandum of understanding (MOU) for both agencies to better meet the needs of small businesses in the United States. The goal is to bolster small business development, both nationally and locally. (Executive Gov December 9, 2022)

Farooq A. Mitha, director of small business programs at DOD, and Mark Madrid, associate administrator of SBA’s Office of Entrepreneurial Development, signed the agreement at the Maryland Procurement Technical Assistance Center, a DOD-funded office in College Park, Maryland. (U.S. Department of Defense December 7, 2022 l DOD News)

There are over 90 Procurement Technical Assistance Centers throughout the US. These centers are set up to work with small businesses looking to obtain contracts with either DOD or other federal agencies. The centers are currently going through a rebranding and will move from Procurement Technical Assistance Centers to APEX Accelerators. The goal of the APEX Accelerators is to increase the number of businesses able to participate in the government marketplace. (ibid)

“One of the things that we want to make sure that we’re doing is providing resources and support to small businesses who are looking to do business with DOD, with other federal agencies, with state and local government and really reduce barriers to entry,” said Mitha. “And we can’t do that without our APEX Accelerators. And we can’t do that without a … strong partnership with the Small Business Administration and the [Small Business Development Centers] program.”  (ibid)

At the signing, Madrid said, “Today was about breaking down silos and working together because we’re all in it for the same reason. If you look at DOD [and] SBA, you look at the APEX Accelerators, you look at our SBDC network, we’re all trying to make government, and ultimately opportunities, more accessible to our small businesses at the end of the day. That’s what we achieved today.”  (ibid)

As a result of the MOU, Madrid is certain the DOD and the SBA will find many ways to better integrate training conducted by their APEX Accelerators and SBDCs. Their goal is to jointly conduct at least one national event a year together. (Executive Gov December 9, 2022)

SBA and DOD also launched a joint effort, called the Small Business Investment Company Critical Technologies Initiative, to drive investments in critical technologies that are key to national security. (ibid)

Are you looking to take advantage of one of the more than 90 APEX Accelerators resources and or the Small Business Investment Company Critical Technologies Initiative (SBICCT)? Give us a call.

GSA and the Small Business Administration are teaming up!

GSA is partnering with the Small Business Administration (SBA) to increase 8(a) contracting opportunities. The partnership makes it virtually effortless for GSA customers to use the MAS program to access various solutions from 8(a) contractors. (BUY.GSA.GOV l Interact November 18, 2022)

Once the implementation is complete the PA provides these benefits:

  • Increased opportunities for 8(a) contractors, allowing these contractors competition in a safe set-aside environment.
  • Accessibility to 8(a) contractors and various socioeconomic contractors, thus allowing for a vast range of products and services.
  • Increased ordering flexibility under the MAS Program.
  • Streamlined acquisition processes, thus incentivizing agencies to use 8(a) solutions.
  • GSA and SBA standardized processes for reaching an agreement on acquisition strategies. (ibid)

GSA is looking at a spring 2023 implementation of the Partnership Agreement. (ibid)

Are you an 8(a) contractor or have questions concerning your 8(a) contractor status? Give us a call.

GSA steps up in the nick of time

GSA temporarily lifted restrictions on economic price adjustments (EPAs) in its contracts in March of this year, to fight inflation. With prices still rising, the agency this month extended the flexibilities through March 2023 and said officers can now make adjustment decisions without the need for approval from a more senior official. (Federal Times September 20, 2022)

As more and more contractors feel the crushing effects of supply chain shortages, price volatility, rising costs, and fixed income impact, a need for immediate relief for contractors couldn’t come quickly enough. The latest memo takes power that was tied up in the request and approval process and puts it into the hands of contractors and procurement officers to evaluate, make decisions and keep business uninterrupted. (ibid)

“Inflation and uncertain economic market conditions erode scarce contracting dollars, cause severe hardship on federal partners, and discourage new entrants from pursuing federal acquisition,” said GSA in the memo announcing the extension. “The acquisition workforce has both the authority and the tools to take action to mitigate the impact of inflation in federal contracts.” (ibid)

Contractors no longer have to hold their contracts for a minimum of a year before submitting price increases. The new guidance also temporarily does away with the limit of three increases per year and the 30-day waiting period between requests. (ibid)

Contractors might consider the following:

  • Request adjustments to contracts if non-price changes to the terms offer some relief to the problems caused by inflation.
  • Determine whether their current situation with once-in-a-generation inflation warrants contractual relief.
  • File a formal request to the contracting officer even if the chances of success are low, so DOD can obtain quantitative data on the scope of the issue.
  • Encourage contracting officers to amend solicitations to include EPA clauses when preparing bids. (JDSupra September 21,2023))

Is your current contract not keeping up with inflation? Give us a call, we can help.

Primes are on the line

On August 22, 2022, the Small Business Administration (SBA) will start providing small businesses with additional ways to show past performance ratings. Past performance ratings are necessary to compete for prime federal contracts. (FEDSCOOP July 25, 2022)

The SBA published a new final rule in the Federal Register that gives small businesses two additional methods to prove qualifying past performance. The first is a joint venture where the small business was part of the joint venture, performing contract work. The second is the subcontracting plan performed by a first-tier subcontractor, under a prime contract. (ibid)

The rule executes Section 868 of the National Defense Authorization Act of fiscal 2021. The goal is to make it easier for small business subcontractors to secure past performance ratings needed to compete for prime contracts. It allows subcontractors to request ratings from contracting officers and prime contractors they have worked with in the past. (ibid)

“SBA believes that, by implementing this rule, the government will be able to attract new small business prime contractors. This will enhance competition in government contracting and provide agencies with increased access to innovative products and services,” according to the SBA. (ibid)

The rule removes the timeline requirement on past performance ratings. The rule allows agencies to use their discretion and gives subcontractors a minimum of 30 calendar days after a performance period’s completion to request ratings from prime contractors. This will keep subcontractors from having to wait until their contract work is complete to request ratings. (ibid)

The requirement to respond to subcontractors’ requests is included in primes’ subcontracting plans, a failure to comply may lead to contract termination, withholding of award fees, lower past performance ratings for subcontracting, liquidated damages, and possibly debarment for “willful or repeated” cases. (ibid)

The SBA has added to the final ruling that subcontractors should notify the contracting officer in the event that the prime contractor fails to submit the requested rating within the rule’s prescribed timeframe. All past performance evaluation factors should align with those of the Contractor Performance Assessment Reporting System (CPARS). (ibid)

The SBA is adding to the final rule that the prime contractor shall use the five-scale rating system – Exceptional, Very Good, Satisfactory, Marginal, and Unsatisfactory. (ibid)

Are you a small business trying to obtain past performance ratings? Give us a call.

OASIS+ is the next big thing small businesses should know about

GSA has been hard at work creating the next-generation contract program for non-IT services. A significant amount of time and industry engagement, including large-scale requests for information (RFIs), went into the creation of the next-generation services contract. (GSABlog June 15, 2022)

GSA had three goals in mind during the design process:

  • Fulfill agency service requirements with highly experienced contractors while simplifying the purchasing experience
  • Broaden access to best-in-class non-IT service contracts for highly qualified contractors while simultaneously increasing small business opportunities
  • Shrink the burden on industry and government (ibid)

GSA is well on its way to achieving its goals.

Maximizing small business engagement is paramount to the new program. GSA is adopting a small business strategy that creates separate and distinct contract families for categories of small businesses to allow maximum opportunities to participate. GSA plans to solicit and award indefinite-delivery indefinite-quantity (IDIQ) contracts in the following categories:

  • 8(a) Small Business
  • HUBZone Small Business
  • Service-Disabled, Veteran-Owned Small Business
  • Total Small Business
  • Woman-Owned Small Business
  • Unrestricted (ibid)

GSA’s new program will be capable of fulfilling requirements currently met by GSA’s One Acquisition Solution for Integrated Services (OASIS); Human Capital and Training Solutions (HCaTS); and Building, Maintenance, and Operations (BMO) contracts. Additional scope areas are to include environmental, intelligence services, and large enterprise solutions. Flexibility will be built in to expand the scope as customers identify ongoing needs. (ibid)

The contracts will be grouped by Domains – functional groupings of services spanning multiple NAICS codes. Domains align to order requirements to qualified industry partners. Over time, GSA will add new Domains to meet agencies’ needs. (ibid)

GSA is ensuring companies that receive awards in the new contract program are highly qualified. Additionally, GSA will create an avenue for new industry partners to continually onboard. GSA will provide for continuous on-ramping and eliminate caps on the number of awards. This will allow the program to evolve as the government agency needs change, expand the industrial base and eliminate barriers to entry for qualified businesses.

GSA’s Enhanced Task Order Competition (876) authority establishes a host of contracts that leverage competition and establish price at the order level. The contracts allow for commercial and non-commercial services and orders of all types including fixed price, time and material cost reimbursement, and hybrid. (ibid)

The name of the program is OASIS Plus (aka OASIS+). Until the program is finalized, updates can be found on SAM.gov and the OASIS+ Interact Community. A draft solicitation is expected early FY 2023 with the final RFP in the second quarter of the fiscal year. (ibid)

This is exciting and daunting at the same time. If you have questions about any part of OASIS+ or the upcoming draft RFP, give us a call.