PART 19 — SMALL BUSINESS PROGRAMS
TABLE OF CONTENTS
SUBPART 19.2 -- POLICIES
19.201 General policy.
219.201 General Policy.
19.202 Specific Policies.
19.202-1 Encouraging small business participation in acquisitions.
19.203 Relationship Among Small Business Programs.
SUBPART 19.3 – DETERMINATION OF SMALL BUSINESS STATUS FOR SMALL BUSINESS PROGRAMS
19.302 Protesting a small business representation or rerepresentation.
SUBPART 19.5 -- SET -ASIDES FOR SMALL BUSINESS
19.502-2 Total Small Business Set-Asides.
SUBPART 19.7 — THE SMALL BUSINESS SUBCONTRACTING PROGRAM
19.705-2 Determining the Need for a Subcontracting Plan
19.705-4 Reviewing the Subcontracting Plan
19.705-6 Postaward Responsibilities of the Contracting Officer
SUBPART 19.8 – CONTRACTING WITH THE SMALL BUSINESS ADMINISTRATION (THE 8(a) PROGRAM)
19.804-2 Agency Offering.
19.804-3 SBA Acceptance.
19.808 Contract negotiation.
19.808-1 Sole source.
(S-90) The Defense Information Systems Agency’s (DISA) small business program’s policy is to utilize small businesses to the maximum extent practical and to provide opportunities for small businesses to participate both as prime contractors and as subcontractors within DISA’s acquisition and contracting process.
(S-90) The firstname.lastname@example.org
email address shall be used by DISA personnel to communicate with the DISA Office of Small Business Programs.
(c)(10) The Office of Small Business Programs is required to:
(i) Review and make recommendations on the Small Business Coordination Record, DD Form 2579;
(ii) Conduct the review of the DD Form 2579 prior to any public announcement or release of information regarding the acquisition strategy, including issuance of the solicitation or contract modification, specific communications with contractors or submitting an offering letter to the SBA (8a) Business Development Program);
(iii) Review all acquisition plans/acquisition strategies;
(iv) Assist in market research efforts and provide small business sources;
(v) Review all Sources Sought and Request for Information (RFI) announcements over $5 million prior to posting to ensure potential sources are not requested to submit more than the minimum information necessary. Two Sources Sought announcements shall be posted simultaneously, one for HUBZone only, and one for everyone else. When posting the HUBZone sources sought on FBO, select the “HUBZone set aside” option.
(S-90) Contracting officers shall comply with the following:
(1) Complete and submit a DD Form 2579 for all acquisitions over $10,000 (See 19.202(S-92) for exceptions);
(2) Office of Small Business Programs and SBA PCR (when applicable) concurrence on the DD Form 2579/AP should be obtained prior to making a public release, including communication with the SBA, indicating the government’s decision on the method of acquisition, e.g., Full and Open, Small Business Set-Aside, 8(a) Program or Sole Source;
(3) Set-asides to Small Business, HUBZone Small Business, Service-Disabled Veteran-Owned Small Business, 8(a) Program participants and Women-Owned/Economically Disadvantaged Women-Owned Small Business shall be considered first, prior to consideration of full and open competition, to facilitate meeting the DISA and Department of Defense (DoD) Small Business goals;
(4) Where practicable, divide quantities of supplies or services into small lots to permit offers on quantities less than the total requirement to encourage small business participation;
(5) Establish realistic delivery schedules, start dates and transition periods that will encourage small business participation;
(6) Require small business prime contractors to subcontract with small business through small business participation plans for contracts valued over $10 million;
(7) Ensure that the requiring activity demonstrates and documents its market research (FAR Part 10, DFARS Part 210, and DARS Part 10) of small businesses for every acquisition. If a small business set-aside is not recommended, documentation as to why small business should not be considered shall be substantiated in the Market Research Report (MRR). (Reference DARS Part 10 (S-91)).
(S-91) DD Form 2579
(1) All submissions of the DD Form 2579 require the following documentation:
(i) Signed MRR applicable to the requirement. The MRR template are located at
(ii) Signed Justification and Approval (J&A);
(iii) Signed D&F for consolidation, bundling, or no subcontracting opportunities (see DARS 19.705-2), if applicable;
(iv) Acquisition Plan/Acquisition Strategy, if applicable.
(2) The Office of Small Business Programs may require additional documentation outlined below:
(i) Performance Work Statement (PWS), Statement of Objectives (SOO), Statement of Work (SOW), or other work descriptions;
(ii) Sources Sought/RFI responses, and analysis documentation;
(iii) Independent Government Cost Estimate documentation.
(3) Place approved DD Form 2579, signed MRR, and sources sought documentation into the contract file. If the acquisition is canceled or work on the acquisition is suspended for 12 months or more, the DD Form 2579 and accompanying MRR is no longer valid and must be updated.
(4) Review and Approval Period:
(i) The Office of Small Business Programs has five (5) business days (not including date of submission) of a fully complete and correct DD Form 2579 to render a final decision.
(ii) Requests for expedited approval of the DD Form 2579 shall be submitted directly to the personal email account of the Director, Office of Small Business Programs via a Branch Chief or Division Chief. Insert “Expedite” in the subject line of the email and provide an explanation of the urgency in the body of the email.
(iii) In accordance with the DISA and SBA Plans of Operations, all requirements over $5 million NOT set aside for small business shall be forwarded by the Office of Small Business Programs to the SBA PCR for review. The Office of Small Business Programs has five (5) business days from submission of a complete, correct DD Form 2579 to review and forward the DD Form 2579 to the appropriate SBA PCR. The SBA PCR has five (5) business days for DITCO Scott-Area 4 (Midwest) and DITCO PAC-Area VI (Hawaii), and seven (7) business days for DITCO NCR-Area 2 (East Coast), to review the DD Form 2579 and accompanying documentation and render a final decision. Allow for a total of twelve business days for a final decision.
(iv) Additionally, ALL requirements in DITCO Scott-Area 4 for Women-Owned Small Business/Economically-Disadvantaged Women Owned Small Business set-asides shall be forwarded by the Office of Small Business Programs to the DITCO Scott-Area 4 SBA PCR for review. The approved list of Women-Owned Small Business/Economically-Disadvantaged Women Owned Small Business set-aside North American Industry Classification System (NAICS) codes can be found at http://www.sba.gov/sites/default/files/files/2012_WOSB_EDWOSB_NAICS_Codes.pdf.
(v) The Office of Small Business Programs has five (5) business days (not including date of submission) to provide comments or concurrence on Sources Sought or RFI announcements.
(S-92) DD Form 2579 Exceptions:
(1) The following actions may be taken without an Office of Small Business Programs-approved and/or signed DD Form 2579:
(i) Publishing synopses, Sources Sought, RFI’s and white papers for conducting market research, provided the posting does not indicate the government’s decision regarding method of acquisition;
(ii) Funding modifications or modifications that do not increase the scope of the contract (including exercising a contract option, which is within the scope of the existing contract provided the basic contract has an approved DD Form 2579);
(iii) Solicitations and contracts when contract performance is outside of the United States or its outlying areas; or
(iv) Solicitations and contracts under the Small Business Innovation Research (SBIR) Program since the SBIR is limited to qualified small business concerns.
(2) The following actions may be taken without an Office of Small Business Programs approved and/or signed DD Form 2579 providing the contracting officer completes/signs a new DD Form 2579 for the contract file with the following justifying statement in Block 11a:
(i) Orders against a DISA-awarded single award (not multiple awards) ID/IQ (provided the work is new, unencumbered work or specifically designated in the Acquisition Strategy/Acquisition Plan. If the work is currently being performed, this exception does not apply and a MRR and DD Form 2579 must be submitted to the Office of Small Business Programs):
“Orders placed against a DISA-awarded single award ID/IQ contract shall not require a signed DD Form 2579 by the Office of Small Business Programs based on the approval of the DD Form 2579 for the overarching contract with the Control Number #____________.”; or
(ii) Orders against a DISA-awarded BPA/BOA:
“ Orders placed against a DISA-awarded BPA/BOA shall not require a signed DD Form 2579 by the Office of Small Business Programs based on the approval of the DD Form 2579 for the overarching vehicle with the Control Number #__________.”; or
(iii) Total small business set-asides under the SAT:
“IAW DFARS 219.201(c)(10)(A), actions under the simplified acquisition threshold that are totally set aside for small business do not require a signed DD Form 2579 by the Office of Small Business Programs (set-asides for a socioeconomic category shall be considered prior to using a total small business set-aside).”; or
(iv) Orders placed against the DoD ESI BPA’s:
“Purchase of commercial software and related services, such as software maintenance, in accordance with the DoD ESI shall not require a signed DD Form 2579 by the Office of Small Business Programs based on the mandatory source requirements at DFARS 208.7402.”; or
(v) Orders placed against a mandatory-use JELA:
“Purchase of requirements against a JELA shall not require a signed DD Form 2579 by the Office of Small Business Programs based on PLD mandatory use policy.”; or
(vi) Orders placed for urgent WHCA temporary service:
“Orders for urgent WHCA temporary communications for “switched voice services” that can only be provided by the Local Exchange Carrier do not require a signed DD Form 2579 by the Office of Small Business Programs due to the urgent nature of the requirement.”
(vii) IQO Orders under $700K: (NOTE: changes to the original acquisition strategy will require a new DD Form 2579).
“IQO orders will be competed in accordance with the Strategic Market Research Report and do not require a signed DD Form 2579 by the Office of Small Business Programs due to the volume and repetitive nature of these requirements.”
(3) Blanket DD Form 2579 approval.
On a case by case basis, a blanket DD Form 2579 may be approved on contracts for circuits that exceed 500 procurements per year (eg: DTTS III, NETWORX). Blanket DD Form 2579’s will be updated yearly when the option is exercised and inserted in every order file. The Office of Small Business programs shall be contacted for coordination.
(1) DD Form 2579
● Electronic form located at: https://www.ditco.disa.mil/DITCOContractingTemplates/docs/blank_electronic_dd2579.pdf
● Complete the DD Form 2579 in accordance with the procedures located at: https://www.ditco.disa.mil/DITCOContractingTemplates/
● Save the DD Form 2579 with the requirements number in the title of the document.
● Insert the requirements number and procurement name, if applicable, in the subject line of the email.
● Submit one DD Form 2579 per email.
● Attach all applicable documentation pertinent to the review.
Submit to: email@example.com
(2) Sources Sought announcements:
● Complete the Sources Sought announcement in accordance with the DISA-approved template located at: https://www.ditco.disa.mil/DITCOContractingTemplates/
● Insert the title of the Sources Sought announcement in the subject line of the email.
● State the estimated cost in the body of the email.
Submit to: firstname.lastname@example.org
(3) Request For Information (RFI):
● Complete the RFI in accordance with the DISA-approved template located at: https://www.ditco.disa.mil/DITCOContractingTemplates/
● Insert the title of the RFI in the subject line of the email.
● State the estimated cost in the body of the email
(S-90) Engage the Office of Small Business Programs within 60 days of notification of potential requirements valued over $5 million, particularly for all consolidated/bundled or full and open competitions.
(d)(2) The Office of Small Business Programs will recommend targeted contract actions for socioeconomic groups in support of DISA’s small business program goals.
(c) The contracting officer shall forward hard copies of the protest and the referral letter to the cognizant SBA Government Contracting Area Office.
(c) If Full and Open competition is recommended, the contracting officer shall perform market research and document why a small business set-aside is inappropriate, and sign the MRR.
(b) When determining a “reasonable expectation”, a lack of responses to a Sources Sought announcement and/or RFI is not adequate justification to rule out a small business set-aside. Additional resources must be researched prior to making that determination.
(c) The Office of Small Business Programs shall review and coordinate in writing on any determination made by the contracting officer that no subcontracting possibilities exist. A Determination and Findings (D&F) shall be prepared in accordance with the format entitled “Non-inclusion of SB Subcontracting Plan” located at: https://www.ditco.disa.mil/DITCOContractingTemplates/docs/d_f_-_non_inclusion_of_sb_subcontracting_plan_-_dars_19_705-2.doc”. The determination must be approved at a level above the contracting officer and placed in the contract file.
(d)(7) The contracting officer must obtain the written coordination of the Office of Small Business Programs and the SBA PCR, as applicable, prior to contractually incorporating a subcontracting plan. NOTE EXCEPTION: Approved commercial and comprehensive subcontracting plans need not be submitted to the Office of Small Business Programs nor the SBA for coordination as they have already been approved by an authorized government contracting officer.
(S-90) Procedures for Submission of a Subcontracting Plan for Review:
● The contracting officer shall submit the apparent awardee’s subcontracting plan, along with the MRR, AP, PWS, SOW, RFP, RFQ and J&A if applicable, for review to: email@example.com.
● Office of Small Business Programs will complete review within five (5) business days, and forward subcontracting plan to the appropriate Area SBA PCR along with Office of Small Business Programs’ recommendation/comments.
● SBA PCR has five (5) business days for Area 4 (Midwest) and Area VI (Hawaii), and seven (7) business days for Area 2 (East Coast), to complete their review of the subcontracting plan and return to Office of Small Business Programs, who will forward all recommendations/comments to the contracting officer.
● If the contracting officer disagrees with Office of Small Business Programs and/or the SBA PCR recommendations, a rationale shall be provided to Office of Small Business Programs for concurrence.
(a) Email a signed copy of the subcontracting plan to: firstname.lastname@example.org, the relevant Area SBA PCR and the SBA Area Office where the contract will be performed.
(h) Monitor goal achievements in the Electronic Subcontracting Reporting System (eSRS) and review, accept and/or reject individual subcontract reports (ISR) and summary subcontract reports (SSR) within 60 days after report ending date in accordance with FAR 19.705-6.
(f) DoD/SBA Partnership Agreement is located at: http://www.sba.gov/sites/default/files/files/Department%20of%20Defense.pdf.
(a) Sample offering letter is located on the Office of Small Business Programs’ SharePoint page at: https://east.esps.disa.mil/DISA/ORG/OSBP/Shared%20Documents/Forms/AllItems.aspx
(S-90) IAW 13 CFR Part 124.504(d), contracting officers can request release from the 8(a) program under limited circumstances. Prior to requesting release of a requirement from the 8(a) program, coordinate with the Office of Small Business Programs. Sample 8(a) release letter and package requirements are located on the Office of Small Business Programs’ SharePoint page at: https://disa.deps.mil/DISA/ORG/OSBP/SDB%20Documents/Forms/AllItems.aspx
(b) When selecting an 8(a) firm for a sole source award, the contracting officer shall first attempt to locate a firm with multiple socioeconomic categories prior to selecting a firm who qualifies under 8(a) only.
(S-90) When a requirement value falls between $4 million and $20 million, the contracting officer shall first attempt to garner competition between 8(a) small business concerns prior to offering the requirement to the SBA as a sole source effort.
(S-90) Refer to https://www.ditco.disa.mil/DitcoContractingTemplates/doku.php?id=j_a_templates for J&A template for sole source 8(a) awards over $20M.