Overview
This section defines the authority and limitations of the Small Business Administration (SBA) in overseeing and supporting the Small Business Subcontracting Program, emphasizing its advisory role to federal agencies and prime contractors.
Key Rules
- Advisory Power: The SBA is authorized to assist both government agencies and contractors in fulfilling their subcontracting plan responsibilities.
- Review Timelines: The SBA may review solicitations and negotiated contractual documents (including the subcontracting plans) within a 5-working-day window before issuance or execution.
- Non-Binding Recommendations: Any recommendations provided by the SBA regarding subcontracting plans are advisory in nature, meaning the Contracting Officer (CO) is not strictly required to adopt them.
- Compliance Evaluation: The SBA has the authority to evaluate a contractor's compliance with subcontracting plans on an individual contract basis or an aggregate basis for contractors with multiple awards.
- Prohibited Actions: The SBA is explicitly barred from:
- Mandating the specific extent or percentage of subcontracting.
- Directing awards to specific concerns/subcontractors.
- Interfering with the day-to-day administration of prime contracts or subcontracts.
Practical Implications
- Procurement Lead Times: Contracting Officers must factor in the 5-day SBA review period when establishing timelines for solicitation issuance and contract award.
- Operational Autonomy: While contractors must meet subcontracting goals, they retain the final authority over vendor selection and the management of their own supply chain without direct SBA interference.