TABLE OF CONTENTS
(Revised October 01, 1998)
SUBPART 226.1--INDIAN INCENTIVE PROGRAM
226.103 Procedures.
226.104 Contract clause.
SUBPART 226.70--HISTORICALLY BLACK COLLEGES AND UNIVERSITIES AND MINORITY INSTITUTIONS
226.7000 Scope of subpart.
226.7001 Definitions.
226.7002 General policy.
226.7003 Set-asides for HBCUs and MIs.
226.7003-1 Set-aside criteria.
226.7003-2 Set-aside procedures.
226.7004 Reserved.
226.7005 Eligibility as an HBCU or MI.
226.7006 Protesting an HBCU or MI representation.
226.7007 Goals and incentives for subcontracting with HBCU/MIs.
226.7008 Solicitation provision and contract clause.
SUBPART 226.71--PREFERENCE FOR LOCAL AND SMALL BUSINESS
226.7100 Scope of subpart.
226.7101 Definition.
226.7102 Policy.
226.7103 Procedure.
226.7104 Other considerations.
SUBPART 226.72--BASE CLOSURES AND REALIGNMENTS
226.7200 Scope.
SUBPART 226.1--INDIAN INCENTIVE PROGRAM
(f) The contracting officer shall submit a request for funding of the Indian incentive to the Office of Small and Disadvantaged Business Utilization, Office of the Under Secretary of Defense for Acquisition and Technology, OUSD(A&T)SADBU, Room 2A340, 3061 Defense Pentagon, Washington, DC 20301-3061. Upon receipt of funding from OUSD(A&T)SADBU, the contracting officer shall issue a contract modification to add the Indian incentive funding for payment of the contractor's request for equitable adjustment as described at FAR 52.226-1, Utilization of Indian Organizations and Indian-Owned Economic Enterprises.
(a) Also use the clause at FAR 52.226-1, Utilization of Indian Organizations and Indian-Owned Economic Enterprises, in contracts-
(i) With contractors that have comprehensive subcontracting plans approved under the test program described at 219.702(a); and
(ii) That contain the clause at 252.219-7004, Small, Small Disadvantaged and Women-Owned Small Business Subcontracting Plan (Test Program).
SUBPART 226.70--HISTORICALLY BLACK COLLEGES AND UNIVERSITIES AND MINORITY INSTITUTIONS
(Revised October 01, 1998)
This subpart implements the historically black college and university (HBCU) and minority institution (MI) provisions of 10 U.S.C. 2323, which-
(a) Set a goal for DoD for each of fiscal years 1987 through 2000 to award five percent of contract and subcontract dollars to small disadvantaged business concerns and HBCU/MIs; and
(b) Require a separate goal, for each of fiscal years 1991 through 2000, as a subset of the five percent goal, for the participation of HBCUs and MIs.
Definitions of HBCUs and MIs are in the clause at 252.226-7000.
The DoD will use outreach efforts, technical assistance programs, advance payments, HBCU/MI set-asides, and evaluation preferences to meet its contract and subcontract goal for use of HBCUs and MIs. In addition, DoD will establish "infrastructure assistance" (e.g., scholarships, faculty development, teaming agreements with defense laboratories, and laboratory renovation) at colleges, universities, and institutions that agree to bear a substantial portion of the costs associated with the programs.
226.7003 Set-asides for HBCUs and MIs.
226.7003-1 Set-aside criteria.
Set-aside acquisitions for exclusive HBCU and MI participation when the acquisition is for research, studies, or services of the type normally acquired from higher educational institutions and there is a reasonable expectation that-
(a) Offers will be submitted by at least two responsible HBCUs or MIs which can comply with the subcontracting limitations in the clause at FAR 52.219-14;
(b) Award will be made at not more than ten percent above fair market price; and
(c) Scientific and/or technological talent consistent with the demands of the acquisition will be offered.
226.7003-2 Set-aside procedures.
(a) As a general rule, use competitive negotiation for HBCU/MI set-asides.
(b) When using a broad agency announcement (FAR 35.016) for basic or applied research, make partial set-asides for HBCU/MIs as explained in 235.016.
(c) Follow the special synopsis instructions in 205.207(d)(iii), (iv), and (v).
(d) Cancel the set-aside if the low responsible offer exceeds the fair market price (defined in FAR Part 19) by more than ten percent.
226.7005 Eligibility as an HBCU or MI.
(a) To be eligible for award as an HBCU or MI under the preference procedures of this subpart, an offeror must-
(1) Be an HBCU or MI, as defined in the clause at 252.226-7000, Notice of Historically Black College or University and Minority Institution Set-Aside, at the time of submission of its initial offer including price; and
(2) Provide the contracting officer with evidence of its HBCU or MI status upon request.
(b) The contracting officer shall accept an offeror's HBCU or MI status under the provision at 252.226-7001, unless-
(1) Another offeror challenges the status; or
(2) The contracting officer has reason to question the offeror's HBCU/MI status. (A list of HBCUs is published periodically by the Department of Education.)
226.7006 Protesting an HBCU or MI representation.
Any offeror or other interested party may challenge an offeror's HBCU or MI representation by filing a protest with the contracting officer. The protest must contain specific detailed evidence supporting the basis for the challenge. Such protests are handled in accordance with FAR 33.103 and are decided by the contracting officer.
226.7007 Goals and incentives for subcontracting with HBCU/MIs.
(a) In reviewing subcontracting plans submitted under the clause at FAR 52.219-9, Small Business and Small Disadvantaged Business Subcontracting Plan, the contracting officer shall-
(1) Ensure that the contractor included anticipated awards to HBCU/MIs in the small disadvantaged business goal;
(2) Consider whether subcontracts are contemplated which involve research or studies of the type normally performed by higher educational institutions.
(b) Use of incentives for subcontracting with HBCU/MIs is prescribed in 219.708(c)(1).
226.7008 Solicitation provision and contract clause.
(a) Use the clause at 252.226-7000, Notice of Historically Black College or University and Minority Institution Set-Aside, in solicitations and contracts set-aside for HBCU/MIs.
(b) Use the provision at FAR 52.226-2, Historically Black College or University and Minority Institution Representation, in solicitations set-aside for HBCU/MIs and in solicitations that contain the clause at FAR 52.219-23, Notice of Price Evaluation Adjustment for Small Disadvantaged Business Concerns.
SUBPART 226.71--PREFERENCE FOR LOCAL AND SMALL BUSINESSES
(Revised October 01, 1998)
This subpart implements Section 2912 of the Fiscal Year 1994 Defense Authorization Act (Pub. L. 103-160) and Section 817 of the Fiscal Year 1995 Defense Authorization Act (Pub. L. 103-337).
"Vicinity," as used in this subpart, means the county or counties in which the military installation to be closed or realigned is located and all adjacent counties, unless otherwise defined by the agency head.
Businesses located in the vicinity of a military installation that is being closed or realigned under a base closure law, including 10 U.S.C. 2687, and small and small disadvantaged businesses shall be provided maximum practicable opportunity to participate in acquisitions that support the closure or realignment, including acquisitions for environmental restoration and mitigation.
In considering acquisitions for award through the section 8(a) program (Subpart 219.8 and FAR Subpart 19.8) or in making set-aside decisions under Subpart 219.5 and FAR Subpart 19.5 for acquisitions in support of a base closure or realignment, the contracting officer shall-
(a) Determine whether there is a reasonable expectation that offers will be received from responsible business concerns located in the vicinity of the military installation that is being closed or realigned.
(b) If offers can not be expected from business concerns in the vicinity, proceed with section 8(a) or set-aside consideration as otherwise indicated in Part 219 and FAR Part 19.
(c) If offers can be expected from business concerns in the vicinity-
(1) Consider section 8(a) only if the 8(a) contractor is located in the vicinity.
(2) Set aside the acquisition for small business only if one of the expected offers is from a small business located in the vicinity.
226.7104 Other considerations.
When planning for contracts for services related to base closure activities at a military installation affected by a closure or realignment under a base closure law, contracting officers shall consider including, as a factor in source selection, the extent to which offerors specifically identify and commit, in their proposals, to a plan to hire residents of the vicinity of the military installation that is being closed or realigned.
SUBPART 226.72--BASE CLOSURES AND REALIGNMENTS
This subpart identifies the various policies and statutory authorities that affect contracts associated with the closure and realignment of military installations. These policies and authorities are-
(a) Right of first refusal of employment. This authority is embodied in a clause for use in solicitations and contracts arising from the closure of a military installation. The clause establishes employment rights for Government employees who are adversely affected by closure of the installation (see Subpart 222.71).
(b) Preference for local and small business. This authority allows contracting officers, when entering into a contract as part of the closure or realignment of a military installation, to give preference, to the greatest extent practicable, to qualified businesses located in the vicinity of the installation and to small and small disadvantaged business concerns (see Subpart 226.71).
(c) Services at installations being closed. This authority allows DOD, under certain conditions, to contract with local governments for police, fire protection, airfield operations and other community services at installations being closed (see Subpart 237.74).