PART 909 CONTRACTOR QUALIFICATIONS
Subpart 909.1 Responsible Prospective Contractors
909.104-1 General Standards.
909.104-3 Application of Standards.
Subpart 909.4 Debarment, Suspension, and Ineligibility
Sec.
909.400 Scope of subpart.
909.401 Applicability.
909.403 Definitions.
909.405 Effect of listing.
909.406 Debarment.
909.406-2 Causes for debarment.
909.406-3 Procedures.
909.406-6 Requests for reconsideration of debarment.
909.407-2 Causes for suspension.
909.407-3 Procedures.
Subpart 909.5 Organizational and Consultant Conflicts of Interest
909.503 Waiver.
909.504 Contracting Officer's Responsibility.
909.507 Solicitation provisions and contract clause.
909.507-1 Solicitation provisions.
909.507-2 Contract Clause.
Authority: 42 U.S.C. 7254; 40 U.S.C. 486(c).
Source: 49 FR 11949, Mar. 28, 1984, unless otherwise noted and 59 FR 66259, Dec. 23, 1994.
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Subpart 909.1 Responsible Prospective Contractors
909.104-1 General Standards. (DOE coverage paragraph (h))
(h) For solicitations for contract work subject to the provisions of 10 CFR part 707, Workplace Substance Abuse Programs
at DOE Sites, the prospective contractor must agree, in accordance with 48 CFR 970.5204-57, Agreement Regarding
Workplace Substance Abuse Programs at DOE Sites, to provide the contracting officer with its written workplace substance
abuse program in order to be determined responsible and, thus, eligible to receive the contract award.
[57 FR 32675, July 22, 1992; 62 FR 42072, Aug. 5, 1997]
909.104-3 Application of Standards (DOE coverage - paragraph (e)) (e) DOE may select an entity which was newly created to perform the prospective contract, including, but not limited to, a joint venture or other similarly binding corporate partnership. In such instances when making the determination of responsibility pursuant to 48 CFR 9.103, the contracting officer may evaluate the financial resources of other entities only to the extent that those entities are legally bound, jointly and severally if more than one, by means of a performance guarantee or other equivalent enforceable commitment to supply the necessary resources to the prospective contractor and to assume all contractual obligations of the prospective contractor. The guaranteeing corporate entity(ies) must be found to have sufficient resources in order to satisfy its guarantee.
[64 FR 16649, April 6, 1999]
Subpart 909.4 Debarment, Suspension, and Ineligibility
909.400 Scope of subpart.
This subpart.
(a) Prescribes policies and procedures governing the debarment and suspension of organizations and individuals from
participating in Department of Energy (DOE) contracts, procurement sales contracts, and real property purchase
agreements, and from participating in DOE approved subcontracts and subagreements.
(b) Sets forth the causes, procedures, and requirements for determining the scope, duration, and effect of DOE debarment
and suspension actions; and
(c) Implements and supplements FAR subpart 9.4 with respect to the exclusion of organizations and individuals from
procurement contracting and Government approved subcontracting.
909.401 Applicability.
The provisions of this subpart apply to all procurement debarment and suspension actions initiated by DOE on or after the
effective date of this subpart. Nonprocurement debarment and suspension rules are codified in 10 CFR part 1036.
909.403 Definitions.
In addition to the definitions set forth at FAR 9.403, the following definitions apply to this subpart:
Debarring Official. The DOE Debarring Official is the Deputy Assistant Secretary for Procurement and Assistance
Management, or designee. DOE means the Department of Energy, including the Federal Energy Regulatory Commission.
Suspending Official. The DOE Suspending Official is the Deputy Assistant Secretary for Procurement and Assistance
Management, or designee.
909.405 Effect of listing. (DOE coverage paragraph (e), (f), (g) and (h))
(e) The Department of Energy may not solicit offers from, award contracts to or consent to subcontract with
contractors debarred, suspended or proposed for debarment unless the Deputy Assistant Secretary for Procurement and
Assistance Management makes a written determination justifying that there is a compelling reason for such action in
accordance with FAR 9.405(a).
(f) DOE may disapprove or not consent to the selection (by a contractor) of an individual to serve as a principal investigator,
as a project manager, in a position of responsibility for the administration of Federal funds, or in another key personnel
position, if the individual is on the GSA List.
(g) DOE shall not conduct business with an agent or representative of a contractor if the agent's or representative's name
appears on the GSA List.
(h) DOE shall review the GSA List before conducting a preaward survey or soliciting proposals, awarding contracts,
renewing or otherwise extending the duration of existing contracts, or approving or consenting to the award, extension, or
renewal of subcontracts.
909.406 Debarment.
909.406-2 Causes for debarment. (DOE coverage paragraphs (c) and (d))
(c) The Debarring Official may debar a contractor for any other cause of so serious or compelling a nature that it affects the
present responsibility of a DOE contractor. Such cause may include but is not limited to:
(1) Commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a private
contract or subcontract; and
(2) Inexcusable, prolonged, or repeated failure to pay a debt (including disallowed costs and overpayments) owed to DOE,
provided the contractor has been notified of the determination of indebtedness, and further provided that the time for
initiating any administrative or legal action to oppose or appeal the determination of indebtedness has expired or that such
action, if initiated, has been concluded.
(d) The Debarring Official may debar a contractor:
(1) On the basis that an individual or organization is an affiliate of a debarred contractor, subject to the requirements of FAR
9.406-1(b) and 9.406- 3(c);
(2) For failure to observe the material provisions of a voluntary exclusion (see 10 CFR 1036.315 for discussion of voluntary
exclusion).
909.406-3 Procedures. (DOE coverage paragraphs (a), (b) and (d))
(a) Investigation and referral. (1) Offices responsible for the award and administration of contracts are responsible for
reporting to both the Deputy Assistant Secretary for Procurement and Assistance Management and the DOE Inspector
General information about possible fraud, waste, abuse, or other wrongdoing which may constitute or contribute to a
cause(s) for debarment under this subpart. Circumstances that involve possible criminal or fraudulent activities must be
reported to the Office of the Inspector General in accordance with 10 CFR Part 1010, Conduct of Employees, Sec.
1010.217(b), Cooperation with the Inspector General.
(2) At a minimum, referrals for consideration of debarment action should be in writing and should include the following
information:
(i) The recommendation and rationale for the referral;
(ii) A statement of facts;
(iii) Copies of documentary evidence and a list of all witnesses, including addresses and telephone numbers, together with a
statement concerning their availability to appear at a fact-finding proceeding and the subject matter of their testimony;
(iv) A list of parties including the contractor, principals, and affiliates (including last known home and business addresses,
zip codes and DUNS Number);
(v) DOE's acquisition history with the contractor, including recent experience under contracts and copies of pertinent contracts;
(vi) A list of any known active or potential criminal investigations, criminal or civil proceedings, or administrative claims
before the Board of Contract Appeals; and
(vii) A statement regarding the impact of the debarment action on DOE programs. This statement is not required for
referrals by the Inspector General.
(3) Referrals may be returned to the originator for further information or development.
(b) Decision making process. Contractors proposed for debarment shall be afforded an opportunity to submit information
and argument in opposition to the proposed debarment.
(1) In actions based upon a conviction or civil judgment, or in which there is no genuine dispute over material facts, the
Debarring Official shall make a decision on the basis of all the information in the administrative record, including any
submissions made by the contractor. If the respondent fails to submit a timely written response to a notice of proposed
debarment, the Debarring Official shall notify the respondent in accordance with FAR 9.406-3(e) that the contractor is debarred.
(2) In actions not based upon a conviction or civil judgment, the contractor may request a fact-finding hearing to resolve a
genuine dispute of material fact. In its request, the contractor must identify the material facts in dispute and the basis for
disputing the facts. If the Debarring Official determines that there is a genuine dispute of material fact, the Debarring Official
shall refer the matter to the Energy Board of Contract Appeals for a fact-finding conference.
(3) Meeting. Upon receipt of a timely request therefor from a contractor proposed for debarment, the Debarring Official
shall schedule a meeting between the Debarring Official and the respondent, to be held no later than 30 days from the date
the request is received. The Debarring Official may postpone the date of the meeting if the respondent requests a
postponement in writing. At the meeting, the respondent, appearing personally or through an attorney or other authorized
representative, may present and explain evidence that causes for debarment do not exist, evidence of any mitigating factors,
and arguments concerning the imposition, scope, or duration of a proposed debarment or debarment.
(4) Fact-finding conference. The purpose of a fact-finding conference under this section is to provide the respondent an
opportunity to dispute material facts through the submission of oral and written evidence; resolve facts in dispute; and
provide the Debarring Official with findings of fact based, as applicable, on adequate evidence or on a preponderance of the
evidence. The fact-finding conference shall be conducted in accordance with rules consistent with FAR 9.406-3(b)
promulgated by the Energy Board of Contract Appeals. The Energy Board of Contract Appeals will notify the affected
parties of the schedule for the hearing. The Energy Board of Contract Appeals shall deliver written findings of fact to the
Debarring Official (together with a transcription of the proceeding, if made) within a certain time period after the hearing
record closes, as specified in the Energy Board of Contract Appeals Rules. The findings shall resolve any disputes over
material facts based upon a preponderance of the evidence, if the case involves a proposal to debar, or on adequate
evidence, if the case involves a suspension. Since convictions or civil judgments generally establish the cause for debarment
by a preponderance of the evidence, there usually is no genuine dispute over a material fact that would warrant a fact-finding
conference for those proposed debarments based on convictions or civil judgments.
(d) Debarring Official's decision. (4) The Debarring Official's final decision shall be based on the administrative record. In
those actions where additional proceedings are necessary as to disputed material facts, written findings of fact shall be
prepared and included in the final decision. In those cases where the contractor has requested and received a fact-finding
conference, the written findings of fact shall be those findings prepared by the Energy Board of Contract Appeals. Findings
of fact shall be final and conclusive unless within 15 days of receipt of the findings, the Department or the respondent
requests reconsideration, as provided in the Board's Rules, or unless set aside by a court of competent jurisdiction. The
Energy Board of Contract Appeals shall be provided a copy of the Debarring Official's final decision.
909.406-6 Requests for reconsideration of debarment.
(a) At any time during a period of debarment, a respondent may submit to the Debarring or Suspending Official a written
request for reconsideration of the scope, duration, or effects of the suspension/debarment action because of new information
or changed circumstances, as discussed at FAR 9.406-4(c).
(b) In reviewing a request for reconsideration, the Debarring or Suspending Official may, in his or her discretion, utilize any
of the procedures (meeting and fact-finding) set forth in 48 CFR (DEAR) 909.406-3 and 909.407-3. The Debarring or
Suspending Official's final disposition of the reconsideration request shall be in writing and shall set forth the reasons why
the request has been granted or denied. A notice transmitting a copy of the disposition of the request for reconsideration
shall be sent to the respondent and, if a fact-finding conference under 48 CFR (DEAR) 909.406-3(b)(4) is pending (as in the
case of a request for reconsideration of a suspension, where the proposed debarment is the subject of a fact-finding
conference), a copy of the disposition shall be transmitted to the Energy Board of Contract Appeals.
909.407-2 Causes for suspension. (DOE coverage paragraph (d))
(d) The Suspending Official may suspend an organization or individual:
(1) Indicted for or suspected, upon adequate evidence, of the causes described in 48 CFR (DEAR) 909.406-2(c)(1).
(2) On the basis of the causes set forth in 48 CFR (DEAR) 909.406-2(d)(2).
(3) On the basis that an organization or individual is an affiliate of a suspended or debarred contractor.
909.407-3 Procedures. (DOE coverage paragraphs (b) and (e))
(b) Decision making process.
(1) In actions based on an indictment, the Suspending Official shall make a decision based upon the administrative record,
which shall include submissions made by the contractor in accordance with 48 CFR (DEAR) 909.406-3(b)(1) and 909.406-3(b)(3).
(2) For actions not based on an indictment, the procedures in 48 CFR (DEAR) 909.406-3(b)(2) and FAR 9.407-3(b)(2) apply.
(3) Coordination with Department of Justice. Whenever a meeting or fact-finding conference is requested, the Suspending
Official's legal representative shall obtain the advice of appropriate Department of Justice officials concerning the impact
disclosure of evidence at the meeting or fact-finding conference could have on any pending civil or criminal investigation or
legal proceeding. If such Department of Justice official requests in writing that evidence needed to establish the existence of
a cause for suspension not be disclosed to the respondent, the Suspending Official shall:
(i) Decline to rely on such evidence and withdraw (without prejudice) the suspension or proposed debarment until such time
as disclosure of the evidence is authorized; or
(ii) Deny the request for a meeting or fact-finding and base the suspension decision solely upon the information in the
administrative record, including any submission made by the respondent.
(e) Notice of suspending official's decision. In actions in which additional proceedings have been held, following such
proceedings, the Suspending Official shall notify respondent, as applicable, in accordance with paragraphs (e)(1) or (e)(2) of
this section.
(1) Upon deciding to sustain a suspension, the Suspending Official shall promptly send each affected respondent a notice
containing the following information:
(i) A reference to the notice of suspension, the meeting and the fact-finding conference;
(ii) The Suspending Official's findings of fact and conclusions of law;
(iii) The reasons for sustaining a suspension;
(iv) A reference to the Suspending Official's waiver authority under 48 CFR (DEAR) 909.405;
(v) A statement that the suspension is effective throughout the Executive Branch as provided in FAR 9.407-1(d);
(vi) Modifications, if any, of the initial terms of the suspension;
(vii) A statement that a copy of the suspension notice was sent to GSA and that the respondent's name and address will be
added to the GSA List; and
(viii) If less than an entire organization is suspended, specification of the organizational element(s) or individual(s) included
within the scope of the suspension.
(2) If the Suspending Official decides to terminate a suspension, the Suspending Official shall promptly send, by certified
mail, return receipt requested, each affected respondent a copy of the final decision required under this section.
[61 FR 39857, July 31, 1996]
Subpart 909.5 Organizational and Consultant Conflicts of Interest
909.503 Waiver.
Heads of Contracting Activities are delegated the authorities in 48 CFR (FAR) 9.503 regarding waiver of OCI requirements.
[62 FR 40748, July 30, 1997]
909.504 Contracting Officer's Responsibility. (DOE coverage-paragraphs (d) and (e)).
(d) The contracting officer shall evaluate the statement by the apparent successful offeror or, where individual contracts are negotiated with all firms in the competitive range, all such firms for interests relating to a potential organizational conflict of interest in the
performance of the proposed contract. Using that information and any other credible information, the contracting officer
shall make written determination of whether those interests create an actual or significant potential organizational conflict of
interest and identify any actions that may be taken to avoid, neutralize, or mitigate such conflict. In fulfilling their
responsibilities for identifying and resolving potential conflicts, contracting officers should avoid creating unnecessary
delays, burdensome information requirements, and excessive documentation.
(e) The contracting officer shall award the contract to the apparent successful offeror unless a conflict of interest is
determined to exist that cannot be avoided, neutralized, or mitigated. Before determining to withhold award based on
organizational conflict of interest considerations, the contracting officer shall notify the offeror, provide the reasons therefor,
and allow the offeror a reasonable opportunity to respond. If the conflict cannot be avoided, neutralized, or mitigated to the
contracting officer's satisfaction, the contracting officer may disqualify the offeror from award and undertake the disclosure,
evaluation, and determination process with the firm next in line for award. If the contracting officer finds that it is in the best
interest of the United States to award the contract notwithstanding a conflict of interest, a request for waiver shall be
submitted in accordance with 48 CFR 909.503. The waiver request and decisions shall be included in the contract file.
[62 FR 40748, July 30, 1997]
909.507 Solicitation provisions and contract clause.
909.507-1 Solicitation provisions. (DOE coverage.paragraph (e)).
(e) The contracting officer shall insert the provision at 48 CFR 952.209-8, Organizational Conflicts of Interest
Disclosure-Advisory and Assistance Services, in solicitations for advisory and assistance services expected to exceed the
simplified acquisition threshold. In individual procurements, the Head of the Contracting Activity may increase the period
subject to disclosure in 952.209-8 (c)(1) up to 36 months.
[62 FR 40748, July 30, 1997]
909.507-2 Contract Clause.
(a)(1) The contracting officer shall insert the clause at 48 CFR 952.209-72, Organizational Conflicts of Interest, in each
solicitation and contract for advisory and assistance services expected to exceed the simplified acquisition threshold.
(2) Contracting officers may make appropriate modifications where necessary to address the potential for organizational
conflicts of interest in individual contracts. Contracting officers shall determine the
appropriate term of the bar of paragraph (b)(1)(i) of the clause at 48 CFR 952.209-72 and enter that term in the blank
provided. In the usual case of a contract for advisory and assistance services a period of three, four, or five years is
appropriate; however, in individual cases the contracting officer may insert a term of greater or lesser duration.
(3) The contracting officer shall include Alternate I with the clause in instances in which a meaningful amount of
subcontracting for advisory and assistance services is expected.
(b) Contracts, which are not subject to part 970 but provide for the operation of a DOE site or facility or environmental
remediation of a specific DOE site or sites, shall contain the organizational conflict of interest clause at 48 CFR 952.209-72.
The organizational conflicts of interest clause in such contracts shall include Alternate I to that clause.
[62 FR 40748, July 30, 1997]
909-1