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My office has a major acquisition for a cyber-security center with an estimated value of $25M/year for a 5-year period, $125M total, and we would like to place the order with a SB by January, 2013. We have had success utilizing the Alliant SB GWAC on past IT requirements, however, I am concerned with utilizing the Alliant SB this time around because of the potential loss of the Small Business credit in the out-years of the resulting task order. Right now, less than two years remain on the Alliant 5-year base period. According to FAR 52.219-28, re-representation is required after the end of the base period and, under Alliant SB, most of the small businesses will probably only be considered “Small” during the first year of performance on new task orders. After the first year of performance on our task order, they would be considered “Large” and we will lose our SB credit for potentially $100M of the $125M effort. In accordance with the Alliant SB manual, the following section addresses the FAR clause: “In accordance with FAR 52.219-28, Post-Award Small Business Program Re-representation, contractors shall re-represent their size status upon any change in ownership. In addition to change in ownership events, contractors are also required to re-represent their size status 60 to 120 days prior to the end of the fifth year of the basic contract. Should an Alliant SB prime contractor become other than a small business concern as a result of a merger or acquisition, with or without novation, it is a policy of the Small Business GWAC Center to remove the contract holder from the GWAC. Please refer to Appendix XII, Industry Partner Advisory for additional guidance regarding this policy”. With the new SBA re-certification process, how can I ensure that we obtain small business credit for the entire five year period, whether its using GSA Schedule or any GWAC? Due to the size of our order, the resulting small business who receives the award would become a large business within the first year of performance. According to the regulation, the re-representation requirement under FAR 52.219-28 would result in the selected contractor becoming a large business within the second year of performance under the Alliant task order. The Alliant CO basically agreed with my concern. Are there any good ideas out there for ensuring the small business credit for then entire effort? Thanks.
TOPIC: Purchase Order under GSA FSS Contract: Open Market Items BACKGROUND: The primary item (camera) which has a cost of roughly $94,000 is exclusive to a particular manufacturer, and this is justified using a limited source justification. However, there are several items for this requirement not on the GSA FSS of the company which offers the camera. The total cost of these incidental items (lenses) is roughly $14,900.00. Initially it was thought that all the required items were on the GSA Schedule, which would have allowed for a sole GSA Contract Buy. However, after conducting additional research, it was determined that the required lenses for this camera (CANON) are not on the GSA Schedule, however the company is working on getting the lenses on the schedule at some point in the future. I am aware of FAR 8.402(f). As a fairly new contract specialist, I am still somewhat confused as to what additional administrative procedures are required for the addition of these open market items under the current GSA Contract. As I mentioned previously, the projected amount indicated through a previous quotation is $14,900.00 for the lenses. I am planning to provide additional justification which warrants the inclusion of these lenses, as incidental items critical to achieving the SOW in the required timeframe without additional costs. I need to know of any additional contracting procedures and references that should be relied upon for this specific procurement situation? Being that these open market items are quite low in value, I'm unsure of what additional contracting requirements apply in order to effectively place them under the GSA Contract with the exclusive camera. Any information you can provide in regard to this issue is greatly appreciated and will be researched further. NOTE: The open market items will be clearly marked on the contract and quotation as open market items. All responses welcomed in regard to this topic. Thanks, -Pete-