FCC FCC Subcontracting Plans & Teaming Agreements 1 — Questions and Answers
Question 1: Under FAR 19.702, which contracts require a subcontracting plan for small business participation?
- Contracts over $750,000 (or $1.5M for construction) that offer subcontracting opportunities and are not set aside for small business (Correct answer)
- All federal contracts regardless of dollar value
- Only contracts awarded to large businesses under full and open competition
- Contracts over $250,000 awarded to any business regardless of size
Correct answer: Contracts over $750,000 (or $1.5M for construction) that offer subcontracting opportunities and are not set aside for small business
FAR 19.702 requires subcontracting plans for contracts over $750,000 ($1.5M for construction) with subcontracting opportunities, excluding small business set-asides.
Question 2: A subcontracting plan must include percentage goals for subcontracting with:
- Small businesses, small disadvantaged businesses, women-owned, HUBZone, SDVOSB, and VOSB firms (Correct answer)
- Only small businesses and large businesses
- Only SBA-certified 8(a) and HUBZone firms
- Only small disadvantaged businesses and women-owned small businesses
Correct answer: Small businesses, small disadvantaged businesses, women-owned, HUBZone, SDVOSB, and VOSB firms
FAR 19.704 requires subcontracting goals for all six SB socioeconomic categories: SB, SDB, WOSB, HUBZone, SDVOSB, and VOSB.
Question 3: What is the purpose of the Individual Subcontracting Report (ISR) submitted by prime contractors?
- To report actual subcontracting dollars paid to small businesses against the approved subcontracting plan goals (Correct answer)
- To propose new subcontracting plan goals for the upcoming option period
- To request a waiver from subcontracting plan requirements
- To certify that the prime contractor qualifies as a small business
Correct answer: To report actual subcontracting dollars paid to small businesses against the approved subcontracting plan goals
The ISR reports actual subcontracting expenditures versus the approved goals, enabling agencies to assess compliance.
Question 4: Under FAR 52.219-9, failure to make a good faith effort to comply with a subcontracting plan may result in:
- Liquidated damages assessed against the contractor (Correct answer)
- Termination for default and debarment
- Immediate novation of the contract to a small business
- Suspension of all subcontracting activity pending SBA review
Correct answer: Liquidated damages assessed against the contractor
FAR 52.219-9(d) provides for liquidated damages when a contractor fails to make a good faith effort to comply with its subcontracting plan.
Question 5: A teaming arrangement under FAR 9.601 allows two or more companies to:
- Submit a joint offer in response to a solicitation with one company acting as prime and others as subcontractors (Correct answer)
- Merge their business registrations in SAM.gov for a specific contract
- Avoid the subcontracting plan requirements by sharing a single CAGE code
- Transfer a contract from a large business to a small business after award
Correct answer: Submit a joint offer in response to a solicitation with one company acting as prime and others as subcontractors
FAR 9.601 defines a teaming arrangement where firms agree to propose jointly, with one serving as prime and the other(s) as subcontractors.
Question 6: What SBA form is used for mentor-protégé agreements to document the relationship between a large business mentor and a small business protégé?
- SBA Form 1711 (Correct answer)
- DD Form 2579
- SF-294
- OMB Form 0648
Correct answer: SBA Form 1711
SBA Form 1711 is used to apply for and document mentor-protégé program agreements between mentors and protégés.
FCC FCC Subcontracting Plans & Teaming Agreements 1
Under FAR 19.702, which contracts require a subcontracting plan for small business participation?