Small Business Subcontracting Plans

Principal Investigator (PI) and/or Co-Investigators

Reviews and signs the “Acceptance of Federal Small Business Subcontracting Plan” letter, stating the PI:

• Agrees with the Plan’s small business utilization goals
• Is responsible for “making reasonable good faith efforts to achieve the plan goals”
• Understands that, once approved by the federal agency or another institution, they become part of the project’s contractual obligations
• Notifies or has the Contract Administrator/Business Officer notify the Small Business Officer when the funding is approved and the contract signed
• Notifies or has the Contract Administrator/Business Officer notify the Small Business Officer when there are any modifications to the award, or when an option is exercised (*the goals of the existing plan will have to be amended to reflect any new subcontracting opportunities)

Contract Administrator/Business Officer or Administrative Support to the PI (Contracts and Grants Liaison)

• May prepare the Subcontracting Plan for review and approval by the Procurement Services Office
• Continuously checks the Small and Diverse Business Program website for updated information
• Shows staff who purchase materials and supplies, equipment over $5,000, services, and travel the small business utilization goals defined in the contract’s Small Business Subcontracting Plan
• Contacts the Small Business Officer for additional assistance to find certified small businesses
• Tracks the use of: small business concerns (including ANCs and Indian tribes that are not small businesses), VOSBs, SDVOSBs, HUBZone SB, SDBs (including ANCs and Indian tribes that have not been certified by the Small Business Administration as SDB), WOSB, and for NASA only, HBCU/MI during the course of federal contracts
• Monitors purchases from small businesses to make progress toward the small business utilization goals
• Provides campus Small Business Officer a written explanation of any failure to acquire articles, equipment, supplies, services by the suppliers and in the amounts described on the Attachment A. The SBO must submit this written explanation to the Contracting Officer within 30 days of contract completion

Small Business Officer

• Works with the PI and the Contract Administrator/Business Officer to develop the required documentation for a Small Business Subcontracting Plan
• Prepares and submits to the Sponsored Projects Office or the Contract Administrator:
  • The “Acceptance of Federal Small Business Subcontracting Plan” signed by the PI and the Chief Procurement Officer
  • A copy of the Master Subcontracting Plan
  • Attachment A – the completed template with proposed percentages and dollar amounts, and source list of suppliers
  • Any other explanation supporting the proposed percentages and dollar amounts on Attachment A

Department Purchasing Staff

• For low value purchases, knows where to find the small business utilization goals stated in the Small Business Subcontracting Plan
• Searches for small businesses in all categories to aid in the development of the Subcontracting Plan and to support the approved plan in case any listed small businesses cannot meet the requirements of the purchase
• Communicates to the Business Officer/Contracts Administrator and Small Business Officer any requested changes to proposed vendor list on the Subcontracting Plan

Sponsored Projects Office

• If the Contract Administrator/Business Officer has not contacted the Small Business Officer when a federal contract or subcontract proposal exceeding $900,000 is to be submitted and a Small Business Subcontracting Plan must be included, SPO must notify both parties
• Submits the completed proposal package, including the Small Business Master Subcontracting Plan and Attachment A to the federal agency or prime contractor or subcontractor
• Notifies the PI, the Contract Administrator and the Small Business Officer when the agreement is signed by UC Santa Barbara and the federal agency
• May act as point of contact with Federal Contracting Officer or subcontractor institution, if the department or Small Business Officer have any questions
• Ensures the appropriate flow down clauses are included in agreements with sub-recipient institutions, and contacts sub-recipient to request Small Business Subcontract Plan
• Requests an amended plan whenever funding increases and a modification is required

 Process Overview for PIs, Business Officers, and Contract & Grant Liaisons

A small business concern depending on the industry, size standard eligibility is based on the average number of employees for the preceding twelve months or on sales volume averaged over a three-year period. The SBA has established a table of size standards matched to North American Industry Classification System (NAICS) industries.

A small business concern that is at least 51 percent owned by one or more individuals who are both socially and economically disadvantaged. This can include a publicly owned business that has at least 51 percent of its stock unconditionally owned by one or more socially and economically disadvantaged individuals and whose management and daily business is controlled by one or more such individuals.

A small business concern that is at least 51 percent owned by one or more veterans or service-disabled veterans. This can include a publicly owned business that has at least 51 percent of its stock unconditionally owned by veterans or service-disabled veterans and whose management and daily business is controlled by one or more such individuals.

A small business concern that is at least 51 percent owned by one or more women. This can include a publicly owned business that has at least 51 percent of its stock unconditionally owned by one or more such individuals and whose management and daily business is controlled by one or more women.

A small business concern which operates in Historically Underutilized Business Zones. HUB (Historically Underutilized Business) contracting programs, a business must be determined to be a "qualified HUBzone small business concern".  A firm can be qualified if:

• It is small,
• It is located in an "historically underutilized business zone" (HUB Zone)
• It is owned and controlled by one or more US Citizens, and
• At least 35% of its employees reside in a HUBZone.

A minority-owned business is a for-profit enterprise, regardless of size, physically located in the United States or its trust territories, which is owned, operated and controlled by minority group members. "Minority group members" are United States citizens who are Asian, Black, Hispanic and Native American.

Ownership by minority individuals means the business is at least 51% owned by such individuals or, in the case of a publicly-owned business, at least 51% of the stock is owned by one or more such individuals. Further, the management and daily operations are controlled by those minority group members.