A subcontracting plan is a plan, developed and adopted by the University, for subcontracting parts of its contract work to further the government’s program to assist small businesses under the Small Business Act and to comply with North Carolina State purchasing policy.
Many federal agencies require probable successful offerors for agreements of $650,000 and greater to provide formal subcontracting plans. Subpart 19 of the Federal Acquisition Regulation requires that subcontracting provide:
- Percentage goals for using small business (SB), small disadvantaged business (SDB), and women owned (WOSB) concerns;
- The name of the individual who will administer the subcontracting program;
- A description of the efforts the University will make to endure that small business has an equitable opportunity to compete for subcontracts; and
- Assurances that the University will include the requirement for a subcontracting plan in each of its subcontracts of $650,000 and greater that is not awarded to one of the categories of small business cited above.
- Assurances that the offeror willa. cooperate in studies or surveys, and
b. submit periodic reports.
- For DOD contracts, seek participation by Historically Black Colleges and Universities (HBCU’s).
- A recitation of the records the University will maintain to demonstrate compliance.
Federal Acquisition Regulations state that contractors and subcontractors failing to comply in good faith with the requirements of a subcontracting plan are in material breach of contract. This can result in termination for default which would have a seriously adverse university-wide impact.