FAR 52.219-9 — Small Business Subcontracting Plan
Requires large business primes (other-than-small) to submit and maintain a Small Business Subcontracting Plan setting specific small business participation goals on contracts above the simplified acquisition threshold.
When This Clause Applies
Applies to negotiated contracts expected to exceed $750,000 ($1.5M for construction) when the contractor is 'other than small' and subcontracting opportunities exist. Does not apply to small businesses or contracts performed entirely outside the U.S.
What This Means for Contractors
Large primes must submit a written Subcontracting Plan with goals for small business, SDB, WOSB, HUBZone, SDVOSB, and Historically Black College/Minority Institution participation. Goals are negotiated, tracked via SSR/ISR in eSRS, and reviewed for good-faith effort. Failure to comply can trigger liquidated damages.
Common Pitfalls
- 1Setting goals so low the CO rejects the plan as insufficient
- 2Not tracking subcontract dollars in eSRS in time for SSR/ISR deadlines
- 3Confusing 'commercial plan' (annual, company-wide) with 'individual plan' (contract-specific)
- 4Failing to document good-faith effort when goals are missed
Related Topics
Related Clauses
Utilization of Small Business Concerns
Requires large business primes to actively seek out small business subcontracting opportunities and treat small business participation as a contractual obligation.
Liquidated Damages — Subcontracting Plan
Establishes liquidated damages for primes that fail to make good-faith effort to comply with their Small Business Subcontracting Plan.
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