Rule2023-02426

Federal Acquisition Regulation: Small Business Program Amendments

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
February 14, 2023
Effective
March 16, 2023

Issuing agencies

Defense DepartmentGeneral Services AdministrationNational Aeronautics and Space Administration

Abstract

DoD, GSA, and NASA are issuing a final rule amending the Federal Acquisition Regulation (FAR) to implement several changes made to the Small Business Administration (SBA) regulations.

Full Text

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<title>Federal Register, Volume 88 Issue 30 (Tuesday, February 14, 2023)</title>
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[Federal Register Volume 88, Number 30 (Tuesday, February 14, 2023)]
[Rules and Regulations]
[Pages 9734-9739]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-02426]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 19, 49, and 52

[FAC 2023-02; FAR Case 2019-008; Item II; Docket No. 2019-0008; 
Sequence No. 1]
RIN 9000-AN91


Federal Acquisition Regulation: Small Business Program Amendments

AGENCY: Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Final rule.

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SUMMARY: DoD, GSA, and NASA are issuing a final rule amending the 
Federal Acquisition Regulation (FAR) to implement several changes made 
to the Small Business Administration (SBA) regulations.

DATES: Effective March 16, 2023.

FOR FURTHER INFORMATION CONTACT: Ms. Malissa Jones, Procurement 
Analyst, at 571-886-4687, or by email at <a href="/cdn-cgi/l/email-protection#2d404c41445e5e4c03474243485e6d4a5e4c034a425b"><span class="__cf_email__" data-cfemail="e78a868b8e949486c98d88898294a7809486c9808891">[email&#160;protected]</span></a>, for 
clarification of content. For information pertaining to status or 
publication schedules, contact the Regulatory Secretariat Division at 
202-501-4755 or <a href="/cdn-cgi/l/email-protection#a5e2f6e4f7c0c2f6c0c6e5c2d6c48bc2cad3"><span class="__cf_email__" data-cfemail="763125372413112513153611051758111900">[email&#160;protected]</span></a>. Please cite FAC 2023-02, FAR Case 
2019-008.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD, GSA, and NASA published a proposed rule at 87 FR 10327 on 
February 24, 2022, to amend the FAR to implement several revisions that 
the Small Business Administration (SBA) made to its regulations in its 
final rule published on November 29, 2019, at 84 FR 65647. Five 
respondents submitted comments in response to the proposed rule.

[[Page 9735]]

II. Discussion and Analysis

    The Civilian Agency Acquisition Council and the Defense Acquisition 
Regulations Council (the Councils) reviewed the public comments in the 
development of the final rule; a minor change was made to 
19.307(d)(1)(iii) as a result of the public comments received. A 
discussion of the comments is provided as follows:

A. Summary of Significant Changes

    There are no significant changes from the proposed rule.

B. Analysis of Public Comments

1. Support for the Rule
    Comment: One respondent expressed support for the rule.
    Response: The Councils acknowledge the respondent's support for the 
rule.
2. Negative Impacts of the Rule
    Comment: One respondent expressed concern regarding potential 
negative impacts of the rule. The respondent believes that the new rule 
is unfair to 8(a) program participants who spend time and money in 
pursuit of long-term contracts with the Federal Government, 
specifically category management-type contracts. The respondent 
indicated that the proposed rule will shorten the lifespan of 8(a) 
contracts if an 8(a) participant graduates from the program before the 
contract ends. The respondent also indicated the proposed rule may 
result in a reduction in the number and value of long-term 8(a) 
contracts for the Government and small businesses.
    Response: The Councils acknowledge the respondent's concerns 
regarding the impact this rule will have on 8(a) participants and the 
Government with regard to long-term 8(a) contracts. As a result of this 
rule, the Government will not be able to exercise a fifth-year option 
on a long-term contract if the contractor is no longer eligible under 
the 8(a) program. However, this rule implements several revisions SBA 
made to its regulations in its final rule published on November 29, 
2019, at 84 FR 65647. SBA modified 13 CFR 124.521(e)(2) to require 
contracting officers to verify that a business concern continues to be 
an eligible 8(a) participant no more than 120 days prior to the end of 
the fifth year of the contract, and no more than 120 days prior to 
exercising an option, and where a concern no longer qualifies the rule 
precludes contracting officers from exercising the option. In its final 
rule, SBA pointed out that Congress intended that 8(a) program 
participation be limited to nine years, and for 8(a) participants to 
leave the program and go on to participate successfully and 
independently in the Government contracting arena. Therefore, allowing 
contracting officers to continue to exercise options for 8(a) program 
participants under these circumstances would not meet Congress' intent.
3. Clarifications
a. Clarify SBA Requirements for 8(a) Eligibility Prior To Exercising 
the Fifth (5th) Option Year
    Comment: One respondent asked if an 8(a) participant is not 
eligible for the award of a fifth year option, can SBA authorize an 
extension to an 8(a) participant's program term to allow agencies time 
for re-procurement.
    Response: An 8(a) participant's eligibility is determined in 
accordance with SBA's regulations and a participant's status is 
reflected in DSBS.
    Comment: One respondent asked if current procurements are 
grandfathered from this rule.
    Response: In accordance with FAR 1.108(d), FAR changes made by this 
rule apply to solicitations issued on or after the effective date of 
the change unless otherwise specified.
    Comment: One respondent requested that eligibility verification be 
changed from ``no more than 120 days prior'' to ``no less than 120 days 
prior''.
    Response: This rule is consistent with 13 CFR 124.521(e)(2) and 
implements SBA's final rule at 84 FR 65647 (see comment category 2).
b. Clarify SBA Protest Procedures and Applicability
    Comment: One respondent asked if an 8(a) contractor that did not 
receive the award could protest the exercise of an option during the 
6th, 7th, or 8th year of a contract if they suspect the contractor has 
graduated from the 8(a) program.
    Response: Protests of small business representations and 
rerepresentations by an 8(a) contractor are made in accordance with FAR 
19.813, Protesting a small business representation or rerepresentation. 
This rule does not make changes to FAR 19.302.
    Comment: One respondent indicated that the addition of ``sole 
source'' at FAR 19.306(d)(1)(iv) and 19.308(d)(1)(iii) is inconsistent 
with SBA regulations regarding the new ostensible subcontractor protest 
grounds (e.g., HUBZone and WOSB/EDWOSB protests (13 CFR 126.601(d) and 
13 CFR 127.504(g)).
    Response: Although the ostensible subcontractor protest grounds in 
SBA's regulations at 13 CFR 126.601(d) and 13 CFR 127.504(g) do not 
include ``or sole source'', SBA did include ``sole source'' when 
describing the ostensible subcontractor rule in its final rule 
published on November 29, 2019 at 84 FR 65647, to make clear that the 
ostensible subcontractor rule applies to set-aside and sole source 
contracts.
    Comment: One respondent recommended that ``or order'' be added to 
FAR 19.307(d)(1)(iii) following ``sole-source service contract'' to be 
consistent with SBA's regulations at 13 CFR 125.18(f).
    Response: The Councils adopted the recommendation and conforming 
edits were made at FAR 19.306(d) and 19.308(d).
c. Clarify Date of Size Representation
    Comment: One respondent indicated that the size determination for 
contractors under Federal Supply Schedule Multiple-Award Schedule 
contracts should be determined as of the date of each response to a 
request for quotation instead of the date of the initial offer for the 
multiple-award schedule contract.
    Response: This rule implements SBA's final rule at 84 FR 65647 
dated November 29, 2019, which clarified that SBA determines size as of 
the date of initial offer for the multiple-award contract, whether or 
not the offer includes price. Therefore, this rule is consistent with 
SBA's regulations at 13 CFR 121.404(a)(1)(iv), which specify the timing 
of SBA's size determination.
    Comment: One respondent recommended that the words ``or the price 
is evaluated'' at FAR 19.102(a)(4), 19.301-1(b), and 19.301-1(e)(1) be 
deleted to be consistent with 13 CFR 121.404(a)(1)(iv).
    Response: SBA's final rule published at 84 FR 65647 dated November 
29, 2019, clarified that when an agency uses indefinite delivery, 
indefinite quantity (IDIQ), multiple-award contracts that do not 
require offerors to include price, size will be determined as of the 
date of the initial offer which may not include price. The phrase ``may 
not'' here means ``might not.'' This rule adds the words ``or the price 
is evaluated'' at 19.102(a)(4), 19.301-1(b), and 19.301-1(e)(1) to 
clarify SBA's intent.
d. Clarify the Language in the Proposed FAR Rule to More Closely Align 
With SBA's Regulations
    Comment: While recognizing that the proposed rule is likely 
sufficient, one respondent recommended that the rule be amended to 
include ``which is found at section 121.201, footnote 18'' from SBA's 
regulation regarding the size standard for Information Technology

[[Page 9736]]

Value-added Reseller under NAICS Code 541519.
    Response: The proposed rule included the size standard for 
nonmanufacturers and the size standard for information technology value 
added resellers under NAICS code 541519. In addition, FAR 19.102(a) 
includes a reference to SBA's Small business size standards and 
corresponding (NAICS) codes at 13 CFR 121.201 and provides the website 
for NAICS codes at <a href="https://www.sba.gov/document/support--table-size-standards">https://www.sba.gov/document/support--table-size-standards</a>. The 150 employee size is easy to find in the SBA size 
standards; therefore, it is not necessary to include a reference to 13 
CFR 121.201 and footnote 18 in the FAR text associated with this rule.
    Comment: One respondent recommended including ``IDIQ'' in the 
proposed rule for consistency with SBA regulations in referencing 
multiple-award contracts.
    Response: Although SBA's regulations reference IDIQ after multiple-
award contract, FAR 19.504 provides guidance on placing orders under 
multiple-award contracts; therefore, it is not necessary to add IDIQ at 
FAR 19.504(b). In addition, the definition of multiple-award contract 
at FAR 2.101 indicates that this kind of contract is an IDIQ contract.
4. Outside the Scope
    Comment: One respondent asked what acquisition options agencies 
have if an 8(a) participant is not eligible for the award of an option 
under a long-term 8(a) contract.
    Response: This is outside of the scope of this rule.

C. Other Changes

    Minor editorial changes were made at FAR 19.306(d), 19.307(d), and 
19.308(d)(2).

III. Applicability to Contracts at or Below the Simplified Acquisition 
Threshold (SAT) and for Commercial Products (Including Commercially 
Available Off-the-Shelf (COTS) Items), or for Commercial Services

    This rule amends several solicitation provisions and contract 
clauses at FAR 52.204-8, 52.212-1, 52.212-5, 52.219-1, 52.219-18, and 
52.219-28. However, this rule does not impose any new requirements on 
contracts at or below the SAT or for commercial products, or for 
commercial services, including commercially available off-the-shelf 
(COTS) items. The clauses continue to apply to acquisitions at or below 
the SAT, to acquisitions for commercial products and commercial 
services including COTS items.

IV. Expected Impact of the Rule

    This rule will impact the operations of the Government and 
contractors as described in this section.
    This rule will impact the Government with regard to long-term 8(a) 
contracts. Contracting officers will not be able to exercise options 
past the fifth year of long-term 8(a) contracts if the 8(a) contractor 
no longer qualifies for the 8(a) program. Contractors who are 8(a) 
participants with long-term contracts may find that the Government 
cannot exercise a fifth-year option on that contract if the contractor 
is no longer eligible for the 8(a) program.
    Offerors who are information technology value-added resellers 
should be able to more easily understand the size standard that applies 
to them.
    The ``ostensible subcontractor rule'' is implemented in this rule 
as a new ground for protest. Small business contractors must not be 
overly reliant on non-similarly situated small business subcontractors 
or have such a subcontractor perform primary and vital requirements of 
the contract. Therefore, a small business contractor must have the 
necessary expertise within its own organization.
    This rule is not expected to result in any costs to contractors or 
offerors.

V. Executive Orders 12866 and 13563

    Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess 
all costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). E.O. 
13563 emphasizes the importance of quantifying both costs and benefits, 
of reducing costs, of harmonizing rules, and of promoting flexibility. 
This is not a significant regulatory action and, therefore, was not 
subject to review under Section 6(b) of E.O. 12866, Regulatory Planning 
and Review, dated September 30, 1993.

VI. Congressional Review Act

    As required by the Congressional Review Act (5 U.S.C. 801-808) 
before an interim or final rule takes effect, DoD, GSA, and NASA will 
send the rule and the ``Submission of Federal Rules Under the 
Congressional Review Act'' form to each House of the Congress and to 
the Comptroller General of the United States. A major rule cannot take 
effect until 60 days after it is published in the Federal Register. The 
Office of Information and Regulatory Affairs (OIRA) in the Office of 
Management and Budget has determined that this is not a major rule 
under 5 U.S.C. 804.

VII. Regulatory Flexibility Act

    DoD, GSA, and NASA have prepared a Final Regulatory Flexibility 
Analysis (FRFA) consistent with the Regulatory Flexibility Act, 5 
U.S.C. 601-612. The FRFA is summarized as follows:

    DoD, GSA, and NASA are issuing a final rule to amend the Federal 
Acquisition Regulation (FAR) to implement several revisions made to 
the Small Business Administration (SBA) regulations in SBA's final 
rule published on November 29, 2019, at 84 FR 65647. The revisions 
address the point in the procurement process at which small business 
size status is determined for offers for multiple-award contracts. 
SBA generally determines size status at the time of initial offer 
including price. However, for a solicitation for a multiple-award 
contract that does not require offers to include price or where 
price is not evaluated, SBA will determine size as of the date of 
initial offer, whether or not the offer includes price or the price 
is evaluated. The revisions also address the eligibility 
requirements for 8(a) participants under long-term contracts (i.e., 
with a duration of more than five years including option periods). 
For long-term 8(a) contracts, contracting officers will be required 
to verify in the Dynamic Small Business Search (DSBS) or the System 
for Award Management (SAM) that the contractor is still an SBA-
certified 8(a) participant no more than 120 days prior to the end of 
the fifth year of the contract. If the contractor is no longer an 
SBA-certified 8(a) participant, the contracting officer shall not 
exercise the option. In addition, SBA's revisions specified that the 
size standard for information technology value added resellers under 
North American Industry Classification System (NAICS) code 541519 is 
150 employees. The revisions also address SBA's new grounds for a 
socioeconomic status protest based on an allegation that a 
contractor is unduly reliant on a small, non-similarly situated 
entity subcontractor or if such subcontractor performs the primary 
and vital requirements of the contract (the ``ostensible 
subcontractor rule'').
    There were no significant issues raised by the public comments 
in response to the initial regulatory flexibility analysis.
    This rule will apply to small entities that do business with the 
Federal Government. According to the data in SAM, as of January 
2022, 420,000 of the active entity registrations are for entities 
that are small business concerns for at least one NAICS code. This 
rule will impact 8(a) participants who are Federal contractors with 
contracts that have a duration of more than five years, including 
options. An analysis of the data in the Federal Procurement Data 
System (FPDS) indicates that, for fiscal years 2019 through 2021, an 
average of 326 long-term contracts (i.e., greater than five years) 
were awarded to 279 unique entities each year under the 8(a) 
program. The rule may reduce the number of long-term contracts 
awarded to 8(a) participants by agencies that are concerned about 
having a contract in place beyond the

[[Page 9737]]

fifth year. Contracts outside the 8(a) program will not have such 
obstacles to continued performance. However, SBA pointed out that 
Congress intended that 8(a) program participation be limited to nine 
years, and for 8(a) participants to leave the program and go on to 
participate successfully and independently in the Government 
contracting arena. Therefore, allowing contracting officers to 
continue to exercise options for 8(a) program participants under 
these circumstances would not meet Congressional intent.
    This rule will affect information technology value added 
resellers under NAICS code 54159. An analysis of the data in FPDS 
shows that, for fiscal years 2019 through 2021, an average of 699 
unique large businesses and 1,129 unique small businesses were 
awarded contracts each year under NAICS code 541519.
    This rule does not include any new reporting, recordkeeping, or 
other compliance requirements for small entities.
    This rule does not duplicate, overlap, or conflict with any 
other Federal rules.
    There are no known significant alternative approaches that would 
accomplish the stated objectives.

    Interested parties may obtain a copy of the FRFA from the 
Regulatory Secretariat Division. The Regulatory Secretariat Division 
has submitted a copy of the FRFA to the Chief Counsel for Advocacy of 
the Small Business Administration.

VIII. Paperwork Reduction Act

    This rule does not contain any information collection requirements 
that require the approval of the Office of Management and Budget under 
the Paperwork Reduction Act (44 U.S.C. 3501-3521).

List of Subjects in 48 CFR Parts 19, 49, and 52

    Government procurement.

William F. Clark,
Director, Office of Government-wide Acquisition Policy, Office of 
Acquisition Policy, Office of Government-wide Policy.

    Therefore, DoD, GSA, and NASA amend 48 CFR parts 19, 49, and 52 as 
set forth below:

0
1. The authority citation for 48 CFR parts 19, 49, and 52 continues to 
read as follows:

    Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 4 and 10 U.S.C. 
chapter 137 legacy provisions (see 10 U.S.C. 3016); and 51 U.S.C. 
20113.

PART 19--SMALL BUSINESS PROGRAMS

0
2. Amend section 19.102 by revising the last sentence of paragraph 
(a)(1) and adding paragraphs (a)(3) and (4) to read as follows:


19.102  Small business size standards and North American Industry 
Classification System codes.

    (a) * * *
    (1) * * * They are also available at <a href="https://www.sba.gov/document/support--table-size-standards">https://www.sba.gov/document/support--table-size-standards</a>.
* * * * *
    (3) SBA determines the size status of a concern, including its 
affiliates, as of the date the concern represents that it is small to 
the contracting officer as part of its initial offer, which includes 
price.
    (4) When an agency uses a solicitation for a multiple-award 
contract that does not require offers for the contract to include 
price, SBA determines size as of the date of initial offer for the 
multiple-award contract, whether or not the offer includes price or the 
price is evaluated. (See 13 CFR 121.404(a)(1)(iv)).
* * * * *


19.301-1  [Amended]

0
3. Amend section 19.301-1 by--
0
a. Removing from paragraph (b) introductory text the phrase ``initial 
offer'' and adding ``initial offer, (whether or not the offer includes 
price or the price is evaluated)'' in its place; and
0
b. Removing from paragraph (e)(1) the phrase ``for the contract'' and 
adding ``for the contract (whether or not the offer includes price or 
the price is evaluated (see 13 CFR 121.404(a)(1)(iv)),'' in its place.

0
4. Amend section 19.306 by adding paragraph (d)(3) to read as follows:


19.306  Protesting a firm's status as a HUBZone small business concern.

* * * * *
    (d) * * *
    (3) SBA will consider protests for HUBZone set-aside or sole-source 
service contracts or orders, if a HUBZone prime contractor is unduly 
reliant on a small entity subcontractor that is not a similarly-
situated entity as defined in 13 CFR 125.1, or if such subcontractor 
performs the primary and vital requirements of the contract. For 
allegations that the prime contractor is unduly reliant on an other-
than-small subcontractor, see size protests at 19.302, and 13 CFR 
121.103(h)(2), which treats the pair as joint venturers for size 
determination purposes (the ``ostensible subcontractor rule'').
* * * * *

0
5. Amend section 19.307 by--
0
a. Removing from paragraph (d)(1) introductory text the phrase 
``service disabled'' and adding ``service-disabled'' in its place;
0
b. Removing from paragraph (d)(1)(i) the phrases ``service disabled'' 
and ``125.8; or'' and adding ``service-disabled'' and ``125.12;'' in 
their places, respectively;
0
c. Removing from paragraph (d)(1)(ii) the phrase ``such veteran.'' and 
adding ``such veteran; or'' in its place; and
0
d. Adding paragraph (d)(1)(iii).
    The addition reads as follows:


19.307  Protesting a firm's status as a service-disabled veteran-owned 
small business concern.

* * * * *
    (d) * * *
    (1) * * *
    (iii) For set-aside or sole-source service contract or order 
ostensible subcontractor protests, the protester presents credible 
evidence of the alleged undue reliance on a small entity subcontractor 
that is not a similarly-situated entity as defined in 13 CFR 125.1, or 
credible evidence that the small non-similarly situated entity is 
performing the primary and vital requirements of the contract. For 
allegations that the prime contractor is unduly reliant on an other-
than-small subcontractor, see size protests at 19.302, and 13 CFR 
121.103(h)(2), which treats the pair as joint venturers for size 
determination purposes (the ``ostensible subcontractor rule'').
* * * * *

0
6. Amend section 19.308 by--
0
a. Removing from the end of paragraph (d)(1)(i) the word ``or'';
0
b. Removing from the end of paragraph (d)(1)(ii) the phrase ``EDWOSB 
contract.'' and adding ``EDWOSB contract; or'' in its place; and
0
c. Adding paragraph (d)(1)(iii).
    The addition reads as follows:


19.308  Protesting a firm's status as an economically disadvantaged 
women-owned small business concern or women-owned small business 
concern eligible under the Women-Owned Small Business Program.

* * * * *
    (d) * * *
    (1) * * *
    (iii) For WOSB or EDWOSB set-aside or sole-source service contracts 
or orders, the protest presents evidence that the prime contractor is 
unduly reliant on a small entity subcontractor that is not a similarly-
situated entity as defined in 13 CFR 125.1, or a protest alleging that 
such subcontractor is performing the primary and vital requirements of 
a set-aside or sole-source WOSB or EDWOSB contract. For allegations 
that the prime contractor is unduly reliant on an other-than-small 
subcontractor, see size protests at 19.302, and 13 CFR 121.103(h)(2), 
which treats the pair as joint venturers

[[Page 9738]]

for size determination purposes (the ``ostensible subcontractor 
rule'').
* * * * *

0
7. Amend section 19.504 by--
0
a. Removing from the paragraph (b) heading the phrase ``partial set-
aside contracts.'', and adding the phrase ``set-aside contracts-'' in 
its place;
0
b. Redesignating paragraphs (b)(1) and (2) as paragraphs (b)(2)(i) and 
(ii), respectively;
0
c. Adding a new paragraph (b)(1); and
0
d. Adding a paragraph heading to the newly redesignated paragraph 
(b)(2).
    The addition and revision read as follows:


19.504  Orders under multiple-award contracts.

* * * * *
    (b) * * *
    (1) Orders under total set-aside contracts. Under a total small 
business set-aside, contracting officers may at their discretion set 
aside orders for any of the small business socioeconomic concerns 
identified in 19.000(a)(3) provided that the requirements at paragraph 
(a) of this section, 19.502-2(b), and the specific program eligibility 
requirements are met.
    (2) Orders under partial set-aside contracts.
* * * * *


19.505  [Amended]

0
8. Amend section 19.505 by removing from paragraphs (c)(1)(ii) and 
(c)(2)(i) the phrase ``500 employees'' and adding ``500 employees, or 
150 employees for information technology value-added resellers under 
NAICS code 541519'' in its place.

0
9. Amend section 19.802 by adding two sentences at the end to read as 
follows:


19.802  Determining eligibility for the 8(a) program.

    * * * SBA designates the concern as an 8(a) participant in the 
Dynamic Small Business Search (DSBS) at <a href="https://web.sba.gov/pro-net/search/dsp_dsbs.cfm">https://web.sba.gov/pro-net/search/dsp_dsbs.cfm</a>. SBA's designation also appears in the System for 
Award Management (SAM).

0
10. Amend section 19.804-1 by--
0
a. Removing from the end of paragraph (a)(1) the word ``and'';
0
b. Redesignating paragraph (a)(2) as paragraph (a)(3); and
0
c. Adding a new paragraph (a)(2).
    The addition reads as follows:


19.804-1  Agency evaluation.

    (a) * * *
    (2) Length of contract, including option periods (see 19.812(d)); 
and
* * * * *

0
11. Amend section 19.812 by--
0
a. Redesignating paragraph (d) as paragraph (e); and
0
b. Adding a new paragraph (d).
    The addition reads as follows:


19.812  Contract administration.

* * * * *
    (d) For 8(a) contracts exceeding 5 years including options, the 
contracting officer shall verify in DSBS or SAM that the concern is an 
SBA-certified 8(a) participant no more than 120 days prior to the end 
of the fifth year of the contract. If the concern is not an SBA-
certified 8(a) participant, the contracting officer shall not exercise 
the option (see 13 CFR 124.521(e)(2)).
* * * * *

PART 49--TERMINATION OF CONTRACTS


49.402-3  [Amended]

0
12. Amend section 49.402-3 by removing from paragraph (e)(4) the phrase 
``Small Business Administration Regional'' and adding ``Small Business 
Administration Area'' in its place.

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
13. Amend section 52.204-8 by--
0
a. Revising the date of the provision;
0
b. Removing from paragraph (a)(3) introductory text the phrase ``500 
employees'' and adding ``500 employees, or 150 employees for 
information technology value-added resellers under NAICS code 541519,'' 
in its place;
0
c. In Alternate I:
0
i. Revising the date of Alternate I; and
0
ii. Removing from paragraph (a)(2) introductory text the phrase ``500 
employees'' and adding ``500 employees, or 150 employees for 
information technology value-added resellers under NAICS code 541519,'' 
in its place.
    The revisions read as follows:


52.204-8  Annual Representations and Certifications.

* * * * *

Annual Representations and Certifications (Mar 2023)

* * * * *
    Alternate I ([MAR 2023 * * *
* * * * *

0
14. Amend section 52.212-1 by--
0
a. Revising the date of the provision; and
0
b. Removing from paragraph (a) introductory text the phrase ``500 
employees'' and adding ``500 employees, or 150 employees for 
information technology value-added resellers under NAICS code 541519,'' 
in its place.
    The revision reads as follows:


52.212-1  Instructions to Offerors--Commercial Products and Commercial 
Services.

* * * * *

Instructions to Offerors--Commercial Products and Commercial Services 
(MAR 2023)

* * * * *

0
15. Amend section 52.212-5 by--
0
a. Revising the date of the clause; and
0
b. Removing from paragraph (b)(22)(i) the date ``(OCT 2022)'' and 
adding ``(MAR 2023)'' in its place.
    The revision reads as follows:


52.212-5  Contract Terms and Conditions Required To Implement Statutes 
or Executive Orders--Commercial Products and Commercial Services.

* * * * *

Contract Terms and Conditions Required To Implement Statutes or 
Executive Orders--Commercial Products and Commercial Services (MAR 
2023)

* * * * *

0
16. Amend section 52.219-1 by--
0
a. Revising the date of the provision;
0
b. Removing from paragraph (b)(3) introductory text the phrase ``500 
employees'' and adding ``500 employees, or 150 employees for 
information technology value-added resellers under NAICS code 541519,'' 
in its place;
0
c. In Alternate II:
0
i. Revising the date of Alternate II; and
0
ii. Removing from paragraph (b)(2) introductory text the phrase ``500 
employees'' and adding ``500 employees, or 150 employees for 
information technology value-added resellers under NAICS code 541519,'' 
in its place.
    The revisions read as follows:


52.219-1  Small Business Program Representations.

* * * * *

Small Business Program Representations (MAR 2023)

* * * * *
    Alternate II (MAR 2023) * * *
* * * * *

0
17. Amend section 52.219-18 by--
0
a. Revising the date of Alternate I; and
0
b. Removing from paragraph (iii) in Alternate I the phrase ``Regional 
Office(s)'' and adding ``Area Office(s)'' in its place.
    The revision reads as follows:

[[Page 9739]]

52.219-18  Notification of Competition Limited to Eligible 8(a) 
Participants.

* * * * *
    Alternate I (MAR 2023)
* * * * *

0
18. Amend section 52.219-28 by--
0
a. Revising the date of the clause; and
0
b. Removing from paragraph (e) introductory text the phrase ``500 
employees'' and adding ``500 employees, or 150 employees for 
information technology value-added resellers under NAICS code 541519,'' 
in its place.
    The revision reads as follows:


52.219-28  Post-Award Small Business Program Rerepresentation.

* * * * *

Post-Award Small Business Program Rerepresentation (MAR 2023)

* * * * *
[FR Doc. 2023-02426 Filed 2-13-23; 8:45 am]
BILLING CODE 6820-EP-P


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Indexed from Federal Register on February 14, 2023.

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