Proposed Rule2023-02468
NASA Federal Acquisition Regulation Supplement: NASA Mentor-Protégé Program
Primary source
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Published
February 14, 2023
Issuing agencies
National Aeronautics and Space Administration
Abstract
NASA is proposing to amend the NASA Federal Acquisition Regulation Supplement (NFS) to reflect updates to NASA's Mentor Prot[eacute]g[eacute] Program (MPP) including: the requirement of Small Business Specialists' concurrence on the signed letter of endorsement; requirements associated with credit received towards subcontracting goals; the change of the MPP reporting requirement from semi-annually to annually; identified the NASA Mentor Prot[eacute]g[eacute] Program Office; and clerical, semantic improvements. NASA also proposes to amend the NFS language to reflect the annual negotiation of its small business percentage goals. Lastly, the NFS will be amended to emphasize collaboration amongst representatives from the Office of Small Business Programs, Office of Procurement, and Program Offices to reduce barriers to entry and to opportunities for all small business concerns and Historically Black Colleges and Universities or Minority Institutions.
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)]
[Proposed Rules]
[Pages 9421-9425]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-02468]
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NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 1819 and 1852
RIN 2700-AE38
NASA Federal Acquisition Regulation Supplement: NASA Mentor-
Prot[eacute]g[eacute] Program
AGENCY: National Aeronautics and Space Administration (NASA).
ACTION: Proposed rule.
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SUMMARY: NASA is proposing to amend the NASA Federal Acquisition
Regulation Supplement (NFS) to reflect updates to NASA's Mentor
Prot[eacute]g[eacute] Program (MPP) including: the requirement of Small
Business Specialists' concurrence on the signed letter of endorsement;
requirements associated with credit received towards subcontracting
goals; the change of the MPP reporting requirement from semi-annually
to annually; identified the NASA Mentor Prot[eacute]g[eacute] Program
Office; and clerical, semantic improvements. NASA also proposes to
amend the NFS language to reflect the annual negotiation of its small
business percentage goals. Lastly, the NFS will be amended to emphasize
collaboration amongst representatives from the Office of Small Business
Programs, Office of Procurement, and Program Offices to reduce barriers
to entry and to opportunities for all small business concerns and
Historically Black Colleges and Universities or Minority Institutions.
DATES: Comments on the proposed rule should be submitted in writing to
the address shown below on or before April 17, 2023, to be considered
in the formation of a final rule.
ADDRESSES: Submit comments identified by NFS Case 2022-N018, Mentor
Prot[eacute]g[eacute] Program using any of the following methods:
[cir] <a href="http://Regulations.gov">Regulations.gov</a>: <a href="https://www.regulations.gov">https://www.regulations.gov</a>. Submit comments
via the Federal eRulemaking portal by entering ``NFS Case 2022-N018''
under the heading ``Enter keyword or ID'' and selecting ``Search.''
Select the link ``Submit a Comment'' that corresponds with ``NFS Case
2022-N018'' Follow the instructions provided at the ``Submit a
Comment'' screen. Please include your name, company name (if any), and
``NFS Case 2022-N018'' on your attached document.
[cir] Email: <a href="/cdn-cgi/l/email-protection#b6e498c2d9d2d298dad7d5ddc5f6d8d7c5d798d1d9c0"><span class="__cf_email__" data-cfemail="590b772d363d3d7735383a322a1937382a38773e362f">[email protected]</span></a>. Include NFS Case 2022-N018 in
the subject line of the message.
[cir] Mail: National Aeronautics and Space Administration,
Headquarters, Office of Procurement Management and Policy Division,
Attn: Todd Lacks, LP-011, 300 E Street SW, Washington, DC 20546-0001.
FOR FURTHER INFORMATION CONTACT: R. Todd Lacks, NASA HQ, Office of
Procurement Management and Policy Division, LP-011, 300 E Street SW,
Washington, DC 20456-0001. Telephone 202-358-0799 and; facsimile 202-
358-3082.
SUPPLEMENTARY INFORMATION:
I. Background
NASA is proposing to revise the NFS to add new text that: requires
concurrence of the Small Business Specialist on the signed letter of
endorsement for the MPP; adds requirements associated with credit
received towards subcontracting goals; changes the reporting
requirement from semi-annually to annually; and makes clerical and
other semantic improvements.
II. Discussion
NFS parts 1819, Small Business Programs, and 1852, Solicitation
Provisions and Contract Clauses, are being revised to add language to
[[Page 9422]]
implement updates to NASA's MPP at the request of the program's
administering office, NASA's Office of Small Business Programs (OSBP).
III. Applicability to Commercial Item Acquisitions, Including
Commercially Available Off-the-Shelf (COTS) Items, and Acquisitions
Below the Simplified Acquisition Threshold (SAT)
The objective of this proposed rule is to implement updates to
NASA's MPP. Subpart 1819.72 does not limit the application of the
program requirements to non-commercial contracts or contracts above the
simplified acquisition threshold. Consistent with 41 U.S.C. 1905, 1906
and 1907, the NASA Assistant Administrator for Procurement has
determined that it is in the best interest of NASA to apply this policy
change to the acquisition of commercial items, including COTS items,
and those requirements below the SAT.
IV. 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 as defined in E.O. 12866
and therefore, was not subject to review under section 6(b) of E.O.
12866, Regulatory Planning and Review, dated September 30, 1993.
V. Regulatory Flexibility Act
NASA does not expect this proposed rule to have a significant
economic impact on small entities within the meaning of the Regulatory
Flexibility Act, 5 U.S.C. 601 et seq. An initial regulatory flexibility
analysis has been prepared and is summarized below.
The proposed rule will apply to all current and future participants
of the MPP. While the proposed rule will apply to all classes of small
business, it will not necessarily affect all those businesses because
the proposed rule only applies to those that are a part of the MPP. As
reported by NASA's OSBP, NASA has entered 6, 1 and 3 mentor
prot[eacute]g[eacute] agreements in 2018, 2019 and 2020, respectively.
Therefore, this policy will have minimal impact on small businesses at
large.
NASA invites comments from small business concerns and other
interested parties on the expected impact of this proposed rule on
small entities.
VI. Paperwork Reduction Act
This proposed rule contains information collection requirements
requiring the approval of the Office of Management and Budget (OMB)
under the Paperwork Reduction Act (44 U.S.C. chapter 35). As part of
this proposed rule, NASA is also requesting comments on the
reinstatement with change of a collection, OMB 2700-008, NASA Mentor-
Prot[eacute]g[eacute] Program Small Business and Small Disadvantaged
Business Concerns Report.
NASA, in coordination with its Office of Small Business Programs,
initiated this proposed rule and is proposing to reinstate this
collection to decrease the collection requirement from semi-annual to
annual. NASA conducts semi-annual Mentor Prot[eacute]g[eacute]
performance reviews, which are more effective in tracking milestones
over the life of the agreement than the submission of semi-annual
reports. This change will reduce the reporting requirement on small
businesses from semi-annual to annual and still capture necessary
information from the semi-annual performance reviews.
Methods of Collection: NASA uses electronic methods to collect
information from collection respondents.
Data
Title: NASA Mentor-Prot[eacute]g[eacute] Program.
OMB Number: 2700-0078.
Type of Review: Reinstatement with change.
Affected Public: Small Businesses.
Estimated Annual Number of Activities: 1.
Estimated Number of Respondents per Activity: 10.
Annual Responses: 10.
Estimated Time per Response: 1.5 hrs.
Estimated Total Annual Burden Hours: 15.
Estimated Total Annual Cost: $0.
IV. Request for Comments
Comments are invited on: (1) Whether the proposed collection of
information is necessary for the proper performance of the functions of
NASA, including whether the information collected has practical
utility; (2) the accuracy of NASA's estimate of the burden (including
hours and cost) of the proposed collection of information; (3) ways to
enhance the quality, utility, and clarity of the information to be
collected; and (4) ways to minimize the burden of the collection of
information on respondents, including automated collection techniques
or the use of other forms of information technology. Comments submitted
in response to this document will be summarized and included in the
request for OMB approval of this information collection. They will also
become a matter of public record.
List of Subjects in 48 CFR Parts 1819 and 1852
Government procurement.
Erica Jones,
NASA FAR Supplement Manager.
Accordingly, NASA proposes to amend 48 CFR parts 1819 and 1852 as
follows:
0
1. The authority citation for parts 1819 and 1852 continue to read as
follows:
Authority: 51 U.S.C. 20113(a) and 48 CFR chapter 1.
PART 1819--SMALL BUSINESS PROGRAMS
Subpart 1819.2--Policies
0
2. Amend section 1819.201 by revising the section heading and paragraph
(a)(ii) to read as follows:
1819.201 General policy.
(a) * * *
(ii) NASA annually negotiates Agency small business prime and
subcontracting goals with the Small Business Administration pursuant to
section 15(g) of the Small Business Act (15 U.S.C. 644). In addition,
representatives from the Office of Small Business Programs, Office of
Procurement, and Program Offices will collaborate to reduce barriers to
entry and to opportunities for small business concerns, identified in
paragraph (a)(i) of this section, and Historically Black Colleges and
Universities or Minority Institutions.
Subpart 1819.72--NASA Mentor-Prot[eacute]g[eacute] Program
0
3. Amend section 1819.7201 by:
0
a. Revising paragraph (a) introductory text; and
0
b. In paragraph (b), adding the acronym ``(MPA)'' after the words
``mentor-prot[eacute]g[eacute] agreements''.
The revision reads as follows:
1819.7201 Scope of subpart.
(a) This subpart implements the NASA Mentor-Prot[eacute]g[eacute]
Program (hereafter referred to as the Program) as authorized by the
Small Business Administration in accordance with 13
[[Page 9423]]
CFR 125.10. The purpose of the program is to:
* * * * *
0
4. Amend section 1819.7202 by revising paragraphs (a) and (b) to read
as follows:
1819.7202 Eligibility.
(a) To be eligible as a mentor, an entity must be--
(1) A large business prime contractor or research institution
performing with at least one approved subcontracting plan (other than a
commercial plan) negotiated with NASA, pursuant to FAR subpart 19.7. A
contractor may apply to become a mentor if they currently are not
performing under a NASA contract, as long as they are currently
performing another Federal agency contract with an approved
subcontracting plan. However, the NASA MPA will not be approved until
the mentor company is performing under a NASA contract with an approved
subcontracting plan.
(2) Eligible for receipt of Government contracts. An entity will
not be approved for participation in the program if, at the time of
submission of the application to the NASA Mentor Prot[eacute]g[eacute]
Program Office (MPPO), the entity is debarred or suspended from
contracting with the Federal Government pursuant to FAR subpart 9.4.
(b) To be eligible to participate as a prot[eacute]g[eacute], an
entity must be eligible for award of Federal contracts in accordance
with FAR subpart 9.4, i.e., entities cannot be suspended or debarred at
the time of application for the program and must be classified as one
of more of the following entities or socio-economic categories as
defined by FAR part 2:
(1) Small disadvantaged business;
(2) Women-owned small or economically disadvantaged women-owned
concern;
(3) Veteran-owned or service-disabled veteran-owned small business
concern;
(4) Historically underutilized business zone concern;
(5) Historically Black College and University or Minority-Serving
Institution;
(6) Current NASA Small Business Innovation Research (SBIR)/Small
Business Technology Transfer (STTR) Phase II Company; or
(7) An entity participating in the AbilityOne Program.
* * * * *
0
5. Revise section 1819.7203 to read as follows:
1819.7203 Mentor-prot[eacute]g[eacute] advanced payments.
If advance payments are contemplated, the mentor must first have
the advance payments approved by the contracting officer in accordance
with FAR subpart 32.4.
0
6. Amend section 1819.7204 by:
0
a. Revising paragraph (a) introductory text and (a)(1) and (3);
0
b. Removing paragraph (a)(4);
0
c. Redesignating paragraph (a)(5) as paragraph (a)(4);
0
d. Removing paragraph (c);
0
e. Redesignating paragraph (b) as paragraph (c); and
0
e. Adding a new paragraph (b).
The revisions and addition read as follows:
1819.7204 Agreement submission and approval process.
(a) To participate in the Program, entities approved as mentors,
will submit a complete agreement package to the contracting officer,
contracting officer's representative (COR), and the cognizant Small
Business Specialist (SBS) at the NASA Center. The submission package
must include the following:
(1) A signed MPA;
* * * * *
(3) The estimated cost of the developmental assistance to be
provided, broken out per year and per task, in a separate cost volume;
and
* * * * *
(b) The NASA MPPO may require additional information as requested
upon agreement submission.
* * * * *
0
7. Amend section 1819.7205 by:
0
a. Revising the section heading and paragraph (a);
0
b. Removing paragraph (c)(4);
0
c. Redesignating paragraphs (c)(5) and (6) as paragraphs (c)(4) and
(5); and
0
d. Revising paragraph (d).
The revisions read as follows:
1819.7205 Award Fee Program.
(a) Mentors may be eligible to earn a separate award fee associated
with the provision of developmental assistance to NASA SBIR/STTR Phase
II Prot[eacute]g[eacute]s only. The award fee will be assessed at each
award fee determination period.
* * * * *
(d) The Award Fee Program is an addition to the credit agreement,
reference 1819.7206. Participants that are eligible for award fee may
also receive credit under their individual contract's award fee plan.
0
8. Add section 1819.7206 to read as follows:
1819.7206 Credit agreement.
In a MPA (as referenced in section 6 ``Agreements'' of the MPP
Guidebook), a mentor receives credit toward its subcontracting goals.
The credit agreement only applies to mentors with an Individual
Subcontract Plan.
(a) Costs incurred under a credit agreement are applied on a one-
to-one basis toward applicable subcontracting goals, under a Federal
agency subcontracting plan (FAR subpart 19.7).
(b) The credit is reported on the mentor's individual
subcontracting report (ISR) in the comments section twice a year and in
the Summary Subcontract Report (SSR) once a year. The MPPO will verify
the dollars contained in the annual reports.
0
9. Amend section 1819.7212 by revising paragraphs (a), (b), (c)
introductory text, and (d) through (g) to read as follows:
1819.7212 Reporting requirements.
(a) Mentors must report on the progress made under active MPA
annually throughout the term of the agreement.
(b) Reports are due 30 days after the end of each 12-month period
of performance commencing with the start of the agreement.
(c) Each annual report must include the following data on
performance under the MPA:
* * * * *
(d) Annually the prot[eacute]g[eacute] must provide an
independently developed progress report using the annual report
template, on the progress made during the prior twelve months by the
prot[eacute]g[eacute] in employment, revenues, and participation in
NASA contracts during each year of the Program participation term. The
prot[eacute]g[eacute] must also provide an additional post-agreement
report for each of the two years following the expiration of the
Program participation term.
(e) The prot[eacute]g[eacute] annual report required by paragraph
(d) of this section must be submitted separately from the mentor's
annual report submission.
(f) Reports for all agreements must be submitted to the NASA Mentor
Prot[eacute]g[eacute] Program Manager, the mentor's cognizant
administrative Contracting Officer, and their Small Business
Specialist.
(g) Templates for the annual report and the Post-Agreement report
and guidance for their submission are available at: <a href="https://www.nasa.gov/osbp/mentor-protege-program">https://www.nasa.gov/osbp/mentor-protege-program</a>.
0
10. Add section 1819.7213 to read as follows:
[[Page 9424]]
1819.7213 Reporting allowances.
The mentor may include its developmental expenditures from the
annual report, reference 1819.7212, in its reported dollars in its
Summary Subcontracting Report (SSR) in the Electronic Subcontracting
Reporting System (eSRS).
(a) If the prot[eacute]g[eacute] is also the mentor's immediate
next-tier subcontractor under a NASA contract that contains a
subcontracting plan, the mentor may also include its developmental
expenditures in its Individual Subcontracting Report (ISR) for that
contract. Expenditures may be applied to each socio-economic
subcategory on the SSR and ISR for which the prot[eacute]g[eacute]
qualifies.
(b) Developmental expenditures included in SSR's and ISR's must
also be separately reported and explained (including the actual dollar
amount) in the ``Remarks'' section of each report.
(c) Expenditures for AbilityOne prot[eacute]g[eacute]s cannot be
included in SSR's or ISR's since there is no such reporting category
for SSR's or ISR's.
0
11. Amend section 1819.7215 by revising paragraph (a) to read as
follows:
1819.7215 Solicitation provision and contract clauses.
(a) The contracting officer shall insert the clause at 1852.219-77,
NASA Mentor-Prot[eacute]g[eacute] Program, in any contract that
includes the clause at FAR 52.219-9, Small Business Subcontracting
Plan.
* * * * *
PART 1852--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
12. Amend section 1852.219-77 by revising the date of the clause and
paragraphs (b) through (d) to read as follows:
1852.219-77 NASA Mentor-Prot[eacute]g[eacute] Program.
* * * * *
NASA Mentor-Prot[eacute]g[eacute] Program (Abbreviated Month and
Year of Publication in The Federal Register)
* * * * *
(b) The Program consists of--
(1) Mentors, which are large business prime or research institution
with at least one approved NASA subcontracting plan;
(2) Prot[eacute]g[eacute]s, which qualify as one or more of the
following:
(i) Small Business Concern, as defined in FAR part 2, Definitions
of Parts and Terms, including: Women-Owned or Economically-Owned
Concern; Veteran-Owned or Service-Disabled Veteran-Owned Small Business
Concern; Historically Underutilized Business Zone Concern;
(ii) Historically Black College and University or Minority-Serving
Institution;
(iii) Current NASA SBIR/STTR Phase II Company; or
(iv) An Entity Participating in the AbilityOne Program;
(3) MPA endorsed by the cognizant NASA centers and approved by the
NASA MPPO; and
(4) In contracts with award fee incentives, potential for payment
of an award fee for voluntary participation and successful performance
in the Mentor-Prot[eacute]g[eacute] Program, in accordance with NFS
1819.7205.
(c) Mentor participation in the program, described in NFS 1819.72,
means providing technical, managerial and financial assistance to aid
prot[eacute]g[eacute]s in developing requisite high-tech expertise and
business systems to compete for and successfully perform NASA, as well
as other Federal and commercial contracts and subcontracts.
(d) Eligible businesses and research institutions interested in
participating in the program are encouraged to contact the NASA MPPO.
* * * * *
0
13. Amend section 1852.219-79 by:
0
a. Revising the date of the clause and paragraph (a);
0
b. Removing the undesignated text following paragraph (a);
0
c. Redesignating paragraphs (b) through (f) as paragraphs (c) through
(g);
0
d. Adding a new paragraph (b);
0
e. Revising newly redesignated paragraphs (c) introductory text and
(c)(3) and (4);
0
f. Removing newly redesignated paragraph (c)(5); and
0
g. Revising newly redesignated paragraphs (d) through (g).
The revisions and addition read as follows:
1852.219-79 Mentor requirements and evaluation.
* * * * *
Mentor Requirements and Evaluation (Abbreviated Month and Year of
Publication in the Federal Register)
(a) The purpose of the NASA Mentor-Prot[eacute]g[eacute] Program is
for a NASA prime contractor to provide developmental assistance to:
(1) Provide incentives to NASA contractors, performing under at
least one active approved subcontracting plan negotiated with NASA to
assist prot[eacute]g[eacute]s in enhancing their capabilities to
perform as viable NASA, other Government, and commercial suppliers on
contract and subcontract requirements;
(2) Increase the overall participation of prot[eacute]g[eacute]s as
subcontractors and suppliers under NASA contracts, other Federal agency
contracts, and commercial contracts; and
(3) Foster the establishment of long-term business relationships
between prot[eacute]g[eacute]s and mentors.
(b) The Mentor shall comply with the annual reporting requirements
detailed in NASA FAR Supplement 1819.7212.
(c) NASA will evaluate the Mentor's performance on the following
factors in the subcontracting element of the annual Contractor
Performance Assessment Report (CPAR). If this contract includes an
award fee incentive, this evaluation will also be included as part of
the subcontracting element in the award fee evaluation process.
* * * * *
(3) The extent to which the mentor and prot[eacute]g[eacute] have
met the developmental milestones outlined in the agreement; and
(4) The extent to which the mentor has contributed to advancing the
prot[eacute]g[eacute]'s technical readiness level. This factor only
applies if the prot[eacute]g[eacute] is a current NASA SBIR/STTR Phase
II contractor.
(d) Annual reports shall be submitted by the Mentor and the
Prot[eacute]g[eacute] to the MPPO, following the annual report template
found on the website at <a href="http://www.nasa.gov/osbp">www.nasa.gov/osbp</a>.
(1) Except for as noted in paragraph (d)(4) of this section, the
Mentor may include its developmental expenditures from the annual
report, reference 1819.7212, Reporting Requirements, in its reported
dollars in its Summary Subcontracting Report (SSR) in eSRS.
(2) If the prot[eacute]g[eacute] is also the mentor's immediate
next-tier subcontractor under a NASA contract that contains a
subcontracting plan, the Mentor may also include its developmental
expenditures in its Individual Subcontracting Report (ISR) for that
contract. Expenditures may be applied to each socio-economic
subcategory on the SSR and ISR for which the prot[eacute]g[eacute]
qualifies.
(3) Developmental expenditures included in SSR's and ISR's must
also be separately reported and explained (including the actual dollar
amount) in the ``Remarks'' section of each report.
(4) Expenditures for AbilityOne prot[eacute]g[eacute]s cannot be
included in SSR's or ISR's, since there is no such reporting category
for SSR's or ISR's.
(e) The mentor will notify the cognizant NASA center and NASA OSBP
in writing, at least 30 days in advance of the Mentor's intent to
[[Page 9425]]
voluntarily withdraw from the program or upon receipt of a
prot[eacute]g[eacute]'s notice to withdraw from the Program.
(f) Every six months, the Mentor and Prot[eacute]g[eacute], as
appropriate, will formally brief the MPPO, and the contracting officer
during a formal program review regarding program accomplishments, as it
pertains to the approved agreement.
(g) NASA may terminate MPA for good cause, thereby excluding
mentors or prot[eacute]g[eacute]s from participating in the program.
These actions shall be approved by the MPPO. NASA shall terminate an
agreement by delivering to the contractor a letter specifying the
reason for termination and the effective date. Termination of an
agreement does not constitute a termination of the subcontract between
the mentor and the prot[eacute]g[eacute]. A plan for accomplishing the
subcontract effort should the agreement be terminated shall be
submitted with the agreement.
* * * * *
[FR Doc. 2023-02468 Filed 2-13-23; 8:45 am]
BILLING CODE 7510-13-P
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