Under Secretary of Defense for Acquisition and Sustainment



North American Industry Classification System

DFARS Case 2000-D015

Interim Rule

PART 217—SPECIAL CONTRACTING METHODS

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SUBPART 217.4—LEADER COMPANY CONTRACTING

217.401 General.

(1) When leader company contracting is to be considered, take special effort to select a small disadvantaged business (SDB) concern as the follower company if—

(i) The follower company will be a subcontractor and the Standard Industrial Classification (SIC) Major Group [North American Industry Classification System (NAICS) Industry Subsector] of the acquisition is one in which use of an evaluation factor or subfactor for participation of SDB concerns is currently authorized (see FAR 19.201(b)); or

(ii) The follower company will be a prime contractor and the SIC Major Group [NAICS Industry Subsector] of the acquisition is one in which use of a price evaluation adjustment is currently authorized (see FAR 19.201(b)).

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PART 219—SMALL BUSINESS PROGRAMS

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219.201 General policy.

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(f) The Directors, Office of Small and Disadvantaged Business Utilization, of the military departments and defense agencies are responsible for determining whether use of the price evaluation adjustment to achieve a small disadvantaged business goal has caused non-SDB firms in a particular Standard Industrial Classification Major Group [North American Industry Classification System Industry Subsector] to bear an undue burden or other inappropriate effect. * * *

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219.502-3 Partial set-asides.

(c)(1) If the Standard Industrial Classification Major Group [North American Industry Classification System Industry Subsector] of the acquisition is one in which use of a price evaluation adjustment for small disadvantaged business concerns is currently authorized (see FAR 19.201(b)), [apply] the adjustment shall be applied to the non-set-aside portion.

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SUBPART 219.10—SMALL BUSINESS COMPETITIVENESS DEMONSTRATION PROGRAM

219.1005 Applicability.

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(b) The targeted industry categories for DoD are:

Standard Industrial Classification (SIC) SIC Code

[North American Industry Classification [NAICS Code]

System (NAICS) Description]

(1) Pharmaceutical preparations 2834

[Pharmaceutical Preparation Manufacturing 325412]

(2) Ammunition, except for small arms 3483

[Ammunition (except Small Arms) Manufacturing 332993]

(3) Ordnance and accessories, not elsewhere 3489

classified

[Other Ordnance and Accessories Manufacturing 332995]

(4) Turbines and turbine generator sets 3511

[Turbine and Turbine Generator Set Unit

Manufacturing 333611]

(5) Aircraft engines and engine parts 3724

[(i) Aircraft Engine and Engine Parts

Manufacturing 336412

(ii) Research and Development in the

Physical, Engineering, and Life

Sciences (Aircraft Engines and

Engine Parts only) 54171]

(6) Guided missiles and space vehicles 3761

[(i) Guided Missile and Space Vehicle Manufacturing 336414

(ii) Research and Development in the

Physical, Engineering, and Life

Sciences (Guided Missiles and

Space Vehicles only) 54171]

(7) Space vehicle equipment, NEC 3769

[(i) Other Guided Missile and Space Vehicle

Parts and Auxiliary Equipment

Manufacturing 336419

(ii) Research and Development in the

Physical, Engineering, and Life

Sciences (Guided Missile and Space

Vehicle Parts and Auxiliary Equipment

only) 54171]

(8) Tanks and tank components 3795

[Military Armored Vehicle, Tank and

Tank Component Manufacturing 336992]

(9) Search and navigation equipment 3812

[Search and Navigation System and

Instrument Manufacturing 334511]

(10) Communication services, NEC 4899

[(i) Cellular and Other Wireless 513322

Telecommunications

(ii) Satellite Telecommunications 51334

(iii) Other Telecommunications 51339]

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219.1203 Incentive subcontracting with small disadvantaged business concerns.

The contracting officer shall encourage increased subcontracting opportunities for SDB concerns in negotiated acquisitions by providing monetary incentives in the SIC Major Groups [North American Industry Classification System Industry Subsectors] for which use of an evaluation factor or subfactor for participation of SDB concerns is currently authorized (see FAR 19.201(b)). * * *

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PART 236—CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS

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236.602 Selection of firms for architect-engineer contracts.

236.602-1 Selection criteria.

(a)(i) * * *

(6) * * *

(A) Consider the volume of work awarded by DoD during the previous 12 months. In considering equitable distribution of work among A-E firms, include small business concerns; historically black colleges and universities and minority institutions; firms that have not had prior DoD contracts; and small disadvantaged business concerns and joint ventures with small disadvantaged business participants if the Standard Industrial Classification Major Group [North American Industry Classification System (NAICS) Industry Subsector] of the acquisition is one in which use of a price evaluation adjustment is currently authorized (see FAR 19.201(b)).

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(C) Consider the extent to which potential contractors identify and commit to small business, to small disadvantaged business (SDB) if the Standard Industrial Classification Major Group [NAICS Industry Subsector] of the subcontracted effort is one in which use of an evaluation factor or subfactor for participation of SDB concerns is currently authorized (see FAR 19.201(b)), and to historically black college or university and minority institution performance as subcontractors.

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APPENDIX I—POLICY AND PROCEDURES FOR THE DOD PILOT MENTOR-PROTEGE PROGRAM

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I-104 Eligibility requirements for a protege firm.

(a) An entity may qualify as a protege firm if it is—

(1) * * *

(ii) A small business according to the Small Business Administration (SBA) size standard for the Standard Industrial Classification (SIC) [North American Industry Classification System (NAICS)] code that represents the contemplated supplies or services to be provided by the protege firm to the mentor firm; or

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I-106 Approval process for companies to participate in the Program as mentor firms.

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(c) In addition to the information required in paragraph (b) of this section, companies must submit the following information for each proposed mentor-protege relationship:

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(2) * * *

(ii) The protege firm’s business classification, based upon the SIC [NAICS] code(s) that represents the contemplated supplies or services to be provided by the protege firm to the mentor firm.

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I-107 Mentor-protege agreements.

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(b) Each signed mentor-protege agreement submitted for approval under the Program must include—

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(2) The SIC [NAICS] code that represents the contemplated supplies or services to be provided by the protege firm to the mentor firm and a statement that, at the time the agreement is submitted for approval, the protege firm, if an SDB concern, does not exceed the size standard for the appropriate SIC [NAICS] code;

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