19.1408
Contract clauses
FAR 19.1408 mandates specific clauses in SDVOSB set-aside and sole-source contracts to ensure compliance with program requirements, subcontracting limits, and nonmanufacturer rules.
Overview
FAR 19.1408 outlines the mandatory contract clauses that must be included in solicitations and contracts set aside for, or awarded on a sole-source basis to, Service-Disabled Veteran-Owned Small Business (SDVOSB) concerns under the SDVOSB Program. It directs contracting officers to use specific clauses to ensure compliance with SDVOSB set-aside and sole-source requirements, as well as related subcontracting and nonmanufacturer rules. The section also references other FAR prescriptions for the use of limitations on subcontracting and the nonmanufacturer rule clauses, ensuring that all relevant requirements are incorporated into applicable contracts.
Key Rules
- Clause 52.219-27 (SDVOSB Set-Aside/Sole-Source Notice)
- Must be included in solicitations and contracts set aside or sole-sourced to SDVOSBs, including certain multiple-award contracts and orders.
- Clause 52.219-14 (Limitations on Subcontracting)
- Refer to FAR 19.507(e) for when to include this clause, which limits the amount of subcontracting allowed.
- Clause 52.219-33 (Nonmanufacturer Rule)
- Refer to FAR 19.507(h) for when to include this clause, which applies to SDVOSB nonmanufacturers providing supplies.
Responsibilities
- Contracting Officers: Must ensure the correct clauses are inserted in all applicable solicitations and contracts involving SDVOSB set-asides or sole-source awards, and follow referenced prescriptions for additional clauses.
- Contractors: Must comply with the requirements and limitations set forth in the included clauses, such as subcontracting limits and nonmanufacturer provisions.
- Agencies: Must oversee compliance with SDVOSB program requirements and ensure proper clause usage in contracts.
Practical Implications
- This section ensures that SDVOSB set-aside and sole-source contracts include all necessary regulatory protections and requirements.
- Failure to include the required clauses can result in noncompliance and potential contract disputes.
- Contractors should review solicitations for these clauses to understand their obligations, especially regarding subcontracting and supply sourcing.