19.601 General
Source: FAR 19.601 on acquisition.gov
The SBA's Certificate of Competency program ensures small businesses are fairly evaluated for responsibility in government contracting, requiring contracting officers to refer nonresponsibility determinations for possible SBA review.
Overview
FAR 19.601 outlines the general principles and requirements of the Certificate of Competency (COC) program, which allows the Small Business Administration (SBA) to certify the responsibility of small businesses for specific government contracts. The COC serves as proof that a small business is capable and responsible in all relevant aspects, such as capability, capacity, credit, and compliance with subcontracting limitations. The program applies to all government acquisitions except 8(a) sole-source awards. If a contracting officer finds a small business nonresponsible, the case must be referred to the SBA for possible COC issuance. The regulation also clarifies how limitations on subcontracting and nonmanufacturer rules are handled within the COC process. Contracting officers, including those overseas, must comply with these requirements for U.S. small businesses. For unrestricted acquisitions, small business nonmanufacturers may supply items produced in the U.S. or its outlying areas.
(a) A Certificate of Competency (COC) is the certificate issued by the Small Business Administration (SBA) stating that the holder is responsible (with respect to all elements of responsibility, including, but not limited to, capability, competency, capacity, credit, integrity, perseverance, tenacity, and limitations on subcontracting) for the purpose of receiving and performing a specific Government contract.
(b) The COC program empowers the SBA to certify to Government contracting officers as to all elements of responsibility of any small business concern to receive and perform a specific Government contract. The COC program does not extend to questions concerning regulatory requirements imposed and enforced by other Federal agencies.
(c) The COC program is applicable to all Government acquisitions except for 8(a) sole-source awards. A contracting officer shall, upon determining an apparent successful small business offeror to be nonresponsible, refer that small business to the SBA for a possible COC, even if the next acceptable offer is from a small business.
(d) When a solicitation requires a small business to adhere to the limitations on subcontracting, a contracting officer’s finding that a small business cannot comply with the limitation shall be treated as an element of responsibility and shall be subject to the COC process. When a solicitation requires a small business to adhere to the definition of a nonmanufacturer, a contracting officer’s determination that the small business does not comply shall be processed in accordance with subpart 19.3.
(e) Contracting officers, including those located overseas, are required to comply with this subpart for U.S. small business concerns.
(f) For the purpose of receiving a COC on an unrestricted acquisition, a small business nonmanufacturer may furnish any end item produced or manufactured in the United States or its outlying areas.