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IncentivesAdvantages of the 8(a) Program:The Small Business Administration’s 8(a) program is designed to benefit the client as well as the contractor by assisting small disadvantaged businesses with:
Through sole source contracts, businesses are given an opportunity to enter the government-contracting arena and gain the experience necessary to compete in the full and open market. Competitive bidding on limited opportunities allows 8(a) contractors to gain valuable experience in various market areas. As an Alaska Native Corporation (ANC) subsidiary, Eagle Electric, LLC is eligible to receive sole-source contracts greater than $3,000,000.00 Per 13 CFR 124.506(b), ANCs are exempt from the competitive threshold limitations. The 8(a) program offers many additional advantages to government project managers as well. By allowing for sole source acquisition, even on major projects, it streamlines the competitive acquisition process. It allows project managers the discretion to define a scope of work and to hand pick the contractor to perform the work. Advantages of the Indian Incentive Program:Indian Incentive Program Eagle Electric, LLC qualifies as an Indian-owned business as defined under the Indian Incentive Program, Federal Acquisition Regulations (FAR 52.226-1). This program provides a unique opportunity for prime contractors to receive a 5% “rebate” on work subcontracted to Eagle Electric, LLC. Following is a summary of the Indian Incentive Program, taken directly from the US Department of Defense, Office of Small and Disadvantaged Business Utilization web site, www.acq.osd.mil/sadbu, in December 2002. The Department of Defense (DoD) Indian Incentive Program (IIP) strives to provide opportunities to Indian organizations and Indian-owned economic enterprises, by providing for the payment of 5 percent of the amount subcontracted to an Indian organization or Indian-owned economic enterprise at any sub-tier, when authorized under the terms of the contract. DoD contracts with prime contractors that contain the FAR clause 52.226-1, Utilization of Indian Organizations and Indian-Owned Economic Enterprises, are eligible for incentive payments under the FY 2002 program. For actions after 13 September 2001, sub-tier contractors who subcontract to an Indian-owned firm are eligible for the incentive payments by the Prime inserting DFARS Clause 252.226-7001 in the contract. Administrated by the Office of the Secretary of Defense (OSD) Small and Disadvantaged Business Utilization (SADBU) Office, the Indian Incentive Program (IIP) makes every effort to provide added value to the government, in that, this program is funded independently by the OSD and is not supported by the funds of the contracting agency. These contracts require contractors to use their best efforts to give Indian organizations and Indian-owned economic enterprises the maximum practicable opportunity to participate in subcontracts awarded to the fullest extent consistent with efficient performance of the contract(s). Contracting officers, subject to the terms and conditions of the contract, shall authorize an incentive payment of 5 percent of the amount paid to subcontractors that are Indian organizations or Indian-owned economic enterprises. Commercial off the shelf (COTS) products are not included in this program. The FY 2002 Appropriations Act makes $8 Million available for incentive payments to prime contractors and to small businesses that use Indian-owned businesses or enterprises as subcontractors at any tier. Rebates for Small Businesses Small businesses are permitted to perform as prime contractors without a subcontracting plan. Additionally, small businesses are eligible to receive the 5% rebate for subcontracting to an Indian-owned firm. |
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