FEMA’s Small Business ProgramFEMA’s Small Business Program (SBP) is one of nine programsaffiliated with the Department of Homeland Security’s (DHS’s) Officeof Small and Disadvantaged Business Utilization (OSDBU).Presented by:The Small Business Program ofThe Industry Liaison Section
Top Commodities Procured During a Disaster Infant/Toddler ProductsDurable Medical Equipment KitsConsumable Medical Supplies KitsPlastic SheetingTarpsBlanketsComfort/ Hygiene KitsWaterMealsForklift RentalsCargo VansSecurity Guard Services GeneratorsCotsJoint Field Office KitLeased CopiersLeased GeneratorsOffice SuppliesShredded BinsPortable ToiletsSign LanguageTemporary LaborJanitorial Services
In-Demand Services Procured During a Disaster Debris Removal - Become a member of the Corps of Engineers Contractor Registry if you areinterested in performing disaster response and recovery work; e.g. debris removal. Follow thislink, www.usace.army.mil/Missions.aspx, to access their website. Transportation Services - If you are interested in becoming a FEMA Transportation Providerplease visit this website: www.fema.gov/transportation-programs.For general question about the Transportation Program please email:FEMA-Transportation-Programs@fema.dhs.gov . Transitional Sheltering Assistance - Hotels/motels are able to participate in FEMA’sTransitional Sheltering Assistance program, which offers rooms to disaster survivors seekinghousing aid. Please visit, https://ela.corplodging.com/
DHS Office of Small and Disadvantaged BusinessUtilization (OSDBU)DHS is comprised of eight component federal agencies in addition to DHS. Theeight component agencies are:Ø U.S. Customs and Border ProtectionØ Federal Emergency Management AgencyØ Federal Law Enforcement Training CentersØ U.S. Immigration and Customs EnforcementØ Transportation Security AgencyØ U.S. Coast GuardØ U.S. Citizenship and Immigration ServicesØ United States Secret Service
Small Business SpecialistsWithin DHS and each of the component agencies is a SmallBusiness Specialist (SBS).The SBS is responsible for ensuring that small businesses havethe maximum practicable opportunity to participate in federalprocurements within their respective agency.
What are the Small Business SocioEconomic Categories?SB CategoryOverall Small Business8(a) PrimeNon-8(a) SDB PrimeOverall SDB PrimeHUBZoneSDVOSBWOSBSB Title/DefinitionAll small business, to include all socio-economic categories that arecertified by the Small Business Administration (SBA)Small Disadvantaged Business (SDB) owned and operated by persons whobelong to a group that historically has been socially and economicallydisadvantaged.SDB that is not 8(a) owned but is operated by persons who belong to agroup that historically has been economically disadvantaged.All SDBs including 8(a)Small businesses that are headquartered in Historically UnderutilizedBusiness Zones.Service-Disabled Veteran Owned Small BusinessWomen Owned 6Small Business
What are the FY 2021 Small Business CategoryGoals for FEMA?SB CategoryFY 2020 GoalsOverall Small Business23%8(a) Prime2.5%Non-8(a) SDB Prime2.5%Overall SDB Prime5%HUBZone3%SDVOSBWOSB3%5%7
What Federal Acquisition Regulations(FAR) Govern the Small Business Categories?SB ProgramsFAR CitationSmall Business Set AsidesFAR 19.58(a)FAR 19.8Small Disadvantaged BusinessFAR 19.2HUBZone Small BusinessFAR 19.13Service-Disabled Veteran Owned SmallBusinessFAR 19.14Women Owned Small BusinessFAR 19.158
What Are Small Business Set-Asides?Small business set-asides are contracts set aside for small businesses via:Ø Total Small Business Set-AsideØ Partial Small Business Set-AsideØ Sole SourceØ Justification for Other Than Full and Open CompetitionØ Strategic Sourcing Contractual VehiclesØ GSA SchedulesØ Best in Class Vehicles (Category Management)9
What are the Sole Source Thresholds?SB CategorySole Source Threshold8(a) Prime 7M for manufacturing requirement 4M for any other requirement (FAR 19.805-1)HUBZone 7M for manufacturing requirement 4M for any other requirement (FAR 19.1306)SDVOSB 6.5M for manufacturing requirement 4M for any other requirement (FAR 19.1406)WOSB 6.5M for manufacturing requirement 4M for any other requirement (FAR 19.1506).10
Best Practices Use the Dynamic Small Business Search athttp://dsbs.sba.gov/dsbs/search/dsp dsbs.cfm to identify all smallbusinesses capable of performing a contract. Review the SBA Table of Small Business Size Standards Matched toNAICS Codes ze Standards Table.pdf Conduct robust market research -- Increase the use of Request forInformation (RFI) or Sources Sought (SS) notices to search forHUBZone, SDB, 8(a), SDVOSB, and WOSBs.11
Best Practices Review the SBA website for program descriptions leavingSBA nal co creates account views wosb documents v2 1.pdft12
Best Practices – Guidance to Achieve Small BusinessGoalsApply the Rule of Two: The “Rule of Two” requires an agency to setaside acquisitions for small businesses where there is a reasonableexpectation of receiving fair market prices from at least tworesponsible small business concerns. The “Rule of Two” applies toopen market acquisitions as well as to multiple-awardcontracts such as Departmental and FEMA Enterprise-Wide Contracts(EWCs).13
How do You Determine a Socio Set-Aside?If at or below the SAT ( 250K), an acquisition is mandated exclusively for small business.Contracting officers shall first consider an acquisition for the small business socioeconomiccontracting programs before considering a small business set-aside. There is no order of precedenceamong the socioeconomic programs. A CO may award as a:– HUBZone set-aside– 8(a) set-aside– SDVO set-aside– WOSB set-asideIf above the SAT, and the Rule of 2 is met (that the CO expects to receive fair price offers from 2or more responsible small vendors) the acquisition must be set aside for small business. Again,however, before awarding as a small business set-aside the CO must first consider awarding to avendor participant in a socio-economic program.Small Business Parity (FAR 19.203)
When Can You Set Aside to a HUBZone?Requirement not currently in the 8(a) Program and not been accepted as an 8(a) by SBAIf at or below the SAT ( 250K), the CO can choose to award a HUBZone set-aside (sole source orcompetitive)If above the SAT, the CO must consider a competitive HUBZone set-aside – again applying theRule of 2 -- before considering a HUBZone sole source or a small business set-aside. However, ifthe CO receives:– Only one acceptable offer from a HUBZone SBC then the CO should make an award to thatconcern– No acceptable offers from HUBZone SBCs then the CO should withdraw the HUBZone setaside and select another strategy.HUBZone Set-Aside Procedures (FAR 19.1305)
When Can You Sole Source a HUBZone?The CO can award a sole source contract to a HUBZone SBC before considering a small businessset-aside if: Requirement not currently in the 8(a) Program and not been accepted as an 8(a) by SBA There is no expectation to receive offers from at least 2 HUBZone SBCs The acquisition is greater than the SAT The price of the contract, including options, will not exceed:– 7M for manufacturing NAICS, or– 4M for all other requirements HUBZone SBC is a responsible vendor with respect to past performance Award can be made at a fair and reasonable price.HUBZone Sole Source Awards (FAR 19.1306)
FEMA’s Category Management ProgramWhat is Category Management? Category management uses a structured approach to procurement focused ondefining products and services that behave in a similar manner Category management creates common categories of products and servicesacross Federal agencies and allows the Government to buy more like a singleenterprise Category Management is a shift from the practice of purchasing, analyzingpricing, and developing vendor relationships individually within thousands ofprocurement units across the Government17
What are the 10 Common Govt. Spend Categories18
Why do We Need Category Management?To reduce contract duplication which:üCreates extra costs to Federal agencies and to vendorsüDisproportionately affects small businessesüForces agencies to focus needed resources on redundant actionsthat take away from larger and more important effortsüLessens agencies’ abilities to take advantage of savings potential19
What is the Goal of Category Management?Under category management, the Federal Government will"buy as one" by creating common categories of products andservices across agencies and manage each category as a minibusiness with its own set of strategies, led by a CategoryManager and supporting senior team with expertise in theirassigned category.20
What is SUM and What is BIC?Spend Under Management (SUM) is the percentage of anorganization’s spend that is actively managed according to categorymanagement principles. OMB defines SUM as spend on contracts thatmeet defined criteria for management and data-sharing maturity.Best in Class (BIC) are Government-wide acquisition vehicles thatsatisfy key criteria defined by OMB. Interagency category teams haveworked to designate over 30 BICs to reduce the effort buyers spend infinding acquisition solutions. BIC spend is a subset of SUM.21
How Does OMB Evaluate Agency Spend toDetermine SUM?OMB uses a tiered rating scale and considers Tier 3 to be of greatest value and Tier 1 to be of leastvalue. SUM is the total of Tiers 3,2, and 1. Tier 0 spend is not included in SUM consideration. Tier 3 (BICs) – offers the best pricing, terms and conditions within the Federal marketplace andreflects acquisition vehicles with the strongest management practices Tier 2 (multi-agency solutions) – reflects strong contract management practices, including dataand information sharing across agencies with cross-agency metrics Tier 1 (mandatory agency-wide solutions) -- has mandatory use considerations, standards set fordata and information sharing, strong management practices, and uses metrics that are defined,tracked, and publicized Tier 0 (decentralized spend unaligned with CM) – not conforming to CM principles that includestrategic oversight, disciplined consideration of performance data to understand prices paid, and.creation of metrics to gauge and improve results22
What is OMB Memo 19-13?OMB Memo 19-13, March 20, 2019 is the latest policyguidance concerning Category ploads/2019/03/M19-13.pdf23
What is the Policy Framework Establishedby M19-13?1. Annually establish plans to reduce Tier 0 spend, and increase use of BICvehicles “consistent with small business and other socioeconomicresponsibilities”2. Develop effective industry engagement and vendor management strategies tomanage performance and explore opportunities for efficiencies3. Use demand management strategies – what and how the Agency buys – toeliminate inefficient purchasing and consumption behaviors4. Share prices and related data across the Government to identify quality, valueof products and services when making purchase decisions5. Train and develop the acquisition workforce in CM principles and practices.24
What are the Basic Annual Challenges forFEMA?1. Meet the SUM performance goal2. Meet the BIC performance goal3. Meet all Small Business performance goals4. Plan and conduct efforts to find opportunities to shift Tier 0 spendto higher Tiers.25
What Website is the Government’s OfficialPortal for Category Management?GSA’s Acquisition Gateway Category Hallways .phpA MAX registration is mandatory and can be performed on the sign-inpage.26
What Document Explains the Process ofCategory Management?“Government-Wide Category Management Guidance Document - Version 1.0”,May 21, 2015 to provide guidance for the governance, management and operations of categorymanagement, taking into consideration the inherent complexities of a Federalwide n/Gov-wide CM Guidance V1.pdf27
What Action Mandates the Use of CategoryManagement in the Federal Government?“Transforming the Marketplace: Simplifying Federal Procurement to ImprovePerformance, Drive Innovation, and Increase Savings” Dec. 04, 2014 Memorandum from OMB -- signed by Anne Rung, Administrator for the Officeof Federal Procurement Policy drive-i28
Category Management – Operating Model29
Category Management Roles and Governance30
The EndTo learn more about Small Business and Category Management pleasecontactRobert Keegan at Robert.Keegan@fema.dhs.gov or 202-288-465731
Overall Small Business All small business, to include all socio-economic categories that are certified by the Small Business Administration (SBA) 8(a) Prime Small Disadvantaged Business (SDB) owned and operated by persons who belong to a group that historically has been socially and economically
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