Transcript GOVERNMENT CONTRACTING BASICS

Business
With The
Government
Small Business &
Technology
Development Center’s
(SBTDC)
Procurement Technical
Assistance Center
(PTAC)
Leslie “Lynne” Crawley
Procurement Counselor
910-222-8930
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Small Business & Technology
Development Center (SBTDC)
• Confidential one-on-one counseling
• General Business - planning, marketing,
financing, human resources & operations
• Manufacturing & Technology Development and
Commercialization
• International Business
• Marine Trades
• Management Education Services
• Procurement Technical Assistance Center
(PTAC)
www.sbtdc.org
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PTAC assists you in. . .
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Understanding government rules and regulations
Completing mandatory registrations and certifications
Researching award histories
Identifying contracting opportunities
Reviewing bids and proposals
GSA/VA Contracts and schedules
Selling to the federal, state and local government
PROBID (Fee)
– Electronic bid matching system (Fees apply)
– Searches almost 400 sites (federal, state, local,
foreign)
http://www.sbtdc.org/services/gov_procurement.asp
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Is the Government Market for Me?
• What a Government Contract can do for your
business
– Diversify your customer base
– Cover overhead costs
– Even out cash flow
• What a Government Contract can not do for your
business
– Jump-start your business
– Save your business
– Be the sole source of your business
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Size of the Government Market
FY 2008
• Total Federal Acquisition Spending
– $454 Billion
• Small Business Market Share
– $83.2 Billion a Year in Prime Awards
– $64.8 Billion a Year in Subcontracts
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Potential Federal Customers
 Military
Bases
 GSA
 VA
 DLA
 FEMA
 USDA
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Registration (Acronyms)
• NAICS – North American Industrial Classification
System
• SIC – Standard Industrial Classification
• FSC – Federal Supply Classification (Optional)
• PSC – Product Service Code (Optional)
• TIN – Tax Identification Number
• DUNS – Data Universal Numbering System
• CCR – Central Contractor Registration
• ORCA – Online Representations & Certifications
Application
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Registration – CCR
www.ccr.gov
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Required to do business w/federal government
Don’t forget to complete the SBA Firm Profile
Commercial and Govt Entity Code (CAGE)
Receive a letter after successful registration
– Welcome letter
• Safeguard all passwords and IDs
• Re-certify annually
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Registration – CCR
• Obtain Tax ID Number (TIN): 1-800-829-1040
• Obtain DUNS : 1- 866-705-5711
http://fedgov.dnb.com/webform/pages/CCRSearch.jsp
• Identify your NAICS codes –
http://www.census.gov/naics/2007/index.html
• Identify your SIC codes -http://www.osha.gov/pls/imis/sicsearch.html
• Identify your FSC and/or PSC Codes
http://softshare.com/tables/pscs
• Size determination
- Small vs. Large
- (13 CFR 121.201)
- www.sba.gov/idc/groups/public/documents/sba_home
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page/serv_sstd_tablepdf.pdf
Registration – ORCA
• https://orca.bpn.gov/
• Required to do business with the federal
government
• Don’t complete until receipt of CCR letter
• Requires Marketing Partner ID Number (MPIN)
• Can print out and complete then input later
• Safeguard MPIN and all passwords and IDs
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Registration
SBA -- Preference Programs
• 8(a) Business Development Program
- www.sba.gov/8abd
• Small Disadvantaged Business (SDB) Program
- Self Certification as of 1 October 2008
• Historically Underutilized Business (HUBZone)
- https://eweb1.sba.gov/hubzone/internet/index.cfm
• Women Owned Business Program
- www.sba.gov/women
• Veterans Business Program
- www.vetbiz.gov
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8(a) And SDB Programs
• The applicant firm
– must be a small business,
– must be unconditionally owned and controlled by one
or more socially and economically disadvantaged
individuals who are of good character and citizens of
the United States, and
– must demonstrate potential for success
• 8(a) is a 9 Year Program
• 8(a) has set-aside and sole-source
• SDB has 5.8% goal
– This is self certification as of 1 October 2008
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HUBZone Program
• The applicant firm must be
– 51% American owned
– Principal office located in a designated HUBZone
– At least 35% of employees must reside in a HUBZone
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Price evaluation adjustment (up to 10%)
3% Goal (prime contractors)
Set-aside and sole-source opportunities
NOTE: Remember the tracks will change after
the census is done. (Estimated Jul 2011)
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Woman and Veteran Programs
• Women-owned Business Program
– Self certify
– 5% government wide goal
– Primes may require a National Certification
• Women’s Business Enterprise National Council (WBENC)
• National Association of Women Business Owners (NAWBO)
• Veteran-owned SB Program
– 3% government wide goal
– Allows Set-asides for Service Disabled Veteran
Owned Small Businesses (SDVOSB)
• Can qualify as SDVOSB with “Zero” Disability status
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Contacts
• Who do you know?
• Small Business Liaison Officer (SBLO)
– Prime contractor employee (Public Law 95-507)
– Subcontracting plans have goals
– Good opportunity for new vendors
• Small and Disadvantaged Business Utilization
Specialist (SADBU)
– Does not buy anything
– Acts as liaison between you and buyers
• Small Business Specialist (SBS)
– Acts as liaison between you and buyers
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Research -- Federal
• Federal Acquisition Regulation (FAR)
– http://farsite.hill.af.mil/
– www.arnet.gov/far/index.html
• Code of Federal Regulations (CFR)
– www.access.gpo.gov/nara/cfr/cfr-table-search.html
• United States Code (USC)
– http://uscode.house.gov/search/criteria.shtml
• Government acronyms
– http://www.dau.mil/pubs/glossary/preface.asp
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Opportunities -- Federal
• Federal Business Opportunities (FBO)
– www.fbo.gov
– Single government-wide point-of-entry for federal govt
procurement opportunities
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Types of Federal Acquisitions
• Micro-Purchases
– Purchases Less than $3000 (supplies), $2500
(services) and $2000 (construction)
– Credit Card transactions or purchase orders
– Open to large and small business
– Competition not required
– Approximately 700,000 cards issued
– $18 billion in annual sales
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Types of Federal Acquisitions
• Simplified Acquisitions
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Purchases $3000 up to $100,000
Set-aside for small business
Informal buys up to $25,000
Formal advertisement required for purchases over
$25,000
– Can be set-aside for 8(a), HUBZone and SDVOSB
companies
– Request for Quote (RFQ)
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Types of Federal Acquisitions
• Large Contracts
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Purchases over $100,000
Open to large and small businesses
Rigid process/well defined requirements
Can be set-aside for 8(a), HUBZone, SDVOSB, and
small business companies
– Invitation for Bid (IFB)
• Used for sealed bids/Advertisement is required
• Negotiations are not permitted
– Request for Proposal (RFP)
• Used when seeking creativity, different ideas or new ways of
accomplishing a task/Advertisement is required
• Negotiations are permitted
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Bidding – Preparation
(both Federal and State)
• Obtain entire solicitation
– Supporting documents (specs, drawings, SOW)
– Amendments too!
• Read solicitation completely and thoroughly
• Make working copy of solicitation
• Refer to research websites on previous slide
– Request/research purchase history
– Government jargon
• Ask questions
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Federal Contractor Certification
• Purpose: Help business owners understand the Federal
contracting process, submit intelligent responses and
perform successfully after award
• Pilot program
– Started Aug 1, 09 – Jan 31, 10
– Available to owners through PTAC’s certified
– Only Level 1 available: Basic Understanding of Federal
Contracting
• Veteran owned businesses will receive a book “Win
Government Contracts for Your Small Business”,
Second edition from the VA
http://www.vetbiz.gov/outreach/FCC.htm
FCC Continued
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Owner register with nearest PTAC
Intake Meeting
Complete release form to be forwarded to VA
Take prescribed courses with DAU and forward
certificates to PTAC counselor
• Take comprehensive exam proctored by PTAC
• Owners passing the exam will be presented with
a lapel pin, logo and certificate to advertise this
capability.
Selling to the State of
North Carolina
Potential State Customers
 State
Agencies
 Universities
 Community Colleges
 Public Schools
 Institutions
 Local Governments
 NOTE: State of North Carolina
Purchasing spends about $4 Billion a
Year
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Registration – State of NC
• Identify your NIGP/Commodity Codes http://www.doa.state.nc.us/PandC/ipsalpha.htm
• Register in Vendor Link:
www.doa.state.nc.us/PandC/VendorLinkRegistration.htm
• Register in E-Procurement:
https://vendor.ncgov.com
• Historically Underutilized Business (state of NC)
- www.doa.state.nc.us/hub
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Historically Underutilized Business
(HUB) Program – State of NC
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Minority/women/disabled
10% participation goal
Register online at Vendor Link/E-Procurement
HUB Coordinator’s office is advocate
– Sponsors seminars and workshops
– Maintains a database of HUB vendors for use by
state purchasers, general contractors and others
– Telephone: (919) 807-2330
Fax number: (919) 807-2335
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Local Government Agencies
(cities, county, municipalities, etc)
• Concentrate on immediate area first
• Usually paper registration, not on-line
• Listing of cities/towns/counties found at:
http://ncinfo.iog.unc.edu/library/cities.html
• M/WBE programs
• Some utilize State of NC IPS
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Marketing
• Focus on one or two target agencies.
• Nurture your small customer into a larger
customer.
• Consider becoming chamber member
• It’s all about relationships!
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Opportunities -- State
• Interactive Purchasing System (IPS)
– http://www.ips.state.nc.us/ips/pubmain.asp
– State of NC portal for opportunities
• Other state purchasing websites
– http://www.naspo.org/directors/
– http://www.nigp.org/stwebsit.htm
• NC Purchase & Contract Administrative Code
– http://www.doa.state.nc.us/PandC/admcode.htm
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Types of State Acquisitions
• Categories of Purchases
– Apparatus, supplies, material and equipment
– Construction or repair
– Service contracts, purchase of real property,
lease of personal property
• Dollar Thresholds
– Informal
– Formal
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Types of State Acquisitions
• Informal Procedures
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Advertisement of bid opportunity is not required
Dollar value varies among agencies
Written quotes required for contracts $5,000 and up
Contracts awarded to the lowest responsible bidder
May be conducted via e-Quote system
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Types of State Acquisitions
• Formal Procedures
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Dollar value varies among agencies
Advertisement of bid opportunity is required
Sealed competitive bids must be obtained
Contracts awarded to the lowest responsible bidder
May be posted at Interactive Purchasing System
(IPS)
– Vendor may register for email notifications via
Vendor Link
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Rules to Live By
• Do not be late
• Do not lose your passwords (do not share,
either!)
• Do not pay for what you can get free
• Get it in writing
• Be proactive
• Call PTAC with questions
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NC PTAC Counselors
• Clark Fields – Western NC area – 828.251.6025 or
[email protected]
• Archie Black – Charlotte/Greensboro areas – 704.548.1090
ext 3346 or [email protected]
• Kathryn Lobdell – Raleigh area – 919.715.7373 ext 611 or
[email protected]
• Leslie “Lynne” Crawley – Southeastern NC area – 910.222.8930
or [email protected]
• Katie Harshberger – Northeastern NC area – 252.737.1370 or
[email protected]
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Questions?