[Federal Register Volume 65, Number 198 (Thursday, October 12, 2000)]
[Presidential Documents]
[Pages 60827-60830]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-26446]
[[Page 60825]]
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Part VII
The President
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Executive Order 13170--Increasing Opportunities and Access for
Disadvantaged Businesses
Presidential Documents
Federal Register / Vol. 65, No. 198 / Thursday, October 12, 2000 /
Presidential Documents
___________________________________________________________________
Title 3--
The President
[[Page 60827]]
Executive Order 13170 of October 6, 2000
Increasing Opportunities and Access for
Disadvantaged Businesses
By the authority vested in me as President by the
Constitution and the laws of the United States of
America, including the Small Business Act (15 U.S.C.
631 et seq.), section 7102 of the Federal Acquisition
Streamlining Act of 1994 (Public Law 103-355, 15 U.S.C.
644 note), the Office of Federal Procurement Policy Act
(41 U.S.C. 403 et seq.), Executive Order 11625, and to
provide for increased access for disadvantaged
businesses to Federal contracting opportunities, it is
hereby ordered as follows:
Section 1. Policy. It is the policy of the executive
branch to ensure nondiscrimination in Federal
procurement opportunities for businesses in the Small
Disadvantaged Business Program (SDBs), businesses in
the section 8(a) Business Development program of the
Small Business Administration (8(a)s), and Minority
Business Enterprises (MBEs) as defined in section 6 of
Executive Order 11625, of October 13, 1971, and to take
affirmative action to ensure inclusion of these
businesses in Federal contracting. These businesses are
of vital importance to job growth and the economic
strength of the United States but have faced historic
exclusion and underutilization in Federal procurement.
All agencies within the executive branch with
procurement authority are required to take all
necessary steps, as permitted by law, to increase
contracting between the Federal Government and SDBs,
8(a)s, and MBEs.
Sec. 2. Responsibilities of Executive Departments and
Agencies with Procurement Authority. The head of each
executive department and agency shall carry out the
terms of this order and shall designate, where
appropriate, his or her Deputy Secretary or equivalent
to implement the terms of this order.
(a) Each department and agency with procurement
authority shall:
(i) aggressively seek to ensure that 8(a)s, SDBs, and MBEs are aware of
future prime contracting opportunities through wide dissemination of
contract announcements, including sources likely to reach 8(a)s, SDBs,
other small businesses, and MBEs. Each department and agency shall use all
available forms of communication to implement this provision, including the
Internet, speciality press, and trade press;
(ii) work with the Small Business Administration (SBA) to ensure that
information regarding sole source contracts awarded through the section
8(a) program receives the widest dissemination possible to 8(a)s;
(iii) ensure that the price evaluation preference programs authorized by
the Federal Acquisition Streamlining Act of 1994 are used to the maximum
extent permitted by law in areas of economic activity in which SDBs have
historically been underused;
(iv) aggressively use the firms in the section 8(a) program, particularly
in the developmental stage of the program, so that these firms have an
opportunity to overcome artificial barriers to Federal contracting and gain
access to the Federal procurement arena;
(v) ensure that department and agency heads take all reasonable steps so
that prime contractors meet or exceed Federal subcontracting goals, and
enforce subcontracting commitments as required by the Small Business Act
(15 U.S.C. 637(d)) and other related laws. In particular, they shall
[[Page 60828]]
ensure that prime contractors actively solicit bids for subcontracting
opportunities from 8(a)s and SDBs, and fulfill their SDB and section 8(d)
subcontracting obligations. Enforcement of SDB subcontracting plan
commitments shall include assessments of liquidated damages, where
appropriate, pursuant to applicable contract clauses;
(vi) encourage the establishment of business-to-business mentoring and
teaming relationships, including the implementation of Mentor-Protege
programs, to foster the development of the technical and managerial
capabilities of 8(a)s and SDBs and to facilitate long-term business
relationships;
(vii) offer information, training, and technical assistance programs for
8(a)s and SDBs including, where appropriate, Government acquisition
forecasts in order to assist 8(a)s and SDBs in developing their products,
skills, business planning practices, and marketing techniques;
(viii) train program and procurement officials regarding the policy of
including 8(a)s and SDBs in Federal procurement. This includes prescribing
procedures to ensure that acquisition planners, to the maximum extent
practicable, structure acquisitions to facilitate competition by SDBs and
8(a)s, including their participation in the competition of multiple award
requirements;
(ix) provide the information required by the Department of Commerce when it
requests data to develop the benchmarks used in the price evaluation
preference programs authorized by the Federal Acquisition Streamlining Act
of 1994;
(x) ensure that Directors of Offices of Small and Disadvantaged Business
Utilization carry out their responsibilities to maximize the participation
of 8(a)s and SDBs in Federal procurement and, in particular, ensure that
the Directors report directly to the head of each department or agency as
required by law; and
(xi) as required by law, establish with the Small Business Administration
small business goals to ensure that the government-wide goal for
participation of small business concerns is not less than 23 percent of
Federal prime contracts. Where feasible and consistent with the effective
and efficient performance of its mission, each agency shall establish a
goal of achieving a participation rate for SDBs of not less than 5 percent
of the total value of prime contract awards for each fiscal year and of not
less than 5 percent of the total value of subcontract awards for each year.
Each agency shall also establish a goal for awards made to 8(a) firms
pursuant to section 8(a) of the Small Business Act. These goals shall be
considered the minimum goals and every effort shall be taken to exceed
these goals wherever feasible.
(b) Each department and agency with procurement
authority shall:
(i) develop a long-term comprehensive plan to implement the requirements of
section 2(a) of this order and submit this plan to the Director of the
Office of Management and Budget (OMB) within 90 days of the date of this
order. The Director of OMB shall review each plan and report to the
President on the sufficiency of each plan to carry out the terms of this
order; and
(ii) annually, by April 30 each year, assess its efforts and the results of
those efforts to increase utilization of 8(a)s, SDBs, and MBEs as both
prime contractors and subcontractors and report on those efforts to the
President through the Director of OMB, who shall review the evaluations
made of the agency assessments by the Small Business Administration.
Sec. 3. Responsibilities of the Small Business
Administration. The Administrator of the SBA shall:
(a) evaluate on a semi-annual basis, using the
Federal Procurement Data System (FPDS), the achievement
of government-wide prime and subcontract goals and the
actual prime and subcontract awards to 8(a)s and SDBs
for each department and agency. The OMB shall review
SBA's evaluation;
[[Page 60829]]
(b) ensure that Procurement Center Representatives
receive adequate training regarding the section 8(a)
and SDB programs and that they consistently and
aggressively seek opportunities for maximizing the use
of 8(a)s and SDBs in department and agency
procurements; and
(c) ensure that each department and agency's small
and disadvantaged business procurement goals as well as
the amount of procurement of each department and agency
with 8(a)s, SDBs, and MBEs is publicly available in an
easily accessible and understandable format such as
through publication on the Internet.
Sec. 4. Federal Advertising. Each department or agency
that contracts with businesses to develop advertising
for the department or agency or to broadcast Federal
advertising shall take an aggressive role in ensuring
substantial minority-owned entities' participation,
including 8(a), SDB, and MBE, in Federal advertising-
related procurements. Each department and agency shall
ensure that all creation, placement, and transmission
of Federal advertising is fully reflective of the
Nation's diversity. To achieve this diversity, special
attention shall be given to ensure placement in
publications and television and radio stations that
reach specific ethnic and racial audiences. Each
department and agency shall ensure that payment for
Federal advertising is commensurate with fair market
rates in the relevant market. Each department and
agency shall structure advertising contracts as
commercial acquisitions consistent with part 12 of the
Federal Acquisition Regulation processes and paperwork
to enhance participation by 8(a)s, SDBs, and MBEs.
Sec. 5. Information Technology. Each department and
agency shall aggressively seek to ensure substantial
8(a), SDB, and MBE participation in procurements for
and related to information technology, including
procurements in the telecommunications industry. In so
doing, the Chief Information Officer in each department
and agency shall coordinate with procurement officials
to implement this section.
Sec. 6. General Services Administration Schedules. The
SBA and the General Services Administration (GSA) shall
act promptly to expand inclusion of 8(a)s and SDBs on
GSA Schedules, and provide greater opportunities for
8(a) and SDB participation in orders under such
schedules. The GSA should ensure that procurement and
program officials at all levels that use GSA Schedules
aggressively seek to utilize the Schedule contracts of
8(a)s and SDBs. The GSA shall allow agencies ordering
from designated 8(a) firms under the Multiple Award
Schedule to count those orders toward their 8(a)
procurement goals.
Sec. 7. Bundling Contracts. To the extent permitted by
law, departments and agencies must submit to the SBA
for review any contracts that are proposed to be
bundled. The determination of the SBA with regard to
the appropriateness of bundling in each instance must
be carefully reviewed by the department or agency head,
or his or her designee, and must be given due
consideration. If there is an unresolvable conflict,
then the SBA or the department or agency can seek
assistance from the OMB.
Sec. 8. Awards Program. The Secretary of Commerce and
the Administrator of the SBA shall jointly undertake a
feasibility study to determine the appropriateness of
an awards program for executive departments and
agencies who best exemplify the letter and intent of
this order in increasing opportunities for 8(a)s, SDBs,
and MBEs in Federal procurement. Such study shall be
presented to the President within 90 days of the date
of this order.
Sec. 9. Applicability. Independent agencies are
requested to comply with the provisions of this order.
Sec. 10. Administration, Enforcement, and Judicial
Review.
(a) This order shall be carried out to the extent
permitted by law and consistent with the
Administration's priorities and appropriations.
[[Page 60830]]
(b) This order is not intended and should not be
construed to create any right or benefit, substantive
or procedural, enforceable at law by a party against
the United States, its agencies, its officers, or its
employees.
(Presidential Sig.)
THE WHITE HOUSE,
October 6, 2000.
[FR Doc. 00-26446
Filed 10-11-00; 8:45 am]
Billing code 3195-01-P