May 5, 1999

MEMORANDUM FOR:  Heads of Contracting Offices

FROM:                              Christine Makris, Director
                                          Acquisition Policy and Programs
                                          Office of Acquisition Management

SUBJECT:                        Amendment 1 to PM 99-03 - Extension of SBA-DOC MOU, Streamlined 8(a) Contracting Procedures

As provided in Procurement Memorandum 99-03 dated February 19, 1999, the Department entered into a Memorandum of Understanding with the U.S. Small Business Administration last May to streamline and reduce administrative barriers and delegate authority to Commerce for making direct 8(a) contract awards. Many, but not all, federal agencies have entered into similar agreements with SBA.

Please be advised that the above MOU has been extended, without change, from May 6, 1999 through September 30, 1999 and that PM 99-03 is hereby amended accordingly. The extension was requested by SBA to give it time to develop a uniform MOU vehicle for participating federal agencies.

The requirement for HCOs to submit quarterly 8(a) contracting reports to the Office of Small and Disadvantaged Business Utilization on actions entered into under the terms of the DoC-SBA MOU procedures is suspended. Instead, OSDBU will centrally prepare the Department’s report to SBA based on information contained in the Commerce Procurement Data System (CPDS).

Please be sure that your staff is timely and accurately recording contract actions entered into under this MOU. CPDS and the Individual Contract Action Report (CD-409) were amended in December (see PM 99-01) to capture MOU actions as "Item 1., Streamlined Contracting Procedures." under Block 32, Preference Program. Pre-MOU 8(a) contract actions continue to be coded "Item B., 8(a) Contract Award" under Block 32.

Should you have any questions, please call Lisa Jandovitz (202) 482-0202 (APP) or T. J. Garcia (202) 482-1472 (OSDBU).