(a) Each department, agency, and authority including an agency that contracts or procures in whole or in part through the Department of Property and Procurement, shall exercise its contracting and procurement authority so as to meet, on an annual basis, the goal of procuring and contracting 35% of the dollar volume of its goods and services, including construction goods and services, to small business and disadvantaged business enterprises.
(b) The dollar volume referenced in subsection (a) of this section is based on the expendable budget of the agency.
(c) Bid and proposal preferences. In evaluating bids or proposals, the Department and all other agencies shall award preferences as follows:(1) In the case of proposals, points must be granted as follows:(A) Three points for a small business enterprise;(B) Five points for a resident-owned business enterprise;(C) Five points for a longtime resident business enterprise;(D) Two points for a local business enterprise;(E) Two points for a local business enterprise, with its principal office located in an enterprise zone established pursuant to title 29 Virgin Islands Code, chapter 19;(F) Two points for a disadvantaged business enterprise;(G) Two points for a veteran-owned business enterprise; and(H) Two points for a local manufacturing business enterprise.(2) With respect to bids, a percentage reduction in price must be granted as follows:(A) Three % for a small business enterprise;(B) Five % for a resident-owned business;(C) Ten % for a longtime resident business;(D) Two % for a local business enterprise;(E) Two % for a local business enterprise with its principal office located in an enterprise zone established pursuant to 29 V.I.C. § 1011; and(F) Two % for a disadvantaged business enterprise.
(1) In the case of proposals, points must be granted as follows:(A) Three points for a small business enterprise;(B) Five points for a resident-owned business enterprise;(C) Five points for a longtime resident business enterprise;(D) Two points for a local business enterprise;(E) Two points for a local business enterprise, with its principal office located in an enterprise zone established pursuant to title 29 Virgin Islands Code, chapter 19;(F) Two points for a disadvantaged business enterprise;(G) Two points for a veteran-owned business enterprise; and(H) Two points for a local manufacturing business enterprise.
(A) Three points for a small business enterprise;
(B) Five points for a resident-owned business enterprise;
(C) Five points for a longtime resident business enterprise;
(D) Two points for a local business enterprise;
(E) Two points for a local business enterprise, with its principal office located in an enterprise zone established pursuant to title 29 Virgin Islands Code, chapter 19;
(F) Two points for a disadvantaged business enterprise;
(G) Two points for a veteran-owned business enterprise; and
(H) Two points for a local manufacturing business enterprise.
(2) With respect to bids, a percentage reduction in price must be granted as follows:(A) Three % for a small business enterprise;(B) Five % for a resident-owned business;(C) Ten % for a longtime resident business;(D) Two % for a local business enterprise;(E) Two % for a local business enterprise with its principal office located in an enterprise zone established pursuant to 29 V.I.C. § 1011; and(F) Two % for a disadvantaged business enterprise.
(A) Three % for a small business enterprise;
(B) Five % for a resident-owned business;
(C) Ten % for a longtime resident business;
(D) Two % for a local business enterprise;
(E) Two % for a local business enterprise with its principal office located in an enterprise zone established pursuant to 29 V.I.C. § 1011; and
(F) Two % for a disadvantaged business enterprise.
(d) A certified business enterprise is entitled to all of the preferences provided in this section but may not be granted a preference of more than 12 points or a reduction in price of more than 12%.
(e) Mandatory set-asides of small contracts for small business enterprises. Except as provided in subsection (f), each agency shall set aside every contract or procurement of $100,000 or less for small business enterprises; but an agency is not required to set aside a contract or procurement if the agency determines in writing that there are not at least 2 responsible certified business enterprises that can provide the services or goods that are the subject of the contract.
(f) An agency may refuse to award a contract or procurement set aside under this subsection, and may thereafter issue the contract or procurement in the pursuant to applicable provisions of 31 V.I.C., chapter 23, if the agency determines in writing that the bids for the contract or procurement set aside for a small business enterprise are believed to be 15% or more above the likely price on the open market.
(g) Performance and subcontracting requirements for construction and non-construction contracts; subcontracting plans. All construction contracts in excess of $250,000 must include the following requirements:(1) At least 35% of the dollar volume must be subcontracted to small business enterprises; but the costs of materials, goods, and supplies may not be counted towards the 35% subcontracting requirement, unless the materials, goods, and supplies are purchased from small business enterprises; or(2) If there are insufficient qualified small business enterprises to fulfill completely the requirement of paragraph (1) of this subsection, then the subcontracting requirement may be satisfied by subcontracting 35% of the dollar volume to any certified business enterprises, but all reasonable efforts must be made to ensure that qualified small business enterprises are significant participants in the overall subcontracting work.(3) All non-construction contracts in excess of $250,000, unless a waiver has been approved by the Commissioner of the Department of Property and Procurement must include the following requirements:(A) At least 35% of the dollar volume must be subcontracted to small business enterprises; but the costs of materials, goods, and supplies may not be counted towards the 35% subcontracting requirement unless the materials, goods, and supplies are purchased from small businesses or small business enterprises; or(B) If there are insufficient qualified small business enterprises to fulfill completely the requirement of subparagraph (A) of this paragraph, then the subcontracting requirement may be satisfied by subcontracting 20% of the dollar volume to any certified business enterprises; if all reasonable efforts are made to ensure that qualified small business enterprises are significant participants in the overall subcontracting work.(4) For the purposes of this section, a business enterprise certified as a small business enterprise, local business enterprise, or disadvantaged business enterprise is not required to comply with the limitations set forth in paragraph (1) of this subsection.
(1) At least 35% of the dollar volume must be subcontracted to small business enterprises; but the costs of materials, goods, and supplies may not be counted towards the 35% subcontracting requirement, unless the materials, goods, and supplies are purchased from small business enterprises; or
(2) If there are insufficient qualified small business enterprises to fulfill completely the requirement of paragraph (1) of this subsection, then the subcontracting requirement may be satisfied by subcontracting 35% of the dollar volume to any certified business enterprises, but all reasonable efforts must be made to ensure that qualified small business enterprises are significant participants in the overall subcontracting work.
(3) All non-construction contracts in excess of $250,000, unless a waiver has been approved by the Commissioner of the Department of Property and Procurement must include the following requirements:(A) At least 35% of the dollar volume must be subcontracted to small business enterprises; but the costs of materials, goods, and supplies may not be counted towards the 35% subcontracting requirement unless the materials, goods, and supplies are purchased from small businesses or small business enterprises; or(B) If there are insufficient qualified small business enterprises to fulfill completely the requirement of subparagraph (A) of this paragraph, then the subcontracting requirement may be satisfied by subcontracting 20% of the dollar volume to any certified business enterprises; if all reasonable efforts are made to ensure that qualified small business enterprises are significant participants in the overall subcontracting work.
(A) At least 35% of the dollar volume must be subcontracted to small business enterprises; but the costs of materials, goods, and supplies may not be counted towards the 35% subcontracting requirement unless the materials, goods, and supplies are purchased from small businesses or small business enterprises; or
(B) If there are insufficient qualified small business enterprises to fulfill completely the requirement of subparagraph (A) of this paragraph, then the subcontracting requirement may be satisfied by subcontracting 20% of the dollar volume to any certified business enterprises; if all reasonable efforts are made to ensure that qualified small business enterprises are significant participants in the overall subcontracting work.
(4) For the purposes of this section, a business enterprise certified as a small business enterprise, local business enterprise, or disadvantaged business enterprise is not required to comply with the limitations set forth in paragraph (1) of this subsection.
(h) (1) (A) Each construction contract for which a small business or a certified business enterprise is selected as a prime contractor and is granted points or a price reduction under this section or is selected through a set-aside program under this subchapter must include a requirement that the business perform at least 20% of the contracting effort, excluding the cost of materials, goods, and supplies, with its own organization and resources and, if it subcontracts, 20% of the subcontracted effort, excluding the cost of materials, goods, and supplies, is with certified business enterprises.(B) If the total of the contracting effort, excluding the cost of materials, good, and supplies, proposed to be performed by small business or certified business enterprises is less than the amount required by subparagraph (A), then the business enterprise shall not be eligible to receive preference points or price reductions for a period of not less than two years.(2) Each construction contract for which a joint venture is selected as a prime contractor and is granted points or a price reduction pursuant to subsection (e) of this section or is selected through a set-aside program under this subchapter must include a requirement that the certified business enterprise perform at least 50% of the contracting effort, excluding the cost of materials, goods, and supplies, with its own organization and resources and, if the joint venture subcontracts, 35% of the subcontracted effort, excluding the cost of materials, goods, and supplies, must be with certified business enterprises.(3) If the total of the contracting effort, excluding the cost of materials, goods, and supplies, proposed to be performed by certified business enterprises is less than the amount required by subparagraph (A) of this paragraph, then the business enterprise is eligible to receive preference points or price reductions for a period of not less than two years.
(1) (A) Each construction contract for which a small business or a certified business enterprise is selected as a prime contractor and is granted points or a price reduction under this section or is selected through a set-aside program under this subchapter must include a requirement that the business perform at least 20% of the contracting effort, excluding the cost of materials, goods, and supplies, with its own organization and resources and, if it subcontracts, 20% of the subcontracted effort, excluding the cost of materials, goods, and supplies, is with certified business enterprises.(B) If the total of the contracting effort, excluding the cost of materials, good, and supplies, proposed to be performed by small business or certified business enterprises is less than the amount required by subparagraph (A), then the business enterprise shall not be eligible to receive preference points or price reductions for a period of not less than two years.
(A) Each construction contract for which a small business or a certified business enterprise is selected as a prime contractor and is granted points or a price reduction under this section or is selected through a set-aside program under this subchapter must include a requirement that the business perform at least 20% of the contracting effort, excluding the cost of materials, goods, and supplies, with its own organization and resources and, if it subcontracts, 20% of the subcontracted effort, excluding the cost of materials, goods, and supplies, is with certified business enterprises.
(B) If the total of the contracting effort, excluding the cost of materials, good, and supplies, proposed to be performed by small business or certified business enterprises is less than the amount required by subparagraph (A), then the business enterprise shall not be eligible to receive preference points or price reductions for a period of not less than two years.
(2) Each construction contract for which a joint venture is selected as a prime contractor and is granted points or a price reduction pursuant to subsection (e) of this section or is selected through a set-aside program under this subchapter must include a requirement that the certified business enterprise perform at least 50% of the contracting effort, excluding the cost of materials, goods, and supplies, with its own organization and resources and, if the joint venture subcontracts, 35% of the subcontracted effort, excluding the cost of materials, goods, and supplies, must be with certified business enterprises.
(3) If the total of the contracting effort, excluding the cost of materials, goods, and supplies, proposed to be performed by certified business enterprises is less than the amount required by subparagraph (A) of this paragraph, then the business enterprise is eligible to receive preference points or price reductions for a period of not less than two years.
(i) Each construction contract of $1,000,000 or less for which a certified business enterprise is selected as a prime contractor and is granted points or a price reduction or is selected through a set-aside program under this subchapter, must include a requirement that the business enterprise perform at least 50% of the on-site work with its own work force.
(j) Bids or proposals responding to a solicitation, including an open market solicitation, must be considered nonresponsive and must be rejected if the law requires subcontracting and the prime contractor fails to submit a subcontracting plan as part of its bid or proposal. A certified business enterprise subcontracting plan must specify the following:(1) The name and address of the subcontractor;(2) Whether the subcontractor is currently certified as a certified business enterprise;(3) The scope of work to be performed by the subcontractor; and(4) The price to be paid by the contractor to the subcontractor.
(1) The name and address of the subcontractor;
(2) Whether the subcontractor is currently certified as a certified business enterprise;
(3) The scope of work to be performed by the subcontractor; and
(4) The price to be paid by the contractor to the subcontractor.
(k) A prime contractor may not amend the subcontracting plan filed as part of its bid or proposal except with the consent of the Commissioner of Property and Procurement. Any reduction in the dollar volume of the subcontracted portion resulting from such an amendment of the plan inures to the benefit of the Government.
(l) Multiyear contracts or extended contracts in which the options or extensions exceed $1,000,000 in value which are not in compliance with this subchapter at the time of the contemplated exercise of the option or extension may not be renewed or extended, and any such option or extension is void.
(m) The Commissioner of Property and Procurement may waive the subcontracting requirements of this section for good cause shown.
(n) A prime contractor shall submit to the Commissioner of Property and Procurement copies of the executed contracts with the subcontracts identified in the subcontracting plan. Failure to submit copies of the executed contracts renders the underlying contract voidable by the Government.(1) There is a rebuttable presumption that a contractor willfully breached a subcontracting plan for utilization of certified business enterprises in the performance of a contract, if the contractor:(A) Fails to submit any required subcontracting plan monitoring or compliance report;(B) Submits a monitoring or compliance report containing a false statement; or(C) Fails to disclose required information.(2) The presumption that a contractor willfully breached a subcontracting plan for utilization of certified business enterprises may be rebutted with a showing, by clear and convincing evidence, of full compliance with the requirements set forth in the subcontracting plan for utilization of certified business enterprises.
(1) There is a rebuttable presumption that a contractor willfully breached a subcontracting plan for utilization of certified business enterprises in the performance of a contract, if the contractor:
(A) Fails to submit any required subcontracting plan monitoring or compliance report;
(B) Submits a monitoring or compliance report containing a false statement; or
(C) Fails to disclose required information.
(2) The presumption that a contractor willfully breached a subcontracting plan for utilization of certified business enterprises may be rebutted with a showing, by clear and convincing evidence, of full compliance with the requirements set forth in the subcontracting plan for utilization of certified business enterprises.
(o) A contractor that is found to have willfully breached a subcontracting plan for utilization of certified business enterprises is subject to the imposition of civil penalties, including revocation of certification and monetary fines of $15,000 or 5% of the total amount of the work that the contractor was to subcontract to certified business enterprises, whichever is greater, for each breach. After notice and opportunity for hearing, as provided by regulations promulgated pursuant to 3 V.I.C., chapter 35, the Chief Executive Officer may assess the penalty established in this paragraph. Fines assessed under this subsection must be covered into the SBDA Managerial and Technical Assistance Fund established in section 1258a of subchapter I.