ment that are improper to delegate from the standpoint of "public policy."

(h) Where the procurement may result in unnecessarily isolating the supplier from future competition, thus creating an expensive, restrictive dependency on that supplier to fill future needs.

(i) Where the benefits accruing to the contractor as a result of the contract are so large that the contractor should be required to share costs and/ or make other concessions to the Government.

(j) Where proposals or bids for performing the work required in the procurement appear to be solicited from an unreasonably small number of suppliers.

(k) Where the Government does not reserve the royalty-free right to publish or have published the publications and reports which are the deliverable end products of the procurement.

(1) Where the procurement would place the contractor's employees under the direct supervision and control of DOL officials and employees.

(m) Where there appears to be inadequate security to safeguard Government funds or property.

(n) Where the procurement provides no description or definition of what constitutes satisfactory performance on the part of the contractor.

(0) Where the scope of the contractor's performance includes not only research performance but evaluation of that research performance. This type of contract has as its basic characteristic a combination of functions that inherently makes for a conflict of interests, e.g., when a feasibility study is combined with performance, or performance is combined with performance evaluation, as part of the same effort.

(p) Where the procurement otherwise appears to violate statutes, regulations, or the Department's policies and procedures.

[36 FR 3054, Feb. 17, 1971, as amended at 42 FR 40199, Aug. 9, 1977]

insure the independence of the judgment of contracting officers. This includes the provision of a suitable location within the procuring activity so that contracting officers can fulfill objectively the responsibilities set out in § 29-1.402. In this connection, it is the policy of DOL to place procurement officials to the maximum practical extent outside the direct supervision of program operating officials.

[36 FR 3054, Feb. 17, 1971. Redesignated at 42 FR 40198, Aug. 9, 1977]

Subpart 29-1.5—Contingent Fees

§ 29-1.508 Enforcement.

§ 29-1.508-1 Failure or refusal to furnish representation and agreement.

In all cases of negotiated procurement where the SF 119 is required, the contracting officer shall determine whether negotiations will be suspended pending receipt of the executed SF 119.

§ 29-1.508-2 Failure or refusal to furnish Standard Form 119.

The contracting officer may take any of the actions authorized in § 11.508-2 of this title provided that the contract file is documented to justify the action taken.

[42 FR 40199, Aug. 9, 1977]

§ 29-1.508-3 Misrepresentations or violations of the covenant against contingent fees.

(a) The head of a procuring activity, only with the advice and consent of the Solicitor first obtained, can take any of the actions authorized by § 11.508-3(a), (b), and (c) of this title.

(b) The Solicitor will make the determination required by § 1-1.508-3(d) of this title.

Subpart 29-1.6—Debarred, Suspended, and Ineligible Bidders

§ 29-1.600 Scope of subpart.

This subpart prescribes policies and procedures concerning the establishment, maintenance and use of a list of debarred, suspended, and ineligible bidders and contractors.

§ 29-1.601 General.

§ 29-1.601-1 Definitions.

"Debarring Officer" means the Assistant Secretary for Administration and Management who is the DOL official authorized to invoke debarment or suspension measures as authorized by § 1-1.602-1 (d), (f), and (g) of this title, and to include on the "DOL Debarred, Suspended, and Ineligible Bidders'

List," defined in this subpart, those concerns and individuals determined to be subject to such measures in accordance with § 1-1.602-1 (a), (b), (c), and (e) of this title.

[42 FR 40199, Aug. 9, 1977]

§ 29-1.602 Establishment and maintenance of a list of concerns or individuals debarred, suspended, or declared ineligible.

The Debarring Officer shall establish and maintain a list of concerns and individuals to whom contracts will not be awarded and from whom bids or proposals will not be solicited for contracts with the DOL. The list shall be designated as the "DOL Debarred, Suspended, and Ineligible Bidders' List" and compliance with its use throughout DOL is mandatory. The Debarring Officer shall keep the list current and publish and distribute it bi-monthly to heads of DOL procuring activities who shall be responsible for its redistribution. The list shall be marked "For Official Use Only" to reduce inspection of its contents by other than DOL personnel required to have access thereto. The head of an Agency may request, in writing, that a concern or individual be placed on the "DOL Debarred, Suspended, and Ineligible Bidders' List" in accordance with procedures of this subpart. This official may initiate the request personally, or may do so by endorsing the recommendation of the responsible Agency contracting officer. If all necessary information is not readily available, a preliminary report concerning actions that may warrant debarment may be submitted, to be followed as soon thereafter as practicable by a completely documented report. The Debarring Officer, based on the preliminary report, may determine that a

suspension is warranted. The Debarring Officer will also be responsible for making for DOL, the determinations, administrative and otherwise, which are permitted under § 1-1.602-1 (d), (f), and (g), and § 1-1.604 of this title and for maintaining liaison with the General Services Administration and otherwise complying with § 1-1.606 of this title. Upon a showing by the head of an Agency that it would be in the public's best interest to make an exception for a particular procurement action and allow an award to a debarred concern or individual, the Debarring Officer may determine that an exception is warranted.

[42 FR 40199, Aug. 9, 1977]

§ 29-1.604 Causes and conditions applicable to determination of debarment by an executive agency.

§ 29-1.604-1 Procedural requirements relating to the imposition of debarment. (a) Initiation of debarment action. The Debarring Officer shall determine whether the request for debarment has sufficient merit to warrant further processing. He shall communicate the decision to the head of the Agency recommending debarment.

(1) Notice to contractors. If the Debarring Officer decides further action in the matter is warranted, this official shall send a letter by registered mail, return receipt requested, to notify the concern or individual that debarment is being proposed, stating, as a minimum, in addition to the items required in § 1-1.604-1 of this title, the following:

(i) The scope of the proposed debarment as to any known affiliates, if any;

(ii) The period of the proposed debarment;

(iii) The extent of the proposed debarment, e.g., whether it is Department-wide;

(iv) That the debarment determination shall become final and effective 30 days after receipt by the concern or individual of such letter, unless the concern or individual mails or otherwise furnishes written information to show why there should not be a decision to debar or furnishes to the Debarring Officer a written request for

hearing addressed to the Secretary of Labor in accordance with § 29-60, prior to the scheduled effective date.

(v) Whether the concern or individual is temporarily suspended pending the disposition made of the proposed debarment.

(2) Contractor response to notice. The following shall apply with regard to the response of the concern or individual in question:

(i) No reply received. When no reply is received to the notice of proposed debarment within the time limit stated in the notification, the case shall be decided on the information available, i.e., without a hearing.

(ii) Reply received. Where written information is received, but no hearing requested, such written information shall be taken into consideration in the final determination of the case by the Debarring Officer.

(iii) Reply received and hearing requested. When a hearing is requested, the Debarring Officer shall forward the request for hearing to the Secretary of Labor.

[36 FR 3054, Feb. 17, 1971, as amended at 42 FR 40199, Aug. 9, 1977]

Subpart 29-1.7-Small Business Concerns

SOURCE: 37 FR 16939, Aug. 23, 1972, unless otherwise noted.

§ 29-1.702 Small business policies.

The Department of Labor fully supports the Government's small business program for placing a fair proportion of its private sector purchases and contracts for supplies, research and development, and services, including contracts for maintenance, repair and construction, with small business concerns and increasing small business participation in procurement by the Department.

§ 29-1.704 Agency program direction and operation.

§ 29-1.704-1 Small business adviser.

The Director, Office of Grants, Procurement and ADP Management Policy, OASAM, or designee, under the policy direction of the Assistant Secretary for Administration and

Management, is designated as DOL'S small business adviser. The small business adviser shall have the responsibility, as a collateral duty, for establishing and implementing the small business program, including the minority business program and for guiding the small business specialists in executing the program. The advisor will be the central point of contact for inquiries concerning the small business program from industry, the Small Business Administration (SBA), the Congress, and others. Duties shall include developing a plan of operation to increase the share of contracts awarded to small business by DOL.

[42 FR 40200, Aug. 9, 1977]

§ 29-1.704-2 Small business specialists.

(a) Each head of a procuring activity shall appoint by name and in writing a small business specialist to perform the duties set forth in this section on either a full-time or part-time basis. Only individuals possessing the necessary business acumen, knowledge of DOL procurement policies and procedures, and program background to effectively accomplish the objective of the small business program shall be considered for the appointment. In any instance where the appointee's duty as small business specialist is to be a part-time basis, the appointment shall clearly indicate that the parttime nature of the duty shall in no way relieve the individual from full responsibility for effectively accomplishing the activities of small business program requirements.

(b) The small business specialist shall perform such of the following duties to execute a small business program as are appropriate for the procurement activity.

(1) Develop a plan of operation to increase the share of contracts and purchase orders awarded to small business concerns.

(2) Promote the minority business enterprise program through the Small Business Administration 8(a) procedures (see § 29-1.713).

(3) Review the types and classes of items and services to be purchased to determine the applicability of small business set-asides or class set-asides.

(4) Plan for locating capable small business sources for current and future procurements.

(5) Develop adequate small business competition on all appropriate procurements.

(6) Examine bidders lists to assure that small business firms are identified and adequately represented on all procurements.

(7) Assure that small business firms are identified on bid abstracts.

(8) Assure that restrictive specifications or other actions which prevent small business participation are modified to permit small business participation where adequate performance can be obtained.

(9) Assist and counsel small business firms with individual problems.

(10) Provide for counseling nonresponsive or nonresponsible small business bidders to help qualify them for future awards.

(11) Screen proposed large procurements to determine the possibility of separation or breakout of components suitable for purchase from small business firms.

(12) Attend conferences and meetings publicizing the small business program.

(13) Insure that proposed procurements are publicized in the Commerce Business Daily.

(14) Set goals for small business and 8(a) purchase orders and contracts.

(15) Assure preference to small business firms on multiple award Federal supply schedules.

(16) Promote the award of research contracts to small business firms.

[37 FR 16939, Aug. 23, 1972, as amended at 42 FR 40200, Aug. 9, 1977]

§ 29-1.704-3 Responsibilities of the procurement office.

(a) Each procurement office shall use its best efforts to identify goods and services where a potential exists for increasing the small business share of contract awards. Each procurement office shall, to the maximum extent feasible, arrange for the making of unilateral small business set-asides on all contracting actions which qualify. The procurement office shall take appropriate actions to provide maximum advance and current information, as

sistance and counseling of such nature and extent as to enable small business concerns to take full advantage of available DOL business opportunities and to compete for contracts.

(b) The procurement office shall insure that bidder's mailing lists identify small business and minority business concerns and that all solicitations state the applicable small business size standard and product classification.

(c) The responsibilities set forth in paragraph (a) of this section are intended to complement the responsibilities of the small business specialists.

[37 FR 16939, Aug. 23, 1972, as amended at 42 FR 40200, Aug. 9, 1977]

§ 29-1.706-3 Withdrawal or modification of set asides.

Withdrawal or modification of an individual or class set-aside which was originally established upon the recommendation of the small business specialist may be proposed by the contracting officer by giving notice, containing the reason for the proposed withdrawal or modification, to the small business specialist. If the small business specialist does not agree to a withdrawal or modification, he or she may appeal to the head of the procuring activity, whose decision in writing shall be final.

[37 FR 16939, Aug. 23, 1972. Redesignated and amended at 42 FR 40200, Aug. 9, 1977]

§ 29-1.706-50 Procurement set-asides for small business when an SBA representative is not available.

§ 29-1.706-51 General.

If no SBA representative is available, the small business specialists shall initiate recommendations to the contracting officer for small business setasides with respect to individual procurements or classes of procurements or portions thereof.

§ 29-1.706-52 Review of set-aside recommendations initiated by small business specialist.

When a small business specialist has recommended that all, or a portion, of an individual procurement or class of

procurements be set aside for small business, the contracting officer shall promptly either (a) concur in the recommendation, or (b) disapprove the recommendation, stating in writing the reasons for disapproval. If the contracting officer disapproves the recommendation of a small business specialist, the small business specialist may appeal in writing to the head of the procuring activity whose decision shall be final.

[37 FR 16939, Aug. 23, 1972, as amended at 42 FR 40200, Aug. 9, 1977]

§ 29-1.706-53 [Reserved]

§ 29-1.706-54 Small business set-asides for proposed procurement.

(a) Each proposed procurement for construction estimated to cost between $10,000 and $1 million shall be set aside for exclusive small business participation. Such set-asides shall be considered to be unilateral small business set-asides, and shall be withdrawn, in accordance with the procedures of §§ 1-1.706-3 of this title and 29-1.706-3, only if found not to serve the best interest of the Government.

(b) Small business set-aside preferences for construction procurements in excess of $1 million shall be considered on a case-by-case basis.

[42 FR 40200, Aug. 9, 1977]

report shall be prepared by each procuring activity in accordance with § 116.804-3 of this title and shall be forwarded to the Director, Office of Grants, Procurement and ADP Management Policy, OASAM, Attention: ABA, not later than the 30th day following the end of the 6-month and 12month periods covered respectively by the report.

(b) Each report shall state in the "Remarks" portion the total dollar value of contracts awarded during the report period pursuant to section 8(a) of the Small Business Act and § 291.713 and § 1-1.713 of this title. This information shall be reported in addition to the requirements of §§ 116.804-3 through 1-16.804-5 of this

title and the instruction on the reverse of Standard Form 37, Report on Procurement by Civilian Executive Agencies.

[38 FR 15965, June 19, 1973, as amended at 42 FR 40200, Aug. 9, 1977]

§ 29-1.713 Contracts with the Small Business Administration.

§ 29-1.713-2 Policy.

(a) It is the policy of DOL to give full consideration to contracting with SBA in order to foster or assist in the establishment or the growth of small business concerns as designated by the SBA SO that these concerns may become self-sustaining, competitive entities within a reasonable period of time. The SBA is empowered to arrange for the performance of such contracts by negotiating or otherwise letting contracts to small business concerns or others.

(b) The SBA has delegated to its field offices authority to handle contracts and subcontracts under section 8(a) of the Small Business Act. Heads of procuring activities in Washington, D.C., and the regional offices should assure full cooperation with SBA in their efforts to place procurements with firms who are eligible for subcontract awards by SBA under section 8(a). They shall take the necessary steps to:

(1) Invite appropriate SBA field representatives to identify needs for 8(a) contracts and to provide for cooperation and assistance on the part of DOL in verifying the availability or nonavailability of requirements, funding, and other pertinent factors; and

(2) Propose any requirements which appear to offer potential opportunity for contracting with SBA under authority of section 8(a) of the Small Business Act, for consideration by appropriate SBA field representatives.

Subpart 29-1.10-Publicizing Procurement Actions

§ 29-1.1001 General policy.

Whenever possible, it is DOL policy to increase competition by publicizing procurements which offer competitive opportunities for prospective prime