SBA's Non-Manufacturer Waivers


SBA'S Non-Manufacturer Waivers Waivers of the Nonmanufacturer Rule Waivers Program Manager: David Wm. Loines Internet: dwl@pa.sba.gov Section 303 (h) of Public Law 100-656 and Section 210 of Public Law 101-574 incorporated into the Small Business Act a requirement that a recipient of a contract set aside for small business or the Small Business Administration's (SBA) 8(a) program, other than the actual manufacturer or processor, must provide the products of a small business. This requirement is commonly referred to as the Nonmanufacturer Rule. The Small Business Act also contains provisions which allow for the Administrator of the SBA to waive this requirement when there are no small business manufacturers or processors available to supply the product to the Federal Government. Section 8 (a)(17)(B)(iv) allows the Administrator to grant waivers of the Nonmanufacturer Rule; however, the Administrator has delegated the authority to make decisions on waivers of the Nonmanufacturer Rule to the Associate Administrator for Government Contracting when: - after reviewing a determination by a contracting officer that no small business manufacturer or processor can reasonably be expected to offer a product meeting the specifications (including period of performance) required of an offeror by the solicitation; or - for a product or class of products after determining that no small business is available to participate in the Federal procurement market. These two types of waivers of the Nonmanufacturer Rule are regularly referred to as "individual waivers" or "solicitation-specific" and "class waivers." Class Waivers For the purpose of waivers, a class of products is defined based on the Office of Management and Budget's Standard Industrial Classification (SIC) Code Manual and, at the present time, on the General Services Administration's Product and Service Code Directory. Within each four-digit code are subdivisions of products which can be considered for waiver. A request for a waiver of a class of products should refer to a specific subdivision, or statement of product, within a four-digit code in one of these manuals. Any individual or organization (government agency, business, association, etc.) may request a waiver for a class of products. The request should be in writing addressed to the Associate Administrator for Government Contracting and should specifically state the class (or classes) of products for which the waiver is sought. Individual Waivers Only a contracting officer for the Federal Government may request an individual or solicitation-specific waiver. The request should be in writing and addressed to the Associate Administrator for Government Contracting and should consist of: 1. a definitive statement of the specific item(s) to be waived; 2. the solicitation number for the procurement on which the item(s) is required and a brief statement of the procurement history; and 3. a determination by the procuring agency's contracting officer that there are no known small business manufacturers for the requested items. The determination must contain: a. a clear statement of the contracting officer's efforts to search for small business manufacturers or processors of the item(s) and the results of those efforts. This should include information on the findings of a search of the Procurement Automated Source System (PASS), or other market survey performed, and the results of discussions with small business representatives to find manufacturers. For example, the representative may be a member of the Office of Small and Disadvantaged Business Utilization (OSDBU) or an SBA Procurement Center Representative (PCR); and b. a statement by the contracting officer that there are no known small business manufacturers for the items and that no small business can reasonably be expected to offer the required supplies. While a contracting officer may request an individual waiver for more than one item on a solicitation, he or she must include a determination which includes the above information for each item. Time frames for Handling A request for an individual waiver takes about 15 working days to process if the contracting officer provides complete information. Requests for waivers of classes of products take an average of 45 working days for processing. This period of time allows SBA staff to publish in the Federal Register a required notice of an intent to grant a waiver for the class of products, a notice in the Commerce Business Daily of potential sources sought, and a final notice in the Federal Register of decision to grant the waiver if no small business manufacturers or processors have been identified. Submitting Requests A format for requesting a waiver of the Nonmanufacturer Rule, additional information about waivers of the Nonmanufacturer Rule, or answers to any questions regarding the information contained in this document can be obtained by contacting the Office of Government Contracting at telephone number (202) 205-6475. Requests for waivers of the Nonmanufacturer Rule should be sent to the Associate Administrator for Government Contracting at: U. S. Small Business Administration Office of Government Contracting Mail Code 6250 409 3rd Street, SW Washington, DC 20416 List of Approved Waivers PSC = Product Service Code SIC = Standard Industrial Code PSC CODE SIC CODE DATE DESCRIPTION 2320 ...... 3537 .... 01/24/92 TRUCKS, FOUR WHEEL DRIVE UTILITY 2420 ...... 3711 .... 02/24/92 TRACTOR, WHEELED 2620 ...... 5014 .... 05/18/92 TIRE, AIRCRAFT, PNEUMATIC 3610 ...... 3579 .... 07/27/94 COPIER/DUPLICATING MACHINES 3805 ...... 3531 .... 12/28/89 CONSTRUCTION, ROAD GRADER 3805 ...... 3531 .... 12/28/89 CONSTRUCTION, BACKHOE 3805 ...... 3531 .... 05/15/91 CONSTRUCTION, LOADERS 3805 ...... 3531 .... 12/28/89 CONSTRUCTION, SCRAPERS 3810 ...... 3531 .... 10/02/91 CONSTRUCTION, CRANE OVER 15 TON 3820 ...... 3532 .... 05/15/91 CONSTRUCTION, DRILL RIGS 3825 ...... 3711 .... 09/13/90 SWEEPERS, STREET 3930 ...... 3711 .... 09/13/90 SWEEPERS, WAREHOUSE 4710 ...... 3312 .... 05/15/91 PIPE & TUBING HIGH NICKEL ALLOY 5805 ...... 3661 .... 05/15/91 COMMUNICATIONS, DIGITAL EPBX EQUIPMENT 5836 ...... 3651 .... 02/08/93 VIDEO CASSETTE RECORDER 6135 ...... 3699 .... 02/24/92 BATTERIES, NUCLEAR 6770 ...... 3861 .... 02/08/93 FILM, PHOTOGRAPHIC 6810 ...... 2812 .... 05/15/91 CAUSTIC SODA 6810 ...... 2865 .... 05/15/91 TOLUENE 6810 ...... 2865 .... 05/15/91 BENZENE 6810 ...... 2869 .... 05/15/91 ETHYL ACETATE 6810 ...... 2819 .... 02/24/92 ACID, BORIC 6810 ...... 2869 .... 05/15/91 PROPYLENE GLYCOL 6810 ...... 2869 .... 10/21/96 PURIFIED TEREPHATHALIC ACID GROUND PTAG AND UN-GROUND PTAU 6810 ...... 2869 .... 05/15/91 NN-DIMETHYL FORMAMIDE 6810 ...... 2873 .... 05/15/91 AMMONIUM SULFATE 6810 ...... 2819 .... 02/24/92 ACID, HYDROFLUORIC 6810 ...... 2911 .... 02/24/92 HYDROCARBON DILUENT 6810 ...... 2819 .... 02/24/92 N-DODECANE 6810 ...... 2812 .... 02/24/92 SODIUM HYDROXIDE 6810 ...... 2819 .... 02/24/92 CALCIUM NITRATE(UNCOATED) 6810 ...... 2812 .... 05/15/91 SODA ASH 6810 ...... 2869 .... 05/15/91 TRICHLORETHANE, 1,1,1 6810 ...... 2819 .... 05/15/91 HEPTANE HPCL 6810 ...... 2819 .... 05/15/91 ACID, HYDROCHLORIC 6810 ...... 2819 .... 02/24/92 ACID, ENRICHED BORIC 6810 ...... 2869 .... 02/24/92 METHYL ISOBUTYL KETONE 6810 ...... 2869 .... 05/15/91 METHYLENE CHLORIDE 7021 ...... 3571 .... 08/28/91 MAINFRAME COMPUTERS AND PERIPHERALS 7025 ...... 3577 .... 08/08/91 COMPUTER LASER PRINTER 7220 ...... 2273 .... 01/15/91 CARPET TILE 7220 ...... 2273 .... 01/15/91 CARPET, 6 FT VINYL BACK BROADLOOM 7220 ...... 2273 .... 05/15/91 CARPET, WOVEN, 6-FT VINYL BACK BROADLOOM 7220 ...... 3996 .... 05/15/91 TILE AND ROLL, VINYL SURFACE 7530 ...... 2621 .... 04/22/92 PAPER, COPY 7610 ...... 2732 .... 08/03/90 THESAURUSES & DICTIONARIES 7730 ...... 3651 .... 07/27/94 TELEVISION RECEIVING SETS 7730 ...... 3651 .... 07/27/94 DISC PLAYERS, COMPACT 8905 ...... 2091 .... 10/02/91 TUNA, CANNED 8915 ...... 2033 .... 10/02/91 CITRUS SECTIONS, CANNED 8915 ...... 2033 .... 10/02/91 PINEAPPLE; SLICES, TIDBITS, JUICE 8915 ...... 2033 .... 09/23/91 TOMATO PASTE, CANNED 8915 ...... 2033 .... 09/23/91 APRICOTS, CANNED 8915 ...... 2033 .... 10/02/91 SPINACH, CANNED 8925 ...... 2062 .... 10/02/91 SUGAR, GRANULATED & BROWN 9310 ...... 2674 .... 10/02/91 PAPER BAGS(SMALL HARDWARE TYPE) 9510 ...... 3312 .... 05/15/91 BARS & ROD, HIGH NICKEL ALLOY 9515 ...... 3312 .... 05/15/91 PLATE, SHEET,STRIP & FOIL; STAINLESS STEEL & HIGH NICKEL ALLOY 9520 ...... 3312 .... 05/15/91 STRUCTURAL SHAPES, HIGH NICKEL ALLOY 9525 ...... 3356 .... 05/15/91 WIRE, NONELECTRICAL, HIGH NICKEL ALLOY 9530 ...... 3356 .... 05/15/91 BARS & RODS, HIGH NICKEL ALLOY, ALUMINUM, NICKEL-COPPER & NICKEL-COPPER-ALUMINUM 9535 ...... 3353 .... 08/23/91 PLATE, SHEET & STRIP; ALUMINUM 9535 ...... 3353 .... 08/23/91 PLATE, SHEET, & STRIP; AL*, NICKEL-COPPER 9545 ...... 3353 .... 05/15/91 PLATE, SHEET, FOIL & WIRE; HIGH NICKEL ALLOY 9650 ...... 3331 .... 09/25/90 COPPER & NICKEL CATHODES 9650 ...... 3331 .... 09/25/90 COPPER CATHODES 9650 ...... 3339 .... 09/25/90 NICKEL BRIQUETTES 9650 ...... 3339 .... 09/25/90 NICKEL CATHODES