COR Small Business Programs 2 — Questions and Answers
Question 1: Which federal law established the small business set-aside program and created the Small Business Administration?
- Federal Acquisition Streamlining Act of 1994
- Small Business Act of 1953 (Correct answer)
- Competition in Contracting Act of 1984
- National Defense Authorization Act of 2013
Correct answer: Small Business Act of 1953
The Small Business Act of 1953 created the SBA and established the foundation for federal small business contracting programs.
Question 2: A COR notices a contractor is no longer meeting its small business subcontracting plan commitments. What is the FIRST appropriate action?
- Terminate the contract immediately
- Notify the Contracting Officer and document the deficiency (Correct answer)
- Contact the subcontractors directly to resolve the issue
- Waive the plan requirements for the remainder of the contract
Correct answer: Notify the Contracting Officer and document the deficiency
The COR must notify the CO and document non-compliance; the CO has authority to determine appropriate remedies.
Question 3: What is the primary purpose of the HUBZone program?
- Assist veteran-owned businesses in obtaining federal contracts
- Stimulate economic development in historically underutilized business zones (Correct answer)
- Provide set-asides for businesses owned by socially disadvantaged individuals
- Support small businesses in technology and innovation sectors
Correct answer: Stimulate economic development in historically underutilized business zones
The HUBZone program stimulates economic development and job creation in historically underutilized business zones by giving qualifying firms preferential access to federal procurement.
Question 4: Under the FAR, what percentage price preference may an agency apply when evaluating HUBZone small business offers against large business offers?
- 5%
- 10% (Correct answer)
- 15%
- 20%
Correct answer: 10%
FAR 19.1307 allows agencies to apply a 10% price evaluation preference for HUBZone small business offers when competing against other-than-small businesses.
Question 5: A COR is monitoring a contract with a subcontracting plan. Which document does the prime contractor use to report subcontracting goal achievements to the government?
- DD Form 1707
- SF 294 and SF 295 (or ISR/SSR in eSRS) (Correct answer)
- Standard Form 1449
- DD Form 254
Correct answer: SF 294 and SF 295 (or ISR/SSR in eSRS)
Contractors report small business subcontracting goal achievements using the Individual Subcontract Report (ISR) and Summary Subcontract Report (SSR) filed in the Electronic Subcontracting Reporting System (eSRS), which replaced SF 294/295.
Question 6: What does the term 'ostensible subcontractor' mean in the context of small business compliance?
- A subcontractor who performs more than 50% of the contract work, suggesting the prime is not the real performer (Correct answer)
- A subcontractor certified under the 8(a) program
- A mentor firm that provides guidance to a protégé
- A subcontractor who is also a small business concern
Correct answer: A subcontractor who performs more than 50% of the contract work, suggesting the prime is not the real performer
An ostensible subcontractor is one that performs primary and vital contract work, indicating the prime contractor may not be a legitimate small business performing the contract.
Question 7: Which small business program specifically targets firms that are at least 51% owned and controlled by one or more women?
- 8(a) Business Development Program
- HUBZone Program
- Women-Owned Small Business (WOSB) Program (Correct answer)
- Service-Disabled Veteran-Owned Small Business Program
Correct answer: Women-Owned Small Business (WOSB) Program
The WOSB Federal Contract Program is designed for businesses at least 51% unconditionally owned and controlled by one or more women who are U.S. citizens.
COR Small Business Programs 2
Which federal law established the small business set-aside program and created the Small Business Administration?