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FAR and DFARS › DFARS Part 252: Solicitation Provisions and Contract Clauses › Subpart 252.2

DFARS 252.270-7001 Pilot Program to Incentivize Contracting with Employee-Owned Businesses—Subcontracting Certification.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This DFARS provision requires an offeror to certify that it will not spend more than 50 percent of the amount paid under the contract on subcontracts, unless an exception applies. It matters because the certification limits how much subcontracting is allowed and identifies when subcontracting beyond that limit is permitted.

Applies to: Offerors responding to solicitations that include this provision

What it requires

  • Certify that in performance of the contract it will not expend more than 50 percent of the amount paid under the contract on subcontracts unless an exception applies

Key terms: qualified business · subcontracts · waiver · Offeror

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

As prescribed in 270.105(b), use the following provision:

Pilot Program To Incentivize Contracting With Employee-Owned Businesses—Subcontracting Certification (NOV 2024)

(a) Definition. As used in this provision, qualified business has the meaning given in the Defense Federal Acquisition Regulation Supplement 252.270-7002, Pilot Program to Incentivize Contracting with Employee-Owned Businesses, clause of this solicitation.

(b) Limitations on subcontracting. The Offeror certifies that in performance of the contract it will not expend more than 50 percent of the amount paid under the contract on subcontracts unless—

(1) The subcontract is awarded to a qualified business;

(2) The contract is for products and the subcontract is for materials not available from another qualified business; or

(3) A waiver is granted.

(End of provision)

Sections it refers to

  • 270.105 Solicitation provisions and contract clause.
  • 252.270-7002 Pilot Program to Incentivize Contracting with Employee-Owned Businesses.

Sections that refer to it

  • 212.301 Solicitation provisions and contract clauses for the acquisition of commercial products and commercial services.
  • 212.371 Inapplicability of certain provisions and clauses to contracts for the acquisition of commercially available off-the-shelf items.
  • 270.105 Solicitation provisions and contract clause.

← 252.270-7000 Pilot Program to Incentivize Contracting with Employee-Owned Businesses—Representation. · 252.270-7002 Pilot Program to Incentivize Contracting with Employee-Owned Businesses. →

Rule changes for DFARS Part 252

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

DFARS 252.270-7001 Pilot Program to Incentivize Contracting with Employee-Owned Businesses—Subcontracting Certification · SpendQuery