3055 SUBCONTRACTING

3055.1 The CCO may require his or her consent for the contractor to subcontract when the CCO determines that it would be in the best interest of the University.3055.2 The requirement for consent to subcontract shall also apply to teaming arrangements and joint ventures.3055.3 The CCO shall require consent to subcontract in those instances where approval of subcontracts is required by this chapter or this section.3055.4 When a solicitation contains a requirement for consent to subcontract, before a contractor can enter into a subcontract, the contractor must submit to the CCO a written request for consent to subcontract and the CCO must grant consent in writing.3055.5 The CCO may require, as part of an invitation for bids (IFB) or request for proposals (RFP), that each bidder or offeror responding to a solicitation include in its response a list of proposed subcontractors, teaming arrangements or joint ventures, a list of tasks or items which the bidder or offeror intends to subcontract, team or joint venture with.3055.6 In determining whether to require consent to subcontract, the CCO shall consider the following:- (a) The complexity of the work to be done under subcontracts, teaming arrangements or joint ventures;

- (b) The value of the subcontract, joint venture, teaming arrangement;

- (c) Whether the University's interests can be adequately protected without requiring consent; and

- (d) Any other relevant factors.3055.7 The CCO shall ensure that any requirements for consent to subcontract are included in the solicitation for the prime contract.3055.8 After receipt of the contractor's request for consent to subcontract, the CCO shall do the following:- (a) Promptly evaluate the contractor's request for consent to subcontract;

- (b) Obtain assistance in the evaluation from audit, pricing, technical, or other specialists as necessary;

1. (c) Notify the contractor in writing of consent to subcontract or the withholding of consent to subcontract, including any changes or corrections required.3055.9 The CCO's consent to subcontract shall not constitute a determination of the acceptability of the subcontract terms, price or other allowability of costs unless the consent to subcontract specifies acceptance.3055.10 The CCO shall not consent to subcontract in any of the following circumstances:- (a) When the fee in a cost-reimbursement subcontract exceeds any applicable fee limitations;
2. (b) When payment under the subcontract is on a cost-plus-a-percentage-of-cost basis;
3. (c) When the CCO is obligated to deal directly with the subcontractor;
4. (d) When the results of arbitration, judicial determination, or voluntary settlement between the prime contractor and subcontractor are made binding on the University; or
5. (e) When the subcontract violates any statute or the provisions of these Rules.3055.11 Prospective prime contractors shall be responsible for determining the responsibility of their subcontractors to include teaming arrangements and joint ventures.3055.12 Determinations of prospective subcontractor responsibility may affect the University's determination of the prospective prime contractor's responsibility.3055.13 The CCO may require a prospective prime contractor to provide written evidence of a prospective subcontractor's responsibility.

SOURCE: Final Rulemaking published at 57 DCR 2630 (Mar. 2010).