[Federal Register Volume 60, Number 111 (Friday, June 9, 1995)]
[Notices]
[Pages 30529-30530]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-14206]
-----------------------------------------------------------------------
DEPARTMENT OF ENERGY
Office of Economic Impact and Diversity; Guidelines for
Department of Energy Mentor Protege Initiative
AGENCY: U.S. Department of Energy (DOE).
ACTION: Final Guidelines.
-----------------------------------------------------------------------
SUMMARY: On August 22, 1994, the Department of Energy (DOE) published
proposed guidelines for its Mentor-Protege Pilot Initiative. The
Mentor-Protege Pilot Initiatives is designed to encourage Department of
Energy management and operating contractors, Environmental Restoration
management contractors and DOE prime contractors to assist energy-
related small disadvantaged, (8a), and women-owned businesses in
enhancing their business and technical capabilities to ensure full
participation in the mission of the Department.
EFFECTIVE DATE: June 9, 1995.
FOR FURTHER INFORMATION CONTACT: Eugene Tates at (202) 586-4556.
SUPPLEMENTARY INFORMATION:
Purpose and Program Overview
The Department of Energy Mentor-Protege Pilot Initiative is
designed to encourage Department of Energy management and operating
contractors, Environmental Restoration management contractors and DOE
prime contractors, to assist energy related small disadvantaged, 8(a),
and women-owned businesses in enhancing their business and technical
capabilities to ensure full participation in the mission of the
Department. The use of this integrated working arrangement between
companies will promote economic and technological growth, foster the
establishment of long term business relationships and increase the
number of small disadvantaged, 8(a), or women-owned businesses that
receive Department of Energy, other Federal and commercial contracts.
Comments to Proposal Guidelines
On August 22, 1994, the Department of Energy published proposed
guidelines for its Mentor-Protege Pilot Initiative and requested
written comments on the draft guidelines and supporting materials on or
before September 21, 1994 (59 FR 43098). Although the Department
received numerous telephone inquiries regarding the Initiative, only 22
written responses or comments were received.
Issues raised by respondents were distilled into the following
relevant issues:
(1) Expand the mentor base to include more than Department of
Energy management and operating contractors.
DOE reviewed the Mentor-Protege Pilot Initiative mentor
participation limitations and decided to expand the mentor base to
include Environmental Restoration management contractors and DOE prime
contractors.
(2) Separate funding to operate the Initiative should be provided
to approved mentor firms.
Unlike other mentor-protege programs which have appropriated funds,
the Mentor-Protege Pilot Initiative is a program conceived by the
Department of Energy and operated within the constraints of available
resources. The Initiative does not have any appropriated funding. The
Initiative does not provide cost reimbursement.
(3) A clear definition of ``energy-related'' should be given when
the final guidelines are published.
``Energy-related'' refers to any business relevant to the mission
of the Department of Energy.
A. General Policy
(1) Department of Energy management and operating contractors,
Environmental Restoration management contractors and prime contractors
who are approved as mentor firms may enter into agreements with
eligible small disadvantaged, 8(a), and women-owned businesses as
protege firms to provide appropriate developmental assistance to
enhance the business and technical capabilities of small disadvantaged,
8(a), and women-owned businesses to perform as contractors,
subcontractors and suppliers.
(2) The mentor-protege initiatives described in these regulations
constitutes a pilot program that will have a duration of two years from
the date of the published final notice. During this period, management
and operating contractors, Environmental Restoration management
contractors and prime contractors which have received approval by the
Department of Energy to participate in the program may enter into
agreements with protege firms.
B. Incentives for Mentor Participation
(1) Active participation in the Department of Energy Mentor Protege
Initiative may be a source selection factor in the awarding of
Department of Energy contracts.
(2) The award fee evaluation plans contained in all Department of
Energy Performance-Based Management contracts may include a factor for
evaluation of a contractor's performance associated with Mentor-Protege
Initiative participation.
(3) Mentor firms shall receive credit toward Department of Energy
subcontracting goals contained in their subcontracting plan.
C. Incentives for Protege Firms
(1) Protege firms may be eligible for noncompetitive subcontracting
procurement opportunities with the Department.
(2) Technical and developmental assistance provided by the mentor.
(3) Development of business relationships with Department of
Energy, its contractors, and procurement personnel.
D. Mentor Firms
Department of Energy mentor candidates must be:
(1) Management and operating contractors of Department of Energy
facilities.
(2) Environmental Restoration management contractors.
(3) DOE prime contractors. [[Page 30530]]
E. Protege Firms
Department of Energy Protege candidates must be:
(1) A small disadvantaged, 8(a), or woman-owned small business
concern in operation for two years as defined by the Small Business
Administration.
(2) Eligible for receipt of government contracts, and;
(3) In operation and actively engaged in an energy related,
technical or construction business field for two years.
F. Selection of Protege Firms
(1) Proteges may be selected from each of the following areas:
(a) Small disadvantaged and women-owned businesses that presently
have contracts or subcontracts with the Department;
(b) Small disadvantaged and women-owned businesses that are
presently 8(a) or 8(a) graduates under the Small Business
Administration Program.
(c) Emerging small disadvantaged and women-owned business firms
that possess energy related or technical capability and have been
actively engaged in business for at least two years.
G. Agreement Contents
(1) Once a protege firm has been selected for participation in the
program, a Mentor-Protege Plan signed by the respective firms shall be
submitted to the Office of Economic Impact and Diversity/Office of
Small Disadvantaged Business Utilization for approval. The Plan shall
contain a description of the developmental assistance that is mutually
agreed upon and in the best developmental interest of the protege firm,
not to exceed ten (10) typed pages.
(2) The Mentor-Protege Plan shall also include information on the
mentor's ability to provide developmental assistance, schedule for
providing such assistance, and criteria for evaluating the protege's
developmental success. The Plan shall include termination provisions
complying with Notice and due process rights of both parties and a
statement agreeing to submit periodic report reviews and cooperate in
any studies or surveys as may be required by the Department in order to
determine the extent of compliance with the terms of the agreement
(3) The submitted Mentor-Protege Agreement shall be reviewed by a
Department of Energy committee consisting of representatives of the
Office of Procurement and Assistance Management, the Office of Economic
Impact and Diversity, and a Small Business Manager affiliated with the
DOE Field Operations Offices.
The committee may recommend acceptance of the submitted Agreement
if the Agreement is in compliance with Department of Energy Mentor-
Protege guidelines.
H. Measurement of Program Success
The overall success of the Mentor-Protege Initiative will be
measured by the extent to which it results in:
(1) An increase in the protege firm's technical and business
capability, industrial competitiveness, client base expansion and
improved financial stability.
(2) An increase in the number and value of contracts, subcontracts
and suppliers by small disadvantaged business protege firms in industry
categories where small disadvantaged businesses have not traditionally
participated.
(3) The overall enhancement and development of protege firms as a
competitive contractor, subcontractor, or supplier to the Department of
Energy, other Federal agencies or commercial markets.
I. Review and Approval of Mentor-Protege Agreements
(1) All mentor-protege agreements shall be reviewed and approved by
the Department of Energy's Office of Economic Impact and Diversity/
Office of Small and Disadvantaged Business Utilization.
(2) Upon agreement approval, the mentor may implement the
developmental assistance under the program.
(3) Proteges may seek multiple mentors provided, conflict of
interest provisions would not prevent such an arrangement and the
approval of the Office of Economic Impact and Diversity/Office of Small
and Disadvantaged Business Utilization is received.
J. Internal Controls by the Department
(1) The Department of Energy's Office of Economic Impact and
Diversity/Office of Small and Disadvantaged Business Utilization will
manage the program and establish internal controls to achieve the
stated program objectives. Controls will include:
(a) Reviewing and evaluating mentor-protege agreements for goals
and objectives; and
(b) Reviewing semi-annual progress reports submitted by mentors and
proteges on protege development to measure protege progress against the
approved agreement.
(c) Requesting and reviewing periodic reports and any studies or
surveys as may be required by the Department.
K. Non Performance
(1) Failure of the mentor to meet the terms of the Mentor-Protege
Agreement may have an adverse affect on future award fees.
(2) Failure of the protege to meet the terms of the Mentor-Protege
Agreement may result in termination of the agreement by the mentor and
exclusion from future participation in the Mentor-Protege Initiative.
L. Program Review
At the conclusion of each year in the Mentor-Protege Initiative the
mentor and protege will formally brief the Department of Energy Office
of Economic Impact and Diversity/Office of Small and Disadvantaged
Business Utilization, regarding program accomplishments as it pertains
to the approved agreement. The briefing may be held at either the
Department of Energy Headquarters or the mentor or protege's site.
Issued in Washington, DC on June 2, 1995.
Corlis S. Moody,
Director, Office of Economic Impact and Diversity.
[FR Doc. 95-14206 Filed 6-8-95; 8:45 am]
BILLING CODE 6450-01-P
