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In January 2003 Frontier Systems was certified by the
SBA as an Alaskan 8(a) Company.
Frontier's Alaskan 8(a) designation is significant as it means we are exempt
from the normal $3M competitive threshold for service contacts. Thus Frontier
can sole source any contract no matter what the value.
This
designation is permitted under the following statutes:
13 CFR
124.506 (b)
exempts Indian Tribal 8(a)’s from the competitive threshold of $3.0 million
for service contracts. This means they can sole source any contract.
FAR 52.226-1 “the Indian Incentive Program provides for an incentive
payment equal to 5% of the amount paid to a tribal subcontractor in
performing the contract” The Indian Incentive Program may be applicable to
any work undertaken by an Alaskan Native Corporation (ANC) as a
subcontractor.
Federal
Preference Programs
Frontier Systems Integrators is an Alaska Native-owned company and 8(a)
certified by the Small Business Administration. FSI also qualifies under
several other Federal Preference programs that offer important business
benefits to organizations operating in the government contracting arena.
Small
Business Administration 8(a) Business Development Program
Certification under this program allows qualified firms to receive large, sole-source
contracts from federal agencies. The program typically has limits of $3
million for service contracts and $5 million for manufacturing contracts;
however, an exception to these limits for Alaska Native corporations allows
unlimited sole-source 8(a) contracts.
Indian
Incentive Program
Originating from the Buy Indian Act, the Indian Incentive Program gives prime
Department of Defense (DoD) contractors a five percent bonus payment on work
subcontracted to Indian-owned enterprises.
Direct Conversion (Commercial Activities)
Because Koniag Development Corporation is a majority owner of Frontier
Systems Integrators, FSI is entitled to consideration for direct conversion
of commercial activities. This procurement method offers many advantages to
the contracting officer. Under current Public Law, regardless of the number
of civilian or military positions, a direct conversion (eliminating the
requirement of a cost comparison) may be performed if negotiations indicate
conversion will be cost-effective.
Self-Determination
Under the Indian Self-Determination Act of 1975, Alaska Native corporations
and Indian tribes can obtain federal government contracts without competitive
bidding. The aim of this law is to create a "partnering" between
the government and indigenous people. Furthermore, this law allows for the
optional inclusion of outside agencies. A Native organization may enter into
a self-determination contract to plan, conduct and administer programs,
including those that benefit the organization itself.
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