# 252.270-7001 Pilot Program to Incentivize Contracting with Employee-Owned Businesses—Subcontracting Certification.
Type: Provision
Prescribed in: 270.105(b)
Current version date: NOV 2024

## Prescription and Applicability

### DFARS Prescription, 270.105(b)

(b) Unless waived in accordance with 270.103(b)(3), use the provision at 252.270-7001, Pilot Program to Incentivize Contracting with Employee-Owned Businesses--Subcontracting Certification, in solicitations, including solicitations using FAR part 12 procedures for the acquisition of commercial products and commercial services, except for solicitations solely for the acquisition of COTS items, that include the clause at 2 252.270-7002, Pilot Program to Incentivize Contracting with Employee-Owned Businesses.

## Current Text

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

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)

[89 FR 82186, Oct. 10, 2024]

## Suggested Questions

You can ask your AI assistant:
- Should I include this provision in my solicitation?
- Does this clause apply to commercial acquisitions?
- Does this clause apply to R&D contracts under Part 35?
- Which alternate should I use for a multiple-award contract?
- Are there any active Class Deviations that modify this clause?
- What changed in the most recent amendment?

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Source: https://part52.dev
Generated: 2026-04-21 17:40 UTC
Reference: https://www.ecfr.gov/current/title-48/section-252.270-7001