DOD 5% Subcontract

Receive a 5% Rebate, Subcontract with Suh’dutsing Technologies.

The Indian Incentive Program, which originates from the Buy Indian Act, provides a unique opportunity for prime contractors to receive a five percent bonus payment on work subcontracted to Suh'dutsing Technologies.

What is the Department of Defense (DoD) Indian Incentive Program?

The Department of Defense (DoD) Indian Incentive Program encourages prime contractors to subcontract with Indian owned companies, by providing prime contractors a 5% rebate when they subcontract work to an Indian owned company. The Office of the Secretary of Defense (OSD) funds the Indian Incentive Program and the contracting agency does not contribute any amount to the incentive program. Under the Department of Defense's Appropriations Act, $8 Million is available for incentive payments to prime contractors and to small businesses that use Indian-owned businesses as subcontractors. For actions after 13 September 2001, sub-tier contractors who subcontract work to an Indian-owned firm are eligible for the incentive payments by the prime contracting by inserting the DFARS Clause 252.226-7001 in the contract. The Indian Incentive Act allows for an incentive payment to the prime contractor equal to 5% of the amount paid to an Indian-owned firm during the execution of the contract. Prime contractors can insert the FAR Clause 52.226-1 or the DFARS Clause 252.226-7001 that enables incentive payments to a contract at anytime during the performance of the contract. The definition of an "Indian-Owned Economic Enterprise," is any Indian-owned (as determined by the Secretary of the Interior) commercial, industrial, or business activity established or organized for the purpose of profit, provided that the Indian ownership constitutes not less than 51% of the enterprise.

Who are Eligible Recipients for the Indian Incentive Program?

Prime Contractors and Small Businesses are eligible to receive the 5% rebate when they contract with the Department of Defense and utilize Indian-owned business enterprises as subcontractors. The Prime contractor's contracts have to contain the FAR clause 52.226-1, Utilization of Indian Organizations and Indian-owned Economic Enterprises, to receive a 5% incentive payment when the company subcontracts work to an Indian owned organization or Indian-owned Economic Enterprises.

What steps are involved in obtaining the DoD, Indian Incentive Program, 5% rebate?

Prime Contractors, regardless of their size, will submit a request for the incentive payment to the Department of Defense Contracting Officers. The prime contractor's request should include the FAR Clause 52.226-1 or the DFARS Clause 252.226-7001 along with the following information:

• Copies of pertinent pages of the subcontract
• Copies of contractor's invoices and a summary statement
• Total payment to subcontractor's
• Calculation of the 5% rebate
• A statement regarding Suh'dutsing Technologies status as a Native-American business and subcontractor's status as an Indian-owned economic enterprise.

What to expect after the prime contractor submits a request for the 5% rebate to the DoD Contracting Officers?

Typically, once the prime contractor submits the request to the DoD contracting officer for the 5% rebate under the Indian Incentive Program, the DoD contracting officer will:

• Review and verify documents received
• Forward the request and verification summary for incentive payment to the DoD SADBU Office
• Provide a point of contact of the supporting office and the person who will receive the funding address, telephone number and e-mail address
• Provide the e-mail address and telephone number of the DoD Contracting Officer

Who is Suh'dutsing Technologies Corporation?

Suh'dutsing Technologies, a federally recognized tribally owned by the Cedar Band of Paiutes, 8(a) certified company, is focused on information technology solutions, commitment to its customers and delivering high quality services on time and within budget.

How can I learn more about the Indian Incentive Program?

The staff at Suh'dutsing Technologies can answer any questions you may have regarding participation in the incentive program. For additional information, please contact Suh'dutsing Technologies directly at 435-867-0604 or e-mail us at info@suhdutsingllc.com.