The Small Business Administration proposed several changes to its regulations on Dec. 29 to implement provisions of the National Defense Authorization Act for fiscal 2013.  The changes apply to limitations on subcontacting and joint ventures, among other programs.

The subcontracting limitations pertain to the work that small firms are allowed to subcontract out to larger firms. Under the defense bill, Congress approved a shift from limiting a percentage of work to be subcontracted, to limiting the percentage of award dollars paid for such work.

“SBA proposes to totally revise Sec. 125.6 to take into account the new definition and calculation for the limitations on subcontracting,” the agency wrote. The new rule also would standardize and simplify how to apply the limitations to various types of goods and services contracts, or both together, the SBA said. The SBA wants to exempt set- aside contracts valued between $3,000 and $150,000.

The SBA also wants to loosen the rules for joint ventures. “SBA proposes to remove the restriction on the type of contract for which small businesses may joint venture without being affiliated for size determination purposes,” the rule said.  Additional updates would affect SBA’s calculation of receipts, and appeals of size standards.

More information:SBA proposed rule http://goo.gl/DfrHQc