NETWORX PROGRAM INDIVIDUAL SMALL BUSINESS SUBCONTRACTING PLAN IDIQ TASK ORDER BASED

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NETWORX PROGRAM INDIVIDUAL SMALL BUSINESS SUBCONTRACTING PLAN IDIQ TASK ORDER BASED Company Name: Qwest Government Services, Inc. (QGSI) Address: 4250 N. Fairfax Drive Arlington, VA 22203 Date Submitted: October 5, 2005 Date Revised: March 22, 2007 Contact: Audrey D. Hallett, Senior Director Contracts and Procurement Phone Number: (703) 363-3077 Fax Number: (703) 363-4443 Prime contract number: Networx Universal Program Type of Contract: Indefinite Quantity / Indefinite Delivery (IDIQ) Item/Service: Telecommunications & Services NAICS Code 517110 (Size Determination 1500) INTRODUCTION The following is submitted as an Individual Small Business Subcontracting Plan to satisfy the applicable requirements of Public Law 95-507 for a Small Business Subcontracting Plan as required by Section H-19 of the Networx Universal RFP. The goals contained in item (1) below are contingent on funding in excess of $550,000. The Plan is being submitted for approval by GSA and shall continue for the remainder of the contract period. Total Contract Goals will be reported in 1 RFP: TQC-JTB-05-0001 March 22, 2007

the electronic Subcontract Reporting System (esrs) to replace the SF294 and SF295 reports. This was confirmed on a market search conducted for this plan. Qwest Government Services Small Business and Procurement System Approvals Qwest received approval of its Small Business Program by the Small Business Administration and by the Defense Contract Management Agency (DCMA) on March 5, 2004. Qwest has an approved procurement system as reviewed and approved on February 24, 2005 by DCMA. Qwest is a Prime Contractor in good standing with the federal Government is eligible to fully participate in Government Procurements. Qwest makes timely payments to its small business category subcontractors per FAR 19.702. Contract Funding In accordance with the nature of an IDIQ contract, requirements on a task order basis will be dependent on the mandatory and optional services awarded to Qwest Government Services, for services once they have exceeded $550,000. Due to the uncertainty of funding, utilization by individual agencies and what mandatory and/or optional specific services in which a small business concern could participate, this plan is intended to be dynamic throughout the contract period of performance. It is anticipated that this plan will also cover any subcontract opportunities which are in addition to those identified the table below entitled Potential Areas for Spend. 2 RFP: TQC-JTB-05-0001 March 22, 2007

Networx Small Business Subcontractors Qwest solicited numerous small sources in developing this plan. Qwest also drew on its current base of small business subcontractors and suppliers and conducted research into the Central Contractor Registration (CCR) to identify small businesses with capabilities conducive for mandatory and optional services being proposed and where small business participation could be anticipated due to the nature of the work. The table below represents the results of the small businesses responding to Qwest s sources sought request and providing capability and past performance statements for the Networx program. Qwest reviewed the capabilities of the small businesses responding in developing a portfolio of small businesses for potential task order competition. The list of small businesses will be updated at regular intervals and additional small businesses will be reviewed for their capabilities. This is a nationally focused program. 3 RFP: TQC-JTB-05-0001 March 22, 2007

Qwest s Networx Universal Small Business Sourcing Results For the following services Qwest has identified primary small business subcontracting participants, which upon award of task orders for each service would have potential small business participation. Qwest s primary small business participants are shown in the following table. Qwest s Primary Small Business Participants 4 RFP: TQC-JTB-05-0001 March 22, 2007

In addition, Qwest has also taken an approach of developing as many small business partners into a portfolio of small businesses for potential utilization. In many cases in the telecommunications industry there is a scarcity of small business to draw on for small business participation. Description of Good Faith Effort The type of Networx Universal and Enterprise Program Contracts are IDIQ and therefore the maximum practicable utilization of small, small disadvantaged, women-owned, HUBZone, veteran-owned, and servicedisabled veteran-owned small business concerns as subcontractors in Government contracts will be dependent on the amount of funds awarded to Qwest and the instant procurement s assessment of the suitability of 1. Goals (planned as percentages against Mandatory and Optional Services) Based on the approval of this plan by the Government and as amended through each task order or amendment for those services that can be subcontracted to small businesses, Qwest will target the GSA s goals, shown in the table below, over the term of the contract. Qwest Targets GSA s Networx Universal Small Business Goals Overall Networx Universal Small Business Goals Total Small Business 39.00% Small Disadvantaged Business 6.00% Woman-owned 5.00% HUBZone 3.00% Service-disabled Veteran-owned 3.00% Veteran-owned 5.00% The overall attainment of the goals would be dependent on the nature of the services issued under each task order. 5 RFP: TQC-JTB-05-0001 March 22, 2007

Potential Subcontracting Spend 1. Qwest has identified potential areas small businesses may participate as show in the table below. Potential Areas for Small Business Participation 2. QGSI used the following methods to develop its subcontracting goals a. Reviewed the historical SF294 and SF295 data and evaluated it for trends b. Developed forecast of potential subcontracting opportunities with our on-site personnel. 3. Qwest has a wide breadth of sources available to identify potential subcontractors for solicitation purposes: a. Primary: Existing Qwest source lists, Small Business 6 RFP: TQC-JTB-05-0001 March 22, 2007

Administration Regional Director, Small, Small Disadvantaged and Women-Owned Small Business Concerns trade associations, and suppliers that utilize Minority/Women Business Enterprise(M/WBE) business concerns themselves. b. Secondary: National Minority Supplier Development Council, Minority Enterprise, Inc., Small Business Administration, Small Business Administration's Procurement Marketing and Access Network (PRO-Net), ethnic business chambers, procurement conferences, trade shows, Veterans Organizations, Qwest s employee's ethnic organizations and direct inquires from small business concerns through the M/WBE Web Site. Once a potential subcontracting source has been identified, an indepth analysis of their product and/or service capabilities, past performance, financial stability and references is conducted. Once this analysis is complete, they are entered into the Qwest database. When a need is identified, the most qualified vendors are selected for RFQ/RFP submission. We analyze all offers then selects the most qualified vendor on best value. Qwest supports many of the trade fairs, ethnic chambers and associations throughout the country. There is Qwest representation on the National Minority Supplier Development Council (NMSDC) board and also locally at Minority Enterprise Inc. Our representatives attend many of the local trade fairs including those of the Small Business Administration, councils and ethnic business chambers. At these functions, the representatives are available to identify potential small business resources and to answer any questions. Human resources are not the only resources provided by Qwest. The company funds these organizations through its support and sponsorship of various trade fairs, conferences and expositions each year. 7 RFP: TQC-JTB-05-0001 March 22, 2007

Potential subcontractors are invited to visit the QWEST small business web site for additional guidance. The Web site address is: http://www.qwest.com/largebusiness/industries/federal govt/fed business.html Qwest has also sponsored networking sessions for its strategic suppliers and potential small business subcontractors to meet one another for the purpose of forming alliances to meet our needs. 4. 5. The following individual will administer the subcontracting program: Name: Audrey D. Hallett Title: Senior Director Contracts and Procurement Address: 4250 N. Fairfax Drive, 4 th Floor Arlington, VA 22203 Telephone: (703) 363-3077 This individual has general overall responsibility for Qwest Government Services subcontracting program to include developing, preparing, and executing individual subcontracting plans and monitoring performance relative to specific plans. These duties include but are not limited to: a. Developing and promoting company/division policy statements that demonstrate the company's/division's support for awarding contracts and subcontracts to small business, HUBZone small business, small disadvantaged business and women- owned small business concerns. b. Developing and maintaining bidders' lists of small business, HUBZone small business, small disadvantaged business, veteranowned business, service-disabled veteran-owned business, and women-owned business concerns from all possible sources. c. Ensuring periodic rotation of potential subcontractors on bidders' 8 RFP: TQC-JTB-05-0001 March 22, 2007

lists. d. Assuring to small business, HUBZone small business, small disadvantaged business, veteran-owned business, service-disabled veteran-owned business, and women-owned business concerns are included on the bidders' list for every subcontract solicitation for products and services they are capable of providing. e. Ensuring that subcontract procurement 'packages' are designed to permit the maximum possible participation by small business, HUBZone small business, small disadvantaged business, veteranowned business, service-disabled veteran-owned business, and women-owned business concerns. f. Reviewing subcontract solicitations to remove statements, clauses, etc., which might tend to restrict or prohibit small business, HUBZone small business, small disadvantaged business, veteranowned business, service-disabled veteran-owned business, and women-owned business concern participation. g. Ensuring that the subcontract bid proposal review board documents its reasons for not selecting any low bids submitted by small business, HUBZone small business, small disadvantaged business, veteran-owned business, service-disabled veteran-owned business, and women-owned business concerns. h. Overseeing the establishment and maintenance of contract and subcontract award records. i. Attending or arranging for the attendance of company counselors at business opportunity workshops, minority business enterprise seminars, trade fairs, etc. j. Directly or indirectly counseling small business, HUBZone small business, small disadvantaged business, veteran-owned business, 9 RFP: TQC-JTB-05-0001 March 22, 2007

service-disabled veteran-owned business, and women-owned business concerns on subcontracting opportunities and how to prepare bids/proposals to QGSI. k. Providing notice to subcontractors concerning penalties for misrepresentations of business status as small business, HUBZone small business, small disadvantaged business, veteran-owned business, service-disabled veteran-owned business, and women-owned business concerns for the purpose of obtaining a subcontract that is to be included as part or all of a goal contained in the contractor's subcontracting plan. l. Conducting or arranging training for purchasing personnel regarding the intent and impact of Section 8(d) of the Small Business Act on purchasing procedures. m. Monitoring the company's performance and making any adjustments necessary to achieve the subcontract plan goals. n. Preparing and submitting reports timely. o. Coordinating the company's activities during compliance reviews by Federal agencies. 6. Qwest will make the following efforts to assure that small business concerns, HUBZone small business, small disadvantaged business, veteran-owned business, service-disabled veteran-owned business, and women-owned businesses will have an equitable opportunity to compete for subcontracts. These efforts include, but are not limited to, the following activities: a. Maintain liaison with Qwest Purchasing and Contracting personnel on small business, HUBZone small business, small disadvantaged business, veteran-owned business, service-disabled veteranowned business, and women-owned business matters. 10 RFP: TQC-JTB-05-0001 March 22, 2007

b. Monitor compliance with the 'Utilization of Small Business Concerns' clause. c. Administer the Company's Small Business Subcontracting Plan. d. Disseminate information regarding the Company's plan and Program to Qwest Government Servcies Contracting agents. 7. Qwest will include the clause 'Utilization of Small business Concerns' in all subcontracts that offer further subcontracting opportunities. Although we do not presently plan to award any subcontracts in excess of $550,000 ($1,000,000 for construction of any public facility), we recognize our responsibility to and will require all subcontractors, except small business concerns, that receive subcontracts in excess of $550,000 ($1,000,000 for construction) to adopt and comply with a plan similar to the plan required by FAR 52.219-9, Small Business Subcontracting Plan. 8. We will: a. Cooperate in any studies or surveys as may be required b. Submit periodic reports which show compliance with the subcontracting plan c. Submit Individual Subcontract Report,' and, 'Summary Subcontract Report,' in accordance with esrs instructions. d. Ensure that subcontractors agree to submit completed SF 294 and SF 295. 9. Qwest will maintain the following types of records to demonstrate the procedures we have adopted to comply with the requirements and goals in the plan, including establishing source lists; and a description of our efforts to locate small business concerns, HUBZone small business concerns, small disadvantaged business concerns, women-owned business concerns, veteran-owned businesses, and service-disabled veteranowned businesses. These records will include, but not be limited to, the 11 RFP: TQC-JTB-05-0001 March 22, 2007

following: a. Small business, HUBZone small business, small disadvantaged business, women-owned business concerns, veteran-owned, service-disabled veteran-owned small business source lists, guides, and other data identifying vendors. b. Organizations contacted for small business, HUBZone small business, small disadvantaged business, women-owned, veteranowned, service-disabled veteran-owned business concerns. c. Records on all subcontract solicitations resulting in an award of more than $100,000 indicating (1) whether small business concerns were solicited, and if not, why not; (2) whether HUBZone small business concerns were solicited, and if not, why not; (3) whether small disadvantaged business concerns were solicited, and if not, why not; (4) whether women-owned business concerns were solicited, and if not, why not; (5) whether veteran owned business concerns were solicited, and if not, why not; (6) whether service-disabled, veteran-owned business concerns were solicited and (7) if applicable, the reason award was not made to a small business concern. d. Records of outreach efforts to contact (1) minority and small business trade associations; (2) business development organizations and (3) attending small, small disadvantaged business, HUBZone small, minority and women-owned business concern procurement conferences and trade fairs conferences and trade fairs. (4) veteran-owned and service-disabled conferences and trade fairs. e. Records of internal efforts to guide and encourage buyers through (1) workshops, seminars, training programs, incentive awards, etc; 12 RFP: TQC-JTB-05-0001 March 22, 2007

and (2) monitoring buyers' performance to evaluate their compliance with the program's requirements. f. On a contract-by-contract basis records to support subcontract award data including the name, address and business size of each subcontractor. 10. Qwest contacted and requested capability statements in an attempt to form a configuration of small businesses for conducting Task Order competition for opportunities arising from the Networx program opportunities. This plan incorporates these small business concerns and they are show in the table below. 13 RFP: TQC-JTB-05-0001 March 22, 2007

14 RFP: TQC-JTB-05-0001 March 22, 2007

Qwest also anticipates utilizing a Small Business Coalition now being formed for this opportunity by a HUBZone and SDB company, Plasticomm, which will provide a portal for task order issuance to small businesses. 11. Qwest anticipates using the above small businesses and others in order to meet Small Business Goals contained in the FAR and DFAR. 15 RFP: TQC-JTB-05-0001 March 22, 2007

APPROVED/ACCEPTED: This subcontracting plan is submitted for QGSI by: Signature Audrey D. Hallett, Senior Director Contracts and Procurement Typed Name and Title March 14, 2007 Date This subcontracting plan is accepted for the General Services Administration by: Signature Typed Name and Title Date 16 RFP: TQC-JTB-05-0001 March 22, 2007