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Federal Register / Vol. 86, No. 138 / Thursday, July 22, 2021 / Proposed Rules
38879

Table 12: Small Federal Contracting Firms and Their Employees %of Affected Employees Affected Employees NAICS
in Small Total Small Total Small b Contracting Firms 11
5,891
4,215
79.8%
79.8%
530
423
21
1,209
1,067
27.7%
27.7%
16
4 22
5,136
4,148
10.9%
10.9%
437
48
23
59,968
47,996
44.0%
44.0%
30,028
13,200
31-33
55,688
42,481
11.2%
11.2%
10,291
1,157
78
52
42
20,324
17,252
66.7%
66.7%
44-45
10,150
9,116
37.1%
37.1%
15,225
5,652
48-49
22,145
19,387
21.2%
21.2%
42,284
8,976
51
19,571
17,191
22.8%
22.8%
4,884
1,112
52
3,713
2,382
3.0%
3.0%
2,428
73
53
20,247
8,012
58.0%
58.0%
112
65
54
119,289
93,513
31.4%
31.4%
48,126
15,093
55
551
259
0.0%
0.0%
0 0
56
39,261
32,615
27.7%
27.7%
104,544
28,979
61
17,188
11,717
33.9%
33.9%
6,119
2,074
62
36,587
16,916
21.3%
21.3%
18,808
4,013
71
29,195
27,654
65.5%
65.5%
5,648
3,697
72
15,587
13,186
37.7%
37.7%
25,060
9,444
81
24,277
15,143
25.5%
25.5%
5,505
1,402
Sum 505,977
384,252
28.3%
28.3%
320,124
95,465
Territories 1,245
841
33.6%
33.6%
7,186
2,412
Total 507,222
385,093
28.4%
28.4%
327,310
97,877
a Source: SAM May 2021. Companies with a missing primary NAICS code or a code of 92
are distributed proportionately amongst all industries. All firms are assumed to be potentially affected. Includes 33,485 additional subcontractors identified in USASpending.gov from 2015-2019 and includes 45,454 firms with operations on Federal properties or lands. For territories, data from USASpending.gov 2019. These firms in territories are then subtracted from the SAM firm counts by NAICS to avoid double-counting.
b Includes 12,151 additional subcontractors identified in USASpending.gov as small and 45,016 firms with operations on Federal land or property as small.
c Source: USASpending.gov. Percentage of contracting expenditures for covered contracts in small businesses in 2019.
B. Small Entity Costs of the Proposed Rule Small entities will have regulatory familiarization, implementation, and payroll costs i.e., transfers. These are discussed in detail in section IV.C.2.

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%of Expenditure in Small Contracting Firms c
and summarized below. Total direct costs i.e., excluding transfers to small contractors in Year 1 were estimated to be $11.3 million Table 13. This is 66
percent of total direct costs, among all firms, in Year 1 compared with 30
percent of affected employees in small
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contracting firms. Calculation of these costs is discussed in the following paragraphs.
Regulatory familiarization costs apply to all small firms that potentially hold covered contracts 385,100. Regulatory familiarization costs were assumed to
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Contractors a