SBA Considering 8(a), HUBZone Changes

The SBA is considering making changes to improve its socioeconomic programs–particularly the 8(a) and HUBZone Programs.

In a talk yesterday at the 2017 Navy Gold Coast Procurement Conference, Robb Wong, the SBA’s recently-appointed Associate Administrator, Office of Government Contracting and Business Development, discussed some of the big changes the SBA is considering.  And to my ears, at least, a lot of what Mr. Wong said makes good sense.

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8(a) Program: SBA Final Rule Makes Important Changes

The 8(a) Program regulations will undergo some significant changes as part of the major final rule recently released by the SBA, and effective August 24, 2016.

Here at SmallGovCon, we’ve already covered big changes to the SDVOSB Program and HUBZone Program brought about by the new SBA rule.  But the 8(a) program is affected by the new rule too, and important changes involving eligibility, the application process, sole source awards, NHOs, and more will kick in later this month.

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8(a) Program Improvements Needed, Says SBA OIG

8(a) Program improvements are needed to allow more disadvantaged firms to receive 8(a) contracts, according to a recent report issued by the SBA Office of Inspector General.

In its report, the SBA OIG credits the SBA with positive steps taken to improve the 8(a) Program, but says that more must be done to ensure that 8(a) business development assistance reaches more 8(a) Program participants.

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8(a) Program Fraud: Contractor Indicted; Government Seeks $9 Million

An Idaho contractor has been indicted on federal charges stemming from allegations that she fraudulently lowered her personal net worth in order to enable her company to be certified in the SBA 8(a) Program and the Department of Transportation’s Disadvantaged Business Enterprise Program.

According to a Department of Justice press release, the 8(a) and DBE fraud netted the contractor upwards of $9 million–and the Government wants its money back.

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