SBA Issues 2021 Small Business Scorecard, Small Businesses Contracting Over $154 Billion!

The SBA recently released the Government Wide Small Business Procurement Scorecard for fiscal year 2021. This annual scorecard details information on the various categories of small businesses recognized by the SBA, including whether SBA met its goals related to small business federal contractors. Specifically, the scorecard is used to assess “how well federal agencies reach their small business and socio-economic prime contracting and subcontracting goals,” to “provide accurate and transparent contracting data,” and “report agency-specific progress.” SBA met or exceeded its goals in the majority of categories despite the fact that the overall number of small businesses decreased. Below, we take a look at the process, the numbers, and discuss which groups are, and which are not, receiving the greatest benefits.

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The FAR will Soon Allow Small Business Set-Asides Outside the US

Small business federal contractors may soon want to think about getting new luggage. The FAR will be updated to allow for–but not require–small business set-asides in overseas procurements. This has the potential to open up a substantial number of contracting opportunities to small businesses who have the capabilities to compete. The final rule will be effective May 26, 2022. Here are some of the key details to know about.

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SBA Confirms that Size Status Relates Back to Time of Offer, Even After Sale of Small Business

Over the years, SBA size regulations have included the general rule that the size status of a business generally relates back the time of initial offer on a contract. Therefore, a small business generally stays small for the duration of a federal contract, with some exceptions. However, there was also language in the rule that required small businesses to recertify their size status after being acquired or going through similar transactions. The effect of this recertification requirement was always a little unclear. If you recertify as large, does that have any effect on your small business status for orders under contracts awarded when the business was small? Now, OHA has answered that concern.

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White House Proposes Reforms to Increase Dollars to Underserved Small Businesses

Small businesses are often seen as the backbone of the economy. Contained within the category of small businesses are what are known as Small Disadvantaged Businesses or SDBs. Currently, the federal government has a goal to award 5% of its contracting dollars to SDBs. The White House is seeking to triple this number by 2025. The White House recently released a Fact Sheet as to how it intends to meet this goal. So, let’s dive into some of the specifics.

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House-Passed 2022 NDAA Raises Small Business Goal to 25% and Increases SDVOSB, HUBZone, SDB and WOSB Goals

The version of the 2022 National Defense Authorization Act passed by the House of Representatives on September 23 would increase the government’s small business prime contracting goal from 23% to 25%.

The House-passed version of the 2022 NDAA would also increase the prime contracting goals for service-disabled veteran-owned small businesses, HUBZone small businesses, small disadvantaged businesses, and women-owned small businesses.

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Does the SBA’s Rosy Spin on Goaling Achievement Hurt Small Businesses?

“Overpopulation crisis solved!” That’s the sort of headline I expect the SBA’s press team would write the day after a global thermonuclear war.

Obviously, I’m exaggerating a wee bit to make my point, but the SBA’s press release on FY 2020 small business goaling achievement follows a pattern I’ve seen across several Presidential administrations and SBA Administrators: when it comes to reporting on the small business goals, the SBA fervently emphasizes the good news while almost entirely ignoring the bad.

If you look past the headlines and examine the raw data, there is plenty of bad news to be found in the FY 2020 goaling report. So is the SBA doing a disservice to small businesses by pretending this bad news doesn’t exist?

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GSA’s Federal Acquisition Service Over-Reported Small Business Contracts by $89 Million

Every year, when the SBA releases its annual Small Business Procurement Scorecard, I hear from a few folks who mistrust the data. “I think small business awards are being over-reported,” is a pretty common theme for Scorecard skeptics.

A new GSA Office of Inspector General report is a reminder that it’s not paranoia if people are really out to get you. According to the GSA OIG, the GSA’s Federal Acquisition Service over-reported small business contracts by a whopping $89 million in just two fiscal years.

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