Amidst the news cycle focusing on the government shutdown, there is some other action in the House of Representatives that recently caught our eye.
The House recently passed a bill called the “Expanding Contracting Opportunities for Small Businesses Act of 2019.” If the bill becomes law, we will see a dramatic expansion in the size of sole source contracts for SDVOSBs, WOSBs, and HUBZones.
Flash forward almost four years, and the SBA has not yet implemented a WOSB certification program. In fact, the SBA hasn’t even proposed rules to implement such a program. Instead, although the SBA continues to license a few third-party certifiers, the SBA also continues to say that WOSBs “can self-certify directly at certify.sba.gov by answering questions and uploading documents.”
So where the heck is the mysteriously missing SBA WOSB certification program? And is it even legal for the SBA to continue allowing WOSB self-certification?
Nearly 90% of women-owned small business sole source contracts reviewed by the SBA Office of Inspector General were improper, according to a startling report issued yesterday.
In the study, the SBA OIG concluded that because of pervasive flaws in the award of WOSB and EDWOSB sole source contracts, “there was no assurance that these contracts were awarded to firms that were eligible to receive sole-source awards under the Program.” And if that wasn’t enough, the SBA OIG reiterated its position that, as a legal matter, it is improper to award any WOSB or EDWOSB sole source contract to a self-certified company.
Under a multiple award contract, the underlying contract ordinarily governs whether a contractor qualifies as a woman-owned small business for purposes of task or delivery orders.
As demonstrated in a recent SBA Office of Hearings and Appeals decision, if a company qualifies as a WOSB or EDWOSB at the time of its initial offer on the underlying multiple-award contract, it will also qualify as a WOSB or EDWOSB for each order issued against the contract, unless the contracting officer requests recertification in connection with a particular order.
I recently joined host “Game Changers” podcast host Michael LeJune of Federal Access for an in-depth discussion of recent WOSB program changes, and where the WOSB program goes from here. Click here to listen to the podcast, and visit the Game Changers SoundCloud page for more great discussions with government contracting thought leaders.
Taken as a whole, the Government-wide performance metrics for small business utilization are encouraging.
The Small Business Administration’s FY2015 report card shows that the Government exceeded its prime contracting goals across four of the five socioeconomic categories measured. Moreover, the amount of federal spend going to small businesses reached an all-time high of over 25%.
While my week consisted mostly of convention halls and Cubs, there was no shortage of news in the world of government contracting.In this week’s SmallGovCon Week In Review, a company was able to continue contracting with the VA even after it was indicted and convicted of fraud, a new report indicates that WOSBs are still being shut out of opportunities to earn major government contracts, a look ahead to the election and what changes may lie for federal contractors, a contractor gave a high-ranking government official free living space–and didn’t violate the ethics rules–and much more.