The number of small businesses receiving government contracts dropped yet again in Fiscal Year 2020–and the four-year decline is 12.7%.
In its FY 2020 goaling scorecard, the SBA reported that 45,661 distinct small businesses received contracts in the top 100 NAICS codes. The previous fiscal year, 46,661 distinct small businesses received contracts. Four years ago, when SBA first started including this statistic in its annual reports, the number stood at 51,866. Clearly, the numbers are going in the wrong direction.
In 2020, the GAO Bid Protest effectiveness rate crossed the 50% threshold, higher than we’ve seen it in any recent year. Overall, cases filed went down a mere 2% year over year.
GAO issues its yearly report as a requirement under statute. Congress is particularly concerned with knowing 1) which federal agencies didn’t follow GAO’s recommendations in bid protests and 2) if GAO did not issue a decision in 100 days. As like most years, GAO was “pleased” to report that all agencies followed its recommendations, when given, and that it timely (within 100 days) decided all bid protests.
SBA’s Office of Inspector General (OIG) recently inspected SBA’s 2019-2020 corrective actions to determine whether they had effectively reduced the risks previously found in SBA’s 8(a) Program eligibility determinations. Apparently, the OIG liked what it saw.
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.
The SBA’s “Certify” website, certify.SBA.gov, has fallen far short of meeting its objectives, according to an eye-opening report from the SBA’s Office of Inspector General.
The OIG concludes that, despite an investment of $30 million, Certify “does not have many of the essential search, analytical, and reporting tools it was supposed to have.” Additionally, Certify’s lack of functionality has forced SBA employees to use time-consuming workarounds, causing delays in screening and approving applications, among other things.
The SBA’s FY2019 Small Business Procurement Scorecard came out recently and revealed some interesting trends in the dollars and cents of small business contracting. While there are a lot of positives for small businesses, not all the numbers are great. Read on for the details!