Congress Reauthorizes SBIR/STTR, Adds a Few Wrinkles

Congress recently approved reauthorization of both the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs. The law, known as the ‘‘SBIR and STTR Extension Act of 2022’’, was ratified by the House on September 29 and became law on October 3, 2022. While the big takeaway is that the SBIR and STTR programs will continue, this post will highlight a few additional restrictions that were put into place for these important programs. Included among these are some additional reporting and oversight for companies with a lot of awards and foreign influence over companies.

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Yes, No, Maybe? Understanding the Reason Behind SBA-Required Mentor-Protégé Agreement Questions

The SBA’s Mentor-Protégé Program offers a myriad of benefits to both Mentors and Protégés who participate in the Program. Small business Protégés benefit from the assistance provided by their SBA approved Mentor, which can include anything from guidance on how to find solicitations and make offers, to financial support in the form of loans or bonding. Mentors benefit because participation allows them to compete for and be awarded contracts in which they may not otherwise qualify for. In fact, SBA even provides a bare bones template for Mentor-Protégé Agreements, complete with 21 yes or no questions that every Mentor-Protégé Agreement must include. A “yes” answer to any of those questions requires the applicant to provide additional information demonstrating why this should not disqualify the Mentor and Protégé from working together. But have you ever stopped to consider the reasoning behind these questions? Likely not, if you have never had to check a “yes” answer. However, knowing the “why” behind these questions is information that every small business federal contractor could benefit from. I’m going to take you through these questions to demystify their application, which will allow you to quickly identify potential problems in the future.

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Who You Gonna Call? Your Contracting Officer

In our line of work, we regularly litigate protests, appeals, claims, etc., against the Government. But often, procuring and contracting issues can be resolved without the need for litigation–via a little-known method we like to call “talking things out with your CO.” There are also opportunities to communicate with your contracting officers for networking and marketing purposes that many contractors (often unnecessarily) shy away from. This article is the first of three articles that will provide you with some tips for when and how to communicate with your contracting officer at different steps of the procurement process. This article will focus on pre-solicitation and solicitation communications; the next will focus on proposal submission communications; and the third will focus on contract performance communications.

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SBA Proposed Rule Relaxes Change of 8(a) Program Ownership, Allows Limited Populated Joint Ventures

The SBA has issued new proposed rules relating to the 8(a) Program. The rules clarify some aspects of ownership and control requirements for the 8(a) Program, including making change of ownership a little easier and cleaning up some 8(a) set-aside processes. The rule would also allow for populated joint ventures between similarly situated joint venture members.

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Congress Directs SBA to Take Stab at COVID-19 Loan Fraud

President Biden signed two bills aimed at preventing fraud by participants within the Small Business Association on August 2, 2022. H.R. 7334 is titled the COVID-19 EIDL Fraud Statute of Limitations Act of 2022 (EIDL Act). H.R. 7352 is titled the PPP and Bank Fraud Enforcement Harmonization Act of 2022 (PPP Act). Both Acts establish a ten-year statute of limitations for fraud by borrowers under their respective programs. The head of the U.S. Small Business Administration, Administrator Isabella Casillas Guzman credited the Acts with a renewed ability to investigate and prosecute borrowers who committed fraud in SBA lending programs created to assist small businesses during the height of the COVID-19 pandemic.

For both programs, the main purpose is to put in place a a ten-year statute of limitations for fraud.

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Reading the Tea Leaves from SBA’s Regulatory Agenda

We’re back with another edition of looking for interesting tidbits from SBA’s semiannual regulatory agenda. SBA (along with other agencies) provide a guide to upcoming regulations. This schedule can help contractors determine when SBA is likely to update certain rules. Here are a few key updates.

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Back to Basics: Types of Affiliation

This is a the second article of two taking you back to the basics of affiliation. The first, giving you a general overview of affiliation, can be found here. This follow-on article goes through the different bases for affiliation, as set forth in SBA’s affiliation regulations. Keep in mind though, this is still affiliation “basics” and does not go into a detailed analysis of each type of affiliation, as that would be a novel–not a blog.

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