SBA Inspector General Questions Legality of Relaxed HUBZone Residency Rule

Last December, SBA overhauled its HUBZone Program rules in an effort to make it easier for companies to obtain and maintain HUBZone certification–and to help the Government stop falling so woefully short of the three percent HUBZone prime contracting goal.

But now, in a new report, SBA’s internal watchdog is questioning whether one of those HUBZone Program changes went too far.

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SmallGovCon Week in Review: Oct. 26 – Oct. 30, 2020

Happy Halloween, SmallGovCon readers! My kids are definitely excited about Halloween, even though the trick or treating will be a little different than in years past.

But there is more to be excited about. Next week is National Veteran Owned Small Business Week. Check out SBA’s events and resources for more information, and join us in celebrating the many veteran-owned small businesses around the country.

This week saw a number of important stories, ranging from an idea for a new set-aside category for federal contracts, an update on SBA’s lending in 2020, and a number of enforcement actions involving federal contracting fraud. Read on for more updates.

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Govology’s Government Contracts Year in Review is Coming–And It’s Easy to Get a 25% Discount

Over the last several years, I’ve established an important pre-holiday December tradition. No, not decking the halls or leaving carrots for the reindeer–I’m talking about presenting the annual Government Contracts Year in Review webinar, hosted by my good friends at Govology. The Year in Review covers the year’s biggest government contracting developments, with a special emphasis on small business issues.

The 2020 Year in Review is scheduled for Tuesday, December 15. And just like Kris Kringle, I’ve got a special gift for this year’s well-behaved contractors and acquisition professionals: a 25% discount!

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Event: APTAC Limitations on Subcontracting Session

For small businesses and their teammates, few topics in government contracting are as confusing as the limitations on subcontracting for set-aside and socioeconomic sole source contracts.  And if that isn’t stressful enough, the “LoS” is an area of heavy enforcement: get it wrong, and a contractor can face major penalties.  

Wouldn’t it be nice if someone would explain the limitations on subcontracting in plain English?  Well, if you’re a PTAC counselor, you’re in luck. On November 5, 2020, Koprince Law LLC Senior Partner Steven Koprince will present a session at the 2020 APTAC Fall Conference to help PTAC counselors and their clients understand and comply with this essential rule.

SBA Rule Tamps Down Joint Venture Unequivocal Control Requirement

The SBA’s new rule on Consolidation of Mentor-Protégé Programs contained a lot of updates. One of those concerned the level of control that a lead joint venture member has to have over a joint venture.

In particular, SBA now says that the lead venturer doesn’t have to have unequivocal control as the Office of Hearings and Appeals had suggested in the past. The other joint venture partners can have some say in the joint venture, but how much?

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SBA Clarifies How to Calculate Joint Venture Receipts for Small Business Size Purposes

In many industries, small business status under SBA’s government contracting rules depends on a company’s average annual receipts. But if a company is a member of a joint venture, it can be confusing figuring out which joint venture receipts count toward the company’s small business size.

Fortunately, in its recent new rule, SBA has provided two important clarifications. Let’s take a look.

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