If you got an aggressive email from the SBA earlier this month requesting an awful lot of documentation and information in relation to your 8(a) Program participation—you are far from alone. SBA actually sent this December 5th email to about 4300 current and past 8(a) Program participants. And if you too found yourself reading and rereading SBA’s specific requests trying to determine exactly what the SBA is looking for—but to no avail—you are again far from alone. Now, we at SmallGovCon don’t have all the answers or any insider knowledge. But we offer you these five tips for surviving the 8(a) audit—based on our vast experience with the fundamentals of legal language interpretation and our expertise with the 8(a) Program regulations and standard operating procedures.
Continue readingTag Archives: 8(a) annual report
8(a) Program: SBA Final Rule Makes Important Changes
The 8(a) Program regulations will undergo some significant changes as part of the major final rule recently released by the SBA, and effective August 24, 2016.
Here at SmallGovCon, we’ve already covered big changes to the SDVOSB Program and HUBZone Program brought about by the new SBA rule. But the 8(a) program is affected by the new rule too, and important changes involving eligibility, the application process, sole source awards, NHOs, and more will kick in later this month.
Missing Mentor-Protege Reauthorization Sinks 8(a) JV’s Bid
An 8(a) joint venture was unable to show that its mentor-protege agreement had been renewed by the SBA for a particular year–and the missing reauthorization caused the joint venture to be ineligible for a small business set-aside contract.
In a recent decision, the SBA’s Office of Hearings and Appeals held that an 8(a) joint venture could not avail itself of the mentor-protege exemption from affiliation when there was no evidence to show that the SBA had renewed the mentor-protege relationship for the year in which the joint venture’s proposal was submitted.
8(a) Fraudster Hit With 42-Month Prison Sentence
A federal judge has sentenced a Maryland man to 42 months in prison for fraudulently obtaining contracts under the 8(a) Program.
According to a Department of Justice press release, after Vernon J. Smith III serves his prison sentence, he will be subject to three years of supervised release. And on top of the prison sentence, the federal judge ordered Smith to pay more than $7 million in restitution and forfeiture.
8(a) Fraud: Contractor Fraudulently Obtained $52 Million, Says DOJ
A Maryland man has pleaded guilty in an 8(a) fraud case involving a company that received more than $52 million in 8(a) contracts to which it was not entitled.
According to a Department of Justice press release, Vernon Smith pleaded guilty to charges that he (not the company’ s disadvantaged majority owner) exercised complete control over the company’s day-to-day management and long term decision making.
SBA 8(a) Program: Participant Terminated For Missing Annual Report
When it comes to the regulations governing small government contractors, lateness can lead to tough consequences. For instance, responding late to a small business size protest might cause the SBA to conclude that the contractor is a large business, and a late proposal submission can get a bid tossed out.
Lateness can also lead to severe consequences within the SBA 8(a) program. In a recent decision, the SBA Office of Hearings and Appeals held that the SBA properly terminated an 8(a) program participant because the participant had failed to submit a complete 8(a) annual report–months after the deadline had passed.