As we said in this space a few days ago, the SBA has put in place a safe harbor until May 14 for companies to return Paycheck Protection Program loan money if they find they don’t need it. No harm, no foul.
So, what happens if they don’t need it, but don’t return it? Maybe Clubber Lang said it best.
Just like the elves in Santa’s workshop, Congress has been busy this winter season! Among the chaos, three bills with the potential to impact small business Federal government contractors have been percolating. The first and third bill propose amendments to laws already in place covering surviving spouses of SDVOSB owners and the Department of Homeland Security’s Mentor-Protege Program, while the second bill proposes an entirely new SBA program for small businesses geared toward promoting research and development efforts.
The proposed National Defense Authorization Act for fiscal year 2020 introduces new pathways for certain Department of Defense software acquisitions. These proposed software acquisition pathways would be separate from the traditional Department of Defense acquisitions process, and contain sweeping streamlining functions, especially within their supervisory structure.
If passed, this new pathway could have a significant effect on how defense agencies acquire software.
This changes the period of time the U.S. Small Business Administration uses to measure a business’s size in revenue-based size standards from three years to five years. The law doesn’t say that there will be a period of implementation, so it’s reasonably safe to assume the effect is immediate.
With the stroke of a pen, Congress may have just paved the way for some soon-to-be large businesses to remain small for longer.
Both the House of Representatives and the Senate have passed a bill that would amend the Small Business Act to change the period of measurement used to determine the size of a business from three years to five. The bill awaits the president’s signature to become law.