SBA’s 8(a) Program Again Challenged and the Potential Impacts on Native Owned Entities
The Small Business Administration’s (SBA) 8(a) Business Development Program (8(a) program) faced new constitutionality challenges in a case filed at the U.S. Court of Federal Claims (COFC) by Advanced Simulation Technology Inc. (ASTi). ASTi protested a contract awarded to an Alaska Native Corporation (ANC) alleging, among other things, that the entire tribal 8(a) program is unconstitutional. While this case will likely be dismissed for reasons wholly unrelated to the constitutionality challenge, these allegations are sure to be raised again by . . . Read More
Rule of Two Changes: OMB Memo Aims to Make Rule of Two Apply to Task and Delivery Orders and SBA’s Proposed Rules, Coming Soon, Will Shape the Future Procurement Landscape
On January 25, 2024, the White House Office of Management and Budget issued a memo, Increasing Small Business Participation on Multiple-Award Contracts, calling for executive agencies to apply the FAR’s Rule of Two to task and delivery orders competed under multiple-award contracts. Contractors should take note that this change has the potential to significantly increase the number of small business set-asides, and in turn, it could mean millions more dollars in contract opportunities for small businesses. In this blog, we . . . Read More
Focus on SBA’s SBIC Program, Part 3: Demystifying the Intricacies of the SBIC Application Process
The Small Business Investment Company (SBIC) program is emerging as a powerful financial tool for small business government contractors seeking a transformative approach to financing and growth. This third blog in the series “Focus on SBA’s SBIC Program” demystifies the intricate SBIC application process and reveals strategic benefits associated with obtaining an SBIC license. Small business government contractors should familiarize themselves with the application process to unlock new avenues of capital to foster their success. Please visit this link for Part . . . Read More
Focus on SBA’s SBIC Program, Part 2: Decoding Regulations and Pre-Application Considerations for Small Business Government Contractors
This second installment of PilieroMazza ’s blog series “Focus on SBA’s SBIC Program” explores regulations governing SBIC status and considerations for potential applicants. Please visit this link for Part 1 in the series. For small business government contractors looking to leverage the opportunities presented by the SBIC program, it is imperative to understand the related regulations to safeguard the interests of both investors and small businesses. As discussed in the first part of this blog series, the SBIC program provides members with . . . Read More
SBA Regulatory Updates
SBA and ISOO Issue Guidance on Facility Security Clearances for Joint Ventures
On October 5, 2023, the Information Security Oversight Office (ISOO) and the Small Business Administration (SBA) released a Joint Notice that provides guidance on the facility security clearance (FCL) requirements for joint ventures (JVs). Government contractors participating in JVs to pursue classified work should be aware of FCL requirements for each member of the joint venture. As outlined in a prior blog post, historically, there has been confusion as to whether a JV can rely on the FCLs of its members. Some of . . . Read More
New Developments in Ultima Case: Potential Effect on Current and Future SBA 8(a) Program Participants
On September 15, 2023, Ultima Services (Ultima) filed a motion in the U.S. District Court for the Eastern District of Tennessee seeking additional equitable relief in its suit challenging the constitutionality of the Small Business Administration’s (SBA) 8(a) Business Development Program (8(a) program). [1] Ultima’s motion comes after the SBA’s recent suspension of new applications to its 8(a) program to comply with U.S. District Court Judge Corker’s July 19, 2023, decision. 8(a) contractors should be aware of these developments as the court’s . . . Read More
SBA Tightens Enforcement of HUBZone Regulations
Government contractors maintaining or seeking HUBZone certification should make themselves aware of the Small Business Administration’s (SBA) recent efforts to tighten and enforce new and existing rules surrounding the HUBZone program. In this client alert, PilieroMazza details the SBA’s enforcement efforts and the major implications for HUBZone contractors who do not comply with program requirements. On September 20, 2023, the SBA issued a press release announcing its plan to strengthen enforcement of HUBZone regulations. The press release, titled “U.S. Small Business Administration Acts . . . Read More
Focus on SBA’s SBIC Program, Part 1: Increasing Manufacturing and Supply Chain Opportunities for Small Business Government Contractors
PilieroMazza presents a series of blogs exploring the intricacies of the Small Business Administration’s (SBA) Small Business Investment Company (SBIC) program. This first installment covers the Biden Administration’s AM (Additive Manufacturing) Forward Initiative (the Initiative), the SBA’s SBIC program, and the role the Initiative plays in supporting and strengthening small business government contractors who manufacture and supply goods to the Department of Defense (DOD). AM Forward Initiative In the aftermath of the COVID-19 pandemic, global supply chains faced severe and unprecedented disruptions. The 2022 . . . Read More
PilieroMazza’s Tony Franco Discusses Changes to SBA’s 8(a) Program with Law360 and the Impact on Small Business Government Contractors
Changes to SBA’s 8(a) program, prompted by a recent district court decision, will make it more difficult for current participants to remain eligible for the 8(a) program and may dissuade potential participants from applying. With the SBA requiring social disadvantage narrative statements from current participants to be eligible to receive 8(a) contracts, there is a great deal of uncertainty as to how the SBA will evaluate the narratives of thousands of owners of 8(a) firms. In an interview with . . . Read More