8(a) Construction Contractors Get More Time to Meet SBA’s Bona Fide Office Requirement
On August 21, 2023, Small Business Administration (SBA) Administrator Isabella Casillas Guzman announced the extension of the 8(a) Business Development Bona Fide Place of Business (BFPOB) Requirement Moratorium from September 30, 2023 to September 30, 2024. Construction contractors in the 8(a) Program should make note of the new date and prepare accordingly to ensure eligibility for future contracts. Visit this link for PilieroMazza’s previous coverage on this topic. The BFPOB requirement provides that for 8(a) Business Development Program participants working on government . . . Read More
SBA to Require Individually-Owned 8(a) Firms to Support Social Disadvantage Prior to 8(a) Award Approval
As PilieroMazza recently reported , on July 19, 2023, the U.S. District Court for the Eastern District of Tennessee declared that the Small Business Administration’s (SBA) rebuttable presumption of social disadvantage violated the equal protection rights of a government contractor and prohibited SBA’s use of the rebuttable presumption in administering the 8(a) Business Development Program. Below, we cover important developments 8(a) contractors should pay close attention to in order to stay in compliance and compete for and be awarded 8(a) contracts. . . . Read More
SBA Releases Semi-Annual Regulatory Agenda: The Economic Impact on Small Business Government Contractors
On July 27, 2023, the Small Business Administration (SBA) released its Semi-Annual Regulatory Agenda (Agenda) summarizing nine current and projected rulemakings. Notably, the SBA identified these rules as likely to have a significant economic impact on a large number of small businesses in the government contracting community. According to the Agenda, three rules are in the Proposed Rule Stage, three rules are in the Final Rule Stage, and three rules have been updated as Completed Actions. Below, PilieroMazza briefly describes each rule and . . . Read More
FedScoop Interviews PilieroMazza’s Tony Franco on Judge Prohibiting Use of Presumed Racial Disadvantage in SBA 8(a) Program
A federal judge in Tennessee struck down the Small Business Administration’s use of presumed racial and ethnic disadvantage as a qualification for SBA’s 8(a) Program—a keystone program intended to broaden the government contracting landscape for small business government contractors—throwing it into uncertainty. In an interview with FedScoop, PilieroMazza ’s managing partner, Tony Franco , said he doesn’t believe the ruling would apply to people currently in the program, but that it could have a chilling effect on working with businesses in the program. . . . Read More
Federal Court Prohibits SBA’s Use of Rebuttable Presumption for 8(a) Program
On July 19, 2023, the U.S. District Court for the Eastern District of Tennessee issued an important decision where it declared that the Small Business Administration’s (SBA) rebuttable presumption of social disadvantage, which is used in admitting many small-disadvantaged businesses to the SBA’s 8(a) program, violated the equal protection rights of a government contractor and enjoined the use of the rebuttable presumption in administering the 8(a) program. Ultima Servs. Corp. v. U.S. Dep’t of Agric., No. 2:20-CV-0041-DCLC-CRW (E.D. Tenn. July . . . Read More
SBA’s New Lending Rules Improve Small Business Growth Opportunities
On April 12, 2023, the U.S. Small Business Administration (SBA) published two new rules: (1) Small Business Lending Company (SBLC) Moratorium Rescission and Removal of the Requirement for a Loan Authorization (Moratorium Rule) and (2) Affiliation and Lending Criteria for the SBA Business Loan Programs (Affiliation Rule), collectively, the Rules. The Rules focus on combating persistent gaps in access to capital affecting small business owners in underserved communities. Starting May 11, 2023, small businesses and entrepreneurs will have more opportunities to obtain capital for growth and development. The Moratorium Rule Small businesses and entrepreneurs face major issues related to limited access to capital and restrictions imposed . . . Read More
Forming a Joint Venture? SBA Stresses Importance of Complying with State Law
As PilieroMazza previously highlighted , contractors wishing to pursue set-aside work through small business joint ventures (JVs) must comply with the Small Business Administration’s (SBA) JV regulations, which require certain JVs to have detailed and specific JV agreements (JVAs). A recent case from SBA’s Office of Hearing and Appeals (OHA) highlights just how important it is that small business JVs also comply with applicable state laws. Contractors should be aware that failing to comply with state laws can cause a small . . . Read More
SBA Releases Preview of New HUBZone Maps Effective July 1, 2023
HUBZone contractors have been anxiously awaiting updates to the HUBZone maps. In 2021, SBA extended the “freeze” on the HUBZone maps until June 30, 2023, to provide enough time to update the maps based on the 2020 Census results. SBA targeted the release of a beta version of the new HUBZone maps in January 2023, and SBA recently hit that mark. A preview of the new HUBZone maps that will take effect on July 1, 2023, is now up on . . . Read More
SBA Regulatory Updates
Final Rule Establishes Requirements for New SBA Veteran Small Business Certification Program
The Small Business Administration (SBA) issued a final rule last week, officially transferring the responsibility for certification of veteran-owned small businesses (VOSB) and service-disabled veteran-owned small businesses (SDVOSB) to SBA, effective January 1, 2023. We previously blogged about this change here , indicating that Section 862 of the National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2021 provided for the elimination of the Department of Veterans Affairs’ (VA) certification program altogether and implementation of a certification requirement for all VOSB / SDVOSB . . . Read More