Defense Bill would Boost Small Business Contracting Goal
May 8, 2012
The House Armed Services Committee has proposed raising the government's annual small-business contracting goal and giving business advocates more authority throughout the acquisition process.
The fiscal 2013 National Defense Authorization Act (H.R. 4301) would have the government set the overall contracting goal at 25 percent of the total value of all prime contracts for each fiscal year, not 23 percent as it currently stands. The government would also have to strive to award 40 percent of its subcontracts to small businesses.
The goals for individual categories of businesses, such as companies owned by women or service-disabled veterans, would remain the same.
"Improving small business opportunities for federal contracts is a triple play," Rep. Sam Graves, chairman of the Small Business Committee, told the committee in testimony in April. Small companies win more contracts, which create jobs. The companies also bring more competition and innovation to the market. The government saves money through competition and the industrial base stays healthy. He urged the committee to add small-business provisions into the bill.