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DON'T WAIT FOR CHANGE, MAKE IT HAPPEN!
OCTOBER  RECESS ALERT

WHY YOU SHOULD ADVOCATE

The HUBZone Council advocates for policies that bring opportunities to HUBZones and contracting opportunities for HUBZone companies. On Capitol Hill and Federal agencies, the Council’s policy team is active in promoting our agenda. However, any successful advocacy effort also includes direct communications between constituents and their elected officials. That is where you come in. As HUBZone certified companies, you are affected by government policy every day. Engagement with lawmakers in your home districts can make all the difference when advocating for meaningful policy changes to the program and acquisition policies that impact federal buying.

HOW TO REACH YOUR ELECTED OFFICIALS

The best way to make sure the Council’s message is heard is to schedule a meeting with your Senators and Representative through their local district office, but other options also exist.

        • Click here to find your Representative by entering your zip code. Each Member has a website with the locations and phone numbers of District/State offices.
        • Click here to find your Senator by entering your state.
        • Schedule a meeting with your legislators. Call their district office and be flexible. You may have to make more than one call to arrange this meeting.
        • An alternative to one-on-one meetings is attending District/State town hall meetings. These are open to the public and can generally be found on the Member’s website or by contacting the office. If you attend one of those events, you can request a brief introduction with the Member.
        • Additionally, you can use the content in this recess alert to send in the form of a letter to your legislator. You can find their contact information through the links above
        • Finally, social media, including Twitter and Facebook, are brief, but well-used avenues for communicating with legislators. Congressional Committees also have social media accounts where comments can be directed.


MAKING THE MEETING VALUABLE

The goal of Congressional outreach during recess is to amplify the message the HUBZone Council builds in Washington. Start by introducing yourself, your business, and the contribution your company makes to the community.

Meeting tips:

        • Keep It Simple: Members will likely not know the ins and outs of our policy requests. Likewise, you are not expected to be a policy expert.
        • Keep It Concise: These meetings tend to be short. Know what you want to say and focus on the “ask.”
        • Have Your Leave Behind Letter: Leave behind the Council’s letter regarding the issue at hand.
        • Follow Up: Follow up matters. After the meeting, be sure to send the appropriate thank you email to the legislator and any staff members in attendance. If you discussed any items that need to be passed along, please do so in a timely fashion. If the legislator asked you any questions and you need additional information, please feel free to send your requests to Michelle Burnett at info@hubzonecouncil.org.


WHAT TO TALK ABOUT

Reasons to Move SBA Authorization Effort Forward in the Senate

The Council’s advocacy team has been working closely with the Senate Committee on Small Business and Entrepreneurship to make necessary changes to programs benefitting small business owners through the Small Business Administration (SBA). The Committee was scheduled to vote on the Chairman’s draft bill combining many important changes on July 24. Unfortunately, the Committee postponed action after failing to agree on proposed regulatory changes contained in the draft legislation. The Chairman’s draft contains nine critical changes that, if passed, will be game-changers for HUBZone companies.

Now is the time to contact your Senator and ask them to express support for moving forward the SBA Reauthorization legislation, including the below changes supported by the HUBZone Council.

  1. Raises sole source thresholds to $8 million generally and at $10 million for manufacturing contracts.
  2. Allows sole source contracts for each option year instead of the current one-time award.
  3. Eliminates the rule of two language for sole source contracts from the HUBZone, WOSB, and SDVOSB programs.
  4. Requires SBA to report for each agency its goal achievement including the number, dollar amount, and distribution of subcontracts awarded to small businesses each year.
  5. Requires the offices of small and disadvantaged business utilization (OSDBUs) to assist contracting officers with subcontracting compliance and developing remedial plans.
  6. Solidifies Small Business Runway Extension Act, allowing for 5-year average of gross receipts for revenue based NAICS codes and adds employee based NAICS codes to the calculation by allowing them to also use a 5-year average for the purposes of size determination.
  7. Requires agencies to pay small business contractors for work performed within 15 days of performance.
  8. Adds the SBA as a member of the Federal Acquisition Regulatory (FAR) Council.
  9. Expands the definition of HUBZones to include opportunity zones.


Tell your Senator to open doors for HUBZone businesses by urging them to express support to the Senate Committee on Small Business and Entrepreneurship that the Committee move forward with SBA Reauthorization legislation. 


Comment on SBA Runway Proposed Rule

On Monday, June 24, the Small Business Administration (SBA) issued a long-awaited proposed rule, implementing the Small Business Runway Extension Act, which was signed into law in December 2018. SBA has failed to implement the law; choosing to instead invoke its rule making process.

The proposed rule lengthens the time by which the SBA measures business size through revenue from the average of the past three years to the average of the past five years. This modification is designed to reduce the impact of rapid- growth years, which may prematurely eject a small business out of their size standard.

The rationale behind this proposed change can be stated simply: competitiveness takes time to build.  Revenue is not an indicator of present competitiveness; it is an indicator of future competitiveness. Larger small businesses that are about to graduate from the set-aside world need time to recruit talented employees, develop their intellectual property and build infrastructure to compete at the next level. Having a good year (or even a couple of good years) does not mean that the company will continue to grow. Moving from the current three-year look-back, to a five-year look back, would give firms more time to adjust to the full-and-open marketplace.

SBA specifically seeks feedback on whether SBA should calculate annual average receipts over five years for all industries subject to receipts-based size standards or on whether it should use a five-year annual receipts average for businesses in services industries only and continue using a three-year annual average for other businesses.

The deadline to submit comments to SBA is August 23. You may submit comments here by clicking the “Comment Now!” button in the upper right hand corner.

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 © 2018 HUBZone Contractors National Council 
HUBZone Contractors National Council is a 501(c)6 non-profit organization.

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