Since the inception of the program, the Federal Government has not met its goal to obligate 3 percent of eligible prime contract dollars to HUBZone small businesses. Twenty-four federal agencies under the Chief Financial Officers (CFO) Act of 1990 (CFO Act) accounted for 99.28 percent of the total prime contract dollars obligated to HUBZone small businesses in FY 2016 (total of $6.8 billion dollars). Of these agencies, only nine obligated 3 percent of their prime contract dollars to HUBZone small businesses in FY 2016: the Department of Agriculture (USDA); the Department of Commerce (DOC); the General Services Administration (GSA); the Department of Homeland Security (DHS); the Department of the Interior (DOI); the Office of Personnel Management (OPM); the Small Business Administration (SBA); the Department of Transportation (DOT); and the Department of the Treasury (Treasury). The agencies that achieved the 3 percent goal are being called “HUBZone Champions,” and the agencies that did not achieve the 3 percent goal are being called “HUBZone Aspirant Agencies” in this report.
The purpose of this evaluation is to examine factors that contribute to federal agencies reaching the HUBZone Program socioeconomic goal using a mixed-methods analytic approach.1 The SBA can use findings from the evaluation to develop strategies and additional studies to: 1) increase the number and dollar amount of HUBZone contracts to eligible small businesses, 2) support the improvement of marketing and best practices of the HUBZone Program across CFO Act agencies, and 3) provide recommendations for the HUBZone Program.
Big Changes Are Coming for SBA's HUBZone Program
October 31, 2018
For the first time in 20 years, SBA is proposing an extensive overhaul of its regulations for the HUBZone program. SBA recognizes the difficulty firms face getting into and staying in the HUBZone program, so they are revising the HUBZone rules to provide greater certainty to HUBZone applicants and participants. The proposed rule would reduce the regulatory burdens imposed on HUBZone small business concerns and on government agencies by eliminating ambiguities in the regulations and making it easier for HUBZone firms to understand and comply with the program requirements. This is welcome news for HUBZone firms as well as federal agencies and prime contractors that have struggled to meet their HUBZone spending goals. CONTINUED
SMALL BUSINESS ADMINISTRATION
Defense Federal Acquisition Regulation Supplement
OPM to Agencies: ‘Be Mindful’ of Policies in Trump’s Workforce Orders Despite Court RulingAccording to an article on Govexec.com, Office of Personnel Management acting Director Margaret Weichert issued new guidance for agencies to implement three controversial executive orders, despite the fact that their key provisions were struck down in federal court in August. In a memo to agency leaders, Weichert acknowledged that provisions making it easier to fire federal employees, setting time limits on collective bargaining negotiations, and restricting grievances and the use of official time was ruled unlawful by U.S. District Judge Ketanji Brown Jackson last summer. But she encouraged agencies to continue to pursue the spirit of those executive orders in their ongoing negotiations for new contracts with federal employee unions. The Justice Department is in the process of appealing that decision to the U.S. Court of Appeals for the D.C. Circuit, although its request to expedite the case was denied. The government’s opening brief is due December 7th, and unions’ response will be due in February.
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Don’t undermine the goals of small business contracting.
Of late, it seems the federal government’s small business programs have been under attack with fallacies and false narratives, despite having been proved untrue time and time again. Perhaps this is not surprising given the more recent success of the programs. Over the previous eight-year term, the federal government provided an unprecedented commitment to small business programs, which resulted in more federal procurement dollars going to small businesses. In fact, over $90 billion annually went to small and disadvantaged firms and the government met federally mandated small business goals, which either had never been achieved or had not been met for almost a decade. CONTINUED