Onvia Hosts #ProcureChat on Inauguration Day

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Our friends over at Onvia hosted a Twitter chat on Inauguration Day to discuss the incoming presidential administration and the outlook for government contracting. We were happy to participate. They posted highlights from the discussion on their blog. Be sure to check it out.


Congress Scraps Plan to Reduce Federal Contracts for Small Businesses

The Pentagon

Photo by Charles Dharapak/AP

From Robb Mandelbaum writing in Forbes:

Back in the fall, small business advocates were aghast to discover that the U.S. Senate, a champion of small business when it comes to speechifying, had crafted a defense authorization bill that threatened to cut federal government contracts to small companies by as much as a 25 percent.

The legislation in question was Section 838 of the annual National Defense Authorization Act, which appeared to allow the Department of Defense to count subcontracts with small businesses on big weapons programs against the agency’s prime contract goals. Under current law, the Defense Department, like every other federal agency, must set separate goals for prime contracts awarded to small firms and subcontracts awarded to them. The Pentagon spends 60 percent of all federal contracting dollars eligible to go to small businesses; if the provision had become law, it could have replaced as much as $22 billion in prime contracts with subcontracts.

The House of Representatives had no similar provision in its version of the defense authorization bill, and it was unclear whether the Senate would have its way when the two chambers crafted a compromise.

You can read the full story here.