Actions Increasing Opportunities for Minority, HUBZone and Women Owned Firms
President Clinton signed an Oct 6 Executive Order No. 13,170 aimed at increasing federal government contracting opportunities for minority small businesses. The order calls for agencies to establish separate goals for contracting with 8(a) firms, small disadvantaged businesses (SDBs) and minority business enterprises (MBEs). The goals are in addition to the current government-wide goals of contracting with 23 percent small businesses and at least 5 percent of total prime and subcontract dollars going to SDBs. To achieve these goals, agencies are to enforce commitments from prime contractors to use SDBs as subcontractors, require each agency to submit implementation plans within 90 days, submit annual reports on efforts to achieve goals and “agressively” seek participation of 8(a), SDB and MBE firms in all information technology contracts and GSA schedules. Many say the executive order was issued to allay fears that efforts to bundle previously separate contracts would hurt minority small business.
The SBA rules to help expand HUBZone program opportunities and ease eligibility rules. The HUBZone program was created to provide expanded contracting opportunities to small businesses (regardless of race or sex) that locate in or hire 35 percent or more of their employees from economically distressed and rural areas. The proposed rule has added three more federal agencies (Commerce, Justice and State) to the original 10 agencies that use the HUBZone program. In order to accommodate contractors who work at various job sites the rule includes a revised definition to “principle office” to mean the location where the greatest number of the concern’s employees perform their work but excluding those employees who perform work at job sites locations to fulfill specific contract obligations. Further the new rule eliminates the existing requirement that a qualified HUBZone concern may have only affiliates who are also qualified HUBZone, 8(a) or women owned concerns because of complaints of otherwise qualified companies whose affiliates did not meet the conditions. Finally, non-manufacturer HUBZone firms no longer need to demonstrate they provide products manufactured by qualified HUBZOne small businesses and for contracts below $25,000 can use products of any business.
The Small Business Administration has created a new website for women owned businesses(WOBs) at http:///www.womenBiz.gov intended to help obtain new procurements and networking opportunity. It serves as an official gateway to other SBA acquisition sites such as PRO-Net, CBC-Net, the Electronic Posting System (EPS), the GSA Federal Supply Program, DefenseLINK and the SBA's government contracting page. The Web site also contains information especially developed to help WOBs such as registering under PRO-Net, Central Contractor Registration and EPS, locating other firms for subcontracting opportunities, mentor-protégé programs and acquisition news.
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