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SBA’s Interim Guidance on 8(a) Program Following Court Ruling

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U.S. Small Business Administration Releases Interim Guidance

U.S. Small Business Administration Releases Interim Guidance on 8(a) Program:

In response to a recent United States District Court ruling (Ultima Servs. Corp. v. Dep’t of Ag.), the U.S. Small Business Administration (SBA) has issued interim guidance pertaining to the 8(a) Business Development Program. The interim guidance addresses adjustments to the program’s criteria for determining social disadvantage and its implications for 8(a) Program participants and applicants. Detailed information can be accessed on the SBA’s official website.

SBA Officials Collaborating:

Working closely with the Department of Justice, the SBA is also offering comprehensive interim guidance to federal agencies. This guidance outlines how agencies can continue to award 8(a) contracts during this critical phase at the end of the fiscal year.

SBA Administrator Isabella Casillas Guzman:

SBA Administrator Isabella Casillas Guzman: “For over half a century, the 8(a) Program has played a pivotal role in fostering accessibility to government contracts for numerous small businesses. These businesses, in turn, contribute essential goods and services that advance agency objectives.”

Diverse Small Business Owners:

The SBA remains steadfast in promoting equity and enhancing competitiveness in federal procurement. It aligns with the commitment of the Biden-Harris Administration to support the 8(a) Program and its critical role in driving the nation’s economic growth.

About the 8(a) Program:

The 8(a) Program is a comprehensive nine-year initiative designed to aid businesses owned and operated by socially and economically disadvantaged individuals. Through training and technical assistance, the program empowers these firms to establish a prominent presence within the federal marketplace.

In 2021, President Biden set an ambitious goal of awarding 15% of federal prime contracts to small, disadvantaged businesses by fiscal year 2025. This target reflects a 50% increase from the initial figures when he took office.

Business Contracts and Collaboration:

Under President Biden’s leadership, the 8(a) program has been instrumental in achieving historic advancements toward this objective. Federal agencies, during his tenure, have achieved record-breaking levels of contract spending with small businesses overall and, specifically, with small, disadvantaged businesses.

Job Creation:

In fiscal year 2022, the federal government’s emphasis on small business prime contracting contributed to the creation of 727,800 jobs across the nation.

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