SBA lines up proposed rules on “Rule of Two,” WBCs & more
The Small Business Administration disclosed plans for 20 new upcoming proposed rules scheduled to be published this year. Nearly half affect small business federal contracting and entrepreneurship programs and the rest apply to lending programs.
One of the most significant is SBA’s plan to codify a U.S. Court of Federal Claims’ decision requiring the so-called Rule of Two to be applied to task orders on federal multiple award contracts.
Under the court’s interpretation of the Rule of Two, if a federal agency finds there are at least two small businesses qualified and willing to bid at a competitive price, then the agency must set aside the task order for small firms.
The SBA’s forecast also includes Notices of Proposed Rulemaking (NPRMs) likely in the coming months affecting Women’s Business Centers (WBCs), the SCORE program, HUBZone status appeals, Small Business Development Centers (SBDCs) and more.
The SBA’s forecast was included in the White House’s recent government-wide Agency Rule List. The SBA included an estimated timetable for 18 proposed NPRMs and for two Advance NPRMs. There also were several dozen Final Rules in the works, nearly all related to lending.
Here are the SBA’s most significant regulatory predictions for small business contractors, in order of expected date:
- April 2023 - HUBZone status appeals: Under Section 864 of the National Defense Authorization Act (NDAA) for Fiscal Year 2022, SBA’s Office of Hearings and Appeals was authorized to decide all appeals from protest determinations regarding HUBZone small business status. The regulation will set the rules for the appeals process.
- June 2023 - HUBZone clarifications: Proposes additional clarifications to the HUBZone rules, in response to feedback to the comprehensive HUBZone revisions in 2019.
- July 2023 - SBIR/STTR Updates: Proposes to incorporate changes to the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs based on Sections 880 and 864 of the NDAA of 2020. The NDAA authorized SBA to consult with SBIR/STTR agencies on concerns regarding commercialization before receiving a funding agreement. It also requires SBA’s Procurement Center Representatives to consult with agencies on SBIR/STTR cybersecurity. In addition, Section 884 allows expansion of ownership of SBIRs/STTRs under a Defense Dept. pilot program. As a result, SBA is updating various modifications to support programs in the SBIR/STTR policy directive.
- September 2023 - Small Business Contracting: Assuring Fair Proportion: Proposes to codify a US Court of Federal Claims decision in 2020 (Tolliver Group Inc. vs. U.S.) to require the Rule of Two to be applied in task order solicitations on a federal multiple-award contract.
- September 2023 - Affiliation in Small Business Programs and Women-Owned Small Business (WOSB) program: Proposes to update its affiliation rules for all small business procurement programs and for the WOSB program to conform with recent updates to affiliation rules for the 8(a) Business Development and Service-Disabled Veteran-Owned programs.
- September 2023 - Rules of Procedure for SBA’s OHA: Proposes to o make the rules “easier to understand” for small businesses.
- November 2023 - WBCs: Proposes reporting, collection and review of WBC performance data to align with other SBA programs, along with rules for client-based data.
- November 2023 - SCORE: Proposes reporting, collection and review of SCORE performance data to align with SBA performance objectives, along with rules for client-based data.
- November 2023 - Veterans Business Outreach Centers: Proposes to update regulations to collect and review performance data, along with rules for client data-based data.
(Next Issue: GSA and Defense Dept.’s upcoming rules)
More Information:
OIRA Agency Rule List - Fall 2022: https://bit.ly/3DZE0PN
