Chabot focuses on contractor aid in SBA budget

The new chairman of the House Small Business Committee, Steve Chabot, R-OH, has come out of the gate in his first weeks as an assertive critic of many programs at the Small Business Administration. In his first hearing as chairman, he questioned whether the SBA is doing enough to assist small federal contractors.

The committee hosted SBA chief Maria Contreras-Smith to air the SBA’s request for the fiscal 2016 budget.

Contreras-Smith noted that the SBA’s proposed budget is 3% less than its current budget. “In this time of tight budgets, the SBA is doing more with less,” she said.

Chabot, in his opening statement, quickly assessed the SBA’s budget request as being “more than sufficient” for the agency’s needs.

However, he said the SBA should have asked for more money to assist small business federal contractors.

“Where I disagree with that request is in the priorities revealed in the request. For example, the SBA budget makes no mention of hiring additional key personnel who will help small businesses enter the federal contracting marketplace–a key pillar of the Small Business Act.” Chabot made no specific suggestions for more funding.

SBA Press Secretary Miguel Ayala told Set-Aside Alert that the administration strongly supports small business federal contracting programs. “Last year, due to strong leadership from the White House, the federal government met the 23% contracting goal for the first time in eight years,” he said.

The SBA is requesting $98.8 million next year, which is a $3.5 million increase over the current level, Ayala added.

Chabot, at the hearing, also criticized other perceived shortcomings at the SBA, including its loan programs, information technology and entrepreneurial programs.

He raised the ongoing concern about SBA allegedly overreaching with too many pilot programs.

Chabot also scolded the SBA for its difficulties with contractor databases, including SAM.gov, and its lack of a chief information officer.

The committee chairman’s hearing memo took criticism a step further, claiming the SBA rarely has been effective at anything.

“Of course, when it comes to the SBA--expectations are rarely, if ever, met,” the memo states.

More Information: House Small Business Committee hearing website (GOP majority-run) http://goo.gl/I06uDP
House Small Business Committee Democrats’ website: http://democrats.smallbusiness.house.gov

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