No Follow-Up on Most Mentor-Protégé Programs Nearly 1,200 small businesses are receiving development assistance through mentor-protégé programs in 13 federal agencies. The programs are intended to help small firms compete for contracts, but only three agencies follow through to see how the protégés fared after the mentor-protégé agreements expired, according to the Government Accountability Office. GAO’s report, which was ordered by Congress, presents the first comprehensive picture of mentor-protégé programs across the government. The Defense Department tracks the progress of protégés for two years after they leave the program. Its most recent report found that protégés, on average, increased the number and dollar amount of prime and subcontract awards during the two-year period. However, the total annual revenue and number of employees of the protégés declined after they exited the program. DOD said this may be the result of broader economic conditions. NASA and USAID also follow protégés after they leave the program, but those agencies’ programs are so new that no data is available. The other 10 agencies said they monitor protégés’ progress while they are in the program. GAO recommended that all agencies begin collecting information about what happens after the mentor-protégé agreement expires. Other highlights of the report: *Defense, Energy and FAA are the only agencies that offer cost reimbursement as an incentive for mentors to participate. *The military services and several defense agencies operate separate mentor-protégé programs, but they are bound by the same rules that govern the broader DOD program. *Some agencies allow small businesses to mentor other small ones; most mentors are large companies. *Mentor-protégé programs are run by each agency’s Office of Small and Disadvantaged Business Utilization, except for SBA’s, which operates under the Office of Business Development and district offices. *Some agencies offer mentor-protégé programs for 8(a), HUBZone and service-disabled veteran-owned businesses as well as for other small businesses. *SBA’s mentor-protégé program is for 8(a) companies, but the agency has said it intends to establish similar programs for SDV, woman-owned and HUBZone firms. The SBA program is by far the largest, with 482 mentor-protégé agreements. It differs from other agencies’ programs in that its primary purpose is business development, not contracts. Mentor-Protégé Programs Agency and number of agreements SBA 482 DHS 220 Energy 120 Defense 101 State 86 GSA 65 Treasury 58 VA 24 NASA 12 FAA 10 HHS 9 USAID 6 EPA 4 Source: GAO