New Oversight Is Planned For 8(a) Contracts SBA says agencies that award 8(a) contracts must monitor contractors’ compliance with laws and regulations. SBA is rewriting its partnership agreements with other agencies to increase oversight of 8(a) contracts, said Calvin Jenkins, deputy associate deputy administrator in the Office of Government Contracting and Business Development. He testified June 21 before the House Government Reform Committee. He said the new agreements will “clarify their roles and responsibilities.” SBA’s Office of Inspector General found neither SBA nor agencies that award the contracts has been monitoring to ensure, for example, that the 8(a) business is not acting as a front. In its March report, the IG said, “None of the 23 procuring agencies that we contacted had procedures or other guidance that would detect if companies were not complying with these regulations.” As a result, the IG said, the 8(a) program is open to fraud and abuse. Jenkins told Set-Aside Alert the revision of the partnership agreements is a response to the IG’s findings. He said the agreements will specify that the contracting agency is responsible for monitoring subcontracts to ensure that the 8(a) company is performing at least half the work, as required by regulation. In his congressional testimony, he said, “In addition, the agency is exploring possible regulatory changes that will strengthen the program and increase SBA’s oversight capabilities.” By law, SBA is the prime contractor on all 8(a) contracts, but since 1998 it has delegated responsibility for awarding and executing the contracts to other agencies. Although the procuring agency signs the contract, the IG said, “As the prime contractor, SBA has ultimate responsibility for ensuring that companies comply with 8(a) BD regulations.”