NDAA 2021 has numerous small business items

Adds time to averaging of employee-based size standard measure;
Moves VOSB, SDVOSB certs from VA to SBA, & more

      The National Defense Authorization Act for Fiscal 2021 (NDAA) in its final form before floor votes contains more than a dozen provisions affecting small business federal contractors.

      The recently released House-Senate Conference Report on the NDAA is expected to be voted on shortly. While President Trump has threatened a veto, lawmakers appear to be shrugging off the threats.

      The small business items include the following measures:

• Section 862: Certification of veteran-owned and service-disabled veteran-owned small firms (VOSBs and SDVOSBs) would be shifted from the Veterans Affairs Dept. to the Small Business Administration. The shift would occur two years after enactment, according to an analysis by contracting attorney Steve Koprince. SDVOSB self-certification would continue for a year, but after a year it would no longer be allowed. The VA’s Center for Verification would be eliminated and its functions transferred to SBA. However, the VA would continue to verify whether an individual is a veteran or service-disabled veteran, Koprince wrote in his analysis.
• Section 863: The period of time used to measure the average number of employees, as a component of employee-based size standards, would be extended to 24 months, from 12 months. This applies primarily to manufacturers. The change would go into effect a year after enactment, Koprince wrote.
• Section 865 requires agencies to report on whether they are meeting their minimum SBIR and STTR expenditures, and if not, provide reasons.
• Section 866 provides assistance to small businesses in Puerto Rico for federal contracting opportunities.
• Section 868 allows small businesses to choose whether contracting officers should consider a small business’ past performance in a joint venture or as a first-tier subcontractor when evaluating the firm for a prime contract.
• Section 869 states that small firms participating in the 8(a) Business Development Program on or before Sept. 9, 2020 may extend their participation in 8(a) by one year. The SBA must issue regulations to implement within 15 days.
• Section 870 states that agencies not in compliance with OSDBU regulations report to Congress on the reasons.
• Section 871 requires the SBA to develop a category management training program for agency acquisition staff.

More information:
NDAA: https://bit.ly/37JtlaT
Koprince blogs: https://bit.ly/37GQ73f
and https://bit.ly/3oBmyab

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