Rolling the Dice in DC

growth during that time. The company’s size standard would be re-visited at the beginning of any option period. Similarly, a contract would continue under the size standard if a contractor is acquired by a larger company for the full term of the contract, but not for option periods.

For multi-vendor contracts with terms of more than a year, a vendor should continue under the original size standard for twelve months after the end of the fiscal year that resulted in the vendor exceeding that size standard.

The SBA has been wrestling for many years with changing small business size standards and related regulations concerning how long a vendor can keep their size status for awarded contracts. Even by bureaucratic standards, the hand wringing and foot dragging are reaching a level beyond embarrassment. It’s time for action.

Provide Contracting Officers with the Authority and Incentives to Meet Small Business Goals Congress should force the SBA to make the following changes in policy: 1. Realistic small business set-aside goals should be established for agencies and contracting officers.

2. Contracting officers should be given the authority required to meet the goals and enforce prime contractor goals in their small business subcontracting plans.

3. Incentive programs which encourage contracting officers to meet small business goals should be implemented and contracting officers should be compensated when they do.

4. Make it the Project Officer’s responsibility to ensure that prime contractor’s meet their small business goals. These officials have the delegated authority to assess contractor performance. They are the individuals with knowledge of day-to-day contractor performance and they know which small businesses have actually been used as subcontractors.

The suggested reforms and incentives could potentially save millions of dollars. The recommendations in this chapter will curl the hair of many in 131