Expanding Contracting Opportunities for Small Businesses Act of 2019

Floor Speech

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Mr. Speaker, I rise in support of H.R. 190, the Expanding Contracting Opportunities for Small Businesses Act of 2019.

The Small Businesses Act sets forth a governmentwide 23 percent goal of Federal contracts that should be awarded to small businesses. Each Federal agency is charged with setting its own small business goals, which are to reflect the maximum possible opportunity for small business within that agency.

Regrettably, small firms face barriers in securing Federal contracts. According to the SBA, small businesses won $105.6 billion in contracts during fiscal year 2016, representing 23.88 percent of total Federal contract dollars. That is why the Small Business Act gives agencies the ability to limit, or set aside, contracts for small businesses to bid and compete against one another.

The SBA administers several set-asides that are designed to increase the participation of several socioeconomic categories, including the 8(a) program, HUBZone program, women-owned, and service-disabled veteran-owned small business programs.

While most contracts are awarded through competition, sole source contracts also exist if certain criteria are met. However, current sole source awards have become complex and underutilized in recent years. They do not represent the changing nature of Federal contract awards and have become outdated. H.R. 190 raises the dollar amount of sole source awards to reflect modern contract awards.

I applaud Mr. Marshall and his cosponsor, Mr. Schneider, for introducing this bill providing flexibility to contracting officers when awarding sole source contracts under SBA contracting programs.

By promoting the use of sole source contracts to small businesses, this bill adds to the government's pool of suppliers. This results in higher quality goods and increased job creation for the economy, as these direct awards require the small business to do the majority of the work and not subcontract out.

Mr. Speaker, I urge Members to support this legislation, and I reserve the balance of my time.

Mr. Speaker, I want to thank the gentleman from Kansas as well as the gentleman from Illinois for introducing this important legislation to provide flexibility to contracting officers when awarding sole source contracts.

H.R. 190 promotes the use of sole source contracts to small business concerns through the SBA contracting programs by raising the dollar threshold of these contract types to account for inflation.

It promotes and preserves a strong, competitive marketplace for our Federal agencies while also strengthening the ability of women, service-disabled veterans, and socioeconomic businesses to participate with the single largest purchaser of goods and services in the world.

Mr. Speaker, I urge Members to support this bill, and I yield back the balance of my time

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Ms. VELAZQUEZ. Mr. Speaker, on that I demand the yeas and nays.

The yeas and nays were ordered.

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