Opening Federal Contracting to Small, Minority-Owned Business

On Wednesday, September 26, 2007, the Subcommittee held an oversight hearing titled, “Federal Contracting: Removing Hurdles for Minority-Owned Small Businesses.”

The 8(a) business development program, named for a section of the Small Business Act, is an initiative designed to help disadvantaged small businesses gain access to the federal procurement market. Annually, federal agencies, in coordination with SBA, are to set goals for 8(a) contract awards.

The hearing examined the 8(a) business development program and other contracting programs that are designed to assist small and disadvantaged business owners in accessing the federal marketplace. The hearing also discussed barriers embedded in the contracting process itself that can impede minority firms from winning government contracts. These barriers include the failure of agencies to break large contracts down into smaller projects so that minority firms can compete, extensive granting of waivers from minority subcontracting requirements to prime contractors, ineffective screening for false minority fronts, and the lack of accountability for agencies that fail to meet their minority-owned business contracting goals.

• Mr. Calvin Jenkins, Deputy Associate Administrator, Office of Government Contracting and Business Development, U.S. Small Business Administration

• Mr. Anthony Martoccio, Director, Department of Defense, Office of Small Business Programs

• Mr. William B. Shear, Director, U.S. Government Accountability Office Financial Markets and Community Investment

• Mr. Preston Jay Waite, Deputy Director, U.S. Census Bureau

• Mr. Michael L. Barrera, President & CEO, United States Hispanic Chamber of Commerce

• Mr. Damon Kinebrew, Treasurer, Association of Minority Enterprises of New York

• Ms. Allegra F. McCullough, Former SBA Associate Deputy Administrator Government Contracting & Business Development

Mr. Anthony W. Robinson, President, Minority Business Enterprise Legal Defense and Education Fund