Introduction to Federal Government Contracting Small Business Programs

Federal small business preference programs provide significant opportunities for small businesses to do business with the federal government and with large federal contractors. Federal government small business contracting, however, comes with significant risks.

In this course, attorneys Steve Ramaley, who has represented many small and large businesses and has testified before Congress on small business issues, and Chris Denny, who counsels small and large businesses on federal small business laws and regulations, will address: (1) the origins of the federal small business programs; (2) the creation and role of the Small Business Administration ("SBA"); (3) the purpose and objectives of the federal small business programs; and (4) the requirements of the federal small business programs, including the rules regarding program eligibility, participation, and graduation, with the goal of demystifying this complex and ever-changing area of law. In addition, this course will address the risks – including the significant government resources that are committed to enforcing program rules and punishing those firms and individuals who fraudulently claim status as a small business or fraudulently work with small businesses to take advantage of their status.

Learning Objectives:

1. Identify the purpose and objectives of each of SBA's small business preference programs - small business, service-disabled veteran-owned small business (SDVOSB), women-owned small business (WOSB), small business in Historically-Underutilized Business Zones (HUBZone), and small business in the 8(a) Business Development Program
2. Address the relevant criteria for a business to qualify under each program and how SBA determines affiliation between two or more businesses, the consequences for such a determination, and how to organize and manage businesses to mitigate and manage affiliation risks
3. Break down the rules for how and when contracts are set aside for, or sole-sourced to, small businesses and understand how large and small businesses can work together without triggering affiliation between the companies, including prime/sub, the 50% rule, joint venturing, and subcontracting plan participation
4. Discuss what happens to existing contracts when a small business is acquired by a larger company, among other rules related to mergers and acquisitions
5. Analyze recent and forecasted rule changes that have or will change the small business contracting marketplace and understand how size status can be challenged, and also why and how the Government punishes firms and individuals that have defrauded the SBA's programs