FOR IMMEDIATE RELEASE
December 14, 2009
Petaluma, Calif. - In a recent speech, President Barack Obama said, "What I'm interested in is taking action right now to help businesses create jobs right now, in the near term." http://abcnews.go.com/Politics/white-house-jobs-summit-real-progress-pr-stunt/story?id=9232219
Since president Obama has voiced his concern about stimulating the economy and creating new jobs, the American Small Business League (ASBL) would like a member of the mainstream media to ask President Obama any of the following questions:
1. In February of 2008, you released the statement, "It is time to end the diversion of federal small business contracts to corporate giants." Why is your administration continuing to give federal small business contracts to Fortune 500 firms?
2. During the campaign you promised to implement the 5 percent set-aside goal for women owned firms. Why hasn't that program been implemented?
3. Since 2003, twenty-five federal investigations have found widespread fraud and abuse in virtually every program administered by the Small Business Administration (SBA). What does your administration intend to do to stop the abuses in those programs?
4. Recently, you have talked about allocating TARP funds to help small businesses. Does it make sense to come up with new programs while billions of dollars a month in federal small business contracts are being diverted to corporate giants?
5. H.R. 2568, the Fairness and Transparency in Contracting Act of 2009 is designed to end the diversion of federal small business contracts to corporate giants and redirect billions of dollars in current federal infrastructure spending to the middle class. Will you be backing H.R. 2568?
6. You said you were going to exempt investment in small businesses from capital gains tax. Wouldn't that just be a loophole for venture capitalists to avoid paying taxes?
7. Will you oppose any legislation or policy that would divert federal small business contracts to firms owned or controlled by venture capitalists?
8. Since you have taken office, federal contracting programs for minorities have largely been dismantled. Do you intend to restore those programs?
9. Since U.S. Census Bureau data shows that small businesses create a vast majority of all net new jobs, why has your administration allocated such a small portion of stimulus funds to those firms?
10. The staffing at the SBA is at a 30 year low. Why haven't you restored that agency's staff?
11. In February of 2008, you released the statement, "It is time to end the diversion of federal small business contracts to corporate giants." Recent shows that your administration is still giving small business contracts to Fortune 500 firms. Why have you failed to make good on that campaign promise?
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Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Monday, December 14, 2009
Wednesday, December 9, 2009
Obama Administration Diverts Small Business Funds to General Dynamics
Obama Administration Diverts $28.5 Million in Small Business Dollars to General Dynamics
FOR IMMEDIATE RELEASE
December 9, 2009
Petaluma, Calif. – The Obama Administration has awarded a $28.5 million small business contract to Fortune 500 firm General Dynamics. As America's fourth largest prime contractor, General Dynamics did more than $29.3 billion in sales during fiscal year (FY) 2008 and maintains more than 92,000 employees. http://www.asbl.com/documents/20091202GeneralDynamics_Created_20091027.pdf
According to the most recent data from the Federal Procurement Data System - Next Generation (FPDS-NG), General Dynamics is just one of hundreds of corporate giants that are currently receiving federal small business contracts from the Obama Administration.
Since 2003, twenty-five federal investigations have uncovered the diversion of billions of dollars a month in federal small business contracts to corporate giants. http://www.asbl.com/documentlibrary.html In Report 5-15, the Small Business Administration Office of Inspector General (SBA OIG) referred to the issue as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today." http://www.asbl.com/documents/05-15.pdf As recently as October 16, the SBA OIG listed the issue as the SBA's top management challenge for the fifth consecutive year.
http://www.sba.gov/idc/groups/public/documents/sba_homepage/oig_reports_tmc_fy10.pdf
The American Small Business League (ASBL) has estimated that every year more than $100 billion in federal small business contracts are diverted away from legitimate small businesses and into the hands of some of the largest corporations in the world. The most recent data released by the Obama Administration indicates that firms counted as small businesses included: Xerox, Bechtel, Lockheed Martin, Boeing, Raytheon, Northrop Grumman, British Aerospace (BAE), Ssangyong Corporation headquartered in Seoul, South Korea and Finmeccanica SpA, which is located in Italy with 73,000 employees.
http://www.asbl.com/documents/20090806BechtelSB_DOE.pdf
http://www.asbl.com/documents/20091202Xerox_Created_20091002.pdf
During the 2008 presidential election cycle, President Barack Obama promised to address these abuses when he stated, "Small businesses are the backbone of our nation's economy and we must protect this great resource. It is time to end the diversion of federal small business contracts to corporate giants." Yet to date, President Obama has failed to adopt any policy or legislation to honor that promise. http://www.barackobama.com/2008/02/26/the_american_small_business_le.php
The ASBL maintains that stopping the diversion of federal small business contracts to large corporations alone would serve as a greater economic stimulus than anything proposed to date.
In May of 2009, Congressman Hank Johnson (D-4-GA) introduced H.R. 2568, the Fairness and Transparency in Contracting Act. If passed the bill would halt the flow of federal small business contracts to large businesses and redirect more than $100 billion a year in federal infrastructure spending to legitimate small businesses. Although the bill has bipartisan support with 19 co-sponsors, to date President Obama has refused to endorse the legislation.
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Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
FOR IMMEDIATE RELEASE
December 9, 2009
Petaluma, Calif. – The Obama Administration has awarded a $28.5 million small business contract to Fortune 500 firm General Dynamics. As America's fourth largest prime contractor, General Dynamics did more than $29.3 billion in sales during fiscal year (FY) 2008 and maintains more than 92,000 employees. http://www.asbl.com/documents/20091202GeneralDynamics_Created_20091027.pdf
According to the most recent data from the Federal Procurement Data System - Next Generation (FPDS-NG), General Dynamics is just one of hundreds of corporate giants that are currently receiving federal small business contracts from the Obama Administration.
Since 2003, twenty-five federal investigations have uncovered the diversion of billions of dollars a month in federal small business contracts to corporate giants. http://www.asbl.com/documentlibrary.html In Report 5-15, the Small Business Administration Office of Inspector General (SBA OIG) referred to the issue as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today." http://www.asbl.com/documents/05-15.pdf As recently as October 16, the SBA OIG listed the issue as the SBA's top management challenge for the fifth consecutive year.
http://www.sba.gov/idc/groups/public/documents/sba_homepage/oig_reports_tmc_fy10.pdf
The American Small Business League (ASBL) has estimated that every year more than $100 billion in federal small business contracts are diverted away from legitimate small businesses and into the hands of some of the largest corporations in the world. The most recent data released by the Obama Administration indicates that firms counted as small businesses included: Xerox, Bechtel, Lockheed Martin, Boeing, Raytheon, Northrop Grumman, British Aerospace (BAE), Ssangyong Corporation headquartered in Seoul, South Korea and Finmeccanica SpA, which is located in Italy with 73,000 employees.
http://www.asbl.com/documents/20090806BechtelSB_DOE.pdf
http://www.asbl.com/documents/20091202Xerox_Created_20091002.pdf
During the 2008 presidential election cycle, President Barack Obama promised to address these abuses when he stated, "Small businesses are the backbone of our nation's economy and we must protect this great resource. It is time to end the diversion of federal small business contracts to corporate giants." Yet to date, President Obama has failed to adopt any policy or legislation to honor that promise. http://www.barackobama.com/2008/02/26/the_american_small_business_le.php
The ASBL maintains that stopping the diversion of federal small business contracts to large corporations alone would serve as a greater economic stimulus than anything proposed to date.
In May of 2009, Congressman Hank Johnson (D-4-GA) introduced H.R. 2568, the Fairness and Transparency in Contracting Act. If passed the bill would halt the flow of federal small business contracts to large businesses and redirect more than $100 billion a year in federal infrastructure spending to legitimate small businesses. Although the bill has bipartisan support with 19 co-sponsors, to date President Obama has refused to endorse the legislation.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Monday, December 7, 2009
Obama Ignores Simple Solution to Job Creation
FOR IMMEDIATE RELEASE
December 7, 2009
Petaluma, Calif. - In February of 2008, then Senator and Presidential candidate Barack Obama promised to, "end the diversion of federal small business contracts to corporate giants." Yet to date President Obama has failed to honor that promise in the face of double-digit unemployment and current legislation in Congress that would solve the problem.
http://www.barackobama.com/2008/02/26/the_american_small_business_le.php
H.R. 2568, the Fairness and Transparency in Contracting Act of 2009 would immediately stop the diversion of federal small business contracts to corporate giants, and redirect billions of dollars in federal infrastructure funds to small businesses in the middle class economy. Congressman Hank Johnson (D-4-GA) introduced the bill in May of 2009. To date the bill has 18 co-sponsors.
In January of 2009, Dr. Laura Tyson, Chair of the U.S. President's Council of Economic Advisers during the Clinton Administration, acknowledged that directing federal infrastructure funds to small businesses would be the most effective way to stimulate the economy and job growth. According to the U.S. Census Bureau, small businesses are responsible for more than 97 percent of net new jobs. http://www.inc.com/news/articles/200708/data.html
Since 2003, twenty-five federal investigations have uncovered the diversion of billions of dollars a month in federal small business contracts to Fortune 500 corporations and other clearly large firms. Since taking office, Obama officials have given small business contracts to firms like Bechtel, Xerox and General Dynamics. http://www.asbl.com/documents/20090806BechtelSB_DOE.pdf
http://www.asbl.com/documents/20091202Xerox_Created_20091002.pdf
http://www.asbl.com/documents/20091202GeneralDynamics_Created_20091027.pdf
The ASBL has estimated that if passed, H.R. 2568 would redirect more than $100 billion a year in government contracts to small businesses in the middle class economy. Following the 2008 presidential election, President Obama's transition team estimated that every billion dollars spent on federal infrastructure projects would create 40,000 jobs. http://www.nytimes.com/2008/12/07/us/politics/07radio.html?fta=y
"It is hard to believe that President Obama cares about small businesses when his administration is giving billions of dollars a month in small business contracts to Fortune 500 firms," ASBL President Lloyd Chapman said. "President Obama could honor his promise to end these abuses by supporting H.R. 2568, the Fairness and Transparency in Contracting Act. Passage of H.R. 2568 would provide a more significant boost to the economy than any policy or legislation proposed to date, and create millions of new jobs."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
December 7, 2009
Petaluma, Calif. - In February of 2008, then Senator and Presidential candidate Barack Obama promised to, "end the diversion of federal small business contracts to corporate giants." Yet to date President Obama has failed to honor that promise in the face of double-digit unemployment and current legislation in Congress that would solve the problem.
http://www.barackobama.com/2008/02/26/the_american_small_business_le.php
H.R. 2568, the Fairness and Transparency in Contracting Act of 2009 would immediately stop the diversion of federal small business contracts to corporate giants, and redirect billions of dollars in federal infrastructure funds to small businesses in the middle class economy. Congressman Hank Johnson (D-4-GA) introduced the bill in May of 2009. To date the bill has 18 co-sponsors.
In January of 2009, Dr. Laura Tyson, Chair of the U.S. President's Council of Economic Advisers during the Clinton Administration, acknowledged that directing federal infrastructure funds to small businesses would be the most effective way to stimulate the economy and job growth. According to the U.S. Census Bureau, small businesses are responsible for more than 97 percent of net new jobs. http://www.inc.com/news/articles/200708/data.html
Since 2003, twenty-five federal investigations have uncovered the diversion of billions of dollars a month in federal small business contracts to Fortune 500 corporations and other clearly large firms. Since taking office, Obama officials have given small business contracts to firms like Bechtel, Xerox and General Dynamics. http://www.asbl.com/documents/20090806BechtelSB_DOE.pdf
http://www.asbl.com/documents/20091202Xerox_Created_20091002.pdf
http://www.asbl.com/documents/20091202GeneralDynamics_Created_20091027.pdf
The ASBL has estimated that if passed, H.R. 2568 would redirect more than $100 billion a year in government contracts to small businesses in the middle class economy. Following the 2008 presidential election, President Obama's transition team estimated that every billion dollars spent on federal infrastructure projects would create 40,000 jobs. http://www.nytimes.com/2008/12/07/us/politics/07radio.html?fta=y
"It is hard to believe that President Obama cares about small businesses when his administration is giving billions of dollars a month in small business contracts to Fortune 500 firms," ASBL President Lloyd Chapman said. "President Obama could honor his promise to end these abuses by supporting H.R. 2568, the Fairness and Transparency in Contracting Act. Passage of H.R. 2568 would provide a more significant boost to the economy than any policy or legislation proposed to date, and create millions of new jobs."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Thursday, December 3, 2009
Congress Considers Jobs Bill
FOR IMMEDIATE RELEASE
December 3, 2009
Petaluma, Calif. - In May of 2009, Congressman Hank Johnson (D-4-GA) introduced H.R. 2568, the Fairness and Transparency in Contracting Act of 2009, which would create millions of new jobs by stopping the diversion of billions of dollars a month in federal small business contracts to Fortune 500 corporations and other corporate giants. The bill currently has the bipartisan support of 18 other cosponsors, and chambers of commerce and business organizations around the country.
The American Small Business League (ASBL) points to H.R. 2568 as the simplest and most effective economic stimulus proposed to date.
Since 2003, twenty-five federal investigations have found billions of dollars in fraud and abuse in federal small business contracting programs, which have diverted billions of dollars away from legitimate small businesses and into the hands of Fortune 500 corporations. According to the latest information released by the Obama Administration the top recipient of federal small business contracts was Textron, a Fortune 500 corporation with 43,000 employees, and $14 billion in annual revenue. Other firms that are receiving federal small business contracts include: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, British Aerospace (BAE), Ssangyong Corporation headquartered in Seoul, South Korea and Finmeccanica SpA, which is located in Italy with 73,000 employees. http://www.asbl.com/documentlibrary.html, http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf
The ASBL has estimated that if passed, H.R. 2568 would redirect more than $100 billion a year in government contracts to small businesses in the middle class economy. Following the 2008 presidential election, President Obama's transition team estimated that every billion dollars spent on federal infrastructure projects would create 40,000 jobs. http://www.nytimes.com/2008/12/07/us/politics/07radio.html?fta=y
Based upon the Obama Administration's own findings, H.R. 2568 would create four million new jobs, while cutting unemployment and saving thousands of small businesses from bankruptcy.
"This is the most efficient, cost effective economic stimulus anyone has proposed to date and I challenge anyone to disprove that," ASBL President Lloyd Chapman said. "I would love to hear what President Obama's economists think about a bill that would perpetually redirect between $100 and $130 billion a year in existing federal infrastructure spending to the middle class economy. The Administration claims that it has allocated $17.3 billion in stimulus to small businesses, I would not be surprised if it was less than half that. America's rapidly rising national unemployment numbers demand a BIG solution, and H.R. 2568 is that BIG solution."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
December 3, 2009
Petaluma, Calif. - In May of 2009, Congressman Hank Johnson (D-4-GA) introduced H.R. 2568, the Fairness and Transparency in Contracting Act of 2009, which would create millions of new jobs by stopping the diversion of billions of dollars a month in federal small business contracts to Fortune 500 corporations and other corporate giants. The bill currently has the bipartisan support of 18 other cosponsors, and chambers of commerce and business organizations around the country.
The American Small Business League (ASBL) points to H.R. 2568 as the simplest and most effective economic stimulus proposed to date.
Since 2003, twenty-five federal investigations have found billions of dollars in fraud and abuse in federal small business contracting programs, which have diverted billions of dollars away from legitimate small businesses and into the hands of Fortune 500 corporations. According to the latest information released by the Obama Administration the top recipient of federal small business contracts was Textron, a Fortune 500 corporation with 43,000 employees, and $14 billion in annual revenue. Other firms that are receiving federal small business contracts include: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, British Aerospace (BAE), Ssangyong Corporation headquartered in Seoul, South Korea and Finmeccanica SpA, which is located in Italy with 73,000 employees. http://www.asbl.com/documentlibrary.html, http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf
The ASBL has estimated that if passed, H.R. 2568 would redirect more than $100 billion a year in government contracts to small businesses in the middle class economy. Following the 2008 presidential election, President Obama's transition team estimated that every billion dollars spent on federal infrastructure projects would create 40,000 jobs. http://www.nytimes.com/2008/12/07/us/politics/07radio.html?fta=y
Based upon the Obama Administration's own findings, H.R. 2568 would create four million new jobs, while cutting unemployment and saving thousands of small businesses from bankruptcy.
"This is the most efficient, cost effective economic stimulus anyone has proposed to date and I challenge anyone to disprove that," ASBL President Lloyd Chapman said. "I would love to hear what President Obama's economists think about a bill that would perpetually redirect between $100 and $130 billion a year in existing federal infrastructure spending to the middle class economy. The Administration claims that it has allocated $17.3 billion in stimulus to small businesses, I would not be surprised if it was less than half that. America's rapidly rising national unemployment numbers demand a BIG solution, and H.R. 2568 is that BIG solution."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Wednesday, December 2, 2009
Obama Jobs Forum Angers Small Business Group
FOR IMMEDIATE RELEASE
December 2, 2009
Petaluma, Calif. - On Thursday, December 3, President Barack Obama will commence a "Forum on Jobs and Economic Growth," at the White House. The American Small Business League (ASBL) is concerned that President Obama's jobs forum is yet another publicity stunt designed to yield positive public relations, as opposed to creating new jobs.
The summit will include, "130 liberal economists, union leaders, Fortune 500 executives, and even a few small-business owners," according to Kent Hoover, Washington bureau chief for bizjournals. (http://www.portfolio.com/views/blogs/capital/2009/12/01/bernanke-confirmation-hearing-is-real-jobs-summit/) President Obama's Forum on Jobs comes just weeks after the administration held a small business-lending forum with a mere seven handpicked small business owners invited to speak. http://www.asbl.com/showmedia.php?id=1521
The ASBL maintains that if President Obama really wanted to stimulate the national economy and create new jobs he would support the small business community and honor the promises he made during the 2008 presidential election.
During the 2008 election cycle, President Obama promised to, "end the diversion of federal small business contracts to corporate giants." http://www.barackobama.com/2008/02/26/the_american_small_business_le.php
To date, President Obama has failed to honor that promise.
The ASBL maintains that stopping the diversion of federal small business contracts to corporate giants alone would redirect more than $100 billion a year in federal infrastructure spending to America's chief job creators, its small businesses. Firms with 20 or fewer employees are responsible for over 97 percent of all net new jobs, according to the most recent U.S. Census Bureau data. http://www.inc.com/news/articles/200708/data.html
On October 26, Arianna Huffington took aim at President Obama's priorities by stating, "If this [small business lending] were really a high-priority for the administration, it could, you know, actually do something about it."
http://www.huffingtonpost.com/arianna-huffington/barack-obama-is-doing-my_b_334631.html
The ASBL maintains that President Obama's rhetoric is inconsistent with his actions.
"If President Obama were really serious about creating jobs he would back H.R. 2568, the Fairness and Transparency in Contracting Act, which will redirect over $100 billion a year in federal infrastructure spending to the small businesses where most Americans work and where nearly all new jobs are created. H.R. 2568 is the simplest and most effective economic stimulus anyone has proposed to date." ASBL President Lloyd Chapman said. "As George S. Patton said, 'A good plan violently executed now is better than a perfect plan executed next week.' Small businesses cannot afford the luxury of waiting for President Obama to become the man we all thought he was."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
December 2, 2009
Petaluma, Calif. - On Thursday, December 3, President Barack Obama will commence a "Forum on Jobs and Economic Growth," at the White House. The American Small Business League (ASBL) is concerned that President Obama's jobs forum is yet another publicity stunt designed to yield positive public relations, as opposed to creating new jobs.
The summit will include, "130 liberal economists, union leaders, Fortune 500 executives, and even a few small-business owners," according to Kent Hoover, Washington bureau chief for bizjournals. (http://www.portfolio.com/views/blogs/capital/2009/12/01/bernanke-confirmation-hearing-is-real-jobs-summit/) President Obama's Forum on Jobs comes just weeks after the administration held a small business-lending forum with a mere seven handpicked small business owners invited to speak. http://www.asbl.com/showmedia.php?id=1521
The ASBL maintains that if President Obama really wanted to stimulate the national economy and create new jobs he would support the small business community and honor the promises he made during the 2008 presidential election.
During the 2008 election cycle, President Obama promised to, "end the diversion of federal small business contracts to corporate giants." http://www.barackobama.com/2008/02/26/the_american_small_business_le.php
To date, President Obama has failed to honor that promise.
The ASBL maintains that stopping the diversion of federal small business contracts to corporate giants alone would redirect more than $100 billion a year in federal infrastructure spending to America's chief job creators, its small businesses. Firms with 20 or fewer employees are responsible for over 97 percent of all net new jobs, according to the most recent U.S. Census Bureau data. http://www.inc.com/news/articles/200708/data.html
On October 26, Arianna Huffington took aim at President Obama's priorities by stating, "If this [small business lending] were really a high-priority for the administration, it could, you know, actually do something about it."
http://www.huffingtonpost.com/arianna-huffington/barack-obama-is-doing-my_b_334631.html
The ASBL maintains that President Obama's rhetoric is inconsistent with his actions.
"If President Obama were really serious about creating jobs he would back H.R. 2568, the Fairness and Transparency in Contracting Act, which will redirect over $100 billion a year in federal infrastructure spending to the small businesses where most Americans work and where nearly all new jobs are created. H.R. 2568 is the simplest and most effective economic stimulus anyone has proposed to date." ASBL President Lloyd Chapman said. "As George S. Patton said, 'A good plan violently executed now is better than a perfect plan executed next week.' Small businesses cannot afford the luxury of waiting for President Obama to become the man we all thought he was."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Monday, November 30, 2009
Small Business Contracting Abuses #1 Problem at SBA for 5th Consecutive Year
SBA IG Cites Contracting Abuses as #1 Problem for the 5th Consecutive Year
FOR IMMEDIATE RELEASE
November 30, 2009
Petaluma, Calif. - For the fifth consecutive year the Small Business Administration Office of Inspector General (SBA OIG) has described the diversion of federal small business contracts to Fortune 500 firms and other clearly large businesses as the #1 problem facing the SBA.
Since 2003, over 24 federal investigations have found that every year billions of dollars in federal small business contracts are diverted away from legitimate small businesses and into the hands of Fortune 500 firms. According to the latest information released by the Obama Administration the top recipient of federal small business contracts was Textron, a Fortune 500 corporation with 43,000 employees, and $14 billion in annual revenue. Other firms that are receiving federal small business contracts include: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, British Aerospace (BAE), Ssangyong Corporation headquartered in Seoul, South Korea and Finmeccanica SpA, which is located in Italy with 73,000 employees.
In 2005, the SBA OIG released Report 5-15, which referred to the diversion of federal small business contracts to large corporations as "One of the most important challenges facing the Small Business Administration and the entire Federal government today." (http://www.asbl.com/documents/05-15.pdf)
Even President Obama acknowledged the magnitude of the issue when in February of 2008 he promised to end the abuses by stating, "It is time to end the diversion of federal small business contracts to corporate giants." (http://www.barackobama.com/2008/02/26/the_american_small_business_le.php)
To date, the Obama Administration has failed to honor that promise. The American Small Business League (ASBL) estimates that every year over $100 billion in federal small business contracts are diverted to corporate giants.
On May 21, 2009, Congressman Hank Johnson (D - GA) introduced H.R. 2568, the Fairness and Transparency in Contracting Act, to address this issue. The bill was originally drafted by the ASBL, and currently has 17 co-sponsors as well as the support of more than 50 business organizations and chambers of commerce across the country.
To date, the Obama Administration and both the House and Senate small business committees have refused to address this issue or endorse H.R. 2568.
"The fact that the SBA Inspector General has found this issue to be the agency's #1 problem for the fifth consecutive year, yet the SBA has done nothing to address it, goes way beyond incompetence," ASBL President Lloyd Chapman said. "This is by design, and this issue is not going to stop until journalists start asking President Obama why his administration talks about helping small businesses, and then gives hundreds of millions of dollars in small business contracts to corporate giants every day."
-###-
Please click here to watch a short clip about the ASBL's concerns: http://www.youtube.com/watch?v=cX34LddPtHE
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
FOR IMMEDIATE RELEASE
November 30, 2009
Petaluma, Calif. - For the fifth consecutive year the Small Business Administration Office of Inspector General (SBA OIG) has described the diversion of federal small business contracts to Fortune 500 firms and other clearly large businesses as the #1 problem facing the SBA.
Since 2003, over 24 federal investigations have found that every year billions of dollars in federal small business contracts are diverted away from legitimate small businesses and into the hands of Fortune 500 firms. According to the latest information released by the Obama Administration the top recipient of federal small business contracts was Textron, a Fortune 500 corporation with 43,000 employees, and $14 billion in annual revenue. Other firms that are receiving federal small business contracts include: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, British Aerospace (BAE), Ssangyong Corporation headquartered in Seoul, South Korea and Finmeccanica SpA, which is located in Italy with 73,000 employees.
In 2005, the SBA OIG released Report 5-15, which referred to the diversion of federal small business contracts to large corporations as "One of the most important challenges facing the Small Business Administration and the entire Federal government today." (http://www.asbl.com/documents/05-15.pdf)
Even President Obama acknowledged the magnitude of the issue when in February of 2008 he promised to end the abuses by stating, "It is time to end the diversion of federal small business contracts to corporate giants." (http://www.barackobama.com/2008/02/26/the_american_small_business_le.php)
To date, the Obama Administration has failed to honor that promise. The American Small Business League (ASBL) estimates that every year over $100 billion in federal small business contracts are diverted to corporate giants.
On May 21, 2009, Congressman Hank Johnson (D - GA) introduced H.R. 2568, the Fairness and Transparency in Contracting Act, to address this issue. The bill was originally drafted by the ASBL, and currently has 17 co-sponsors as well as the support of more than 50 business organizations and chambers of commerce across the country.
To date, the Obama Administration and both the House and Senate small business committees have refused to address this issue or endorse H.R. 2568.
"The fact that the SBA Inspector General has found this issue to be the agency's #1 problem for the fifth consecutive year, yet the SBA has done nothing to address it, goes way beyond incompetence," ASBL President Lloyd Chapman said. "This is by design, and this issue is not going to stop until journalists start asking President Obama why his administration talks about helping small businesses, and then gives hundreds of millions of dollars in small business contracts to corporate giants every day."
-###-
Please click here to watch a short clip about the ASBL's concerns: http://www.youtube.com/watch?v=cX34LddPtHE
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Tuesday, November 24, 2009
More Fraud in SBA Managed Small Business Programs
FOR IMMEDIATE RELEASE
November 24, 2009
Petaluma, Calif. – In a recent U.S. Government Accountability Office (GAO) investigation into fraud in the Service Disabled Veteran Owned Small Business (SDVOSB) program, investigators stated, "By failing to hold firms accountable, SBA and contracting agencies have sent a message to the contracting community that there is no punishment or consequences for committing fraud or abusing the intent of the veterans program." http://www.gao.gov/new.items/d10108.pdf
The report, which was presented to Congress on Thursday, November 19, is just the latest example of ongoing abuses in the government's small business contracting programs, finding at least $100 million in federal contracts fraudulently awarded to ineligible firms.
Since 2002, there have been more than 24 other federal investigations, which have found fraud, abuse, loopholes and a lack of oversight in small business contracting programs under various federal agencies. http://www.asbl.com/documentlibrary.html
In 2005, Report 5-15 from the Small Business Administration Office of Inspector General (SBA OIG) stated, "One of the most important challenges facing the Small Business Administration and the entire Federal government today is that large businesses are receiving small business procurement awards and agencies are receiving credit for these awards." Since 2006, The SBA OIG has classified this issue as the #1 management challenge facing the agency. http://www.asbl.com/documents/05-15.pdf, http://www.sba.gov/idc/groups/public/documents/sba_homepage/oig_reports_tmc_fy10.pdf
In 2008, the Department of Interior Office of Inspector General (DOI OIG) released a report titled, "Interior Misstated Achievement of Small Business Goals by Including Fortune 500 companies." In its report, the DOI OIG found the agency awarded small business contracts to Fortune 500 firms like, Home Depot, John Deere, Dell, Sherwin Williams, Starwood Hotels and Waste Management.
http://www.doioig.gov/upload/2008-G-0024.pdf
The American Small Business League (ASBL) has estimated that due to these abuses, every year more than $100 billion in federal small business contracts are diverted away from legitimate small businesses and into the hands of Fortune 500 corporations and other clearly large firms around the world.
In February of 2008, President Obama promised to stop these abuses by stating, "It is time to end the diversion of federal small business contracts to corporate giants." To date, the Obama Administration has not honored that promise. http://www.barackobama.com/2008/02/26/the_american_small_business_le.php
"It is ludicrous to think President Obama is trying to help small businesses when he has given them a tenth of a percent of the stimulus funds, and his administration has continued to give billions of dollars a month in federal small business contracts to some of the biggest companies in the world," ASBL President Lloyd Chapman said.
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Please click here to watch a short clip about the ASBL's concerns: http://www.youtube.com/watch?v=cX34LddPtHE
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
November 24, 2009
Petaluma, Calif. – In a recent U.S. Government Accountability Office (GAO) investigation into fraud in the Service Disabled Veteran Owned Small Business (SDVOSB) program, investigators stated, "By failing to hold firms accountable, SBA and contracting agencies have sent a message to the contracting community that there is no punishment or consequences for committing fraud or abusing the intent of the veterans program." http://www.gao.gov/new.items/d10108.pdf
The report, which was presented to Congress on Thursday, November 19, is just the latest example of ongoing abuses in the government's small business contracting programs, finding at least $100 million in federal contracts fraudulently awarded to ineligible firms.
Since 2002, there have been more than 24 other federal investigations, which have found fraud, abuse, loopholes and a lack of oversight in small business contracting programs under various federal agencies. http://www.asbl.com/documentlibrary.html
In 2005, Report 5-15 from the Small Business Administration Office of Inspector General (SBA OIG) stated, "One of the most important challenges facing the Small Business Administration and the entire Federal government today is that large businesses are receiving small business procurement awards and agencies are receiving credit for these awards." Since 2006, The SBA OIG has classified this issue as the #1 management challenge facing the agency. http://www.asbl.com/documents/05-15.pdf, http://www.sba.gov/idc/groups/public/documents/sba_homepage/oig_reports_tmc_fy10.pdf
In 2008, the Department of Interior Office of Inspector General (DOI OIG) released a report titled, "Interior Misstated Achievement of Small Business Goals by Including Fortune 500 companies." In its report, the DOI OIG found the agency awarded small business contracts to Fortune 500 firms like, Home Depot, John Deere, Dell, Sherwin Williams, Starwood Hotels and Waste Management.
http://www.doioig.gov/upload/2008-G-0024.pdf
The American Small Business League (ASBL) has estimated that due to these abuses, every year more than $100 billion in federal small business contracts are diverted away from legitimate small businesses and into the hands of Fortune 500 corporations and other clearly large firms around the world.
In February of 2008, President Obama promised to stop these abuses by stating, "It is time to end the diversion of federal small business contracts to corporate giants." To date, the Obama Administration has not honored that promise. http://www.barackobama.com/2008/02/26/the_american_small_business_le.php
"It is ludicrous to think President Obama is trying to help small businesses when he has given them a tenth of a percent of the stimulus funds, and his administration has continued to give billions of dollars a month in federal small business contracts to some of the biggest companies in the world," ASBL President Lloyd Chapman said.
-###-
Please click here to watch a short clip about the ASBL's concerns: http://www.youtube.com/watch?v=cX34LddPtHE
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
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