Monday, May 24, 2010
Friday, May 21, 2010
Department of Energy Loses Legal Battle Over Bechtel Contracting Data
FOR IMMEDIATE RELEASE
May 21, 2010
Petaluma, Calif. - The Department of Energy (DOE) has lost a Freedom of Information lawsuit filed by the American Small Business League (ASBL). The ASBL filed the lawsuit after the DOE refused to release information regarding a $3.6 billion federal contract awarded to Bechtel Bettis Inc. The socio-economic status indicated "small business" on hundreds of millions of dollars in awards under the prime contract. (http://www.asbl.com/documents/litigation/Case_10.pdf)
The ASBL requested the information as part of an ongoing investigation into the diversion of federal small business contracts to Fortune 500 firms.
Since 2003, more than a dozen federal investigations have uncovered the diversion of billions of dollars a month in federal small business contracts to Fortune 500 corporations. In Report 5-15, the Small Business Administration (SBA) Office of Inspector General described the problem 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)
The DOE refused to release the names of Bechtel officials overseeing the contract. Specifically, DOE withheld the name of Kimon Andreos, Manager, Procurement and Materials Management, and Lisa Smith, Small Business Program Manager. The contract was awarded by DOE Contract Specialist Anthony DeNapoli.
Section 16(D) of the Small Business Act which states, "whoever misrepresents the status of any concern or person as a 'small business concern'...to obtain for oneself or another," any prime contract or subcontract with the government shall be subject to penalties of $500,000, 10 years in prison and/or debarment from federal contracting programs. (http://www.sba.gov/regulations/sbaact/sbaact.html)
The ASBL intends to uncover more evidence of contracting abuses in small business programs at NASA, the DOE and the U.S. Department of Defense (DoD). The organization has launched a campaign to review all of the DOE contracts awarded to Bechtel and all of the DOE contracts that have been awarded by Mr. DeNapoli.
"We will continue to use the Freedom of Information Act to prove that the diversion of federal small business contracts to Fortune 500 firms is not miscoding, computer glitches, or honest mistakes as the government has claimed. It is clearly premeditated and deliberate," ASBL President Lloyd Chapman said. "We will prove that the Obama Administration is diverting billions of dollars a month in federal small business funds to Fortune 500 firms. We'll prove that the DOE, NASA and the Pentagon are cheating American small businesses out of billions of dollars a month in federal contracts."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
May 21, 2010
Petaluma, Calif. - The Department of Energy (DOE) has lost a Freedom of Information lawsuit filed by the American Small Business League (ASBL). The ASBL filed the lawsuit after the DOE refused to release information regarding a $3.6 billion federal contract awarded to Bechtel Bettis Inc. The socio-economic status indicated "small business" on hundreds of millions of dollars in awards under the prime contract. (http://www.asbl.com/documents/litigation/Case_10.pdf)
The ASBL requested the information as part of an ongoing investigation into the diversion of federal small business contracts to Fortune 500 firms.
Since 2003, more than a dozen federal investigations have uncovered the diversion of billions of dollars a month in federal small business contracts to Fortune 500 corporations. In Report 5-15, the Small Business Administration (SBA) Office of Inspector General described the problem 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)
The DOE refused to release the names of Bechtel officials overseeing the contract. Specifically, DOE withheld the name of Kimon Andreos, Manager, Procurement and Materials Management, and Lisa Smith, Small Business Program Manager. The contract was awarded by DOE Contract Specialist Anthony DeNapoli.
Section 16(D) of the Small Business Act which states, "whoever misrepresents the status of any concern or person as a 'small business concern'...to obtain for oneself or another," any prime contract or subcontract with the government shall be subject to penalties of $500,000, 10 years in prison and/or debarment from federal contracting programs. (http://www.sba.gov/regulations/sbaact/sbaact.html)
The ASBL intends to uncover more evidence of contracting abuses in small business programs at NASA, the DOE and the U.S. Department of Defense (DoD). The organization has launched a campaign to review all of the DOE contracts awarded to Bechtel and all of the DOE contracts that have been awarded by Mr. DeNapoli.
"We will continue to use the Freedom of Information Act to prove that the diversion of federal small business contracts to Fortune 500 firms is not miscoding, computer glitches, or honest mistakes as the government has claimed. It is clearly premeditated and deliberate," ASBL President Lloyd Chapman said. "We will prove that the Obama Administration is diverting billions of dollars a month in federal small business funds to Fortune 500 firms. We'll prove that the DOE, NASA and the Pentagon are cheating American small businesses out of billions of dollars a month in federal contracts."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Wednesday, May 19, 2010
Navy Sued For Refusing to Release ManTech Contracting Data
FOR IMMEDIATE RELEASE
May 19, 2010
Petaluma, Calif. – On Tuesday, May 18, the American Small Business League (ASBL) filed suit against the Navy in Federal District Court, Northern District of California. The case was filed under the Freedom of Information Act (FOIA) after the Navy refused to release quarterly sub-contracting reports for contracts awarded to ManTech Systems Engineering. (http://www.asbl.com/documents/litigation/Case_12.pdf)
This is the 5th lawsuit filed by the ASBL under FOIA since the beginning of April, and the organization's 12 lawsuit against the government since 2004. Through its legal efforts, the ASBL has forced the release of thousands of pages of documents proving that large corporations have received billions of dollars a year in federal small business contracts.
Since 2003, more than a dozen federal investigations have uncovered billions of dollars a month in federal small business contracts actually flowing into the hands of Fortune 500 corporations and even some of the largest firms in Europe. Report 5-15, from the Small Business Administration Office of Inspector General described this 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)
The Small Business Act requires that a minimum of 23 percent of the total value of all government contracts go to small businesses. The Obama administration has failed to meet that goal. The most recent information available indicates that the administration is diverting federal small business contracts to Fortune 500 firms like: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, Dell Computer, British Aerospace (BAE), Rolls-Royce, French giant Thales Communications, Ssangyong Corporation headquartered in South Korea, and the Italian firm Finmeccanica SpA. (http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf)
The ASBL plans to file a series of federal lawsuits against the Obama Administration for refusing to release documents under FOIA. The ASBL maintains that despite claims of increased transparency, the Obama Administration is refusing to release a wide range of data on small business contracting programs such as: prime contractor compliance with small business subcontracting goals, the actual names of the recipients of federal small business contracts, and the specific names of federal contracting officials that have awarded small business contracts to Fortune 500 firms.
"The information that the Obama Administration is refusing to release shows that they are diverting federal small business contracts to Fortune 500 firms. The fact that they are willing to go to federal court to withhold the data clearly shows that they have something damaging to hide. We will win like we always do," ASBL President Lloyd Chapman said.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
May 19, 2010
Petaluma, Calif. – On Tuesday, May 18, the American Small Business League (ASBL) filed suit against the Navy in Federal District Court, Northern District of California. The case was filed under the Freedom of Information Act (FOIA) after the Navy refused to release quarterly sub-contracting reports for contracts awarded to ManTech Systems Engineering. (http://www.asbl.com/documents/litigation/Case_12.pdf)
This is the 5th lawsuit filed by the ASBL under FOIA since the beginning of April, and the organization's 12 lawsuit against the government since 2004. Through its legal efforts, the ASBL has forced the release of thousands of pages of documents proving that large corporations have received billions of dollars a year in federal small business contracts.
Since 2003, more than a dozen federal investigations have uncovered billions of dollars a month in federal small business contracts actually flowing into the hands of Fortune 500 corporations and even some of the largest firms in Europe. Report 5-15, from the Small Business Administration Office of Inspector General described this 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)
The Small Business Act requires that a minimum of 23 percent of the total value of all government contracts go to small businesses. The Obama administration has failed to meet that goal. The most recent information available indicates that the administration is diverting federal small business contracts to Fortune 500 firms like: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, Dell Computer, British Aerospace (BAE), Rolls-Royce, French giant Thales Communications, Ssangyong Corporation headquartered in South Korea, and the Italian firm Finmeccanica SpA. (http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf)
The ASBL plans to file a series of federal lawsuits against the Obama Administration for refusing to release documents under FOIA. The ASBL maintains that despite claims of increased transparency, the Obama Administration is refusing to release a wide range of data on small business contracting programs such as: prime contractor compliance with small business subcontracting goals, the actual names of the recipients of federal small business contracts, and the specific names of federal contracting officials that have awarded small business contracts to Fortune 500 firms.
"The information that the Obama Administration is refusing to release shows that they are diverting federal small business contracts to Fortune 500 firms. The fact that they are willing to go to federal court to withhold the data clearly shows that they have something damaging to hide. We will win like we always do," ASBL President Lloyd Chapman said.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Wednesday, May 5, 2010
Schwarzenegger Won't Back Bill to Bring Jobs and Contracts to California
FOR IMMEDIATE RELEASE
May 5, 2010
Petaluma, Calif. – Governor Arnold Schwarzenegger has refused to back H.R. 2568, the Fairness and Transparency in Contracting Act, which would bring billions of dollars in additional federal contracts and thousands of jobs to the State of California. The Governor's office originally pledged to back the bill once it was introduced into Congress, but has since broken its promise.
The bill was originally drafted by the Petaluma, California based American Small Business League (ASBL) to stop the diversion of federal small business contracts to Fortune 500 firms and other large businesses. H.R. 2568 was introduced into the U.S. House of Representatives in May of 2009. It currently has 24 co-sponsors, including 5 members of the California delegation, as well as the support of major chambers of commerce and business organizations across the state and nation.
Since 2003, over a dozen federal investigations have found billions of dollars a month in federal contracts earmarked for small businesses have actually been diverted to Fortune 500 firms and even some of the largest firms in Europe and Asia. Large recipients of federal small business contracts have included: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, Dell Computer, British Aerospace (BAE), Rolls-Royce, French giant Thales Communications, Ssangyong Corporation headquartered in South Korea, and the Italian firm Finmeccanica SpA. (http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf)
In March of 2005, the Small Business Administration (SBA) Office of Inspector General 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)
H.R. 2568 would prevent federal agencies from continuing to divert small business contracts to Fortune 500 firms. The ASBL estimates that the bill's passage could create between 400,000 and 500,000 new jobs and provide California's small businesses with over $50 billion in additional contracts over the next 5 years.
"I am really disappointed in Governor Schwarzenegger's refusal to back this bill. This legislation would do more to direct federal infrastructure spending to small businesses in California than any other legislation proposed to date," ASBL President Lloyd Chapman said. "I would be willing to bet that 99.99% of Californians would agree that Fortune 500 firms should not be allowed to hijack federal contracts intended for small businesses. California is having serious financial problems and this is a great solution that would bring money and jobs to the state. "
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
May 5, 2010
Petaluma, Calif. – Governor Arnold Schwarzenegger has refused to back H.R. 2568, the Fairness and Transparency in Contracting Act, which would bring billions of dollars in additional federal contracts and thousands of jobs to the State of California. The Governor's office originally pledged to back the bill once it was introduced into Congress, but has since broken its promise.
The bill was originally drafted by the Petaluma, California based American Small Business League (ASBL) to stop the diversion of federal small business contracts to Fortune 500 firms and other large businesses. H.R. 2568 was introduced into the U.S. House of Representatives in May of 2009. It currently has 24 co-sponsors, including 5 members of the California delegation, as well as the support of major chambers of commerce and business organizations across the state and nation.
Since 2003, over a dozen federal investigations have found billions of dollars a month in federal contracts earmarked for small businesses have actually been diverted to Fortune 500 firms and even some of the largest firms in Europe and Asia. Large recipients of federal small business contracts have included: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, Dell Computer, British Aerospace (BAE), Rolls-Royce, French giant Thales Communications, Ssangyong Corporation headquartered in South Korea, and the Italian firm Finmeccanica SpA. (http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf)
In March of 2005, the Small Business Administration (SBA) Office of Inspector General 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)
H.R. 2568 would prevent federal agencies from continuing to divert small business contracts to Fortune 500 firms. The ASBL estimates that the bill's passage could create between 400,000 and 500,000 new jobs and provide California's small businesses with over $50 billion in additional contracts over the next 5 years.
"I am really disappointed in Governor Schwarzenegger's refusal to back this bill. This legislation would do more to direct federal infrastructure spending to small businesses in California than any other legislation proposed to date," ASBL President Lloyd Chapman said. "I would be willing to bet that 99.99% of Californians would agree that Fortune 500 firms should not be allowed to hijack federal contracts intended for small businesses. California is having serious financial problems and this is a great solution that would bring money and jobs to the state. "
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Friday, April 30, 2010
Exxon Profits Soar, Still No Windfall Profits Tax from Obama
FOR IMMEDIATE RELEASE
April 30, 2010
Petaluma, Calif. – Exxon Mobil Corporation announced that its first quarter profit earnings were up 38 percent, totaling $6.3 billion in profits due mainly to the high price of oil, which is now over $85 per barrel. To date, President Obama has still not fulfilled his campaign promise of enacting a windfall profits tax on the oil and gas industry. (http://bit.ly/9CrGHf)
In the run-up to the 2008 presidential election, President Obama routinely promised to enact a windfall profits tax on the oil and gas industry to fund a $1000 per household energy rebate. Within 48 hours of being elected, President Obama dropped the promise from his agenda. An “unnamed transition team staffer” tried to justify the decision by stating, “President-elect Obama announced the policy during the campaign because oil prices were above $80 per barrel. They are currently below that now and expected to stay below that.” (http://www.reuters.com/article/idUSTRE4B206W20081203)
“I'll make oil companies like Exxon pay a tax on their windfall profits, and we'll use the money to help families pay for their skyrocketing energy costs and other bills,” President Obama said in a statement released in June of 2008. (http://www.reuters.com/article/idUSWAT00963020080609)
(http://www.youtube.com/watch?v=QJPo5IGTd0A)
Prior to the 2008 presidential election, President Obama's promise to implement the tax was displayed prominently at the top of the “Economy” section of the Obama-Biden campaign website. On November 6, President-elect Obama rolled out his transition website, Change.gov, which also displayed the promise, before it disappeared two days later. (Pre-change, http://www.asbl.com/documents/Economy_Change.pdf ; Post-change, http://change.gov/agenda/economy_agenda/)
The Obama administration has not made good on its campaign promise to enact a windfall oil profits tax, even with the price of oil consistently staying above $80 per barrel, couple that with the fact that Exxon Mobil paid zero dollars in federal income tax for 2009. (http://www.oil-price.net/) (http://www.oil-price.net/en/articles/How-Exxon-paid-zero-tazes-in-2009.php)
Proponents of the tax maintain that the oil and gas industry has gouged the public at the pump to reap excessive profits for nearly a decade, even with barrel prices in the $20 range. In January of 2004 the Associated Press (AP) reported that Exxon-Mobil earned $21.51 billion in profits during fiscal year (FY) 2003. Nearly doubling the company’s profit from the previous fiscal year. (http://www.washingtonpost.com/wp-dyn/articles/A60862-2004Jan29_2.html)
“A windfall profits tax on the oil and gas industry would help keep the prices at the pump low, help reduce the deficit and most Americans would much rather see that than a value-added Tax.” ASBL President Lloyd Chapman said.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
April 30, 2010
Petaluma, Calif. – Exxon Mobil Corporation announced that its first quarter profit earnings were up 38 percent, totaling $6.3 billion in profits due mainly to the high price of oil, which is now over $85 per barrel. To date, President Obama has still not fulfilled his campaign promise of enacting a windfall profits tax on the oil and gas industry. (http://bit.ly/9CrGHf)
In the run-up to the 2008 presidential election, President Obama routinely promised to enact a windfall profits tax on the oil and gas industry to fund a $1000 per household energy rebate. Within 48 hours of being elected, President Obama dropped the promise from his agenda. An “unnamed transition team staffer” tried to justify the decision by stating, “President-elect Obama announced the policy during the campaign because oil prices were above $80 per barrel. They are currently below that now and expected to stay below that.” (http://www.reuters.com/article/idUSTRE4B206W20081203)
“I'll make oil companies like Exxon pay a tax on their windfall profits, and we'll use the money to help families pay for their skyrocketing energy costs and other bills,” President Obama said in a statement released in June of 2008. (http://www.reuters.com/article/idUSWAT00963020080609)
(http://www.youtube.com/watch?v=QJPo5IGTd0A)
Prior to the 2008 presidential election, President Obama's promise to implement the tax was displayed prominently at the top of the “Economy” section of the Obama-Biden campaign website. On November 6, President-elect Obama rolled out his transition website, Change.gov, which also displayed the promise, before it disappeared two days later. (Pre-change, http://www.asbl.com/documents/Economy_Change.pdf ; Post-change, http://change.gov/agenda/economy_agenda/)
The Obama administration has not made good on its campaign promise to enact a windfall oil profits tax, even with the price of oil consistently staying above $80 per barrel, couple that with the fact that Exxon Mobil paid zero dollars in federal income tax for 2009. (http://www.oil-price.net/) (http://www.oil-price.net/en/articles/How-Exxon-paid-zero-tazes-in-2009.php)
Proponents of the tax maintain that the oil and gas industry has gouged the public at the pump to reap excessive profits for nearly a decade, even with barrel prices in the $20 range. In January of 2004 the Associated Press (AP) reported that Exxon-Mobil earned $21.51 billion in profits during fiscal year (FY) 2003. Nearly doubling the company’s profit from the previous fiscal year. (http://www.washingtonpost.com/wp-dyn/articles/A60862-2004Jan29_2.html)
“A windfall profits tax on the oil and gas industry would help keep the prices at the pump low, help reduce the deficit and most Americans would much rather see that than a value-added Tax.” ASBL President Lloyd Chapman said.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Thursday, April 29, 2010
NASA Sued for Refusing to Release Contracting Data
FOR IMMEDIATE RELEASE
April 29, 2010
Petaluma, Calif. – On Wednesday, April 28, the American Small Business League (ASBL) filed suit against NASA in Federal District Court, Northern District of California. The case was filed under the Freedom of Information Act (FOIA) after NASA refused to release subcontracting reports for contracts awarded to General Dynamics C4 Systems Incorporated. (http://www.asbl.com/documents/complaint_GD_NASA.pdf)
The ASBL requested information from NASA on a contract awarded to General Dynamics after discovering that a contracting officer reported the award as a small business contract.
Wednesday's suit is the second lawsuit filed by the ASBL against NASA. In February of 2007, the ASBL prevailed in its first suit against NASA, forcing the agency to provide detailed information proving the agency falsified its small business contracting statistics by including contracts to a variety of Fortune 500 firms and other large businesses.
Since 2003, over a dozen federal investigations have found billions of dollars a month in federal contracts earmarked for small businesses have been diverted to Fortune 500 firms and some of the largest companies in the world. The large recipients of federal small business contracts include: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, Dell Computer, British Aerospace (BAE), Rolls-Royce, French giant Thales Communications, Ssangyong Corporation headquartered in South Korea, and the Italian firm Finmeccanica SpA. (http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf)
The ASBL plans to file a series of FOIA requests to NASA as a means of uncovering more federal small business contracts that were diverted to Fortune 500 firms. Specifically, the ASBL intends to uncover contracts awarded to large corporations that were coded as small business contracts by contracting officers.
Section 16(d) of the Small Business Act states, "whoever misrepresents the status of any concern or person as a 'small business concern'...to obtain for oneself or another," any prime contract or subcontract with the government shall be subject to penalties of $500,000, 10 years in prison and/or debarment from federal contracting programs. (http://www.sba.gov/regulations/sbaact/sbaact.html)
Attorneys for the ASBL believe federal contracting officials, and possibly even employees of prime contractors, could be held liable for penalties prescribed under section 16(d) of the Small Business Act for fraudulently misrepresenting large firms as small businesses.
"This issue has gone on unabated for over decade. I don't think these abuses are going to stop until people start going to prison," ASBL President Lloyd Chapman said.
-###-
Please click here to watch a clip about the ASBL's suit: http://www.youtube.com/watch?v=Yx-SyChw06I
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
April 29, 2010
Petaluma, Calif. – On Wednesday, April 28, the American Small Business League (ASBL) filed suit against NASA in Federal District Court, Northern District of California. The case was filed under the Freedom of Information Act (FOIA) after NASA refused to release subcontracting reports for contracts awarded to General Dynamics C4 Systems Incorporated. (http://www.asbl.com/documents/complaint_GD_NASA.pdf)
The ASBL requested information from NASA on a contract awarded to General Dynamics after discovering that a contracting officer reported the award as a small business contract.
Wednesday's suit is the second lawsuit filed by the ASBL against NASA. In February of 2007, the ASBL prevailed in its first suit against NASA, forcing the agency to provide detailed information proving the agency falsified its small business contracting statistics by including contracts to a variety of Fortune 500 firms and other large businesses.
Since 2003, over a dozen federal investigations have found billions of dollars a month in federal contracts earmarked for small businesses have been diverted to Fortune 500 firms and some of the largest companies in the world. The large recipients of federal small business contracts include: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, Dell Computer, British Aerospace (BAE), Rolls-Royce, French giant Thales Communications, Ssangyong Corporation headquartered in South Korea, and the Italian firm Finmeccanica SpA. (http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf)
The ASBL plans to file a series of FOIA requests to NASA as a means of uncovering more federal small business contracts that were diverted to Fortune 500 firms. Specifically, the ASBL intends to uncover contracts awarded to large corporations that were coded as small business contracts by contracting officers.
Section 16(d) of the Small Business Act states, "whoever misrepresents the status of any concern or person as a 'small business concern'...to obtain for oneself or another," any prime contract or subcontract with the government shall be subject to penalties of $500,000, 10 years in prison and/or debarment from federal contracting programs. (http://www.sba.gov/regulations/sbaact/sbaact.html)
Attorneys for the ASBL believe federal contracting officials, and possibly even employees of prime contractors, could be held liable for penalties prescribed under section 16(d) of the Small Business Act for fraudulently misrepresenting large firms as small businesses.
"This issue has gone on unabated for over decade. I don't think these abuses are going to stop until people start going to prison," ASBL President Lloyd Chapman said.
-###-
Please click here to watch a clip about the ASBL's suit: http://www.youtube.com/watch?v=Yx-SyChw06I
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Tuesday, April 27, 2010
Obama Small Business Task Force May Ignore #1 Problem
FOR IMMEDIATE RELEASE
April 27, 2010
Petaluma, Calif. – On Monday, March 26, President Barack Obama announced the establishment of two task forces charged with removing barriers to access, and monitoring goals, for federal contracting with small businesses. Based on President Obama's track record for small businesses to date, the American Small Business League (ASBL) is concerned that the task forces will ignore the #1 challenge facing small businesses competing in the federal marketplace, which is the diversion of federal small business contracts to large corporations.
To date, President Barack Obama has:
- Refused to end the diversion of billions of dollars a month in federal small business contracts to corporate giants, and consistently misled Congress and the media by claiming that the diversion of federal small business contracts to large corporations is the result of "miscoding," and "data entry errors."
- Failed to restore the Small Business Administration's (SBA) staffing to pre-Bush Administration levels.
- Distributed less than 2 percent of funds allocated under the American Recovery and Reinvestment Act (ARRA) directly to small businesses.
- Allowed for the dismantling of small disadvantaged business and minority owned business contracting programs. (http://www.acq.osd.mil/osbp/policy/USA001376-09%20Signed.pdf)
- Destroyed a decade's worth of federal contracting data that has been used to prove that Fortune 500 firms have illegally received billions of dollars in federal small business contracts.
- Refused to release a wide range of information including the names of recipients of small business contracts, and documents showing prime contractor compliance with small business subcontracting goals.
The ASBL is concerned that one of the top recommendations issued by the Obama Administration's two small business task forces will be a change to the 57 year-old federal definition of a small business, as being independently owned, to include firms owned and controlled by venture capitalists. The ASBL believes the change will be made under the guise of increasing access to capital for small businesses, while actually hurting small businesses by diverting small business contracts to some of President Obama's wealthiest venture capitalist donors.
In order to provide the small business community with greater contracting opportunities and stimulate our nation's economy, the ASBL recommends the Obama Administration take the following actions:
1. Maintain the current definition of a small business as being independently owned, and prevent the diversion of federal small business contracts to firms owned and controlled by wealthy venture capitalists.
2. End the Comprehensive Subcontracting Plan Test Program, which currently allows large prime contractors to ignore their small business subcontracting goals.
3. Issue an executive order that would stop the diversion of billions of dollars a year in federal small business contracts to Fortune 500 corporations and other clearly large businesses.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
April 27, 2010
Petaluma, Calif. – On Monday, March 26, President Barack Obama announced the establishment of two task forces charged with removing barriers to access, and monitoring goals, for federal contracting with small businesses. Based on President Obama's track record for small businesses to date, the American Small Business League (ASBL) is concerned that the task forces will ignore the #1 challenge facing small businesses competing in the federal marketplace, which is the diversion of federal small business contracts to large corporations.
To date, President Barack Obama has:
- Refused to end the diversion of billions of dollars a month in federal small business contracts to corporate giants, and consistently misled Congress and the media by claiming that the diversion of federal small business contracts to large corporations is the result of "miscoding," and "data entry errors."
- Failed to restore the Small Business Administration's (SBA) staffing to pre-Bush Administration levels.
- Distributed less than 2 percent of funds allocated under the American Recovery and Reinvestment Act (ARRA) directly to small businesses.
- Allowed for the dismantling of small disadvantaged business and minority owned business contracting programs. (http://www.acq.osd.mil/osbp/policy/USA001376-09%20Signed.pdf)
- Destroyed a decade's worth of federal contracting data that has been used to prove that Fortune 500 firms have illegally received billions of dollars in federal small business contracts.
- Refused to release a wide range of information including the names of recipients of small business contracts, and documents showing prime contractor compliance with small business subcontracting goals.
The ASBL is concerned that one of the top recommendations issued by the Obama Administration's two small business task forces will be a change to the 57 year-old federal definition of a small business, as being independently owned, to include firms owned and controlled by venture capitalists. The ASBL believes the change will be made under the guise of increasing access to capital for small businesses, while actually hurting small businesses by diverting small business contracts to some of President Obama's wealthiest venture capitalist donors.
In order to provide the small business community with greater contracting opportunities and stimulate our nation's economy, the ASBL recommends the Obama Administration take the following actions:
1. Maintain the current definition of a small business as being independently owned, and prevent the diversion of federal small business contracts to firms owned and controlled by wealthy venture capitalists.
2. End the Comprehensive Subcontracting Plan Test Program, which currently allows large prime contractors to ignore their small business subcontracting goals.
3. Issue an executive order that would stop the diversion of billions of dollars a year in federal small business contracts to Fortune 500 corporations and other clearly large businesses.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
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