The following story ran in the Central Valley Business Times (CVBT) this morning regarding the Small Business Administration's (SBA) decision to appeal its recent court loss to the American Small Business League (ASBL) to the 9th Circuit Court of Appeals. The ASBL was shocked by the SBA's decision to move towards decreasing transparency in federal small business contracting programs.
Regarding the SBA's move, attorney for ASBL Robert Belshaw said. "The Small Business Administration's willingness to take this matter to the 9th Circuit Court should be an indication to the media, public and Congress that transparency is not a priority for the SBA at this time. We can see no legal theory which would support an appeal of the district court's decision."
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SBA appeals ruling to release contracting data
The U.S. Small Business Administration has decided to appeal a U.S. District Court ruling against them, directing the agency to release the specific names of all recipients of federal small business contracts during federal fiscal years 2005 and 2006.
The ruling came in a lawsuit filed by the American Small Business League of Petaluma under the Freedom of Information Act after the SBA refused to comply with the ASBL's request.
The ASBL requested the data to prove that during the Bush Administration most small business contracts were actually awarded to Fortune 500 firms.
The case now goes to the 9th Circuit Court of Appeals. Court documents indicating the SBA's justification for appealing the case have not been released
But the founder of ASBL thinks he knows why.
"It's obvious the Bush Administration has something to hide. Why else would they be willing to go to the 9th Circuit Court of Appeals over simple information that should be readily available to every citizen?” says ASBL President Lloyd Chapman.
“Since 2002, there have been 15 federal investigations that have found the Bush Administration has diverted billions of dollars in federal small business contracts to large corporations. That is the real reason the SBA is withholding this data, particularly this close to an election," Mr. Chapman says.
Please click here to view the source for the story: http://www.centralvalleybusinesstimes.com/stories/001/?ID=9915
Thursday, September 25, 2008
Thursday, September 18, 2008
New SBA Head Still Refusing to Release Small Business Contracting Statistics
Interest In SBA Data Mounts As Agency Stalls the Release of Inflated Small Business Statistics
Petaluma, Calif. - Eleven and a half months after the end of the federal government's fiscal year (FY) 2007, new Acting Administrator of the Small Business Administration (SBA), Santanu "Sandy" Baruah has still not released the Bush Administration's small business contracting statistics for last year.
The federal government's FY 2007 ended on September 30th of last year. 2008 marks the first time in history that the SBA has not released its annual small business contracting statistics by the end of August.
SBA critics question why the SBA routinely takes so long to release the statistics, when it is widely known that the data is compiled on a real time basis. The information should have been available as soon as October 1, 2007.
The American Small Business League (ASBL) believes Bush officials at the SBA may have backed themselves into a corner when during an August 28, 2008 legal preceding, representatives from the SBA told United States District Court Judge Marilyn H. Patel that they did not have any small business contracting data. (http://www.asbl.com/documents/motiontodismiss.pdf)
Another reason the Bush Administration may be anxious about release of the data is every year since 2003, a firestorm of controversy erupts as soon as the small business contracting data is released. In that time, 15 federal investigations have found that the Bush Administration consistently diverts billions of dollars in federal small business contracts to Fortune 500 firms.
In past years, the story on the diversion of federal small business contracts to corporate giants has erupted within hours of the release of the fabricated data. CBS, ABC, CNN and virtually every major newspaper in the country have covered the story.
The Bush Administration would obviously like to avoid another controversy in such close proximity to the elections.
Another possibility is that the SBA may have spent the last eleven and a half months scrubbing the 2007 data of any obvious large businesses names. They would then significantly inflate the volume of contract dollars allotted to legitimate small businesses to make up the difference.
If and when the Bush Administration does release its small business contracting statistics for 2007, billions of dollars in contracts to many of the largest firms in the United States and even Europe will most likely be included. This year marks the seventh consecutive year that large companies have been included in the government's small business contracting statistics.
In the past, Bush officials have reported contracts to firms such as Bechtel, John Deere, Dell, Xerox, Rolls Royce, Battelle, Home Depot, Boeing, Raytheon, Halliburton, General Dynamics, Thales (French), Buhrmann NV (Dutch) and British Aerospace and Engineering (BAE) as small business contracts.
The SBA is facing mounting pressure to release the 2007 small business contracting statistics. Every day that they stall the release of the data creates more and more interest in their justifications for withholding the information. If the SBA does release the data, they could find themselves in trouble with the federal courts in San Francisco as a result of SBA officials stating that they did not have the data detailing the recipients of federal small business contracts.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Petaluma, Calif. - Eleven and a half months after the end of the federal government's fiscal year (FY) 2007, new Acting Administrator of the Small Business Administration (SBA), Santanu "Sandy" Baruah has still not released the Bush Administration's small business contracting statistics for last year.
The federal government's FY 2007 ended on September 30th of last year. 2008 marks the first time in history that the SBA has not released its annual small business contracting statistics by the end of August.
SBA critics question why the SBA routinely takes so long to release the statistics, when it is widely known that the data is compiled on a real time basis. The information should have been available as soon as October 1, 2007.
The American Small Business League (ASBL) believes Bush officials at the SBA may have backed themselves into a corner when during an August 28, 2008 legal preceding, representatives from the SBA told United States District Court Judge Marilyn H. Patel that they did not have any small business contracting data. (http://www.asbl.com/documents/motiontodismiss.pdf)
Another reason the Bush Administration may be anxious about release of the data is every year since 2003, a firestorm of controversy erupts as soon as the small business contracting data is released. In that time, 15 federal investigations have found that the Bush Administration consistently diverts billions of dollars in federal small business contracts to Fortune 500 firms.
In past years, the story on the diversion of federal small business contracts to corporate giants has erupted within hours of the release of the fabricated data. CBS, ABC, CNN and virtually every major newspaper in the country have covered the story.
The Bush Administration would obviously like to avoid another controversy in such close proximity to the elections.
Another possibility is that the SBA may have spent the last eleven and a half months scrubbing the 2007 data of any obvious large businesses names. They would then significantly inflate the volume of contract dollars allotted to legitimate small businesses to make up the difference.
If and when the Bush Administration does release its small business contracting statistics for 2007, billions of dollars in contracts to many of the largest firms in the United States and even Europe will most likely be included. This year marks the seventh consecutive year that large companies have been included in the government's small business contracting statistics.
In the past, Bush officials have reported contracts to firms such as Bechtel, John Deere, Dell, Xerox, Rolls Royce, Battelle, Home Depot, Boeing, Raytheon, Halliburton, General Dynamics, Thales (French), Buhrmann NV (Dutch) and British Aerospace and Engineering (BAE) as small business contracts.
The SBA is facing mounting pressure to release the 2007 small business contracting statistics. Every day that they stall the release of the data creates more and more interest in their justifications for withholding the information. If the SBA does release the data, they could find themselves in trouble with the federal courts in San Francisco as a result of SBA officials stating that they did not have the data detailing the recipients of federal small business contracts.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Wednesday, September 17, 2008
Latest GSA Small Business Contracting Numbers Include Billions to Fortune 500 Corporations
GSA Accused of Fabricating Small Business Contracting Statistics by Including Billions to Fortune 500 Firms
Petaluma, Calif. – Yesterday, the General Services Administration (GSA) issued a press release stating that the agency had exceeded all of its small business contracting goals, with the exception of the congressionally mandated 3 percent goal for Service Disabled Veteran Owned Small Businesses.
The GSA failed to mention in its press release on its increased small business contracting numbers, that most of the money actually ended up in the hands of Fortune 1000 corporations, publicly traded firms and even a number of large businesses overseas. This represents the seventh consecutive year that the Bush Administration has released small business contracting statistics that includes billions of dollars in contracts to some of the largest companies in the U.S. and Europe.
There have now been 15 federal investigations during the Bush Administration, that have all found large businesses as the actual recipients of hundreds of billions of dollars in federal small business contracts. In Report 5-15, the Small Business Administration Office of Inspector General stated, "One of the most important challenges facing the Small Business Administration (SBA) and the entire Federal Government today is that large businesses are receiving small business procurement awards and agencies are receiving credit for these awards." (http://www.sba.gov/ig/05-15.pdf)
On July 1, 2008, the Department of Interior (DOI) Office of Inspector General released a report, which stated that the DOI misstated the achievement of its small business goals by including Fortune 500 corporations. According to the report, DOI included dozens of corporate giants such as Dell, GTSI, Home Depot, John Deere, McGraw-Hill, Ricoh, Sherwin Williams, Starwood Hotels, Waste Management Incorporated, Weyerhaeuser, World Wide Technology, and Xerox in its small business contracting statistics. (http://www.doioig.gov/upload/2008-G-0024.pdf)
The American Small Business League (ASBL) intends to file a Freedom of Information Act (FOIA) request to the GSA for the specific names of all of the firms the GSA used to hit and exceed its congressionally mandated small business contracting goals. The ASBL intends to request the information as a means of proving that the Bush Administration once again has fabricated its small business contracting numbers for fiscal year 2007.
The ASBL projects that the Bush Administration diverts up to $100 billion a year in small business contracts to large corporations.
"The Bush Administration has lost all credibility with the public and the media, especially when it comes to small business contracting. There have been 15 federal investigations, which have all found that hundreds of billions of dollars in contracts intended for small businesses actually went to Fortune 500 corporations," ASBL President Lloyd Chapman said. "The GSA's small business statistics are fabricated and have no validity. I would love to have someone from the press contact GSA's Acting Administrator Jim Williams and ask one question, 'are contracts to any Fortune 1000 corporations included in your small business contracting numbers, yes or no?' "
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Petaluma, Calif. – Yesterday, the General Services Administration (GSA) issued a press release stating that the agency had exceeded all of its small business contracting goals, with the exception of the congressionally mandated 3 percent goal for Service Disabled Veteran Owned Small Businesses.
The GSA failed to mention in its press release on its increased small business contracting numbers, that most of the money actually ended up in the hands of Fortune 1000 corporations, publicly traded firms and even a number of large businesses overseas. This represents the seventh consecutive year that the Bush Administration has released small business contracting statistics that includes billions of dollars in contracts to some of the largest companies in the U.S. and Europe.
There have now been 15 federal investigations during the Bush Administration, that have all found large businesses as the actual recipients of hundreds of billions of dollars in federal small business contracts. In Report 5-15, the Small Business Administration Office of Inspector General stated, "One of the most important challenges facing the Small Business Administration (SBA) and the entire Federal Government today is that large businesses are receiving small business procurement awards and agencies are receiving credit for these awards." (http://www.sba.gov/ig/05-15.pdf)
On July 1, 2008, the Department of Interior (DOI) Office of Inspector General released a report, which stated that the DOI misstated the achievement of its small business goals by including Fortune 500 corporations. According to the report, DOI included dozens of corporate giants such as Dell, GTSI, Home Depot, John Deere, McGraw-Hill, Ricoh, Sherwin Williams, Starwood Hotels, Waste Management Incorporated, Weyerhaeuser, World Wide Technology, and Xerox in its small business contracting statistics. (http://www.doioig.gov/upload/2008-G-0024.pdf)
The American Small Business League (ASBL) intends to file a Freedom of Information Act (FOIA) request to the GSA for the specific names of all of the firms the GSA used to hit and exceed its congressionally mandated small business contracting goals. The ASBL intends to request the information as a means of proving that the Bush Administration once again has fabricated its small business contracting numbers for fiscal year 2007.
The ASBL projects that the Bush Administration diverts up to $100 billion a year in small business contracts to large corporations.
"The Bush Administration has lost all credibility with the public and the media, especially when it comes to small business contracting. There have been 15 federal investigations, which have all found that hundreds of billions of dollars in contracts intended for small businesses actually went to Fortune 500 corporations," ASBL President Lloyd Chapman said. "The GSA's small business statistics are fabricated and have no validity. I would love to have someone from the press contact GSA's Acting Administrator Jim Williams and ask one question, 'are contracts to any Fortune 1000 corporations included in your small business contracting numbers, yes or no?' "
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Monday, September 15, 2008
Hurricane Relief Will be Hampered By SBA Budget Cuts
The following press release was distributed by the American Small Business League today...
Petaluma, Calif. - Relief to small businesses and homeowners recovering from this season's round of hurricanes will be dramatically hampered by a series of severe Bush Administration budget cuts at the Small Business Administration (SBA). The SBA's ability to respond to victims of Hurricane Katrina was severely handicapped by dramatic budget and staffing cuts at the agency prior to the storm.
The SBA was so overwhelmed during relief efforts following Hurricane Katrina, that the agency was forced to hire thousands of temporary workers to do the work of the multitude of experienced SBA staff that had been laid off by the Bush Administration. A Government Accountability Office (GAO) report issued on July 25, 2007 stated, "SBA also faced challenges training and supervising the thousands of mostly temporary employees the agency hired to process loan applications and obtaining suitable office space for its expanded workforce. As of late May 2006, SBA processed disaster loan applications, on average, in about 74 days compared with its goal of within 21 days." (GAO-07-1124T, http://www.gao.gov/new.items/d071124t.pdf)
The SBA's lack of experienced staff was seen as a contributing factor in the hundreds of cases of fraud and abuse that were uncovered in the aftermath of relief efforts.
On March 28, 2008, the SBA Office of Inspector General released Report 8-11 stating, "Due to the unprecedented number of loans, by the fall of 2006 SBA had accumulated a backlog of more than 90,000 undisbursed loans. To expedite disbursement, SBA launched a 90-in-45 Campaign to resolve the backlog within 45 days. Several SBA employees involved in this initiative complained that, to meet performance goals, SBA disbursed funds against borrowers' wishes, circumvented loan-processing requirements, unnecessarily cancelled approved loans and inappropriately withdrew loan applications." (SBA OIG Report 08-11, http://www.sba.gov/ig/8-11.pdf)
Despite the SBA's efforts to mask its inability to adequately respond to the volume of disaster loan applications following Hurricane Katrina, the agency still managed to accumulate a massive backlog of loan applications.
According to Report 7-20 released by the SBA OIG, following the 2005 Gulf Coast hurricanes, the SBA approved 158,000 disaster loans totaling $10.6 billion. The report stated that as of September 30, 2006, the SBA had only dispersed $3.1 billion or 30 percent of the loans. Furthermore, Report 8-11 states that as of January 25, 2008, the SBA had only dispersed $6.3 billion after approving more than 160,000 disaster loans. (SBA OIG Report 07-11, http://www.sba.gov/ig/7-20.pdf)
Since taking office, President Bush has cut the SBA's budget and staffing more than any other federal agency. Today, the agency's budget is less than half of what it was when President Bush took office.
Depending on the overall magnitude of the damage caused by Hurricanes Ike, Gustav and the remainder of the seasons storms, the SBA may have to once again resort to hiring inexperienced temporary workers as a means of handling the workload the agencies larger and more experienced staff was able to provide in the past.
Relief to victims of this season's hurricanes could be even worse than it was after Katrina, because the SBA's budget and staffing have been cut further in the years following Katrina.
To date, neither Senator Barack Obama (D - IL), nor Senator John McCain (R - AZ) have posed plans to restore the SBA's Budget if elected president.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Petaluma, Calif. - Relief to small businesses and homeowners recovering from this season's round of hurricanes will be dramatically hampered by a series of severe Bush Administration budget cuts at the Small Business Administration (SBA). The SBA's ability to respond to victims of Hurricane Katrina was severely handicapped by dramatic budget and staffing cuts at the agency prior to the storm.
The SBA was so overwhelmed during relief efforts following Hurricane Katrina, that the agency was forced to hire thousands of temporary workers to do the work of the multitude of experienced SBA staff that had been laid off by the Bush Administration. A Government Accountability Office (GAO) report issued on July 25, 2007 stated, "SBA also faced challenges training and supervising the thousands of mostly temporary employees the agency hired to process loan applications and obtaining suitable office space for its expanded workforce. As of late May 2006, SBA processed disaster loan applications, on average, in about 74 days compared with its goal of within 21 days." (GAO-07-1124T, http://www.gao.gov/new.items/d071124t.pdf)
The SBA's lack of experienced staff was seen as a contributing factor in the hundreds of cases of fraud and abuse that were uncovered in the aftermath of relief efforts.
On March 28, 2008, the SBA Office of Inspector General released Report 8-11 stating, "Due to the unprecedented number of loans, by the fall of 2006 SBA had accumulated a backlog of more than 90,000 undisbursed loans. To expedite disbursement, SBA launched a 90-in-45 Campaign to resolve the backlog within 45 days. Several SBA employees involved in this initiative complained that, to meet performance goals, SBA disbursed funds against borrowers' wishes, circumvented loan-processing requirements, unnecessarily cancelled approved loans and inappropriately withdrew loan applications." (SBA OIG Report 08-11, http://www.sba.gov/ig/8-11.pdf)
Despite the SBA's efforts to mask its inability to adequately respond to the volume of disaster loan applications following Hurricane Katrina, the agency still managed to accumulate a massive backlog of loan applications.
According to Report 7-20 released by the SBA OIG, following the 2005 Gulf Coast hurricanes, the SBA approved 158,000 disaster loans totaling $10.6 billion. The report stated that as of September 30, 2006, the SBA had only dispersed $3.1 billion or 30 percent of the loans. Furthermore, Report 8-11 states that as of January 25, 2008, the SBA had only dispersed $6.3 billion after approving more than 160,000 disaster loans. (SBA OIG Report 07-11, http://www.sba.gov/ig/7-20.pdf)
Since taking office, President Bush has cut the SBA's budget and staffing more than any other federal agency. Today, the agency's budget is less than half of what it was when President Bush took office.
Depending on the overall magnitude of the damage caused by Hurricanes Ike, Gustav and the remainder of the seasons storms, the SBA may have to once again resort to hiring inexperienced temporary workers as a means of handling the workload the agencies larger and more experienced staff was able to provide in the past.
Relief to victims of this season's hurricanes could be even worse than it was after Katrina, because the SBA's budget and staffing have been cut further in the years following Katrina.
To date, neither Senator Barack Obama (D - IL), nor Senator John McCain (R - AZ) have posed plans to restore the SBA's Budget if elected president.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Wednesday, September 10, 2008
Venture Capitalists Try to Buy Into Small Business Contracting Programs with Millions in Campaign Contributions
New Senate Bill Sets Dangerous Precedent for Federal Small Business Contracting Programs
Petaluma, Calif. - A new bill set to be voted on by the full Senate could be the beginning of the end for millions of small businesses nationwide. The bill, S. 3362, passed through the Senate Committee on Small Business and Entrepreneurship prior to the congressional summer recess. Under the bill, firms that are owned up to nearly 100 percent by some of the nation's wealthiest venture capitalists would be allowed to compete head-to-head with legitimate small businesses for federal small business contracts.
As passed through committee, S. 3362 would allow firms majority owned by venture capitalists to be awarded up to 18 percent of the Small Business Innovation Research (SBIR) program budget for the National Institutes of Health (NIH) and up to 8 percent for all other federal agencies. The law would allow groups of venture capital firms, otherwise known as syndicates, to own a majority interest in a small business, while still being considered a small business for the purposes of participation in federal contracting programs. Under S. 3362, no single venture capital operating company would be allowed to own more than 49 percent of a small business and qualify for small business programs.
Small business advocates are concerned that the new legislation will set a dangerous precedent for venture capital participation in all federal programs designed for small businesses. Last year, the House of Representatives passed H.R. 3567, which as originally written, would have amended the Small Business Act to allow firms owned up to 51 percent by a single venture capital firm to qualify as a small business. Small business advocates see the "handwriting on the wall," as Congress may be moving to amend the Small Business Act to allow firms that are owned and controlled by some of the nation's wealthiest venture capitalists to participate in federal small business contracting programs.
For several years, venture capitalists have blanketed Congress with millions of dollars in contributions in an effort to force legislators to pass legislation to allow billionaire venture capitalists to participate in federal small business contracting programs. Small business advocates and owners are concerned that Democratic leaders in Congress are virtually selling small business programs to the venture capital industry.
"At a time when our nation is in one of the worst economic downturns in its history, small businesses across America now more than ever need the benefits of federal small business contracting programs," American Small Business League President Lloyd Chapman said. "If S. 3362 becomes law, Bill Gates, Warren Buffet and Donald Trump will all be able to participate in federal small business programs and I can assure you that is not what Congress had in mind when they passed the Small Business Act."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Petaluma, Calif. - A new bill set to be voted on by the full Senate could be the beginning of the end for millions of small businesses nationwide. The bill, S. 3362, passed through the Senate Committee on Small Business and Entrepreneurship prior to the congressional summer recess. Under the bill, firms that are owned up to nearly 100 percent by some of the nation's wealthiest venture capitalists would be allowed to compete head-to-head with legitimate small businesses for federal small business contracts.
As passed through committee, S. 3362 would allow firms majority owned by venture capitalists to be awarded up to 18 percent of the Small Business Innovation Research (SBIR) program budget for the National Institutes of Health (NIH) and up to 8 percent for all other federal agencies. The law would allow groups of venture capital firms, otherwise known as syndicates, to own a majority interest in a small business, while still being considered a small business for the purposes of participation in federal contracting programs. Under S. 3362, no single venture capital operating company would be allowed to own more than 49 percent of a small business and qualify for small business programs.
Small business advocates are concerned that the new legislation will set a dangerous precedent for venture capital participation in all federal programs designed for small businesses. Last year, the House of Representatives passed H.R. 3567, which as originally written, would have amended the Small Business Act to allow firms owned up to 51 percent by a single venture capital firm to qualify as a small business. Small business advocates see the "handwriting on the wall," as Congress may be moving to amend the Small Business Act to allow firms that are owned and controlled by some of the nation's wealthiest venture capitalists to participate in federal small business contracting programs.
For several years, venture capitalists have blanketed Congress with millions of dollars in contributions in an effort to force legislators to pass legislation to allow billionaire venture capitalists to participate in federal small business contracting programs. Small business advocates and owners are concerned that Democratic leaders in Congress are virtually selling small business programs to the venture capital industry.
"At a time when our nation is in one of the worst economic downturns in its history, small businesses across America now more than ever need the benefits of federal small business contracting programs," American Small Business League President Lloyd Chapman said. "If S. 3362 becomes law, Bill Gates, Warren Buffet and Donald Trump will all be able to participate in federal small business programs and I can assure you that is not what Congress had in mind when they passed the Small Business Act."
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Thursday, September 4, 2008
New SBA Head Stalling the Release of Latest Small Business Contracting Statistics
Petaluma, Calif. - In late July, the Small Business Administration (SBA) announced it would release its official federal small business contracting statistics for Fiscal Year (FY) 2007 by the end of August. On August 25, 2008, attorneys representing the SBA told Federal District Court Judge Marilyn H. Patel that the SBA did not have any information on the volume of contracts awarded to small business or the specific names of the firms that received those contracts.
In court documents Patel stated, "The court finds curious the SBA's argument that it does not 'control' the very information it needs to carry out its duties and functions." (http://www.asbl.com/documents/20080925courtordermod.pdf)
Now, in his second week on the job, new Acting Administrator of the SBA Santanu "Sandy" Baruah appears to be refusing to release the Bush Administration's latest small business contracting statistics. This is the first time in the SBA's 55-year history the agency has delayed the release of the federal government's small business contracting statistics until this late in the year.
The federal government's fiscal year for 2007 ended on September 31, 2007. The SBA has now had more than eleven months to review the data and release it. Since the government's contracting information is in a real-time database, the information could have been released on October 1, 2007.
The American Small Business League (ASBL) believes that Acting Administrator Baruah is withholding the Bush Administration's small business contracting statistics to avoid an inevitable challenge to the accuracy of the information in the press during the Republican National Convention. The ASBL believes the latest Bush Administration small business data will include hundreds of Fortune 1000 firms as it has every year during Bush's tenure.
Since 2003, 15 federal investigations have all found wide spread abuses in federal small business contracting programs, such as the diversion of billions of dollars in federal small business contracts to Fortune 500 firms. Some of the firms that have received small business contracts during the Bush Administration include: Lockheed Martin, Boeing, Battelle, Raytheon, General Dynamics, Northrop Grumman, L-3 Communications, Titan Industries, Xerox, John Deere and British Aerospace and Engineering (BAE). (http://www.asbl.com/documentlibrary.html)
In response to the series of investigations and over 400 stories on the issue in mainstream-media outlets across the United States, the Bush Administration has responded by making it more and more difficult for the public and the media to determine the actual recipients of federal small business contracts. Bush officials have repeatedly refused Freedom of Information Act (FOIA) requests for the specific names of firms that received government small business contracts. In June of 2007, the SBA adopted a policy, which will allow Fortune 500 firms to continue to receive federal small business contracts until 2012.
On July 30, 2008, Bush officials adopted a policy, which no longer requires government contractors to state their annual revenue or their number of employees. This makes it difficult, if not impossible, for the public to determine if large businesses are misrepresenting themselves as a small businesses. (http://www.asbl.com/documents/20080903ccrchange.pdf)
The ASBL plans to request the 2007 small business contracting statistics under FOIA if the information is not released by the end of the week.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn [at] asbl.com
(707) 789-9575
In court documents Patel stated, "The court finds curious the SBA's argument that it does not 'control' the very information it needs to carry out its duties and functions." (http://www.asbl.com/documents/20080925courtordermod.pdf)
Now, in his second week on the job, new Acting Administrator of the SBA Santanu "Sandy" Baruah appears to be refusing to release the Bush Administration's latest small business contracting statistics. This is the first time in the SBA's 55-year history the agency has delayed the release of the federal government's small business contracting statistics until this late in the year.
The federal government's fiscal year for 2007 ended on September 31, 2007. The SBA has now had more than eleven months to review the data and release it. Since the government's contracting information is in a real-time database, the information could have been released on October 1, 2007.
The American Small Business League (ASBL) believes that Acting Administrator Baruah is withholding the Bush Administration's small business contracting statistics to avoid an inevitable challenge to the accuracy of the information in the press during the Republican National Convention. The ASBL believes the latest Bush Administration small business data will include hundreds of Fortune 1000 firms as it has every year during Bush's tenure.
Since 2003, 15 federal investigations have all found wide spread abuses in federal small business contracting programs, such as the diversion of billions of dollars in federal small business contracts to Fortune 500 firms. Some of the firms that have received small business contracts during the Bush Administration include: Lockheed Martin, Boeing, Battelle, Raytheon, General Dynamics, Northrop Grumman, L-3 Communications, Titan Industries, Xerox, John Deere and British Aerospace and Engineering (BAE). (http://www.asbl.com/documentlibrary.html)
In response to the series of investigations and over 400 stories on the issue in mainstream-media outlets across the United States, the Bush Administration has responded by making it more and more difficult for the public and the media to determine the actual recipients of federal small business contracts. Bush officials have repeatedly refused Freedom of Information Act (FOIA) requests for the specific names of firms that received government small business contracts. In June of 2007, the SBA adopted a policy, which will allow Fortune 500 firms to continue to receive federal small business contracts until 2012.
On July 30, 2008, Bush officials adopted a policy, which no longer requires government contractors to state their annual revenue or their number of employees. This makes it difficult, if not impossible, for the public to determine if large businesses are misrepresenting themselves as a small businesses. (http://www.asbl.com/documents/20080903ccrchange.pdf)
The ASBL plans to request the 2007 small business contracting statistics under FOIA if the information is not released by the end of the week.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn [at] asbl.com
(707) 789-9575
Tuesday, August 26, 2008
Democratic Platform Dodges Key Small Business Issues
FOR IMMEDIATE RELEASE
August 26, 2008
Petaluma, Calif. – Approximately 168 million Americans work in nearly 27 million small businesses across the United States. There are several key issues effecting small businesses in middle class America that are conspicuously absent from the portion of the 2008 Democratic National Platform which specifically addresses small businesses. Most of the statements in the Platform, which reference small businesses, are vague, such as “We will help small businesses facing high energy costs.”
The Democratic National Platform makes no mention of any specific plans to address three small business issues that could infuse billions of dollars into the middle class economy, which has been the hardest hit by the recent dramatic downturn in the U.S. economy.
The following are just a few examples of critically important small business issues that are not mentioned in the Democratic National Platform: the restoration of the Small Business Administration's (SBA) budget and staffing; ending the diversion of billions of dollars in federal small business contracts to Fortune 500 firms; and the implementation of the federal law establishing a 5 percent set-aside contracting goal for woman-owned firms.
The SBA is the only agency in Washington specifically charged with assisting small businesses. Since taking office in 2001, the Bush Administration has cut the SBA’s budget and staffing more than any other federal agency. When President Bush leaves office, the SBA will be approximately half the size it was when he arrived in Washington. Several senior SBA officials have privately acknowledged the SBA has been cut to the point that “the agency can no longer carry out its mission.” The SBA is so understaffed that after hurricane Katrina the agency was forced to hire more than two thousand temporary employees to handle the workload.
During the last thirty days alone, four separate federal investigations have been released, which have found rampant abuses in several SBA programs. In each case, a lack of proper oversight by SBA officials was a major contributing factor to the problems.
Under the Bush Administration, dozens of other federal programs designed to assist woman-owned firms, minority-owned firms, veteran-owned firms and other small business have been crippled or even eliminated by budget and staffing cuts at the SBA.
Considering the current severe economic downturn in America, any political platform that purports to support small businesses should include specific plans to not only restore, but significantly expand the SBA’s budget, staffing and programs.
Since 2003, 15 separate federal investigations have found widespread fraud, abuse and mismanagement in federal small business contracting programs. A multitude of problems have allowed hundreds of billions of dollars in federal small business contracts to be diverted to Fortune 500 firms and hundreds of other large businesses around the world. Some of the largest recipients of federal small business contracts have been British Aerospace and Engineering (BAE), Boeing, Lockheed Martin, Northrop Grumman, Raytheon, Titan Industries and Dutch conglomerate Buhrmann NV.
In Report 5-15, the SBA Office of Inspector General stated, “One of the most important challenges facing the Small Business Administration (SBA) and the entire Federal Government today is that large businesses are receiving small business procurement awards and agencies are receiving credit for these awards.”
Any genuine plan to address the sagging economy by bolstering opportunities for the middle class would have to specifically address the wholesale diversion of federal small business contracts to Fortune 500 firms.
More than seven years ago, President Clinton signed legislation, which established a 5 percent set-aside contracting goal for woman-owned firms. The Bush Administration has persistently refused to implement the program. As a result, woman-owned firms have lost billions of dollars in federal contracting opportunities. The Democratic platform makes no mention of their intention to fully implement this program.
If the Democratic party wants to convince middle class voters that they have the solutions to the challenges facing small business, they must adopt clear and specific solutions for restoring the SBA’s budget and staffing, halt the flow of federal small business contracts to Fortune 500 firms and fully implement the federal law establishing the 5 percent set-aside contracting goal for woman-owned small businesses.
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August 26, 2008
Petaluma, Calif. – Approximately 168 million Americans work in nearly 27 million small businesses across the United States. There are several key issues effecting small businesses in middle class America that are conspicuously absent from the portion of the 2008 Democratic National Platform which specifically addresses small businesses. Most of the statements in the Platform, which reference small businesses, are vague, such as “We will help small businesses facing high energy costs.”
The Democratic National Platform makes no mention of any specific plans to address three small business issues that could infuse billions of dollars into the middle class economy, which has been the hardest hit by the recent dramatic downturn in the U.S. economy.
The following are just a few examples of critically important small business issues that are not mentioned in the Democratic National Platform: the restoration of the Small Business Administration's (SBA) budget and staffing; ending the diversion of billions of dollars in federal small business contracts to Fortune 500 firms; and the implementation of the federal law establishing a 5 percent set-aside contracting goal for woman-owned firms.
The SBA is the only agency in Washington specifically charged with assisting small businesses. Since taking office in 2001, the Bush Administration has cut the SBA’s budget and staffing more than any other federal agency. When President Bush leaves office, the SBA will be approximately half the size it was when he arrived in Washington. Several senior SBA officials have privately acknowledged the SBA has been cut to the point that “the agency can no longer carry out its mission.” The SBA is so understaffed that after hurricane Katrina the agency was forced to hire more than two thousand temporary employees to handle the workload.
During the last thirty days alone, four separate federal investigations have been released, which have found rampant abuses in several SBA programs. In each case, a lack of proper oversight by SBA officials was a major contributing factor to the problems.
Under the Bush Administration, dozens of other federal programs designed to assist woman-owned firms, minority-owned firms, veteran-owned firms and other small business have been crippled or even eliminated by budget and staffing cuts at the SBA.
Considering the current severe economic downturn in America, any political platform that purports to support small businesses should include specific plans to not only restore, but significantly expand the SBA’s budget, staffing and programs.
Since 2003, 15 separate federal investigations have found widespread fraud, abuse and mismanagement in federal small business contracting programs. A multitude of problems have allowed hundreds of billions of dollars in federal small business contracts to be diverted to Fortune 500 firms and hundreds of other large businesses around the world. Some of the largest recipients of federal small business contracts have been British Aerospace and Engineering (BAE), Boeing, Lockheed Martin, Northrop Grumman, Raytheon, Titan Industries and Dutch conglomerate Buhrmann NV.
In Report 5-15, the SBA Office of Inspector General stated, “One of the most important challenges facing the Small Business Administration (SBA) and the entire Federal Government today is that large businesses are receiving small business procurement awards and agencies are receiving credit for these awards.”
Any genuine plan to address the sagging economy by bolstering opportunities for the middle class would have to specifically address the wholesale diversion of federal small business contracts to Fortune 500 firms.
More than seven years ago, President Clinton signed legislation, which established a 5 percent set-aside contracting goal for woman-owned firms. The Bush Administration has persistently refused to implement the program. As a result, woman-owned firms have lost billions of dollars in federal contracting opportunities. The Democratic platform makes no mention of their intention to fully implement this program.
If the Democratic party wants to convince middle class voters that they have the solutions to the challenges facing small business, they must adopt clear and specific solutions for restoring the SBA’s budget and staffing, halt the flow of federal small business contracts to Fortune 500 firms and fully implement the federal law establishing the 5 percent set-aside contracting goal for woman-owned small businesses.
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