FOR IMMEDIATE RELEASE
June 1, 2009
Petaluma, Calif. - Georgia Congressman Hank Johnson (D - GA4) has introduced a new bill in the House of Representatives that could provide a more dramatic boost to the national economy than any economic stimulus plan that has been proposed so far. (http://www.asbl.com/documents/hr2568.pdf)
The new bill, H.R. 2568 the "Fairness and Transparency in Contracting Act," will send over $100 billion a year in current federal infrastructure spending directly to middle class firms. The American Small Business League (ASBL) wrote the original draft of the bill. Congressman Johnson worked with the ASBL for several months to fine-tune the bill before it was introduced. The bill is based on current provisions of the Small Business Act that define a small business as a firm that is "independently owned." Currently, several loopholes in federal contracting law allow Fortune 500 firms to qualify as small businesses.
H.R. 2568 will close those loopholes, preventing the federal government from reporting awards to publicly traded firms as small business awards. Publicly traded firms do not qualify as "independently owned."
The latest U.S. Census Bureau data indicates that over 98 percent of all U.S. firms have less than 100 employees and these firms employ over 50.2 percent of the private sector workforce and are responsible for over 97 percent of net new jobs in America.
Earlier this year, the Obama Administration announced that every billion dollars in infrastructure spending generates approximately 40,000 new jobs. Directing over $100 billion a year in federal small business contracts to the small businesses that create over 97 percent of all new jobs in America could create over 4 million new jobs.
Since 2003, several federal investigations found that every year billions of dollars in federal small business contracts are diverted to Fortune 1000 corporations and even many of the largest firms in Europe. (http://www.asbl.com/documentlibrary.html) Investigative stories by ABC, CBS and CNN reported hundreds of firms such as Wal-Mart, Home Depot, Microsoft, Xerox, Dell Computer, John Deere, British Aerospace (BAE), Rolls-Royce and Dutch giant Buhrmann N.V. have all received federal small business contracts. (ABC, http://www.asbl.com/abc_evening_news.wmv; CBS, http://www.asbl.com/cbs.wmv; CNN, http://www.asbl.com/showmedia.php?id=1170)
H.R. 2568 would bring an immediate end to the diversion of federal small business contracts to large businesses in the United States and Europe.
"It's unconscionable that some large corporations are the beneficiaries of small business contracts," Congressman Johnson said. "Especially given how many small businesses are struggling in this recession. H.R. 2568 will go a long way in helping correct this egregious error."
President Obama is expected to support H.R. 2568. In February of 2008 he released the statement, "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)
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Monday, June 1, 2009
Thursday, May 28, 2009
Georgia Congressman Hank Johnson Takes a Stand for American Small Businesses
America's 27 million small businesses have a new hero and his name is Hank Johnson.
Last Friday, Georgia Congressman Hank Johnson (GA-04) introduced a new bill in the House of Representatives that will do more to help America's 27 million small businesses and stimulate the national economy than any stimulus plan proposed to date.
The bill, H.R. 2568, is titled "the Fairness and Transparency in Contracting Act of 2009." The new bill is based on a very simple principle that every American would certainly agree with: the largest corporations in the world should not be receiving government small business contracts. Congressman Johnson has worked with the American Small Business League (ASBL) staff for several months to get the bill into the final form he introduced into the House of Representatives.
The heart of the Fairness and Transparency in Contracting Act is a provision that precludes the federal government and prime contractors from reporting awards to publicly traded firms as small business awards. The original Small Business Act defines a small business as a firm that is 'independently owned." Publicly traded firms are publicly owned, and would not qualify as "independently owned."
This would seem like a no-brainer, but it has taken several years and someone with the integrity and sincere concern for our nation's 27 million small businesses like Representative Hank Johnson to finally address this staggering problem.
Since 2003, a constant flow of federal investigations have come from a variety of agencies in Washington that have all found Fortune 500 firms in the U.S. and even some of Europe's largest corporations receive billions of dollars in U.S. government small business contracts.
In 2005, the Small Business Administration Office of Inspector (SBA IG) released the results of its investigation into the diversion of federal small business contracts to corporate giants around the world. In Report 5-15, the SBA IG referred to the issue as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today." That sounds pretty serious to me. Why hasn't Congress acted on this before? (http://www.sba.gov/IG/05-15.pdf)
Several senior level government officials have told me privately that as much as 86 percent of all federal small business contracts actually go to large businesses. Based on the latest numbers from the SBA Office of Advocacy indicating the total volume of contracts awarded to small businesses, 86 percent would equate to more than $100 billion a year.
I have won several Freedom of Information Act (FOIA) cases against the federal government, which forced the release of thousands of pages of information on the actual recipients of federal small business contracts. Based on all of the information I have seen, I would agree at least $100 billion a year in government small business contracts go to Fortune 500 firms and thousands of other large businesses around the world.
The latest data from the U.S. Census Bureau indicates that 98 percent of all U.S. firms have less than 100 employees. These firms create over 97 percent of all new jobs in America and employ over 50.2 percent of the private sector workforce.
The Obama Administration has stated that for every billion dollars in federal infrastructure spending 40,000 new jobs will be created. Based on the Obama Administration and the U.S. Census Bureau data, if the Fairness and Contracting Act becomes law up to 4 million new jobs could be created at no additional expense to the taxpayers.
There is another aspect to H.R 2568 that will no doubt delight almost every state in the country. Almost half of all federal small business contracts go to firms within 50 miles of the White House. These are the very corporate giants that have been passing off their subsidiaries and divisions as small businesses, and hijacking most of the small business contracts.
If President Obama signs the Fairness and Transparency in Contracting Act into law, every state will see its share of federal small business contracts double.
President Obama should love H.R. 2568. He has promised to create between 3 and 4 million new jobs. In February of 2008 he stated, "It is time to end the diversion of federal small business contracts to corporate giants." This bill will achieve both of those goals. (http://www.barackobama.com/2008/02/26/the_american_small_business_le.php)
Congressman Hank Johnson has introduced the most effective and cost efficient economic stimulus plan proposed to date. Hats off to Congressman Johnson for taking a stand for the American people, and letting the "corporate giants" and Washington bureaucrats know, there's a new sheriff in town and his name is Hank Johnson.
Last Friday, Georgia Congressman Hank Johnson (GA-04) introduced a new bill in the House of Representatives that will do more to help America's 27 million small businesses and stimulate the national economy than any stimulus plan proposed to date.
The bill, H.R. 2568, is titled "the Fairness and Transparency in Contracting Act of 2009." The new bill is based on a very simple principle that every American would certainly agree with: the largest corporations in the world should not be receiving government small business contracts. Congressman Johnson has worked with the American Small Business League (ASBL) staff for several months to get the bill into the final form he introduced into the House of Representatives.
The heart of the Fairness and Transparency in Contracting Act is a provision that precludes the federal government and prime contractors from reporting awards to publicly traded firms as small business awards. The original Small Business Act defines a small business as a firm that is 'independently owned." Publicly traded firms are publicly owned, and would not qualify as "independently owned."
This would seem like a no-brainer, but it has taken several years and someone with the integrity and sincere concern for our nation's 27 million small businesses like Representative Hank Johnson to finally address this staggering problem.
Since 2003, a constant flow of federal investigations have come from a variety of agencies in Washington that have all found Fortune 500 firms in the U.S. and even some of Europe's largest corporations receive billions of dollars in U.S. government small business contracts.
In 2005, the Small Business Administration Office of Inspector (SBA IG) released the results of its investigation into the diversion of federal small business contracts to corporate giants around the world. In Report 5-15, the SBA IG referred to the issue as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today." That sounds pretty serious to me. Why hasn't Congress acted on this before? (http://www.sba.gov/IG/05-15.pdf)
Several senior level government officials have told me privately that as much as 86 percent of all federal small business contracts actually go to large businesses. Based on the latest numbers from the SBA Office of Advocacy indicating the total volume of contracts awarded to small businesses, 86 percent would equate to more than $100 billion a year.
I have won several Freedom of Information Act (FOIA) cases against the federal government, which forced the release of thousands of pages of information on the actual recipients of federal small business contracts. Based on all of the information I have seen, I would agree at least $100 billion a year in government small business contracts go to Fortune 500 firms and thousands of other large businesses around the world.
The latest data from the U.S. Census Bureau indicates that 98 percent of all U.S. firms have less than 100 employees. These firms create over 97 percent of all new jobs in America and employ over 50.2 percent of the private sector workforce.
The Obama Administration has stated that for every billion dollars in federal infrastructure spending 40,000 new jobs will be created. Based on the Obama Administration and the U.S. Census Bureau data, if the Fairness and Contracting Act becomes law up to 4 million new jobs could be created at no additional expense to the taxpayers.
There is another aspect to H.R 2568 that will no doubt delight almost every state in the country. Almost half of all federal small business contracts go to firms within 50 miles of the White House. These are the very corporate giants that have been passing off their subsidiaries and divisions as small businesses, and hijacking most of the small business contracts.
If President Obama signs the Fairness and Transparency in Contracting Act into law, every state will see its share of federal small business contracts double.
President Obama should love H.R. 2568. He has promised to create between 3 and 4 million new jobs. In February of 2008 he stated, "It is time to end the diversion of federal small business contracts to corporate giants." This bill will achieve both of those goals. (http://www.barackobama.com/2008/02/26/the_american_small_business_le.php)
Congressman Hank Johnson has introduced the most effective and cost efficient economic stimulus plan proposed to date. Hats off to Congressman Johnson for taking a stand for the American people, and letting the "corporate giants" and Washington bureaucrats know, there's a new sheriff in town and his name is Hank Johnson.
Wednesday, May 27, 2009
Georgia Congressman Hank Johnson Comes to the Rescue of America's 27 Million Small Businesses
FOR IMMEDIATE RELEASE
May 27, 2009
Petaluma, Calif. - On Thursday, May 21, Georgia Congressman Hank Johnson (GA-04) introduced a bill into the House of Representatives that could redirect billions of dollars in federal small business contracts back into the hands of legitimate small businesses. If passed into law, the bill will create millions of new jobs and provide one of the most significant economic stimulus plans ever proposed.
Bill H.R. 2568 is titled, "the Fairness and Transparency in Contracting Act of 2009." The new bill is the only legislation ever introduced in Congress to halt the diversion of over $100 billion a year in federal small business contracts to Fortune 500 firms and thousands of other large businesses.
Congressman Johnson worked with the staff at the American Small Business League (ASBL) for several months to get the bill into its final form before he introduced it into the House of Representatives on May 21. (http://www.house.gov/apps/list/press/ga04_johnson/05_26_09_small_biz.shtml)
Current federal law based on the original Small Business Act requires a minimum of 23 percent of the total value of all federal contracts and subcontracts be awarded to small businesses. Since 2003, over a dozen federal investigations have been released, which found Fortune 500 firms and even some of the largest corporations in Europe were the actual recipients of most federal small business contracts.
In Report 5-15, the Small Business Administration Office of Inspector General (SBA IG) described the problem as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today…" (http://www.sba.gov/IG/05-15.pdf)
President Barack Obama acknowledged the magnitude of the problem when he released the statement, "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)
The Fairness and Transparency in Contracting Act prevents the federal government from continuing to report contracts to publicly traded firms as small business awards. The original Small Business Act stipulates that a small business must be "independently owned." Firms that are publicly traded are publicly owned, and do not qualify as "independently owned."
The latest U.S. Census Bureau statistics indicate 98 percent of U.S. firms have less than 100 employees and create over 97 percent of net new jobs in America. During the 2008 election cycle, President Obama stated that every billion dollars spent on federal infrastructure projects could create up to 40,000 jobs. Based on this estimation, H.R. 2568 could create up to 4 million new jobs.
"It's unconscionable that some large corporations are the beneficiaries of small business contracts," Congressman Johnson said. "Especially given how many small businesses are struggling in this recession. H.R. 2568 will go a long way in helping correct this egregious error."
May 27, 2009
Petaluma, Calif. - On Thursday, May 21, Georgia Congressman Hank Johnson (GA-04) introduced a bill into the House of Representatives that could redirect billions of dollars in federal small business contracts back into the hands of legitimate small businesses. If passed into law, the bill will create millions of new jobs and provide one of the most significant economic stimulus plans ever proposed.
Bill H.R. 2568 is titled, "the Fairness and Transparency in Contracting Act of 2009." The new bill is the only legislation ever introduced in Congress to halt the diversion of over $100 billion a year in federal small business contracts to Fortune 500 firms and thousands of other large businesses.
Congressman Johnson worked with the staff at the American Small Business League (ASBL) for several months to get the bill into its final form before he introduced it into the House of Representatives on May 21. (http://www.house.gov/apps/list/press/ga04_johnson/05_26_09_small_biz.shtml)
Current federal law based on the original Small Business Act requires a minimum of 23 percent of the total value of all federal contracts and subcontracts be awarded to small businesses. Since 2003, over a dozen federal investigations have been released, which found Fortune 500 firms and even some of the largest corporations in Europe were the actual recipients of most federal small business contracts.
In Report 5-15, the Small Business Administration Office of Inspector General (SBA IG) described the problem as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today…" (http://www.sba.gov/IG/05-15.pdf)
President Barack Obama acknowledged the magnitude of the problem when he released the statement, "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)
The Fairness and Transparency in Contracting Act prevents the federal government from continuing to report contracts to publicly traded firms as small business awards. The original Small Business Act stipulates that a small business must be "independently owned." Firms that are publicly traded are publicly owned, and do not qualify as "independently owned."
The latest U.S. Census Bureau statistics indicate 98 percent of U.S. firms have less than 100 employees and create over 97 percent of net new jobs in America. During the 2008 election cycle, President Obama stated that every billion dollars spent on federal infrastructure projects could create up to 40,000 jobs. Based on this estimation, H.R. 2568 could create up to 4 million new jobs.
"It's unconscionable that some large corporations are the beneficiaries of small business contracts," Congressman Johnson said. "Especially given how many small businesses are struggling in this recession. H.R. 2568 will go a long way in helping correct this egregious error."
Tuesday, May 26, 2009
New House Bill 2568 Will Jumpstart National Economy
New House Bill Could Create Millions of New Jobs
Petaluma, Calif. – On Friday, May 22nd, Congressman Hank Johnson (D – GA) introduced the first bill to end the longstanding diversion of federal small business contracts to many of the nation’s largest corporations.
H.R. 2568, the Fairness and Transparency in Contracting Act, will stop the federal government and prime contractors from reporting awards to Fortune 500 corporations and other publicly traded firms as small business contracts. H.R. 2568 is based on the provision of the Small Business Act that defines a small business as a firm that is “independently owned.” Firms that are publicly traded do not qualify as “independently owned.”
Since 2003, a series of federal investigations found Fortune 1000 firms to have received billions of dollars a year in federal small business contracts. In Report 5-15, the Small Business Administration (SBA) Office of Inspector General described the diversion of government small business contracts to large business as, “One of the most important challenges facing the Small Business Administration and the entire Federal government today...”
In February of 2008, President Barack Obama acknowledged the magnitude of the problem when he released the statement, “It is time to end the diversion of federal small business contracts to corporate giants.”
H.R. 2568 will also require the government to report all small business awards in the name of the parent company. Currently, small business contracts can be reported in the name of subsidiaries of Fortune 500 firms. This practice makes it easier for large businesses to misrepresent subsidiaries as small businesses.
The Fairness and Transparency in Contracting Act will also improve access to data on the recipients of small business contracts. H.R. 2568 will require the SBA to release the names of all recipients of government small business contracts within 90 days of the end of the fiscal year.
American Small Business League (ASBL) President Lloyd Chapman originally wrote the Fairness and Transparency in Contracting Act. Chapman estimates H.R. 2568 could redirect over $100 billion a year in federal small business contracts back to middle class firms.
“Every small business in America owes Congressman Hank Johnson a debt of gratitude for introducing this bill. Small businesses create over 97 percent of all net new jobs, and this bill will do more to help those firms than any stimulus plan proposed so far. It will create millions of new jobs and provide a dramatic boost to the middle class economy,” Chapman said.
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Petaluma, Calif. – On Friday, May 22nd, Congressman Hank Johnson (D – GA) introduced the first bill to end the longstanding diversion of federal small business contracts to many of the nation’s largest corporations.
H.R. 2568, the Fairness and Transparency in Contracting Act, will stop the federal government and prime contractors from reporting awards to Fortune 500 corporations and other publicly traded firms as small business contracts. H.R. 2568 is based on the provision of the Small Business Act that defines a small business as a firm that is “independently owned.” Firms that are publicly traded do not qualify as “independently owned.”
Since 2003, a series of federal investigations found Fortune 1000 firms to have received billions of dollars a year in federal small business contracts. In Report 5-15, the Small Business Administration (SBA) Office of Inspector General described the diversion of government small business contracts to large business as, “One of the most important challenges facing the Small Business Administration and the entire Federal government today...”
In February of 2008, President Barack Obama acknowledged the magnitude of the problem when he released the statement, “It is time to end the diversion of federal small business contracts to corporate giants.”
H.R. 2568 will also require the government to report all small business awards in the name of the parent company. Currently, small business contracts can be reported in the name of subsidiaries of Fortune 500 firms. This practice makes it easier for large businesses to misrepresent subsidiaries as small businesses.
The Fairness and Transparency in Contracting Act will also improve access to data on the recipients of small business contracts. H.R. 2568 will require the SBA to release the names of all recipients of government small business contracts within 90 days of the end of the fiscal year.
American Small Business League (ASBL) President Lloyd Chapman originally wrote the Fairness and Transparency in Contracting Act. Chapman estimates H.R. 2568 could redirect over $100 billion a year in federal small business contracts back to middle class firms.
“Every small business in America owes Congressman Hank Johnson a debt of gratitude for introducing this bill. Small businesses create over 97 percent of all net new jobs, and this bill will do more to help those firms than any stimulus plan proposed so far. It will create millions of new jobs and provide a dramatic boost to the middle class economy,” Chapman said.
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Thursday, May 21, 2009
Obama Releases Top Secret CIA Memos But Not SBA Executive's Libelous E-mails
President Barack Obama has recently released top-secret CIA memos detailing torture techniques and directives. At the same time those extremely sensitive and controversial documents were being released, the Obama Administration was fighting a Freedom of Information Act (FOIA) request I filed with the Small Business Administration (SBA) for the e-mails and phone records of SBA Press Office Director Mike Stamler. One can only imagine the horrific threat to national security the release of Mike Stamler's e-mails and phone records could cause.
I guess President Obama thinks Stamler's e-mails could somehow be used by Al-Qaeda or the Taliban to pinpoint weaknesses in our national defense network, and put every man, woman and child in America at risk.
Attorney General Eric Holder is leading the Obama Administration's opposition to the release of Stamler's e-mails and phone records. The Department of Justice (DOJ) has asked a San Francisco Federal District Court Judge to drop my case against the SBA for Stamler's phone records. In addition to the legal battle over Stamler's e-mails and phone records, Justice Department attorneys are reportedly preparing to appeal a federal judge's ruling directing the DOJ to pay my attorneys fees in a recent case we won against the SBA for refusing to release the names of firms, including hundreds of Fortune 1000 firms, that received billions of dollars in federal small business contracts.
I requested Stamler's e-mails and phone records after several journalists complained that Stamler had launched an aggressive campaign to defame the American Small Business League (ASBL) and myself.
Stamler's tirades against me began after I won a series of federal lawsuits against the SBA forcing the agency to release thousands of pages of embarrassing data, which prove the SBA attempted to mislead Congress and the public about the diversion of hundreds of billions of dollars in federal small business contracts to Fortune 500 firms.
After the Long Island Business Journal (LIBJ) quoted me in a story, the publication received a profanity saturated e-mail from Stamler, which was so offensive and obscene they were compelled to publish a blog entitled, "Expletives the SBA's Forte." (http://libn.com/libizblog/2008/02/22/expletives-the-sbas-forte/)
Any journalist that has written an accurate story regarding the diversion of billions of dollars in government small business contracts to Fortune 1000 firms has received an angry phone call or a nasty e-mail from Mike Stamler or someone else in the SBA press office.
Since 2003 there have been a constant stream of federal investigations that found Fortune 500 firms such as: Xerox, Home Depot, Wal-Mart, Dell Computer, John Deere, Rolls-Royce and even British Aerospace (BAE) have been receiving billions of dollars in federal small business contracts. Every major newspaper in the country has reported the story, along with most of the major television networks such as ABC, CBS, FOX and CNN.
The SBA has consistently tried to cover up the rampant fraud and abuse with a massive misinformation campaign claiming Fortune 500 firms have received federal small business contracts every day for over seven years accidentally through "miscoding." They even attempted to convince the media that the diversion of hundreds of billions in federal small business contracts to corporate giants around the world was a "myth."
During the campaign, President Obama repeatedly promised to increase transparency in government. It looks like the increased transparency President Obama promised does not include such super top-secret government documents as nasty and libelous e-mails from the SBA press office.
I guess President Obama thinks Stamler's e-mails could somehow be used by Al-Qaeda or the Taliban to pinpoint weaknesses in our national defense network, and put every man, woman and child in America at risk.
Attorney General Eric Holder is leading the Obama Administration's opposition to the release of Stamler's e-mails and phone records. The Department of Justice (DOJ) has asked a San Francisco Federal District Court Judge to drop my case against the SBA for Stamler's phone records. In addition to the legal battle over Stamler's e-mails and phone records, Justice Department attorneys are reportedly preparing to appeal a federal judge's ruling directing the DOJ to pay my attorneys fees in a recent case we won against the SBA for refusing to release the names of firms, including hundreds of Fortune 1000 firms, that received billions of dollars in federal small business contracts.
I requested Stamler's e-mails and phone records after several journalists complained that Stamler had launched an aggressive campaign to defame the American Small Business League (ASBL) and myself.
Stamler's tirades against me began after I won a series of federal lawsuits against the SBA forcing the agency to release thousands of pages of embarrassing data, which prove the SBA attempted to mislead Congress and the public about the diversion of hundreds of billions of dollars in federal small business contracts to Fortune 500 firms.
After the Long Island Business Journal (LIBJ) quoted me in a story, the publication received a profanity saturated e-mail from Stamler, which was so offensive and obscene they were compelled to publish a blog entitled, "Expletives the SBA's Forte." (http://libn.com/libizblog/2008/02/22/expletives-the-sbas-forte/)
Any journalist that has written an accurate story regarding the diversion of billions of dollars in government small business contracts to Fortune 1000 firms has received an angry phone call or a nasty e-mail from Mike Stamler or someone else in the SBA press office.
Since 2003 there have been a constant stream of federal investigations that found Fortune 500 firms such as: Xerox, Home Depot, Wal-Mart, Dell Computer, John Deere, Rolls-Royce and even British Aerospace (BAE) have been receiving billions of dollars in federal small business contracts. Every major newspaper in the country has reported the story, along with most of the major television networks such as ABC, CBS, FOX and CNN.
The SBA has consistently tried to cover up the rampant fraud and abuse with a massive misinformation campaign claiming Fortune 500 firms have received federal small business contracts every day for over seven years accidentally through "miscoding." They even attempted to convince the media that the diversion of hundreds of billions in federal small business contracts to corporate giants around the world was a "myth."
During the campaign, President Obama repeatedly promised to increase transparency in government. It looks like the increased transparency President Obama promised does not include such super top-secret government documents as nasty and libelous e-mails from the SBA press office.
Tuesday, May 19, 2009
Congress Continues to Ignore Top Issue for Middle Class Firms
FOR IMMEDIATE RELEASE
May 19, 2009
Petaluma, Calif. – Sunday, May 17 marked the beginning of National Small Business Week. Unfortunately, Congress has failed to produce any legislation to address one of the more pressing issues for middle class firms in America.
Since 2002, a series of federal investigations have been released, which found that every year over $100 billion in federal contracts set-aside for small businesses are diverted to Fortune 500 firms and thousands of large businesses around the world.
In 2005, the Small Business Administration (SBA) Office of Inspector General (IG) referred to the problem as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today…"
Investigative stories by ABC, CBS and CNN have all found that firms such as: Office Depot, Rolls-Royce, Microsoft, Wall-Mart, L-3 Communications and British Aerospace Engineering (BAE) have all received government small business contracts.
In June of 2008, the Department of Interior (DOI) IG found that in a sampling of just 0.3% of the agency's total contract actions for Fiscal Year (FY) 2006 and 2007, the DOI had awarded small business contracts to Fortune 500 firms like: Home Depot, Xerox, Starwood Hotels, Dell Computer, Sherwin Williams, Ricoh, Weyerhaeuser, McGraw-Hill and Waste Management.
Even President Barack Obama weighed in on the issue during the campaign, when in February of 2008 he said, "It is time to end the diversion of federal small business contracts to corporate giants."
To date, Congress has failed to pass legislation to address the issue. The only legislation ever written to address the issue was drafted by the President of the American Small Business League (ASBL), Lloyd Chapman. The draft legislation, which is titled the Fairness and Transparency in Contracting Act, is currently making the rounds in Congress. If passed, the bill could redirect over $100 billion a year in federal small business contracts back to legitimate small businesses around the country.
"It has been 7 years since this issue was exposed. There have now been over a dozen investigations. It is time for Congress to pass legislation to address this issue. Clearly, small businesses are the backbone of our nation's economy. It is time for politicians to quit talking and take some action," ASBL President Lloyd Chapman said. "The Fairness and Transparency in Contracting Act is the most effective legislation ever proposed to address this issue. It will create more jobs than anything that has been proposed by the Obama administration to date."
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May 19, 2009
Petaluma, Calif. – Sunday, May 17 marked the beginning of National Small Business Week. Unfortunately, Congress has failed to produce any legislation to address one of the more pressing issues for middle class firms in America.
Since 2002, a series of federal investigations have been released, which found that every year over $100 billion in federal contracts set-aside for small businesses are diverted to Fortune 500 firms and thousands of large businesses around the world.
In 2005, the Small Business Administration (SBA) Office of Inspector General (IG) referred to the problem as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today…"
Investigative stories by ABC, CBS and CNN have all found that firms such as: Office Depot, Rolls-Royce, Microsoft, Wall-Mart, L-3 Communications and British Aerospace Engineering (BAE) have all received government small business contracts.
In June of 2008, the Department of Interior (DOI) IG found that in a sampling of just 0.3% of the agency's total contract actions for Fiscal Year (FY) 2006 and 2007, the DOI had awarded small business contracts to Fortune 500 firms like: Home Depot, Xerox, Starwood Hotels, Dell Computer, Sherwin Williams, Ricoh, Weyerhaeuser, McGraw-Hill and Waste Management.
Even President Barack Obama weighed in on the issue during the campaign, when in February of 2008 he said, "It is time to end the diversion of federal small business contracts to corporate giants."
To date, Congress has failed to pass legislation to address the issue. The only legislation ever written to address the issue was drafted by the President of the American Small Business League (ASBL), Lloyd Chapman. The draft legislation, which is titled the Fairness and Transparency in Contracting Act, is currently making the rounds in Congress. If passed, the bill could redirect over $100 billion a year in federal small business contracts back to legitimate small businesses around the country.
"It has been 7 years since this issue was exposed. There have now been over a dozen investigations. It is time for Congress to pass legislation to address this issue. Clearly, small businesses are the backbone of our nation's economy. It is time for politicians to quit talking and take some action," ASBL President Lloyd Chapman said. "The Fairness and Transparency in Contracting Act is the most effective legislation ever proposed to address this issue. It will create more jobs than anything that has been proposed by the Obama administration to date."
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Thursday, May 14, 2009
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