"Chairman Williams Pens Letter to SBA Regarding Implementation of Court Order Concerning the SBA’s 8(a) Business Development Program"
Summary
A press release dated December 1, 2023 reporting that Chairman Roger Williams (R-TX) of the House Committee on Small Business wrote to SBA Administrator Guzman about the agency's implementation of a court order on narrative reviews in the 8(a) business development program. The quoted letter states that the committee is investigating SBA's compliance with the order and seeks information on it. It states that on July 19, 2023 the U.S. District Court for the Eastern District of Tennessee enjoined SBA's use of its rebuttable presumption of social disadvantage for 8(a) eligibility, finding it violated the Fifth Amendment's Due Process Clause. According to the letter, SBA now requires applicants and participants to provide a narrative of social disadvantage and created a task force to review them, and reviews must follow 13 C.F.R. § 124.103(c).
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Full text
Chairman Williams Pens Letter to SBA Regarding Implementation of Court Order Concerning the SBA’s 8(a) Business Development Program December 1, 2023 Tags: Oversight, Investigations, and Regulations WASHINGTON, D.C. – Today, Congressman Roger Williams (R-TX), Chairman of the House Committee on Small Business, wrote to Administrator Guzman of the Small Business Administration (SBA) regarding the agency’s implementation of the recent court order related to narrative reviews within the SBA’s 8(a) business development program. Read the full letter here. Read excerpts from the letter below: “The Committee on Small Business (the Committee) is investigating the Small Business Administration’s (SBA) implementation of the recent court order related to narrative reviews within the SBA’s 8(a) business development program (8(a)). The 8(a) program provides participants with training, technical assistance, and contracting opportunities but is generally limited to small businesses owned and controlled by socially and economically disadvantaged individuals. Considering the updated requirements under the court order have a significant impact on how the SBA administers this program, the Committee seeks information on the SBA’s compliance with the expanded program obligations. “On July 19, 2023, the U.S. District Court for the Eastern District of Tennessee enjoined the SBA’s use of its “rebuttable presumption” of the social disadvantage designation for eligibility in the 8(a) program. Prior to the District Court’s ruling, the SBA presumed individuals who are members of certain racial and ethnic groups to be socially disadvantaged, thus meeting a key criteria to enter into the 8(a) program. The District Court found this violated the Fifth Amendment’s Due Process Clause. In light of this ruling, the SBA now requires 8(a) applicants and participants to provide a narrative detailing an individual’s assertion of social disadvantaged status, unless they previously provided a narrative to the SBA. The SBA created a task force to help review the increased volume of narratives. While SBA acknowledges these individuals have received three trainings, it is imperative to ensure that reviews are being done in accordance with 13 C.F.R. § 124.103(c) and other relevant statutes.” Related News Subcommittee on Oversight, Investigations, and Regulations Holds Hearing on Restoring the SBA to Its Intended Mission: Serving Main Street March 11, 2025 | Posted in Press Releases Committee on Small Business Releases Report on Federal Agency Compliance with RFA May 22, 2024 | Posted in Press Releases Chairman Williams, Rep. Van Duyne Write to GEC to Further Investigation into Censorship May 17, 2024 | Posted in Press Releases Chairman Williams, Senator Ernst Issue Statement on SBA Refusal to Comply, Importance of Congressional Oversight May 15, 2024 | Posted in Press Releases Chairman Williams Writes to DOE, EPA, and DOL Regarding Concerns Over New Proposed Rules March 13, 2024 | Posted in Press Releases
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- 405809_2023-12-01_chairman-williams-pens-letter-to-sba-regarding-imp.html
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- 7e78c975f47f35f25a80fddbd62f7e92c2e6c06ddd1746ec9ff0a2fbc9171129
- Original
- smallbusiness.house.gov