H. Rept. 119–680: Oversight of Small Business Certifications
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Summary
House Report 119–680 of the 119th Congress, 2d Session, submitted June 3, 2026 by Mr. Williams of Texas from the Committee on Small Business to accompany H.R. 8879, the Oversight and Transparency for Small Business Certifications Act of 2026. The committee reports the bill favorably without amendment and states that it ordered the bill reported on May 20, 2026 by a roll call vote of 23 ayes to 0 nos. The bill would amend the Small Business Act to require the SBA to report annually to Congress on certification activities in covered contracting programs, with program-specific data for the WOSB, HUBZone and SDVOSB programs, including denied applications and processing times. The report includes a section-by-section analysis, House rule statements, changes in existing law, and minority views signed by Ranking Member Nydia M. Velázquez.
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119TH CONGRESS REPORT
" HOUSE OF REPRESENTATIVES !
2d Session 119–680
OVERSIGHT AND TRANSPARENCY FOR SMALL BUSINESS
CERTIFICATIONS ACT OF 2026
JUNE 3, 2026.—Committed to the Committee of the Whole House on the State of
the Union and ordered to be printed
Mr. WILLIAMS of Texas, from the Committee on Small Business,
submitted the following
R E P O R T
together with
MINORITY VIEWS
[To accompany H.R. 8879]
The Committee on Small Business, to whom was referred the bill
(H.R. 8879) to amend the Small Business Act to require a report
on small business concern participation in a covered contracting
programs, and for other purposes, having considered the same, re-
ports favorably thereon without amendment and recommends that
the bill do pass.
CONTENTS
Page
I. Purpose and Bill Summary ........................................................................ 2
II. Need for Legislation .................................................................................... 2
III. Hearings ....................................................................................................... 2
IV. Committee Consideration ........................................................................... 2
V. Committee Votes ......................................................................................... 2
VI. Section-by-Section of H.R. 8879 ................................................................. 4
VII. Congressional Budget Office Cost Estimate ............................................. 4
VIII. New Budget Authority, Entitlement Authority, and Tax Expenditures 4
IX. Oversight Findings & Recommendations .................................................. 5
X. Performance Goals and Objectives ............................................................ 5
XI. Statement of Duplication of Federal Programs ........................................ 5
XII. Congressional Earmarks, Limited Tax Benefits, and Limited Tariff
Benefits ..................................................................................................... 5
XIII. Federal Mandates Statement ..................................................................... 5
XIV. Federal Advisory Committee Statement ................................................... 5
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XV. Applicability to Legislative Branch ........................................................... 5
XVI. Statement of Constitutional Authority ...................................................... 6
69–006
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XVII. Changes in Existing Law Made by the Bill, as Reported ........................ 6
XVIII. Minority Views ............................................................................................ 10
I. PURPOSE AND BILL SUMMARY
On May 19, 2026, Rep. John Olszewski (D–MD) and Rep. Tony
Wied (R–WI), introduced H.R. 8879, the Oversight and Trans-
parency for Small Business Certifications Act of 2026. H.R. 8879 re-
quires the U.S. Small Business Administration (SBA) to provide a
report to Congress regarding certification activities and contract
awards within the SBA’s small business programs, including cer-
tain certification activities for Women-Owned Small Business
(WOSB), HUBZone (Historically Underutilized Business Zones),
and Service-Disabled Veteran-Owned Small Business (SDVOSB)
programs.
II. NEED FOR LEGISLATION
The Oversight and Transparency for Small Business Certifi-
cations Act of 2026 requires the SBA to report on certification ac-
tivities and contract awards related to its small business programs.
Certain certification activities are required for the Women-Owned
Small Business (WOSB), HUBZone (Historically Underutilized
Business Zones), and Service-Disabled Veteran-Owned Small Busi-
nesses (SDVOSB) programs. The report would include data on the
number of certifications granted or denied, application processing
times, and the use of the SBA’s certification platform.
This bill requires reports to Congress to ensure accountability
within these programs. As bad actors look to take advantage of the
SBA’s small business programs, H.R. 8879 is intended to help root
out waste, fraud, and abuse.
III. HEARINGS
On February 5, 2025, the Committee on Small Business held a
hearing examining matters related to H.R. 8879 entitled ‘‘Hope on
the Horizon: Prioritizing Small Business Growth in the 119th Con-
gress.’’
IV. COMMITTEE CONSIDERATION
The Committee on Small Business met in open session, with a
quorum being present, on May 20, 2026, and ordered H.R. 8879 to
be reported favorably to the House of Representatives by a roll call
vote of 23 ayes to 0 nos.
V. COMMITTEE VOTES
Clause 3(b) of rule XIII of the Rules of the House of Representa-
tives requires the Committee to list the recorded votes on the mo-
tion to report legislation and amendments thereto. The Committee
voted to favorably report H.R. 8879 to the House of Representatives
at 4:10 PM.
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VI. SECTION-BY-SECTION OF H.R. 8879
Section 1—Short title
This Act may be cited as the ‘‘Oversight and Transparency for
Small Business Certifications Act of 2026.’’
Section 2—Report on small business concern participation in a cov-
ered contracting program
This section amends the Small Business Act to require the SBA
to submit an annual report to Congress on participation in covered
small business contracting programs.
This section requires the SBA to report the total number of cer-
tified small businesses participating in covered contracting pro-
grams; application and certification determination data; participa-
tion across multiple certification programs; and the use of SBA’s
unified certification application platform.
Additionally, this section establishes program-specific reporting
requirements for the WOSB, HUBZone, and SDVOSB programs.
For these three programs, the SBA is required to report on the
number of applications denied, the average time for first-time ap-
plicants to receive a certification determination, the percentage of
applications submitted within the SBA’s timeframe, and the aver-
age time for recertification applicants. The report must also include
information on applicants seeking certifications in multiple pro-
grams and the use of SBA’s certification application platform.
For the WOSB program specifically, this section requires report-
ing on firms eligible for sole-source awards, certifications processed
by national certifying entities, and applications initially submitted
without sufficient information for certification determination.
This section also requires SBA to report processing and recertifi-
cation timeframes for SDVOSBs, WOSBs, and HUBZone small
business concerns, including the percentage of determinations com-
pleted within SBA’s timelines and the average time required for
certification and recertification determinations.
A covered contracting program includes the definitions of 8(a),
WOSB, HUBZone, and SDVOSB as referenced in the Small Busi-
ness Act.
VII. CONGRESSIONAL BUDGET OFFICE COST ESTIMATE
Pursuant to 3(c)(3) of rule XIII of the Rules of the House of Rep-
resentatives, the Committee adopts as its own the cost estimate
prepared by the Director of the Congressional Budget Office pursu-
ant to section 402 of the Congressional Budget Act of 1974. At the
time this report was filed, the Committee has requested but not re-
ceived a cost estimate from the Director of the Congressional Budg-
et Office.
VIII. NEW BUDGET AUTHORITY, ENTITLEMENT AUTHORITY, AND TAX
EXPENDITURES
Pursuant to clause 3(c)(2) of rule XIII of the Rules of the House
of Representatives and section 308(a)(I) of the Congressional Budg-
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et Act of 1974, the Committee provides the following opinion and
estimate with respect to new budget authority, entitlement author-
ity, and tax expenditures. While the Committee has not received an
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estimate of new budget authority contained in the cost estimate
prepared by the Director of the Congressional Budget Office pursu-
ant to section 402 of the Congressional Budget Act of 1974, the
Committee does not believe that there will be any new or increased
costs attributable to this legislation.
IX. OVERSIGHT FINDINGS & RECOMMENDATIONS
In accordance with clause 3(c)(1) of rule XIII and clause 2(b)(1)
of rule X of the Rules of the House of Representatives, the over-
sight findings and recommendations of the Committee on Small
Business with respect to the subject matter contained in H.R. 8879
are incorporated into the descriptive portions of this report.
X. PERFORMANCE GOALS AND OBJECTIVES
With respect to the requirements of clause 3(c)(4) of rule XIII of
the Rules of the House of Representatives, the goal of H.R. 8879
is to increase transparency in SBA small business certification pro-
grams.
XI. STATEMENT OF DUPLICATION OF FEDERAL PROGRAMS
Pursuant to clause 3(c)(5) of rule XIII of the Rules of the House
of Representatives, no provision of H.R. 8879 is known to be dupli-
cative of another Federal program, including any program that was
included in a report to Congress pursuant to section 21 of Public
Law 111–139 or the most recent Catalog of Federal Domestic As-
sistance.
XII. CONGRESSIONAL EARMARKS, LIMITED TAX BENEFITS, AND
LIMITED TARIFF BENEFITS
With respect to clause 9 of rule XXI of the Rules of the House
of Representatives, the Committee finds that the bill does not con-
tain any congressional earmarks, limited tax benefits, or limited
tariff benefits as defined in clause 9(e), 9(f), or 9(g) of rule XXI of
the Rules of the House of Representatives.
XIII. FEDERAL MANDATES STATEMENT
The Committee will adopt as its own the estimate of the Federal
mandates prepared by the Director of the Congressional Budget Of-
fice pursuant to section 423 of the Unfunded Mandates Reform Act.
XIV. FEDERAL ADVISORY COMMITTEE STATEMENT
No advisory committees within the meaning of section 5(b) of the
Federal Advisory Committee Act were created by this legislation.
XV. APPLICABILITY TO LEGISLATIVE BRANCH
The Committee finds that the legislation does not relate to the
terms and conditions of employment or access to public services or
accommodations within the meaning of section 102(b)(3) of the Con-
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gressional Accountability Act.
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XVI. STATEMENT OF CONSTITUTIONAL AUTHORITY
Pursuant to clause 7 of rule XII of the Rules of the House, the
Committee finds that the authority for this legislation in Art. I, § 8,
cl.1 of the Constitution of the United States.
XVII. CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
In compliance with clause 3(e) of rule XIII of the Rules of the
House of Representatives, changes in existing law made by the bill,
as reported, are shown as follows (existing law proposed to be omit-
ted is enclosed in black brackets, new matter is printed in italics,
and existing law in which no change is proposed is shown in
roman):
CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
In compliance with clause 3(e) of rule XIII of the Rules of the
House of Representatives, changes in existing law made by the bill,
as reported, are shown as follows (existing law proposed to be omit-
ted is enclosed in black brackets, new matter is printed in italics,
and existing law in which no change is proposed is shown in
roman):
SMALL BUSINESS ACT
* * * * * * *
SEC. 10. (a) The Administration shall, as soon as practicable each
fiscal year make a comprehensive annual report to the President,
the President of the Senate, the Senate Select Committee on Small
Business, and the Speaker of the House of Representatives. Such
report shall include a description of the state of small business in
the Nation and the several States, and a description of the oper-
ations of the Administration under this chapter, including, but not
limited to, the general lending, disaster relief, Government regula-
tion relief, procurement and property disposal, research and devel-
opment, technical assistance, dissemination of data and informa-
tion, and other functions under the jurisdiction of the Administra-
tion during the previous fiscal year. Such report shall contain rec-
ommendations for strengthening or improving such programs, or,
when necessary or desirable to implement more effectively congres-
sional policies and proposals, for establishing new or alternative
programs. In addition, such report shall include the names of the
business concerns to whom contracts are let and for whom financ-
ing is arranged by the Administration, together with the amounts
involved. With respect to minority small business concerns, the re-
port shall include the proportion of loans and other assistance
under this Act provided to such concerns, the goals of the Adminis-
tration for the next fiscal year with respect to such concerns, and
recommendations for improving assistance to minority small busi-
ness concerns under this Act.
(b) CYBERSECURITY REPORTS.—
(1) ANNUAL REPORT.—Not later than 180 days after the date
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of enactment of this subsection, and every year thereafter, the
Administrator shall submit a report to the appropriate congres-
sional committees that includes—
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(A) a strategy to increase the cybersecurity of informa-
tion technology infrastructure of the Administration;
(B) a supply chain risk management strategy and an im-
plementation plan to address the risks of foreign manufac-
tured information technology equipment utilized by the
Administration, including specific risk mitigation activities
for components originating from entities with principal
places of business located in the People’s Republic of
China; and
(C) an account of—
(i) any incident that occurred at the Administration
during the 2-year period preceding the date on which
the first report is submitted, and, for subsequent re-
ports, the 1-year period preceding the date of submis-
sion; and
(ii) any action taken by the Administrator to re-
spond to or remediate any such incident.
(2) FISMA REPORTS.—Each report required under paragraph
(1) may be submitted as part of the report required under sec-
tion 3554 of title 44, United States Code.
(3) RULE OF CONSTRUCTION.—Nothing in this subsection
shall be construed to affect the reporting requirements of the
Administrator under chapter 35 of title 44, United States Code,
in particular the requirement to notify the Federal information
security incident center under section 3554(b)(7)(C)(ii) of such
title, any guidance issued by the Office of Management and
Budget, or any other provision of law or Federal policy.
(4) DEFINITIONS.—In this subsection:
(A) APPROPRIATE CONGRESSIONAL COMMITTEES.—The
term ‘‘appropriate congressional committees’’ means—
(i) the Committee on Small Business and Entrepre-
neurship of the Senate;
(ii) the Committee on Homeland Security and Gov-
ernmental Affairs of the Senate;
(iii) the Committee on Small Business of the House
of Representatives; and
(iv) the Committee on Oversight and Reform of the
House of Representatives.
(B) INCIDENT.—The term ‘‘incident’’ has the meaning
given the term in section 3552 of title 44, United States
Code.
(C) INFORMATION TECHNOLOGY.—The term ‘‘information
technology’’ has the meaning given the term in section
3502 of title 44, United States Code.
(d) For the purpose of aiding in carrying out the national policy
to insure that a fair proportion of the total purchases and contracts
for property and services for the Government be placed with small
business enterprises, and to maintain and strengthen the overall
economy of the Nation, the Department of Defense shall make an
annual report to the Committees on Small Business of the Senate
and the House of Representatives, showing the amount of funds ap-
propriated to the Department of Defense which have been ex-
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pended, obligated, or contracted to be spent with small business
concerns and the amount of such funds expended, obligated, or con-
tracted to be spent with firms other than small business in the
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8
same fields of operation; and such reports shall show separately
the funds expended, obligated, or contracted to be spent for basic
and applied scientific research and development.
(e) The Administration and the Inspector General of the Admin-
istration shall retain all correspondence, records of inquiries,
memoranda, reports, books, and records, including memoranda as
to all investigations conducted by or for the Administration, for a
period of at least one year from the date of each thereof, and shall
at all times keep the same available for inspection and examination
by the Senate Select Committee on Small Business and the Com-
mittee on Small Business of the House of Representatives or their
duly authorized representatives.
(2) The Committee on Small Business of either the Senate or the
House of Representatives may request that the Office of the Inspec-
tor General of the Administration conduct an investigation of any
program or activity conducted under the authority of section 7(j) or
8(a). Not later than thirty days after the receipt of such a request,
the Inspector General shall inform the committee, in writing, of the
disposition of the request by such office.
(f) To the extent deemed necessary by the Administrator to pro-
tect and preserve small-business interests, the Administration shall
consult and cooperate with other departments and agencies of the
Federal Government in the formulation by the Administration of
policies affecting small-business concerns. When requested by the
Administrator, each department and agency of the Federal Govern-
ment shall consult and cooperate with the Administration in the
formulation by such department or agency of policies affecting
small-business concerns, in order to insure that small-business in-
terests will be recognized, protected, and preserved. This sub-
section shall not require any department or agency to consult or co-
operate with the Administration in any case where the head of
such department or agency determines that such consultation or
cooperation would unduly delay action which must be taken by
such department or agency to protect the national interest in an
emergency.
(g) The Administration shall transmit, not later than December
31 of each year, to the Senate Select Committee on Small Business
and Committee on Small Business of the House of Representatives
a sealed report with respect to—
(1) complaints alleging illegal conduct by employees of the
Administration which were received or acted upon by the Ad-
ministration during the preceding fiscal year; and
(2) investigations undertaken by the Administration, includ-
ing external and internal audits and security and investigation
reports.
(h) The Administration shall transmit, not later than March 31
of each year, to the Committees on Small Business of the Senate
and House of Representatives a report on the secondary market op-
erations during the preceding calendar year. This report shall in-
clude, but not be limited to, (1) the number and the total dollar
amount of loans sold into the secondary market and the distribu-
tion of such loans by size of loan, size of lender, geographic location
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of lender, interest rate, maturity, lender servicing fees, whether the
rate is fixed or variable, and premium paid; (2) the number and
dollar amount of loans resold in the secondary market with a dis-
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9
tribution by size of loan, interest rate, and premiums; (3) the num-
ber and total dollar amount of pools formed; (4) the number and
total dollar amount of loans in each pool; (5) the dollar amount, in-
terest rate, and terms on each loan in each pool and whether the
rate is fixed or variable; (6) the number, face value, interest rate,
and terms of the trust certificates issued for each pool; (7) to the
maximum extent possible, the use by the lender of the proceeds of
sales of loans in the secondary market for additional lending to
small business concerns; and (8) an analysis of the information re-
ported in (1) through (7) to assess small businesses’ access to cap-
ital at reasonable rates and terms as a result of secondary market
operations.
* * * * * * *
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XVIII. MINORITY VIEWS
Congress has created four small business contracting programs
that provide tools for the government to recruit and retain small
businesses and to level the playing field for them to enter, compete,
and have success in the federal market: (1) Women-Owned Small
Business program (WOSB); (2) Historically Underutilized Business
Zone program (HUBZone); (3) Service-Disabled Veteran-Owned
Small Business program (SDVOSB); and (4) the 8(a) Business De-
velopment program (8(a)).1
The programs’ requirements and authorities differ but firms
must be certified by the Small Business Administration (SBA) to
be eligible for contracts set aside for small business competitions
and sole source awards by federal agencies.
The Oversight and Transparency for Small Business Certifi-
cations Act will require SBA’s budget justification documents to in-
clude information on SBA’s certifications: the processes, infrastruc-
ture and timelines, as well as participants, backlogs and wait times
for each program.
The bill will help ensure the Committee has this information con-
sistently and address recent, bipartisan concerns about whether
the SBA is providing the Committee with a full and complete pic-
ture on certifications.
For example, in past years, each program had its own online cer-
tification platform and designated staff in SBA’s Office of Govern-
ment Contracting and Business Development. As a result, small
businesses faced different experiences when seeking a certification.
In 2023 service-disabled veterans seeking an SBA certification
were served by 20 dedicated SBA staff and 54 contractors, who
processed applications in about three weeks. Applicants to the
WOSB program were served by 8 SBA staff and 2 contractors, re-
sulting in a backlog of roughly 7,000 applicants and an average
wait time of almost a year.2
Since 2015, the SBA has attempted to develop a platform that
would bring each of the programs’ certifications into one place, with
the intent of streamlining the certification process for all small
businesses, including and especially applicants seeking more than
one certification. In November 2022, after multiple failed attempts
by the SBA to produce a unified platform,3 the SBA began devel-
oping the Unified Certification Platform (UCP) in 2023, and the
1 The legislation’s reporting requirements do not cover the 8(a) Program since that program
has a more extensive annual report: The 408 Report to Congress on SBA’s 8(a) Business Devel-
opment Program, https://www.sba.gov/document/report-408-report-us-congress-minority-small-
business-capital-ownership-development.
2 Email from U.S. SMALL BUS. ADMIN. to the H. COMM. ON SMALL BUS. (10.9.24) (on
file with the H. COMM. ON SMALL BUS.).
3 U.S. SMALL BUS. ADMIN. OFF. OF INSPECTOR GEN., EVALUATION OF CERTIFY.SBA.GOV (Jul.
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30, 2020).
(10)
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11
UCP began accepting initial certification applications in late Octo-
ber 2024.
During this time, members of the Committee raised concerns
about the timing of changes, the portal itself and the sufficiency of
SBA’s responses to Congressional inquiries.
In a House Small Business Committee held a hearing on Sep-
tember 18, 2024 entitled: ‘‘Holding the SBA Accountable: Testi-
mony from Small Business Administrator Guzman,’’ both the
Chairman and Ranking Member raised the UCP and expressed
frustration with SBA’s communication to the Committee with the
Administrator directly. These concerns were later verified by a
GAO report that found SBA did not follow proper processes to de-
velop the UCP.4
Additionally, early awareness of growing wait times is particu-
larly crucial for WOSB program applicants, who saw the most se-
vere certification backlog prior to the UCP, and who remain an
underrepresented source of talent, innovation, and solutions in the
federal marketplace. In the lead up to UCP deployments, the Com-
mittee frequently heard from women-owned firms about the back-
log of WOSB applications, yet SBA was not forthcoming with that
information.
Data show that women are starting and growing small busi-
nesses in diverse sectors, but that we must do more to encourage
them to sign up to work with the federal government, including by
ensuring the efficiency of SBA’s certification process. Annual infor-
mation on the backlog would have allowed Congress to conduct
proper oversight and identify issues with the certification processes
and SBA portal(s) in a more timely manner.
SBA’s annual budget justification documents have previously in-
cluded limited data on the small business contracting programs’
certifications. While they have not included the associated wait
times and backlog numbers, they have included data on each of the
programs and participants. However, for both Fiscal Year (FY)
2026 and FY 2027, the budget documents did not include any de-
tails on the programs.5
Current and aspiring government contractors already face
enough challenges in the federal market. Unnecessary time or
added hurdles just to get a certification, before they can even com-
pete for contracting opportunities, should not be one of them. The
Oversight and Transparency for Small Business Certifications Act
will provide consistent, current and relevant information to ensure
the SBA programs are effective and performing as intended.
NYDIA M. VELÁZQUEZ,
Ranking Member.
Æ
4 GOV’T ACCOUNTABILITY OFF., IT MODERNIZATION: SBA URGENTLY NEEDS TO ADDRESS RISKS
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ON NEWLY DEPLOYED SYSTEM (Nov. 6, 2024).
5 U.S. SMALL BUS. ADMIN., FISCAL YEAR 2026 CONGRESSIONAL BUDGET JUSTIFICATION & FIS-
CAL YEAR 2026 ANNUAL PERFORMANCE PLAN (May 30, 2025).
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