SBA ripped for alleged big business ties

PETALUMA, Calif., Nov. 15 (UPI) -- A small business advocacy group claims a new U.S. Small Business Administration policy merely hides the agency's largesse to giant corporations.

The American Small Business League said Wednesday that a new policy proposed by the SBA and the Office of Federal Procurement Policy "will allow the government to continue reporting awards to large companies as federal small business contracts."

Even though the SBA's inspector general has urged the agency to implement annual recertification of business size status to prevent fraud and abuse in small business contracting, the SBA has consistently refused to implement it, said the ASBL's president, Lloyd Chapman.

"Instead, the agency has adopted a policy that will allow companies to retain their small business status for up to five years. Issued under the guise of improving federal contracting opportunities for small business, this recertification policy will allow the government to continue including contracts to some of the nation's largest companies toward their small business contracting goals."