Yesterday, U.S. Representative Mike Coffman (CO-06) introduced H.R. 3945, theImproving Opportunities for Service-Disabled Veteran-Owned Small Businesses Act of 2015.
“Congress must take steps to ensure the VA’s program operates effectively for our veterans,” said Coffman.
“Currently, veteran-owned small businesses (VOSB) and service-disabled veteran-owned small businesses (SDVOSB) face incredible challenges getting certified to participate in seeking and securing federal contracts under the program’s rules. The bill I introduced today reforms, streamlines, and simplifies the current process the VA and the SBA use to be certified as eligible.”
Coffman’s legislation uses a three-pronged approach to reform the current process of ensuring VOSBs and SDVOSBs are properly awarded VA contracts.
First, the bill harmonizes the definitions of VOSB and SDVOSB. This ensures that small variations between the Small Business Act and the Vets First Program are not used to justify additional inconsistencies between the VA and SBA programs.
Second, the bill requires the VA to follow SBA regulations when verifying and certifying VOSBs and SDVOSBs. This ensures consistency in the awards process between the VA and SBA. For example, a SDVOSB can qualify at one agency and not another for procurement preferences. This inconsistency often adds cost, confusion, and opens the door to fraud.
Third, the bill created an appeals process for SDVOSBs to challenge an agency decision. Increasing SBA’s role in the appellate process will limit confusion in how to appeal and ensure more a more predictable pattern in the final decisions. It will also ensure impartiality by not having VA review its own previously denied claims.
“With over 50,000 small businesses attempting to use Congressionally-established VOSB and SDVOSB contracting programs, it is critical that we protect our nation’s veterans seeking federal contracts from the VA and SBA,” said Coffman.
Collectively, VSOBs and SDVOSBs in communities across the country received nearly $20 billion is federal prime contracts in FY2014, with nearly $14 billion awarded to SDVOSBs.
The bill is co-sponsored by Veterans’ Affairs Committee Chairman Jeff Miller (R-FL), along with Small Business Committee Chairman Steve Chabot (R-OH), Rep. Nydia Velázquez (D-NY), Rep. Gerry Connolly (D-VA), Rep. Richard Hanna (R-NY), and Rep. Seth Moulton (D-MA).
“This bill will reform an excessive and redundant bureaucracy that’s making business even more complicated for the people it was meant to help. By cutting needless red tape and streamlining the verification process, we can ensure veteran business owners are properly recognized for their service, while reducing fraud and freeing up more resources for veteran support,” said Rep. Jeff Miller, Chairman, House Committee on Veterans’ Affairs.
Coffman has a combined 21 years of military service and started a small property management business in Aurora, CO during the 1980s. He currently serves on the Armed Services Committee and Veteran’s Affairs Committee, where he is the Chairman of the Subcommittee on Oversight and Investigations.
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