PETALUMA, Calif., June 15, 2017 /PRNewswire-USNewswire/-- Data from the Congressional Budget Office and the Federal ProcurementData System indicates the Small Business Administration falsified the federalgovernment's compliance with the 23% small business contracting goal for fiscalyear 2016.

In a May 18^th, press release the SBA claimed small businesses hadreceived $99.96 billion in federal contracts and24.34 percent of all federal contracts awarded in fiscal year 2016. 

The Small Business Act mandates small businesses receive aminimum of 23% of all federal contracts. TheCongressional Budget Office reports the total federal acquisition budget for2016 was $1.2 trillion.

23 percent of the $1.2 trillion thefederal government actually awarded in contracts for fiscal year 2016 would beapproximately $276 billion. The SBA excluded $790 billion in federal contracts from their calculationsto claim small businesses received 24.34 percent of all contracts.

Data from the Federal Procurement DataSystem (FPDS) indicates the SBA included contracts to over 100 Fortune 500firms and over 5,000 large businesses in the $99.96billion they claimed went to small businesses.

Every year since 2005 the SBA Office of Inspector General hasnamed the diversion of federal small business contracts to large businesses as the number one management problem at the SBA. Asearly as 2003 the Government AccountabilityOffice (GAO) found over 5,300 large businesses were theactual recipients of federal small business contracts.

In 2008, President Obama released the statement, "It is time to end the diversion of federal smallbusiness contracts to corporate giants."

Some of the firms that have received federal small businesscontracts in recent years include, Apple, Walmart, Microsoft, Home Depot, Bechtel, SAIC,Raytheon, Hewlett-Packard, Oracle, IBM, Johnson and Johnson, General Electric,Northrop Grumman, Honda Motors, British Aerospace and Engineering and RollsRoyce.

Professor Charles Tiefer, one of the nation's leadingauthorities on federal procurement law and a contributor to Forbes released an article on June 5, 2017 challenging the accuracy of the SBA'sstatistics.

In 2014, Public Citizen released an investigative report titled "Sleighted," that foundthe SBA had fabricated compliance with federal small business contractinggoals. In 2016, Mother Jones released their investigative report titled, "Giant Corporations Are Reaping Billions FromFederal Small Business Contracts."

ABC, CBS, NBC, CNN, CNBC, MSNBC, Fox News and RTTV  have all release investigative reportsthat found the SBA included billions in federal small business contracts toFortune 500 firms.

The American Small Business League (ASBL)has filed for a federal injunction to stop the SBA fromfalsifying federal small business data. The case is currently in the 9^th Circuit Court of Appeals.

American Express Open Forum named ASBL President Lloyd Chapman as one of the 4 strongest voices for smallbusinesses in Washingtonfor his efforts to end fraud in federal small business programs. In July, the ASBL will releasing their documentary entitled'Cheated' on their campaign to end fraud in federal small business programs.

For the full release, click here: http://www.prnewswire.com/news-releases/government-small-business-data-includes-billions-to-fortune-500-firms-asbl-reports-300474429.html

Asmall-business group will go to trial in December against the Defense Dept. totry to reveal more information about the workings of the DOD's longstandingComprehensive Subcontracting Plan Test Program. The American Small BusinessLeague, headed by Lloyd Chapman, has been criticizing the program for severalyears because Chapman contends it has not performed well and has reducedopportunities for small businesses. Chapman said he has been unable to reviewcrucial documents from the program because of various Freedom of InformationAct exemptions that have been applied by DOD officials. He hopes that thetestimony and documents to be revealed in court will provide sufficientevidence to prove that the program is negatively affecting small businesses,and that problems with the program have been ignored or covered up over theyears. "I'm confident that we will uncover evidence that would force thePentagon and Congress to dismantle the Pentagon's Comprehensive SubcontractingPlan Test Program," Chapman told Set-Aside Alert in an emailedstatement. Congress set up the DOD subcontracting program in 1989. While thevalue of the program has been challenged by Chapman and others, Congress lastyear renewed it for another 10 years. The program allows large DOD contractorsto develop small business subcontracting plans on a corporate, division orplant-wide basis, rather than developing a subcontracting plan for eachcontract. The goal was to determine whether the comprehensive test plan wouldprovide greater opportunity for small businesses. Chapman said the DOD's use ofFOIA exemptions to withhold information on the program has made it verydifficult to evaluate if the program is meeting small business goals. Chapmansued Sikorsky Aircraft and the DOD to gain release of Sikorsky's small businesssubcontracting plan. He won the case in court in 2014 but Sikorsky and DODsuccessfully appealed, and the case was sent back to the lower court. In thelatest development, a California judge approved an agreement between the leagueand DOD to go to trial to examine whether or not a specific FOIA exemptionapplies to information that Sikorsky and DOD withheld on Sikorsky's smallbusiness subcontracting plan. U.S. District Court Judge William Alsup of the Northern District of California ordered thatthe trial would include as many as 10 depositions from DOD on the program. Aspokesman for Sikorsky told GovExec that at this timeSikorsky is no longer a party to the litigation. A DOD spokesman declined to comment,citing a policy of avoiding commenting on pending litigation.

For the fullstory, click here: https://www.asbl.com/media/Small%20biz%20group%20to%20get%20day%20in%20court%20vs.%20DOD%20subcontracting%20program.pdf

A small-business advocate is fighting two behemothsin an effort to force the Pentagon to disclose a plan showing whether smallbusinesses have access as suppliers of parts and services to Sikorsky AircraftCorp.

Lloyd Chapman, president of the American SmallBusiness League, an advocacy group he founded in 2002, has been fighting alegal battle against the Department of Defense,demanding details about a contracting program he says benefits large militarycontractors.

Chapman won a Freedom of Information Actlawsuit in federal court, but will be back in court later this year following asuccessful appeal by Sikorsky, the Stratford-based helicopter maker, and theDefense Department.

Chapman, of Petaluma, Calif., said the government'sComprehensive Subcontracting Plan Test Program has failed to increasesubcontracting opportunities for small businesses as intended.

"A program that eliminates transparency isn'tgoing to help," he said.

The program eliminated transparency on smallbusiness subcontracting programs for the Pentagon's largest prime contractorsand the Defense Department refuses to release information about the program,Chapman said.

A spokesman for the Defense Department did notimmediately respond to an email and phone call seeking comment.

Sikorsky, a subsidiary of Lockheed Martin Corp., said ina statement that it has complied with all small business requirements underDepartment of Defense guidelines. Information provided in Sikorsky's smallbusiness plan is sensitive and could be used by competitors and "wasrecognized as such" by federal judges who ordered the case back to a lowercourt, Sikorsky said.

Atrial is set for December, Chapman said.

Sen. Richard Blumenthal, a member of theSenate Armed Services Committee, said Friday he has not encountered widespreadcomplaints by small businesses that contracting opportunities have been denied.But he will speak with companies to determine if suppliers are treated fairly,he said.

"There should be more transparency," saidBlumenthal, D-Conn.

Promoting the many businesses in Sikorsky's supplychain is particularly important since the Malloy administration and legislaturestruck a deal with Lockheed Martin last year guaranteeing production of 200U.S. Navy helicopters in Connecticut until at least 2032 in exchange for up to$220 million in loans and grants.

In addition to increasing manufacturing jobs over14 years, Lockheed Martin agreed to nearly double its spending of $350 milliona year with Connecticut suppliers. The intent is to spur more employment andspending among small subcontractors.

Chapman said he picked Sikorsky for his legalchallenge "quite randomly."

"I'm hoping to prove this program is a fraudand a sham," he said.

For the full story, click here: http://www.courant.com/business/hc-sikorsky-pentagon-lawsuit-20170414-story.html