American Small Business League Wins Key Pentagon Documents

Press Release

American Small Business League Wins Key Pentagon Documents

Businesswire
December 11, 2019

SAN FRANCISCO--(BUSINESS WIRE)--The American Small Business League ("ASBL") announced Wednesday that a federal judge in San Francisco has ordered the Department of Defense to disclose key records shedding light on whether big defense contractors like Lockheed Martin complied with laws requiring them to subcontract to small businesses. The case was one of the first tests of a recent Supreme Court ruling.

The November 24 ruling by U.S. District Judge William Alsup, in a Freedom of Information Act lawsuit brought by ASBL, forces the Pentagon to turn over evaluations of whether Lockheed and its subsidiary Sikorsky complied with small business subcontracting goals. At an earlier stage of the case, government documents disclosed that there was a "huge gap" between Sikorsky's small business subcontracting goals and its subcontracting performance. A document released this year during the case showed that the government once recommended "probation" for Sikorsky if it did not increase its small business subcontracting goals and performance.

ASBL President Lloyd Chapman said his group was pleased with the ruling. "The prime contractors haven't complied with the Small Business Act for decades. Small businesses create 98 percent of net new jobs in America. The public needs to know if they're getting the share of Pentagon dollars that they deserve and that Congress intended when it passed the Small Business Act. Small businesses are being cheated out of defense dollars," he said, citing a 2015 Pentagon study which showed that under the Comprehensive Subcontracting Plan "Test Program," subcontracts to small businesses had been cut in half, from 46 percent in 1995 to 24 percent in 2014.

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Trump Budget Will Cost Small Businesses

News

Trump Budget Will Cost Small Businesses

SBC.Senate.gov
March 11, 2019

(Washington, DC) – Today, U.S. Senate Committee on Small Business & Entrepreneurship Ranking Member Ben Cardin (D-MD) issued the following statement on the Trump Administration's FY 2020 Budget, which could cost small businesses millions in additional loan fees owed to the Small Business Administration (SBA) and reduce critical business counseling:"While President Trump's budget is light on details, his proposed cuts to the SBA should be enough to strike fear in the small business community. This budget hits rural, minority and women-owned businesses by cutting the microloan program, drastically reduces SBA counseling to small businesses, and increases loan fees on lenders and borrowers. For small businesses, which operate on razor-thin margins, this budget is bad for business."Last year alone, SBA-approved loans provided small businesses with more than $30 billion in funding and supported at least 600,000 jobs. By increasing loans fees and reducing vital training and support provided by the SBA, President Trump is balancing his budget on the backs of mom-and-pop shops that turn neighborhoods into communities and create millions of good-paying middle class jobs.

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