PETALUMA, Calif., May 8, 2015 /PRNewswire-USNewswire/ -- Anew investigativereport by government watchdog group Public Citizen titled"Slighted" details how the Obama Administration has falsified boththe percentage and volume of federal contracts awarded to small businesses. Thearticle explains how the federal government's compliance with the 23% federalsmall business contracting goal is fabricated.

The subtitle of the Public Citizen report states, "Accounting Tricks Create FalseImpression That Small Businesses Are Getting Their Share of Federal ProcurementMoney, and the Political Factors That Might Be at Play."

The article highlights the unrelenting efforts of the AmericanSmall Business League founded by national small business advocate, LloydChapman, to expose fraud in federal small business contracting programs. The reportstates, "One window of insight comes from research by the American SmallBusiness League (ASBL), a longstanding, relentless critic of the government'sfulfillment of its small business obligations."

The Public Citizen report agreed with previous investigations bythe ASBL over the last decade that found the federal government had cheatedlegitimate small businesses out of billions of dollars in federalcontracts in two main ways.

1.    The Small BusinessAct mandates that small businesses receive a minimum of 23% of thetotal value of all federal contracts. The SBA uses asignificantly lower budget number than the actual total procurementbudget that greatlyinflates the percentage of federal contracts to small businesses.

2.    The Federal Government greatly exaggerates the volume of federalcontracts awarded to small businesses by including billions of dollars infederal contracts to Fortune 500 firms, their subsidiaries andthousands of large businesses. The Small Business Act clearly defines a smallbusiness as being independently owned and having no more than 1500 employees.The definition independentlyowned would exclude any Fortune 500 firms since they are publiclyowned and obviously have more than 1500 employees.

SBA Press Office Director Terry Sutherlandcontinues to refuse to talk with journalists and answer any questions about theSBA's use of illegal policies to inflate and falsify the government's smallbusiness contracting data or their excuse that random errors they call "miscoding" isresponsible for the diversion of federal small business contracts to Fortune500 firms for more than 15 years.

Public Citizen found the American Small Business Leaguewas the only national small business advocacy group that had ever publiclyopposed the diversion of federal small business contracts tocorporate giants.

Every year since 2005, including SBA Inspector General PegGustafson, the SBA Inspector General has named the diversion of federal smallbusiness contracts to large businesses as the number one problem at the SBA.

PresidentObama's 2016 Budget includes the resurrection Ronald Reagan's plan topermanently close the SBA and end all federal small business programs by combining theagency with the Department of Commerce.

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