Small Business Group Renews Suit Challenging SBA’s Goal Claims

Mark Van Scyoc/

The small but vocal American Small Business League this week continued its long-standing challenge to the Small Business Administration’s claims that agencies are meeting their statutory goals in awarding contracts to qualified small businesses. 

In an appeal filed in the Ninth Circuit Court in San Francisco, the group’s attorney’s challenged a May ruling in the case naming SBA Administrator Maria Contreras-Sweet and seeking “injunctive and other appropriate relief” to prevent the SBA from “continuing to misrepresent the attainment of small business contracting goals to Congress and the American public.”

The league has long charged that definitions used by the SBA have allowed many large Fortune 500 companies through subsidiaries to win contracts intended as set-asides for qualified small firms.

“Small Businesses are legally entitled to 23 percent of the total federal contracting acquisition budget, which is currently $1.2 trillion,” a league spokesman said. “However, the SBA is only allotting small business 23 percent of $352 billion, resulting in a small business loss of over $180 billion.”

The league’s president, Lloyd Chapman, argues that using the total federal acquisition budget in calculating the correct percentage of federal contracts awarded to small businesses would raise the small business share to 23 percent of more than $1 trillion.

Asked for comment, an SBA spokesman said, “We stand by the ruling of the United States District Court for the Northern District of California.” 

Image via Mark Van Scyoc/

Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
Close [ x ] More from GovExec

Thank you for subscribing to newsletters from
We think these reports might interest you:

  • Going Agile:Revolutionizing Federal Digital Services Delivery

    Here’s one indication that times have changed: Harriet Tubman is going to be the next face of the twenty dollar bill. Another sign of change? The way in which the federal government arrived at that decision.

  • Cyber Risk Report: Cybercrime Trends from 2016

    In our first half 2016 cyber trends report, SurfWatch Labs threat intelligence analysts noted one key theme – the interconnected nature of cybercrime – and the second half of the year saw organizations continuing to struggle with that reality. The number of potential cyber threats, the pool of already compromised information, and the ease of finding increasingly sophisticated cybercriminal tools continued to snowball throughout the year.

  • Featured Content from RSA Conference: Dissed by NIST

    Learn more about the latest draft of the U.S. National Institute of Standards and Technology guidance document on authentication and lifecycle management.

  • GBC Issue Brief: The Future of 9-1-1

    A Look Into the Next Generation of Emergency Services

  • GBC Survey Report: Securing the Perimeters

    A candid survey on cybersecurity in state and local governments

  • The New IP: Moving Government Agencies Toward the Network of The Future

    Federal IT managers are looking to modernize legacy network infrastructures that are taxed by growing demands from mobile devices, video, vast amounts of data, and more. This issue brief discusses the federal government network landscape, as well as market, financial force drivers for network modernization.

  • eBook: State & Local Cybersecurity

    CenturyLink is committed to helping state and local governments meet their cybersecurity challenges. Towards that end, CenturyLink commissioned a study from the Government Business Council that looked at the perceptions, attitudes and experiences of state and local leaders around the cybersecurity issue. The results were surprising in a number of ways. Learn more about their findings and the ways in which state and local governments can combat cybersecurity threats with this eBook.


When you download a report, your information may be shared with the underwriters of that document.