Return to Article: GSA appoints new acquisition chief
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38192
I wonder what Ms Murphy's position will be in the all-out battle between SBA and GSA on Small Business set-asides and GSA contracts? In a pending GAO protest the SBA has issued a legal opinion that the General Services Administration (GSA) must adhere to the statutory small business set aside rules for contracts between $3,000 and $100,000. GSA, as well as many other federal agencies, believe that small business set asides and the small business programs set forth in federal statutes and regulations do not apply when a procuring agency utilizes the GSA Schedule program. Not so, says the SBA General Counsel. In summary, SBA states "the (set-aside) statutory provision creates a mandatory small business reservation for acquisitions valued below $100,000" (and in some instances up to $250,000) and further confirmed that "there is nothing in statute or GAO ruling indicating that a GSA Schedule contract should or can take priority over this statutory mandated small business reservation requirement." SBA also affirmed that, "this (set-aside) statute does not exempt GSA Schedule awards or orders issued pursuant to the Schedule contract from the Small Business Act." The GAO has not yet ruled on the protest.
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Congratulations to MS Murphy and may she have success in her new position. I hope as the the new chief, she can start the process at GSA and not expect the agencies to pick up the shortfall in contracting with small businesses. I like others that follow small business contracts do not believe the numbers that have been published by the SBA. Our doubts have been supported by every audit that has been conducted in this reporting system. While all the contracts carry a requirement to have small business involvement, rarely are these provisions enforced. The tried and proven way to get around the small business set aside is to have a small company bid and then have a large company take it over. Additionally, the time and expense involved for a small business to get on the schedule or get a GSA contract is beyond the resource capability. The time frame is usually stated as less than 30 days; however when you review the time it has taken to qualify for the Travel there is a completely different appearance. Ever wonder what percentage of the GSA travel and relocation contracts were held by large companies? This is a difficult number to determine. I would like to pose a challenge to her to determine this number as one of her first priority items. There are a lot of small business owners in this field that are hurting for business due to the new security rules and reduction of travel.
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