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SBA Releases Annual Report Card on Federal Contracting for Small Businesses
The Small Business Administration (SBA) has just released its annual report card on federal agencies’ performance in awarding contracts to small businesses, and the results are impressive. In Fiscal Year 2023, federal agencies exceeded their goal of awarding 23% of contract dollars to small businesses, reaching a record-breaking 28.4%.
SBA Administrator Isabel Casillas Guzman announced the results of the federal procurement “Scorecard,” which evaluates how well agencies meet their small business contracting goals each year. This achievement represents a significant $178.6 billion investment in the small business sector, supporting over a million jobs in industries like manufacturing, construction, and technology.
Ten federal agencies received top grades of A+ for their performance, with an additional 12 agencies earning an A. The overall federal government received an A on this year’s scorecard, highlighting the commitment to supporting small businesses. Agencies that stood out include the SBA, the Departments of Agriculture, Housing and Urban Development, Interior, Homeland Security, as well as the National Science Foundation and General Services Administration.
Some key highlights from the report include Small Disadvantaged Business (SDB) spending surpassing its 12% goal, service-disabled veteran-owned small businesses exceeding their 3% goal, Historically Underutilized Business Zones (HUBZone) firms receiving a record amount in contracts, and Women-owned Small Businesses achieving the highest-ever amount of contracting dollars.
The SBA has been prioritizing making federal contracts more accessible under Administrator Guzman’s leadership, with efforts including new guidance to increase participation of new entrants in federal contracting and expanding access to multiple-award contracts. Enhanced training programs like “Empower to Grow” are helping Small Disadvantaged Businesses improve their contract readiness, while reforms in small business contracting focus on tracking performance and revising size standards to include more small businesses in SBA programs.
Overall, the SBA’s report card on federal agencies’ small business contracting performance showcases a strong commitment to supporting small businesses and fostering growth in the sector.
