WASHINGTON — Today, Rep. Nydia M. Velázquez (D-NY), Ranking Member of the House Small Business Committee, announced the endorsement of her legislation, the Protecting Small Business Competitions Act, by a broad coalition of hundreds of small businesses and stakeholder groups representing thousands of small businesses across the country.
“As Ranking Member of the Small Business Committee, I frequently hear that it is harder than ever for small firms to enter the federal market and compete for government contracts,” said Ranking Member Velázquez. “The numbers back that up: the federal government has roughly half as many small businesses in its industrial base as it did just over a decade ago.”
The Protecting Small Business Competitions Act will codify the Rule of Two—a longstanding procurement policy that ensures federal agencies set aside contracts for small business only competitions when certain conditions are met. The federal government’s rewrite of its procurement regulations has put this policy and the nearly two-thirds of small business contracting dollars are awarded through small business competitions, totaling over $100 billion annually, at risk.
“Any changes to procurement regulations must be made with the health of the industrial base in mind, and with input from small government contractors,” Velázquez continued. “These efforts should focus on reducing barriers to entry and competition while preserving the processes that level the playing field.”
In a letter sent to Congress, hundreds of small businesses and national organizations called the bill “necessary and timely,” writing:
“The Rule of Two is critical to preserving the small business industrial base and efforts to reverse this decline, as well as America’s long-term economic resilience and competitiveness. We urge all Members of Congress to support its swift passage in both chambers.”
Velázquez added: “I’m proud to have the support of this broad coalition. I hope my colleagues will join the small business community in supporting this legislation and removing the ambiguity around their future contracting opportunities and participation in the industrial base.”
