Small Biz Chairwoman Slams SBA Plan


Rep. Nydia Velázquez (D-N.Y.), chairwoman of the House Small Business Committee. (Photo by AP)

The chairwoman of the House Small Business Committee sent a letter today to the Small Business Administration requesting that the agency rethink its proposal that would change the way women-owned businesses receive federal contract assistance.

Rep. Nydia Velázquez (D-N.Y.) said the agency's rule "takes a narrow approach toward the implementation of the women's procurement program and largely ignores congressional intent."

Part of the agency's plan would put the burden on a federal agency to admit that they've discriminated against certain women-owned businesses "but no agency is going to take that risk," she says, adding that the approach would be "harmful to the program."

She also disagrees with the SBA's proposal that would whittle down to the list of eligible industries to receive set-asides to just three.

"SBA's implementation of the women's procurement program is unacceptable and I ask that the agency withdraw its rule and rewrite it to be consistent with the intent of Congress," she concludes.

By Sharon McLoone |  February 22, 2008; 4:54 PM ET Policymakers
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