Agencies Made $5B in Small Business Contracting Mistakes

U.S. government agencies made at least $5 billion in mistakes in their recent reports of contracts awarded to small businesses, with many claiming credit for awards to companies that long ago outgrew the designation or never qualified in the first place, according to a new Washington Post analysis.

Staff Writer Carol D. Leonnig of the Post examined a sampling of the $89 billion in contracts the agencies classified as small-business awards, helping them satisfy a congressional mandate to award nearly a fourth of all government work to small firms.

In the data The Post analyzed, federal agencies counted Lockheed Martin and its subsidiaries as "small" on 207 contracts worth $143 million. Dell Computer, a Fortune 500 company, was listed as a small business on $89 million in contracts.

Leonnig will host a live chat today at 2 p.m. to answer your questions and discuss problems with the government's measurements of its contracting work with small businesses. You can submit your comments or questions before or during the chat.

The Small Business Administration, which annually reports on how agencies have performed, said it thinks that many agency mistakes, including some The Post identified, have been corrected in a long-delayed report it plans to release today.

By Sharon McLoone |  October 22, 2008; 10:31 AM ET Gov't Contracting , Watchdogs
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The SBA system is SELF CERTIFY and Central Contractor Registration (CCR) system is self completed.

Thus, if the government data is faulty, someone at these firms committed DELIBERATE fraud. Examine Section K, Representations and Certifications in any government contract.

Look also at Alaskan Native Set-aside abuses.

Posted by: Ken Fortune | October 22, 2008 5:02 PM

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