In this live stream, I analyzed the newly pre-published SBA’s proposed rule that changes the social-disadvantage eligibility criteria for the 8(a) program. Viewers had questions on the proposed rule. We also covered the little-discussed DoW Small Business Bill of Rights, a recent reorganization of staff at SBA, and a few cases involving the mentor-protégé program.

Links follow. A transcript is available at http://www.govconintelligence.com.

Links

* SBA pre-publication proposed rule on “Reforms to Remove SBA’s 8(a) Program’s Rebuttable Presumption of Social Disadvantage for Individually Owned Firms Only; Reforms Do Not Impact Entity-Owned Firms” https://public-inspection.federalregister.gov/2026-11765.pdf

* NDAA FY24 (see section 876 for Small Business Bill of Rights) https://www.congress.gov/118/plaws/publ159/PLAW-118publ159.pdf

* DoW Small Business Bill of Rights https://business.defense.gov/Small-Business-Bill-of-Rights/

* PDF of Small Business Bill of Rights https://business.defense.gov/Portals/57/Small%20Business%20Bill%20of%20Rights/DoW%20Small%20Business%20Bill%20of%20Rights.pdf?ver=TGSweXAuiLJkOqERHfZKkw%3d%3d

* DoW Small Business Bill of Rights one-pager https://business.defense.gov/Portals/57/Small%20Business%20Bill%20of%20Rights/Small%20Business%20Bill%20of%20Rights%201-Pager%2003.11.26%20-%20fillable.pdf?ver=WOh6YHb4fg84cZg0o1OXYA%3D%3D

* SBA policies under review at the Office of Information and Regulatory Affairs https://www.reginfo.gov/public/do/eoReviewSearch

* SBA news release: “SBA Announces Agency-Wide Reorganization to Modernize, Drive Operational Efficiency, and Enhance Accountability to Taxpayers” https://www.sba.gov/article/2026/06/05/sba-announces-agency-wide-reorganization-modernize-drive-operational-efficiency-enhance

* SBA OIG news release: “Government Contractor and Executives to Pay $21.3M to Resolve Fraud Scheme Involving Service-Disabled Veteran-Owned Small Business Contracts” https://www.sba.gov/article/2026/06/09/government-contractor-executives-pay-213m-resolve-fraud-scheme-involving-service-disabled-veteran

* COFC decision on timing mentor-protégé joint ventures: Primary Healthcare LLC d/b/a Anglin Distinctive Health Care JV LLC v. United States, Case No. 25-1795C (2026). https://ecf.cofc.uscourts.gov/cgi-bin/show_public_doc?2025cv1795-40-0

* COFC decision on mentor standing: Int’l Bus. Sales & Servs. Corp. v. United States, Nos. 26-401 & 26-425 (Fed. Cl. May 29, 2026). https://ecf.cofc.uscourts.gov/cgi-bin/show_public_doc?2026cv0401-48-0

* GAO decision on subcontractor joint-venture past performance: ID8Spark, LLC, B-424253.2, .3, .5, May 18, 2026. https://www.gao.gov/assets/890/886345.pdf

* FAR Overhaul proposed rule status: https://www.acq.osd.mil/dpap/dars/opencases/farcasenum/far.pdf

* Number of 8(a) participants below 3,000: https://www.datawrapper.de/_/Tvaur/?v=5

Chapters

00:00 - Introduction to GovCon Intelligence

00:52 - SBA Proposed Rule on 8(a) Social Disadvantage

08:00 - Impact of the Proposed Rule on Current 8(a) Firms

11:13 - Group Classification and Historical Context under the New 8(a) Rule

18:12 - Delays in Processing New 8(a) Applications

19:54 - New vs. Old Application Evidence

20:40 - Department of War Small Business Bill of Rights

26:21 - Upcoming SBA Policy Changes and OIRA Reviews

30:16 - SBA Agency-Wide Reorganization and Workforce Reductions

33:20 - SDVOSB Fraud Case: Broadway Electric and Cornerstone Contracting Settlement

37:13 - Court of Federal Claims Case: Primary Healthcare (Mentor-Protégé Joint Venture Timing)

43:13 - Court of Federal Claims Case: International Business Sales and Services Corporation (Mentor standing)

45:08 - GAO Case: ID8 Spark (Subcontractor and Joint Venture Past Performance)

47:19 - FAR Overhaul and Notice and Comment Phase Updates

49:45 - Tracking the Latest 8(a) Active Firm Data

52:03 - Business Activity Targets (BAT) and Closing Remarks

With 20 years of Federal legal experience, Sam Le counsels small businesses through government contracting matters, including bid protests, contract compliance, small business certifications, and procurement disputes. Sam obtained his law degree from the University of Virginia and formerly served as SBA’s director of procurement policy. His website is www.samlelaw.com.

This video is for informational purposes only and does not constitute legal advice.

Ahead of her presentation at this week’s VETS conference, former White House appointee and 8(a) associate administrator Jackie Robinson-Burnette joined me on GovCon Intelligence. Jackie and I worked together at SBA in the aftermath of the Ultima court decision to save the 8(a) program, and we talked at length about what the program will look like after this latest crisis.

I also got her thoughts on the Rule of Two, the attack on the women-owned small business program, and how small businesses are faring generally. Finally, she shared her lessons on leadership based on a 35-year career in public service.

Please visit www.govconintelligence.com for a full transcript and show notes.

Links

* Jackie Robinson-Burnette on LinkedIn: https://www.linkedin.com/in/jackierb/

* Senior Executive Service Solutions:

https://www.ses2.co/

* SBA proposed rule on deleting the presumption of social disadvantage: https://www.reginfo.gov/public/do/eoDetails?rrid=1397162

* 8afacts.org: http://8afacts.org

* Protecting Small Business Competition Act, as amended: https://www.congress.gov/119/meeting/house/119320/documents/BILLS-119-ANS1toHR2804-W000816-Amdt-3.pdf

* Eliminating Discrimination in Government Contracting Act: https://www.congress.gov/bill/119th-congress/senate-bill/4390

* Christopher Slottee: “Army Shifts Acquisition Policy: New Preference for Competition in SBA 8(a) Program” (Schwabe): https://www.schwabe.com/publication/army-shifts-acquisition-policy-new-preference-for-competition-in-sba-8a-program/

* “Firm Building Trump’s Ballroom Got a Secret No-Bid Contract for a Nearby Job” (The New York Times): https://www.nytimes.com/2026/04/25/us/politics/lafayette-park-fountains-trump-contract.html

* How Successful People Lead by John Maxwell:

https://bookshop.org/p/books/how-successful-people-lead-taking-your-influence-to-the-next-level-john-c-maxwell/413fd6664c3f7018?ean=9781599953625&next=t&

Chapters

00:00 – Introduction & Jackie’s Background

00:18 – Jackie’s Historic Legacy at the SBA

01:20 – Deleting the Presumption of Social Disadvantage (Post-Ultima Reforms)

04:59 – The Impact of the 8(a) Application Freeze on Small Businesses

07:05 – Streamlining and Digitizing the 8(a) Application Process

10:37 – Individual vs. Entity-Owned 8(a) Firms (Alaska Native Corporations)

12:51 – The Rule of Two and Preserving the Small Business Industrial Base

16:15 – GWAC Pools (Women-Owned and HUBZone Set-Asides)

17:40 – Defending and Improving the Women-Owned Small Business Program

21:22 – Debunking Fraud Myths and Highlighting the Multiplier Effect

23:35 – Predictions for the Future of the 8(a) Program

27:19 – The Reality of Sole Source Contracts in Federal Agencies

31:06 – Consolidating the Four SBA Systems into One Unified Platform

36:02 – How System Consolidation Saved Public Service Jobs From DEI Cuts

38:03 – The Mid-2026 Sentiment and Financial Anxiety in the Small Business Community

41:21 – Refection on Returning to Government: Was It Worth It?

44:44 – Leadership Insights: “How Successful People Lead” and Leveling Up

47:46 – Conclusion & Where to Connect with Jackie

With 20 years of Federal legal experience, Sam Le counsels small businesses through government contracting matters, including bid protests, contract compliance, small business certifications, and procurement disputes. Sam obtained his law degree from the University of Virginia and formerly served as SBA’s director of procurement policy. His website is www.samlelaw.com.

This video is for informational purposes only and does not constitute legal advice.

"When we talk about small businesses being under a microscope, I do worry that the person looking through the lens isn't sure what they're looking for," PSC President Stephanie Kostro said. Fresh off the Professional Services Council annual conference, Stephanie joined Sam on the podcast to discuss the biggest policy issues for small businesses: fraud investigations and audits, the next stage of the FAR Overhaul, and acquisition reform in the military and at GSA.

She also walked through the biggest legislative priorities for government contractors looking ahead to the FY27 NDAA, including the potential for action on the Rule of Two. A full transcript is online at http://www.govconintelligence.com.

Links

Stephanie Kostro bio https://www.pscouncil.org/a/Bios/PSC_Staff/Stephanie_Sanok_Kostro_Bio.aspx

About PSC https://www.pscouncil.org/psc/About/About/__p/ca/About.aspx

JD Vance’s Anti-Fraud Task Force Uncovers $6 Billion In Suspected Fraudulent Government Contracts https://dailycaller.com/2026/04/08/jd-vance-task-force-eliminate-fraud-six-billion-government-contracts-gsa-edward-forst-taxpayer-waste/

OneGov Saves Taxpayers $1.1 Billion in First Year https://www.gsa.gov/about-gsa/newsroom/news-releases/onegov-saves-taxpayers-11-billion-in-first-year-04292026

GSA Announces OneGov Agreement with Snowflake to Accelerate Data-Driven Technology Adoption https://www.gsa.gov/about-gsa/newsroom/news-releases/gsa-announces-onegov-agreement-with-snowflake-to-accelerate-datadriven-technolo-05212026

Promoting Efficiency, Accountability, and Performance in Federal Contracting (EO 14402) https://www.federalregister.gov/documents/2026/05/05/2026-08900/promoting-efficiency-accountability-and-performance-in-federal-contracting

H.R.2804 - Protecting Small Business Competitions Act of 2025 https://www.congress.gov/bill/119th-congress/house-bill/2804/text

PSC 2024 Federal Small Business Scorecard https://www.pscouncil.org/__p/cr/r/2024_Business_Forecast_Scorecard.aspx

Timestamps

Introduction: The State of Federal Contracting 00:00:00

Navigating Fraud Task Forces and Small Business Audits 00:03:33

The Burden on Small Businesses and the Shrinking Procurement Workforce 00:13:37

PSC’s Advocacy Priorities and Defense Acquisition Reform 00:15:27

Looking Ahead to the FY27 NDAA and Commercial Harmonization 00:19:20

Value-Added Resellers in a OneGov World 00:26:20

Mitigating Vendor Lock-In Risks 00:31:21

Anticipating the Revolutionary FAR Overhaul Proposed Rules 00:32:38

Critical FAR Parts for Small Businesses to Track 00:37:32

Navigating the Fixed-Price Contract Mandate 00:38:54

Risk Tolerance and Price Adjustments 00:44:45

Codifying the Rule of Two at the Task Order Level 00:48:00

Tracking Federal Market Forecasts and Scorecards 00:50:56

Conclusion: The Upcoming Federal Acquisition Conference 00:53:30

This video is for informational purposes only and does not constitute legal advice.

I sat down last week with Scott Flesch, probably the most experienced bid-protest lawyer ever. Scott was the Chief Trial Attorney for the Army, where he worked on over 2,000 bid protests. He is now a member at Miller & Chevalier, a D.C. law firm. Our conversation started with the most recent Executive Order mandating fixed price contracting, and moved into the risks that contractors face from the FAR’s new class deviations implementing the DEI Executive Order. Scott also discussed the importance of intervening in protests, the differences between GAO and the Court of Federal Claims, and how small-business issues have come up in some recent cases.

Links discussed

Scott Flesch bio (Miller & Chevalier)

Intervention Download: Why Offerors Must Prepare for Bid Protests

Executive Order: Promoting Efficiency, Accountability, and Performance in Federal Contracting

FAR Council Memo: Agency Implementation of Executive Order 14398, Addressing DEI Discrimination by Federal Contractors

Life Sciences Logistics LLC v. United States (Court of Appeals for the Federal Circuit)

Global Connections to Employment, Inc. v. United States (Court of Federal Claims)

Noblis MSD, LLC v. United States (Court of Federal Claims)

Revelations Counseling and Consulting LLC v. United States (Court of Federal Claims)

CSlope Solutions LLC (GAO)

Timestamps

Introduction and the Value of the ABA Public Contract Law Section 00:00:00

The Shift Toward Fixed-Price Contracts 00:03:20

Dealing with Ambiguous Requirements and Bid Protests 00:09:58

Navigating the DEI Executive Order and False Claims Act Risks 00:14:37

Understanding CICA Stays at the GAO 00:23:27

CICA Stay Overrides 00:29:33

Procedures at the Court of Federal Claims 00:38:28

The Role of Intervenor’s Counsel in Bid Protests 00:41:12

The Noblis Case and Pleading for Injunctive Relief 00:50:32

Choosing Between the GAO and the Court of Federal Claims 00:53:21

The Revelations Case and Limitations on Subcontracting 01:00:44

The Certificate of Competency (COC) Process 01:05:23

Conclusion and Contact Information 01:10:20

With 20 years of Federal legal experience, Sam Le counsels small businesses through government contracting matters, including bid protests, contract compliance, small business certifications, and procurement disputes. Sam obtained his law degree from the University of Virginia and formerly served as SBA’s director of procurement policy. His website is www.samlelaw.com.

This video is for informational purposes only and does not constitute legal advice.

Links discussed

8(a) participants in 2026

EO on Promoting Efficiency, Accountability, and Performance in Federal Contracting

White House Budget Request FY27

Appropriations Committee Draft Report on FY27 Government Appropriation Bill

SBA Office of Advocacy Leadership

GAO decision in KriaaNet, Inc., B-422717.4, B-422717.5, April 23, 2026

GAO decision in Threat Tec, LLC, B-424221, April 23, 2026

Public Law 119-82, Small Business Innovation and Economic Security Act

OHA decision in Size Appeal of Nisou Enterprises, Inc., SBA No. SIZ-6380 (2026)

Jason Miller: “Is SBA Moving the small business contracting goal posts?” (Federal News Network)

Draft SBA FY26 Scorecard factors (Federal News Network)

FAR Council Memorandum on Agency Implementation of Executive Order 14398, Addressing DEI Discrimination of Federal Contractors (April 17, 2026)

David Fahrenthold, Luke Broadwater, and Andrea Fuller: “Firm Building Trump’s Ballroom Got a Secret No-Bid Contract for a Nearby Job” (New York Times gift link)

Correction: When I was referring to 8(a) firms being terminated, that was in April, not August.

Timestamps

00:00 – 8(a) Program Data: Shrinking Participation and Audit Impacts

02:54 – SBA Budget Proposals: White House Cuts vs. House Appropriations

06:23 – WOSB Program: Addressing Backlogs and Recertification Surges

07:46 – Congressional Spotlight: The Decline in New Entrants and 8(a) Removals

11:09 – Regulatory Update: Delay of Dodd-Frank Section 1071 Reporting

12:34 – GAO Case Law: Reprocurement and Certificate of Competency (Creanet Case)

18:36 – SBIR Protests: Timeliness and Successor in Interest (ThreatTech Case)

24:41 – SBIR Reauthorization: Program Extension to 2031 and New Security Rules

25:44 – SBIR Program Extension and Security Denials

26:16 – OHA Suspension Appeals and the 8(a) Data Call

28:52 – OHA Case Law: Nisu and Identity of Interest Affiliation

31:12 – The SBA Scorecard and Category Goals

34:50 – Regulatory Developments: FAR Council and DEI Executive Order

36:20 – Q&A: AI in Source Selection and Bid Protests

39:13 – Q&A: 8(a) Sole Source Trends for Native-Owned Firms

43:03 – Q&A: White House Procurements and Sole Source Contracts

45:06 – Q&A: 8(a) Certifications and OHA Remand Timelines

With 20 years of Federal legal experience, Sam Le counsels small businesses through government contracting matters, including bid protests, contract compliance, small business certifications, and procurement disputes. Sam obtained his law degree from the University of Virginia and formerly served as SBA’s director of procurement policy. His website is www.samlelaw.com.

This video is for informational purposes only and does not constitute legal advice.

Jackson Moore and I recorded a GovCon Intelligence episode on location in Wilmington, North Carolina. We were on a panel there last week, moderated by Sue Kranes at the North Carolina Military Business Center Construction Summit. Jackson is a partner at Smith Anderson in Raleigh and recently has been writing about AI-related developments in GovCon. We talked about AI hallucinations and more broadly about how using AI can come back to haunt parties in litigation. Then we went back to the topic of our panel: the recent executive order on racially discrimination DEI and IBM’s $17 million settlement.

Links

Jackson Moore at SmithLaw.com

NCMBC Summit

Turning Chats Into Trial Exhibits: Litigation Risks of Generative AI Use (smithlaw.com)

You Can’t Spell Sanction without “A” and “I”: When Unchecked AI Hallucinations Result in Court Sanctions (smithlaw.com)

Whitting v. City of Athens (6th Cir. 2026)

AI Hallucinations database (damiencharlotin.com)

Appeals of Huffman Construction LLC (ASBCA Oct. 23, 2025)

U.S. v. Heppner (S.D.N.Y. Feb. 17, 2026).

Steve Koprince: What aspects of federal contracting AI is most likely to get wrong

Proposed GSA clause 552.239-7001, Basic Safeguarding of Artificial Intelligence Systems

Executive Order on Addressing DEI Discrimination by Federal Contractors

IBM Pays $17 Million to Resolve Allegations of Discrimination Through Illegal DEI Practices (justice.gov)

00:00 Welcome From Wilmington

00:26 Meet Jackson Moore

00:55 GovCon Law Practice Overview

01:55 AI In GovCon Law

02:55 Hallucinations And Sanctions

05:59 Verifying Case Citations

07:31 Sharing Data With AI

10:01 Protective Orders And AI

12:33 Discovery Of AI Chats

15:55 AI Gets GovCon Details Wrong

18:26 GSA Proposed AI Clause

23:12 Neutrality And Bias Questions

25:49 DEI Executive Order Fallout

28:29 False Claims Act Enforcement

32:08 Class Deviations And Litigation

36:15 How To Reach Jackson

36:30 Closing Thanks

On a GovCon Intelligence live stream, I covered the current state of the 8(a) Business Development Program and the latest suspension numbers, significant OHA and Federal Court decisions, and SBA administrative changes. I also addressed the impact of the Washington District Office’s move to Herndon and previewed the OIG’s 2026 audit priorities.

00:00:00 Introduction & 8(a) Suspensions Update

00:03:57 SBA Terminations and the Data Call

00:05:46 Office of Hearings and Appeals (OHA) Update

00:08:46 Understanding Economic Disadvantage: The ACC International Case

00:13:30 SBIR Phase III Bridge Contracts and the ThreatTec Case

00:16:34 Mentor-Protégé Past Performance and the iAdeptive Technologies Case

00:19:25 Corporate Transactions and SDVOSB Status: The Crosstown Courier Service Case

00:22:45 SBA Office Relocation

00:23:32 Impact of the SBA Washington District Office Relocation

00:26:02 Challenges in 8(a) Program Servicing and Application Approvals

00:27:10 The Mid-America Milling Decision and DBE Program Presumptions

00:31:13 New Legal Challenges to Private Sector Diversity Programs

00:32:12 Updates on the Ultima Services Case and SBA Regulations

00:33:22 Status of SBIR/STTR Program Reauthorization

00:34:27 The SBA OIG 2026 Oversight Plan: Audit Priorities

00:36:43 SBA COVID Relief Loans and EIDL Collections

00:38:06 Upcoming SBA Regulatory Reforms: Fraud, Waste, and Abuse

00:40:23 Summary and Closing

Links

SBA’s 8(a) suspensions (Jan 22 - Mar 26, 2026)

Recent OHA decisions

Matter of ACC International Inc (OHA)

ThreatTec v. United States (Ct. of Fed. Cl.)

Stephen Bacon on the GAO’s decision in iAdeptive (LinkedIn)

iAdeptive Technologies (GAO)

VSBC Protest of Crosstown Courier Services (OHA)

News release: SBA Relocates Washington Metro Area District Office to Herndon, Virginia

Mid-America Milling Co. LLC v. US DOT (E.D. Ky.)

News release: American Alliance for Equal Rights Files Federal Lawsuit Challenging Race-Based Minority Supplier Certification Program

Ultima Services Docket (courtlistener)

S. 3971, SBIR Reauthorization

SBA OIG Audit Division 2026 Oversight Plan

SBA OIG Evaluation of SBA’s All Small Mentor-Protege Program

New York Times: The Small Business Administration lent $378 billion to keep businesses afloat. Getting paid back is proving difficult.

Pending EO 12866 Regulatory Review on Fraud, Waste, and Abuse Reforms

EO 12866 Meeting on Fraud, Waste, and Abuse Reforms

With 20 years of Federal legal experience, Sam Le counsels small businesses through government contracting matters, including bid protests, contract compliance, small business certifications, and procurement disputes. Sam obtained his law degree from the University of Virginia and formerly served as SBA’s director of procurement policy. His website is www.samlelaw.com.

This video is for informational purposes only and does not constitute legal advice.

Today on GovCon Intelligence, I’m joined by Jayna Rust, a partner at Thompson Coburn and an adjunct professor at The George Washington University Law School. We break down the long-term impact of the 2023 Supreme Court affirmative action ruling on government contracting, including a look at whether there is a flood of DEI-driven discrimination claims. Because she also works on wills and trusts, we rounded out the conversation by covering what GovCon owners need to think about when preparing their estate plans.

Links

Jayna Rust bio at Thompson Coburn

Students for Fair Admissions decision

Ultima Services v. USDA

The Democratic Brand Is Toxic in Too Many States by Matthew Yglesias (The New York Times)

Should Moving to the Middle Win Candidates Votes? It Depends Where Voters Are by David Broockman and Joshua Kalla

VSBC Appeal of American Defense Builders Trust, SBA No. VSBC-395-A (2024)

VSBC Appeal of Vialytix, LLC, SBA No. VSBC-462-A (2026)

An auto-generated summary follows. In the coming days, this will be replaced at www.govconintelligence.com with a full transcript.

On GovCon Intelligence, host Sam interviews Jayna Rust, a Thompson Coburn partner and GW Law adjunct, about how the Supreme Court’s 2023 Students for Fair Admissions decision has reverberated through government contracting, grants, and employment practices. Rust describes tracking the case because earlier affirmative-action precedents drew heavily on government contracting law, and she notes how the Ultima Services decision quickly applied the ruling to SBA’s 8(a) program by rejecting a race-based presumption.

She says contractors and grant recipients began reassessing preferential programs for litigation risk, and that a later executive order revoking Executive Order 11246 accelerated reviews and scrutiny, including reported agency questions and Justice Department investigations. The conversation turns to rapid, broad reviews of small-business set-asides, the future of 8(a), the need for clearer public messaging, and how SBA trust-ownership rules complicate veteran-owned certifications. Rust also contrasts claims work with bid protests as more fact-intensive and document-driven.

00:00 Welcome and Guest Intro

00:29 Supreme Court Case Recap

04:02 Early Ripple Effects

05:59 Anti DEI Enforcement

07:58 Grants and Contracts Impact

10:45 8(a) Program Fallout

13:10 Set Asides Under Fire

14:24 Future of 8(a)

15:32 Messaging and Public Support

17:31 White Men Presumption Question

19:07 College Admissions Outcomes

21:26 Switch to Estate Planning

24:13 Contractor Succession Pitfalls

26:03 Trust Ownership Rules

27:51 Teaching Claims at GW

30:28 How to Connect and Wrap Up

With 20 years of Federal legal experience, Sam Le counsels small businesses through government contracting matters, including bid protests, contract compliance, small business certifications, and procurement disputes. Sam obtained his law degree from the University of Virginia and formerly served as SBA’s director of procurement policy. His website is www.samlelaw.com.

This video is for informational purposes only and does not constitute legal advice.

Damien Specht, a partner at the Morrison Foerster law firm, joined me yesterday on GovCon Intelligence, just a few days after the Senate passed a bill to reauthorize the SBIR program. We got into the details of the reauthorization bill. Then we talked about his specialty—mergers and acquisitions of government contractors. After working on hundreds of M&A deals, Damien shared his tips for companies in dealing with the recent small-business M&A cliff, plus what small businesses need to take care of before selling.And, with SBA’s most recent announcement on an additional 620 proposed terminations, we discussed the 8(a) audits. How do SBA’s actions affect firms on OASIS+ and the GSA Schedule?

An auto-generated summary follows. A full transcript is posted at https://www.govconintelligence.com/p/...

Sam Le interviews Damien Specht, a Morrison & Foerster partner, about Senate-passed SBIR reauthorization after the program’s first lapse, including debates over capping repeat Phase I/II winners, adding larger awards, and emphasizing commercialization while keeping SBIR focused on early-stage R&D. Damien discusses how small business legislation moves slowly on Capitol Hill compared with regulatory change, and how private equity, minority investment, and strategic M&A shape the govcon market.

He analyzes SBA’s January 16 recertification “cliff,” uncertainties for IDIQ reserves, GSA Schedule and novation, and suggests mentor-protégé JVs and minority investments as post-cliff strategies. The conversation also covers SBA’s 8(a) suspension waves and limitation-on-subcontracting enforcement, alleging AI-driven screening with errors and due-process concerns, conflicts between SBA rules and the FAR overhaul, and common diligence pitfalls like affiliation, delayed SAM updates, ownership structure noncompliance, and JV mistakes.

00:00 Show Welcome

00:41 SBIR Reauthorization Update

01:51 Caps Awards Commercialization

04:06 Program Purpose And Outreach

06:18 Hill Experience And Partisanship

09:23 Investment And Affiliation Rules

11:42 Recertification Cliff Explained

19:32 Market Outlook And Deal Types

21:51 Post Cliff Strategies

24:28 Minority Investment Rule Changes

25:09 Venture Capital Affiliation Trap

27:10 8a Suspensions and AI Audits

31:14 Subcontracting Limits Enforcement

32:56 FAR Overhaul vs SBA Rules

35:51 Building People GAO Case

38:27 Wish List for New SBA Rules

39:32 HUBZone 35 Percent Challenge

41:06 M&A Valuation Near Size Limit

43:11 Due Diligence Compliance Pitfalls

46:40 Joint Venture Rules and Wrap Up

Below is auto-generated summary of my live recording from the SAME Mid-Atlantic Small Business conference in Virginia Beach. If you check back on the website in a few days, I plan to publish a fuller transcript.

Here’s the link to the OIRA notice about SBA’s proposed rule on “Fraud, Waste and Abuse Reforms”: https://www.reginfo.gov/public/do/eoDetails?rrid=1287014

In this episode of GovCon Intelligence, Sam Le discusses the imminent release of the Small Business Administration’s “Fraud, Waste, and Abuse Reforms” proposed rule. The conversation opens live from the convention floor at the SAME Mid-Atlantic Conference in Virginia Beach, where Sam reveals that the SBA submitted the economically significant rule to the Office of Information and Regulatory Affairs (OIRA) on February 20th.

Sam details what government contractors should expect in the proposed rule, predicting new reporting mandates for limitations on subcontracting and heightened scrutiny on joint ventures and mentor-protege arrangements. He notes that agencies are already beginning to closely examine joint venture compliance with the 40% rule. Additionally, the rule might target the 8(a) program’s economic disadvantage thresholds—specifically the $6.5 million total asset limit, which Sam points out is particularly burdensome for growing companies that require bonding.

Drawing on recent events, Sam expresses deep concern over the SBA’s recent wave of 8(a) suspensions, noting that the number of suspended companies recently dipped back into the 800s after temporarily spiking to 1,000. He argues that the SBA is likely using AI and algorithms to review economic disadvantage financial documents, leading to automated errors where exclusions are not properly applied by the computer. Because he believes most of these companies have done nothing wrong and have already been cleared by a human being previously, Sam states he is unwilling to publish the suspension list.

The episode also addresses the practical impacts of the recent FAR overhaul. Sam highlights the current regulatory conflict between 13 CFR and the new FAR rules, specifically regarding the “once 8(a), always 8(a)” automatic release policy and recertification requirements. He warns that with a shrinking cadre of experienced contracting officers and the new discretionary authorities introduced by the FAR overhaul, contractors may see unpredictable new procurement strategies in solicitations. Sam concludes by urging companies and trade associations to prepare hard data to submit to regulations.gov during the upcoming public comment period, emphasizing the importance of highlighting the rule’s economic impact on small entities under the Regulatory Flexibility Act.

With 20 years of Federal legal experience, Sam Le counsels small businesses through government contracting matters, including bid protests, contract compliance, small business certifications, and procurement disputes. Sam obtained his law degree from the University of Virginia and formerly served as SBA’s director of procurement policy. His website is www.samlelaw.com.

This video is for informational purposes only and does not constitute legal advice.