SPUR Act
- Bill Number
- H.R. 818
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Commerce
- Status
- Passed House
- Latest Action
- 2025-02-25: Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.
- Last Updated
- 2026-07-11T10:43:22Z
AI-Generated Summary
Purpose
The Small Business Procurement and Utilization Reform Act of 2025 (SPUR Act) aims to enhance federal efforts to include new small businesses in government contracting. It modifies the scorecard program under the Small Business Act to track and report on "new small business entrants" (first-time recipients of federal prime contracts), promoting greater diversity and opportunity in federal procurement.
Key Provisions
- Amendments to Scorecard Requirements: Updates Section 15(y) of the Small Business Act (15 U.S.C. 644(y)) to require federal agencies to include data on new small business entrants in their annual scorecards. This data must cover:
- The number of new entrants awarded prime contracts (main contracts directly with the government) in each North American Industry Classification System (NAICS) code—a system that categorizes businesses by industry.
- Breakdowns by specific categories: small businesses owned and controlled by service-disabled veterans, qualified HUBZone small businesses (located in historically underutilized business zones, like low-income areas), small businesses owned and controlled by socially and economically disadvantaged individuals, and women-owned small businesses.
- A year-over-year comparison to the previous fiscal year, if data is available.
- Updated References and Definitions:
- Redesignates and inserts a new subparagraph (E) in the scorecard measures, with references updated to include it (e.g., changing "subparagraphs (B) through (E)" to "(B) through (F)").
- Defines "new small business entrant" as a small business that receives its first prime contract from any federal agency.
- Defines "scorecard" as a rated summary evaluating an agency's progress toward small business contracting goals, now incorporating the new entrant measures.
- Funding Compliance: No new funds are authorized; the Act complies with the Congressional Budget Office's (CBO) pay-as-you-go (PAYGO) rules, meaning it must be implemented within existing budgets.
Significant Changes to Existing Law
- Expands the existing scorecard program (established to assess agencies' small business contracting performance) by adding a specific metric for tracking first-time small business contractors. Previously, scorecards focused on other measures like overall small business awards but did not explicitly require data on new entrants or year-over-year comparisons by category and industry.
- Introduces mandatory reporting on diverse new entrants (e.g., veteran-owned, women-owned), building on but not replacing current goals for subcontracting and overall participation under the Small Business Act.
Potential Impacts
- On Government Agencies: Increases administrative requirements for tracking and reporting new entrant data, potentially improving accountability and encouraging agencies to seek out first-time small businesses. This could lead to more targeted outreach efforts without additional funding.
- On Citizens and Businesses: Benefits small business owners, especially new or underrepresented ones (e.g., women, veterans, disadvantaged groups), by promoting their entry into federal contracting, which totals billions annually. It may create more competition and opportunities, fostering economic growth in underserved communities.
- On International Relations: Minimal direct impact, as the Act focuses on domestic U.S. small businesses and federal procurement, with no provisions affecting foreign entities or trade.
Main Stakeholders Affected
- Federal Agencies: Primary implementers, required to update scorecards and procurement processes (e.g., Department of Defense, NASA, and other major contractors).
- Small Businesses: Especially new entrants and those in protected categories (service-disabled veterans, HUBZone, socially/economically disadvantaged, women-owned), who gain visibility and potential access to contracts.
- Small Business Administration (SBA): Oversees the scorecard program and provides support/certification for eligible businesses, facing expanded monitoring duties.
- Congress and Oversight Bodies: Gains enhanced data for evaluating agency performance on small business goals.
Notable Legal, Constitutional, or Political Implications
- Legal: Strengthens enforcement of existing small business set-aside programs under the Small Business Act by adding transparency through data requirements, without creating new penalties. Ensures compliance with budget rules (PAYGO/CUTGO), avoiding deficit increases.
- Constitutional: No apparent conflicts; aligns with Congress's authority under the Commerce Clause to regulate federal spending and promote economic equity.
- Political: Supports bipartisan goals of small business advocacy and economic inclusion, potentially appealing to entrepreneurs and minority groups. It emphasizes measurable progress, which could influence future appropriations or agency evaluations, but introduces no controversial mandates.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (5)
Rep. Cisneros, Gilbert Ray, Jr. [D-CA-31], Rep. Perez, Marie Gluesenkamp [D-WA-3], Rep. Goodlander, Maggie [D-NH-2], Rep. Meuser, Daniel [R-PA-9], Rep. LaLota, Nick [R-NY-1]
Recent Actions
- 2025-02-25: Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.
- 2025-02-24: Motion to reconsider laid on the table Agreed to without objection.
- 2025-02-24: On motion to suspend the rules and pass the bill Agreed to by the Yeas and Nays: (2/3 required): 384 - 25 (Roll no. 45). (text: CR H740) (Roll call 45)
- 2025-02-24: Passed/agreed to in House: On motion to suspend the rules and pass the bill Agreed to by the Yeas and Nays: (2/3 required): 384 - 25 (Roll no. 45). (text: CR H740) (Roll call 45)
- 2025-02-24: Considered as unfinished business. (consideration: CR S749-750)
- 2025-02-24: At the conclusion of debate, the Yeas and Nays were demanded and ordered. Pursuant to the provisions of clause 8, rule XX, the Chair announced that further proceedings on the motion would be postponed.
- 2025-02-24: DEBATE - The House proceeded with forty minutes of debate on H.R. 818.
- 2025-02-24: Considered under suspension of the rules. (consideration: CR H740-742)
- 2025-02-24: Mr. Williams (TX) moved to suspend the rules and pass the bill.
- 2025-01-28: Referred to the House Committee on Small Business.
- 2025-01-28: Introduced in House
- 2025-01-28: Introduced in House
Bill Versions
- Small Business Procurement and Utilization Reform Act of 2025 — issued 2025-02-24 — PDF (6 pages)
- Small Business Procurement and Utilization Reform Act of 2025 — issued 2025-01-28 — PDF (3 pages)
- Small Business Procurement and Utilization Reform Act of 2025 — issued 2025-02-25 — PDF (4 pages)