Service-Disabled Veteran Opportunities in Small Business Act
- Bill Number
- H.R. 865
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Commerce
- Status
- Introduced
- Latest Action
- 2025-01-31: Referred to the House Committee on Small Business.
- Last Updated
- 2026-04-16T13:33:20Z
AI-Generated Summary
Purpose
The legislation, titled the "Service-Disabled Veteran Opportunities in Small Business Act," aims to promote economic opportunities for service-disabled veterans by requiring federal agencies to receive training on increasing government contract awards to small businesses owned and controlled by these veterans. It seeks to help agencies meet existing statutory goals for such contracts.
Key Provisions
- Training Requirement: The Small Business Administration (SBA) Administrator, in consultation with the head of the Office of Veterans Business Development, must provide training to relevant employees at federal agencies that have not met the statutory goal for awarding contracts to service-disabled veteran-owned small businesses (SDVOSBs). The training focuses on strategies to increase these contract awards.
- Guidance Issuance: Within 180 days of enactment, the SBA must issue guidance, including best practices, to applicable federal agencies on boosting SDVOSB contract awards.
- Reporting to Congress: Starting one year after enactment and annually thereafter, the SBA must submit a report to Congress detailing:
- Federal agencies that failed to meet the SDVOSB contract goal.
- The number of training sessions provided to each such agency.
- An overview of the training content.
Significant Changes to Existing Law
This bill amends Section 36 of the Small Business Act (15 U.S.C. 657f) by adding a new subsection (j). It introduces mandatory training and guidance for federal procurement staff, along with annual reporting requirements, to enforce compliance with the existing SDVOSB contract goal under Section 15(g)(1)(A)(ii) of the Act. Previously, there was no specific mandate for such training or reporting tied to goal non-compliance.
Potential Impacts
- On Government Agencies: Agencies involved in federal contracting may face increased administrative burdens from mandatory training and guidance, but this could improve their ability to meet SDVOSB goals, leading to more efficient and targeted procurement processes.
- On Citizens: Service-disabled veterans who own small businesses could benefit from greater access to federal contracts, potentially increasing their economic opportunities and business growth.
- On International Relations: No direct impacts, as the bill focuses on domestic federal procurement and veteran support.
Main Stakeholders Affected
- Federal Agencies: Particularly those with procurement responsibilities that must undergo training if they miss SDVOSB goals.
- Small Business Administration (SBA) and Office of Veterans Business Development: Responsible for developing, delivering training, issuing guidance, and preparing reports.
- Service-Disabled Veteran Business Owners: Primary beneficiaries through expanded contract opportunities.
- Congress: Receives annual reports to oversee implementation and agency performance.
Notable Legal, Constitutional, or Political Implications
- Legal: Enhances accountability in federal contracting by linking training to existing statutory goals, potentially reducing non-compliance without altering core procurement laws. It builds on the Small Business Act's framework for set-aside contracts for disadvantaged groups.
- Constitutional: Aligns with Congress's authority under the Commerce Clause to regulate interstate commerce and support veteran welfare; no apparent conflicts with equal protection or due process principles.
- Political: Reinforces bipartisan support for veterans' issues by promoting entrepreneurship among service-disabled veterans, which could influence future appropriations or oversight of SBA programs. The bill's focus on training rather than quotas avoids contentious debates over affirmative action.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (7)
Rep. McGarvey, Morgan [D-KY-3], Rep. Ciscomani, Juan [R-AZ-6], Rep. Lee, Susie [D-NV-3], Rep. Vindman, Eugene Simon [D-VA-7], Rep. Riley, Josh [D-NY-19], Rep. Gottheimer, Josh [D-NJ-5], Rep. Hayes, Jahana [D-CT-5]
Recent Actions
- 2025-01-31: Referred to the House Committee on Small Business.
- 2025-01-31: Introduced in House
- 2025-01-31: Introduced in House
Bill Versions
- Service-Disabled Veteran Opportunities in Small Business Act — issued 2025-01-31 — PDF (3 pages)