Bill Overview
Title: Preserving Small Business Prime Contracting Opportunities Act of 2022
Description: This bill revises the procedures for federal agencies to select alternative procurement methods when the participation of small businesses as prime contractors is unlikely.
Sponsors: Rep. Mfume, Kweisi [D-MD-7]
Target Audience
Population: Individuals associated with small businesses involved in federal procurement globally
Estimated Size: 30000000
- The bill affects small businesses that are or can be prime contractors for federal projects.
- It changes procedures in federal agencies which may indirectly affect employees working on procurement processes.
- Small businesses make up a large portion of businesses globally.
- Individuals employed by or owning small businesses in all industries that interact with federal procurement may be affected.
Reasoning
- The policy impacts small businesses, especially those looking to become federal contractors. These businesses may range from high-tech startups to established family-owned enterprises in various industries from construction to IT.
- Considering the project size and the budget, not all small businesses will experience a direct impact. Some will benefit significantly, especially those heavily reliant on federal contracts, while others might remain unaffected.
- Due to the size and diversity of small businesses, the well-being impacts will vary. Those involved in sectors frequently contracting with the government might see improvement in business stability and employee satisfaction, yet others might not notice substantial changes.
- Individuals less directly linked, such as employees not involved in procurement, might not feel immediate effects, but over time, general business health could positively influence their well-being too.
Simulated Interviews
Owner of a small construction firm (Texas)
Age: 45 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 20.0 years
Commonness: 12/20
Statement of Opinion:
- The policy might create more competition, which is good for innovation but tough for survival.
- There's hope for more fair contracting opportunities for small businesses, which could help expand my business.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 8 | 5 |
| Year 5 | 9 | 4 |
| Year 10 | 9 | 3 |
| Year 20 | 10 | 2 |
IT consultant (California)
Age: 38 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 15/20
Statement of Opinion:
- This policy could potentially increase our chances of winning federal contracts.
- It could help us grow our team and expand our services.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 9 | 6 |
Marketing manager at a small business technology firm (New York)
Age: 29 | Gender: other
Wellbeing Before Policy: 7
Duration of Impact: 20.0 years
Commonness: 10/20
Statement of Opinion:
- I'm optimistic that this policy will level the playing field for small tech companies.
- However, the red tape in federal contracting can be a deterrent.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 9 | 7 |
| Year 5 | 9 | 7 |
| Year 10 | 9 | 7 |
| Year 20 | 10 | 7 |
Owner of a family-run landscaping business (Illinois)
Age: 52 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 14/20
Statement of Opinion:
- This policy might encourage more landscaping contracts to come to small firms like ours.
- It would be a game-changer if smaller projects were allocated to businesses our size.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 6 | 5 |
| Year 20 | 5 | 4 |
Procurement officer at a large corporation (Georgia)
Age: 34 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 0.0 years
Commonness: 5/20
Statement of Opinion:
- As part of a larger company, I don't expect the policy to drastically affect us although it might change competition slightly.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Retired small business owner (Ohio)
Age: 60 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 0.0 years
Commonness: 4/20
Statement of Opinion:
- I believe this policy could have helped during my active years by creating more opportunities for small retailers.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Startup founder in renewable energy (Florida)
Age: 26 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 15.0 years
Commonness: 11/20
Statement of Opinion:
- We're new and ambitious, hoping this policy will open doors for us to collaborate on federal projects.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 9 | 8 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Freelance graphic designer (Michigan)
Age: 39 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 13/20
Statement of Opinion:
- Indirectly, this can provide more contract work for me if small businesses I work with grow due to the policy.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 7 | 5 |
| Year 10 | 7 | 5 |
| Year 20 | 6 | 5 |
Owner of a local restaurant (Virginia)
Age: 47 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 0.0 years
Commonness: 8/20
Statement of Opinion:
- The policy doesn’t apply much to us directly, but I’m interested in federal opportunities if the chance arises.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
CEO of a medium-sized tech company (Washington)
Age: 55 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 9/20
Statement of Opinion:
- While my company won't be affected directly, more opportunities for small businesses can tighten the competitive environment.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 6 | 7 |
| Year 5 | 6 | 7 |
| Year 10 | 6 | 7 |
| Year 20 | 6 | 7 |
Cost Estimates
Year 1: $50000000 (Low: $40000000, High: $60000000)
Year 2: $45000000 (Low: $35000000, High: $55000000)
Year 3: $40000000 (Low: $30000000, High: $50000000)
Year 5: $35000000 (Low: $25000000, High: $45000000)
Year 10: $30000000 (Low: $20000000, High: $40000000)
Year 100: $30000000 (Low: $20000000, High: $40000000)
Key Considerations
- Federal agencies will need to revise current procurement processes to accommodate the bill's requirements, which may involve significant initial costs.
- Small businesses will have greater opportunities to engage as prime contractors, which could lead to increased competition and potentially drive down government procurement costs.
- There could be resistance or delays in adoption from larger contractors who might perceive a loss in awarded contracts.
- The overall economic impact depends heavily on implementation efficiency and the capacity of small businesses to meet federal contract requirements.