Bill Overview
Title: Service-Disabled Veteran Opportunities in Small Business Act
Description: This bill requires the Small Business Administration to provide training to relevant employees at any federal agency that awards in a fiscal year less than 3% of its prime contracts and subcontracts to small businesses owned by service-disabled veterans.
Sponsors: Sen. Ernst, Joni [R-IA]
Target Audience
Population: Small business owners who are service-disabled veterans
Estimated Size: 1600000
- There are an estimated 19 million veterans in the United States.
- Of the veteran population, it is estimated that around 4 million have a service-connected disability, based on data from the U.S. Department of Veterans Affairs.
- Out of these, not all veterans with service-connected disabilities own or are involved in running small businesses.
- According to past reports, approximately 7% of veteran-owned businesses are run by veterans with service-connected disabilities.
- The act focuses on increasing government contract opportunities for small businesses owned by these veterans, so the target population can be estimated as the number of service-disabled veterans potentially owning small businesses.
Reasoning
- The budgetary provision for the policy suggests a focus on enhancing opportunities and resources specifically for small businesses owned by service-disabled veterans.
- Not all service-disabled veterans own businesses, so while the potential target population could be up to 160,000 (7% of veteran-owned businesses by service-disabled veterans), the actual affected group will be smaller based on business involvement and interest in federal contracts.
- The impact of the policy will vary based on specific factors such as location, business type, and the veterans' existing connections to government contracts or lack thereof.
- It's important to include perspectives from both those who are directly affected by the policy and those who may not be affected to understand a broad range of impacts.
- People outside the immediate target demographic should also be considered to evaluate any indirect benefits or unchanged conditions.
Simulated Interviews
Owner of a small construction business (Colorado Springs, CO)
Age: 45 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 4/20
Statement of Opinion:
- This policy could provide critical training that helps my business secure more contracts, especially with federal agencies.
- I've been looking for ways to grow my company and hire more veterans, and this might be the opening we need.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 9 | 6 |
| Year 5 | 9 | 6 |
| Year 10 | 8 | 5 |
| Year 20 | 7 | 5 |
Owner of a tech startup (Raleigh, NC)
Age: 32 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 4.0 years
Commonness: 3/20
Statement of Opinion:
- This initiative might be just what we need to navigate the complexities of applying for government contracts.
- I hope it includes some tech-specific guidance, as that's where we could really benefit.
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 | 8 | 6 |
| Year 20 | 8 | 6 |
Owner of a small logistics firm (Los Angeles, CA)
Age: 56 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 3.0 years
Commonness: 5/20
Statement of Opinion:
- My business has been steady, but getting into the federal contract space could be a huge revenue booster.
- I've been hesitant due to the complexity, so any targeted training would be really valuable.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 9 | 8 |
| Year 3 | 9 | 8 |
| Year 5 | 9 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 6 |
Consultant (San Antonio, TX)
Age: 38 | Gender: female
Wellbeing Before Policy: 9
Duration of Impact: 5.0 years
Commonness: 3/20
Statement of Opinion:
- While my business might not directly benefit, my clients potentially could, and that enhances my service offering.
- Seeing more veteran-owned businesses succeed is central to my mission.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 9 | 9 |
| Year 2 | 9 | 9 |
| Year 3 | 10 | 9 |
| Year 5 | 9 | 8 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Freelancer (Huntsville, AL)
Age: 29 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 2.0 years
Commonness: 4/20
Statement of Opinion:
- I hadn't really considered federal contracts until now, but if this opens doors, it's something to explore.
- Training on navigating contracts would definitely help.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 7 | 5 |
| Year 20 | 6 | 5 |
Retired government worker (Chicago, IL)
Age: 62 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 0.0 years
Commonness: 6/20
Statement of Opinion:
- It's great to see efforts that support the veteran community in entrepreneurship.
- Personally, I'm not in the realm of business, but I support initiatives like these.
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 |
Café owner (Seattle, WA)
Age: 47 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 0.0 years
Commonness: 4/20
Statement of Opinion:
- I don't think this policy impacts my business at all since I have no plans to pursue government contracts.
- Still, I'm happy for those who need this kind of support.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 4 | 4 |
Independent contractor (Houston, TX)
Age: 41 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 3.0 years
Commonness: 5/20
Statement of Opinion:
- This policy might help me open up new avenues, though federal contracts seem daunting.
- If I'd get guidance, I might seriously consider it.
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 | 6 | 5 |
Owner of a marketing firm (Phoenix, AZ)
Age: 51 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 6.0 years
Commonness: 3/20
Statement of Opinion:
- Focusing on training that helps win contracts is a solid move.
- I've been trying to break into new contract domains, so I'm optimistic.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 9 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 5 |
| Year 20 | 7 | 5 |
IT consultant (New York, NY)
Age: 40 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 4.0 years
Commonness: 3/20
Statement of Opinion:
- The potential to deepen my involvement in federal projects is appealing, and this training could be key.
- I'm eager to see what kind of specialized resources become available.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 9 | 8 |
| Year 2 | 9 | 8 |
| Year 3 | 9 | 8 |
| Year 5 | 9 | 8 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
Cost Estimates
Year 1: $25000000 (Low: $15000000, High: $40000000)
Year 2: $25000000 (Low: $15000000, High: $40000000)
Year 3: $25000000 (Low: $15000000, High: $40000000)
Year 5: $25000000 (Low: $15000000, High: $40000000)
Year 10: $25000000 (Low: $15000000, High: $40000000)
Year 100: $25000000 (Low: $15000000, High: $40000000)
Key Considerations
- The success of the act relies on effective training and agency adoption of best practices for contracting with eligible businesses.
- Federal agencies vary significantly in size and the level of existing compliance, which can influence training needs and costs.
- Economic conditions impacting small businesses, like recessions or changes in public policy, could alter the effectiveness of the initiative.