H.R.1816 - WOSB Accountability Act (119th Congress)
Summary
H.R.1816, the WOSB Accountability Act, aims to refine the certification process for small businesses owned and controlled by women (WOSBs). It seeks to exclude self-certified WOSBs from government-wide and agency goals unless they obtain formal certification through the Small Business Administration (SBA) or an approved national certifying entity.
The Act mandates rulemaking by the SBA to implement these changes and requires quarterly briefings to relevant congressional committees on the progress of implementation. It also addresses the transition period for businesses that are already self-certified, allowing them temporary inclusion in goal calculations while their applications are pending.
Ultimately, the Act intends to enhance the integrity and accuracy of WOSB participation in federal contracting programs.
Expected Effects
This Act will likely lead to a shift in how WOSB participation is measured and tracked in federal contracting. Self-certified WOSBs will need to seek formal certification to be included in government-wide goals, potentially increasing the administrative burden on these businesses.
Federal agencies will need to adjust their reporting and tracking mechanisms to comply with the new requirements. The SBA will be responsible for issuing regulations and providing ongoing updates to Congress on the Act's implementation.
There may be a temporary disruption as businesses transition to the new certification requirements, but the long-term goal is to ensure that WOSB participation is accurately represented.
Potential Benefits
- Increased Accuracy: Ensures that only formally certified WOSBs are counted towards government-wide goals, leading to more accurate representation.
- Enhanced Oversight: Provides a framework for better oversight and accountability in the WOSB program.
- Level Playing Field: Aims to create a more level playing field by requiring formal certification, reducing potential for abuse.
- Improved Program Integrity: Strengthens the integrity of the WOSB program by reducing reliance on self-certification.
- Targeted Support: Allows the SBA to better target resources and support to certified WOSBs.
Most Benefited Areas:
Potential Disadvantages
- Increased Administrative Burden: Places an additional administrative burden on WOSBs to obtain formal certification.
- Potential Delays: May cause delays in WOSB participation in federal contracting due to the certification process.
- Costs of Certification: WOSBs may incur costs associated with seeking certification from national certifying entities.
- Transition Challenges: The transition period may create confusion and uncertainty for both WOSBs and federal agencies.
- Limited Resources: The Act explicitly states that no additional funds are authorized, potentially straining existing SBA resources.
Constitutional Alignment
The WOSB Accountability Act appears to align with the Constitution, particularly Article I, Section 8, which grants Congress the power to regulate commerce and provide for the general welfare. The Act's focus on small businesses and federal contracting falls within the scope of these powers.
There are no apparent infringements on individual rights or liberties as defined by the Bill of Rights. The Act primarily addresses administrative procedures and does not appear to violate any constitutional protections.
However, the Act's impact on equal protection under the law (14th Amendment) could be scrutinized if the certification requirements disproportionately affect certain groups of women-owned businesses. But on its face, the Act appears constitutional.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).