Compliance Stuff

As we have previously  discussed , the Small Business Administration announced it will be  conducting an audit of the 8(a) Program . The SBA’s focus on this audit might have increased due to efforts by Senator Joni Ernst,  who recently issued a letter to the SBA asking for an investigation into the 8(a) Program . As part of this audit, the SBA has begun requesting extensive information from 8(a) entities. The same document request has been sent to 8(a) companies that are owned by individuals and to 8(a) companies owned by Alaska Native Corporations, Tribes, and Native Hawaiian Organizations. The SBA has set a deadline of  January 5, 2026 , to provide the requested information. The requested information covers the last three full fiscal years and includes financial records, payroll details, contract information, and employee lists. The specific items requested include: General Ledger  for the last three full fiscal years (CSV Files Only) Trial Balance  as o...

A government shutdown can be a significant disruption for small business federal contractors. Preparing in advance and taking the proper steps can help mitigate the financial and operational impact of a shutdown. The following is a non-exhaustive set of steps and issues that small business contractors may consider: Review Your Contracts:  Scrutinize every contract for clauses related to funding, stop-work orders, excusable delays, or the Availability of Funds clause (FAR 52.232-18). Identify which contracts are funded by annual appropriations versus those with multi-year or “no-year” funding. This will help you determine which projects are most at risk.  The impact of a shutdown varies greatly depending on the type of contract.  Create a master spreadsheet listing all contracts, agencies, funding status, and current work phases. Fixed-Price Contracts:   You may be required to continue work, even if payments are delayed. If you are ordered to stop, you may be able t...