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HR 1586119th CongressIn Committee

WOSB Certification Expansion and Opportunity Act

Introduced: Feb 25, 2025
Standard Summary
Comprehensive overview in 1-2 paragraphs

The WOSB Certification Expansion and Opportunity Act would change how women-owned small businesses (WOSBs) are counted toward federal procurement goals. It requires that only WOSBs certified under SBA’s official certification process (under section 8(m)(2)(E)) be counted toward government-wide and agency goals for women-owned small businesses. Self-certified WOSBs would be excluded from those goals after a transition period tied to when SBA issues implementing regulations. In the meantime, certain self-certified WOSBs would continue to be treated as certified for goal purposes until a formal certification determination is made. The bill also mandates SBA to issue implementing regulations within a year, requires quarterly briefings to Congress on implementation and related costs, and includes a no-new-funding (CUTGO) provision.

Key Points

  • 1Exclusion from goals: Only WOSBs certified under SBA’s formal process (8(m)(2)(E)) would count toward federal procurement goals for women-owned small businesses; self-certified WOSBs would be excluded from counting toward those goals.
  • 2Transition and timing: The exclusion takes effect on the first day after the end of the second fiscal year following SBA issuing the required regulations.
  • 3Temporary inclusion for certain self-certified firms: Self-certified WOSBs that (a) were self-certified as of the effective date, (b) filed a certification application before that date, and (c) have not yet had a certification determination made, can be treated as certified for goal purposes until a determination is made.
  • 4Rulemaking deadline: SBA must issue implementing regulations within one year of enactment.
  • 5Quarterly congressional briefings: SBA must brief Congress every quarter (starting 60 days after enactment) on implementation, including demand, pending applications, approvals, processing timelines, costs, outreach, and any legislative/resource needs.

Impact Areas

Primary group/area affected: Women-owned small businesses seeking federal contracts; federal procurement goals and how they are calculated and counted.Secondary group/area affected: The Small Business Administration (SBA) and national certifying entities approved by SBA; federal agencies responsible for meeting WOSB goals.Additional impacts: Firms that are currently self-certified WOSBs may face a shift in eligibility to count toward goals once the transition period ends; there could be regulatory and administrative costs associated with implementing the new certification regime, plus increased oversight and reporting requirements to Congress. The provision also constrains spending by permitting no new funding authority for these activities under CUTGO.
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