Alexandria, VA (January 20, 2010) - The National Office Products Alliance (NOPA)
today thanked Pennsylvania Congressman Joe Sestak for his leadership in
introducing H.R. 4420, the “Small Business Contracting Protection Act of 2010.”
The bill would require the U.S. Small Business Administration (SBA) to amend its
small business affiliation rules to prevent the serious damage to legitimate
small company bidders that occurs when a “pass-through business” bids on federal
contracts as a “front” for a large company, which operates behind the scenes to
fulfill the contract.
“Pass-through businesses” are increasingly prevalent in federal, state and
even local government contracting, particularly in the office products industry.
NOPA estimates that each year such companies unfairly gain access to tens of
millions of dollars in federal office products contract opportunities targeted
at small business. When state and local government contracts are included, the
annual loss exceeds $100 million.
Chip Jones, NOPA chairman and president of Minton-Jones, an independent small
office products dealer in Atlanta, GA, said, “We applaud Rep. Sestak for his
introduction of legislation to address the largest single contracting abuse
facing our industry nationally.” Jones added, “Through his leadership on this
critical issue, Rep. Sestak has again shown his commitment to fighting
contracting abuses and ensuring that federal market opportunities are available
to qualified, legitimate small businesses. This legislation deserves broad
congressional support and NOPA will work with the Congressman and his colleagues
in the House and Senate to ensure its passage.”
“Abuse of SBA’s small-business affiliation rules has been widespread at the
federal level in recent years,” according to NOPA president, Chris Bates.
“Federal agencies have a strong bias toward buying office supplies from large
public companies, often using sole-source contracts that limit ongoing
competition and impede delivery of “best value” to government customers,” Bates
emphasized.
“At a time when Congress and the Administration are relying on small business
to reignite our economy, contracting reform legislation such as H.R. 4420 is
essential to ensure greater competition and a level playing field for small
business. Congressman Sestak understands the importance of small business to
economic recovery and the importance of competition, and we thank him for making
contracting reform a top priority,” Bates concluded.
About NOPA
The National Office Products Alliance (NOPA) is the trade Association for
independent office products dealers and their trading partners. More information
is available at
www.nopanet.org or by calling (800) 542-6672.
