Wednesday, July 16, 2008

The Utilization of Women-Owned Small Businesses in Federal Contracting Study

(find study here)

In its procurement efforts, the federal government actively seeks to foster participation by small and disadvantaged businesses. In December 2000, Congress sought to increase procurement from women-owned small businesses (WOSBs) by enacting Section 8(m) of the Small Business Act, 15 U.S.C. Section 637(m), which defines WOSBs as businesses that qualify as “small” according to Small Business Administration (SBA) size standards, are majority-owned by women, and are certified as economically disadvantaged. However, WOSBs need not be economically disadvantaged to qualify for procurement preferences in contracts of up to $3 million ($5 million in manufacturing contracts) in industries where they are found to be “substantially underrepresented.”

This study was undertaken in response to a request by the SBA for the RAND Corporation to provide different measures of WOSB representation in federal contracting, by industry. The work was funded by the SBA and completed under the auspices of the RAND Labor and Population program and the Kauffman-RAND Institute for Entrepreneurship Public Policy.

RAND Labor and Population has built an international reputation for conducting objective, high-quality, empirical research to support and improve policies and organizations around the world. Its work focuses on labor markets, social welfare policy, demographic behavior, immigration, international development, and issues related to aging and retirement, with a common aim of understanding how policy and social and economic forces affect individual decisionmaking and the well-being of children, adults, and families.

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