S. 1469Senate118th Congress (2023-2025)In Committee

Stop Stolen Valor for Service-Disabled Veteran-Owned Small Business Contractors

Sponsored by Joni ErnstSen. Joni Ernst (R-IA)
Introduced May 4, 2023

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Updated January 20, 2026 at 7:07 AM UTC

The bill aims to stop the misuse of service‑disabled veteran‑owned small business (SDVOSB) status by requiring those businesses to be officially certified by the Small Business Administration before their contracts count toward federal procurement goals. It eliminates the current practice of self‑certification for both prime contracts and subcontracts, ensuring only verified SDVOSBs receive set‑aside awards. The rule applies to all federal agencies and affects small businesses that claim SDVOSB status.

Key Provisions

  • Eliminates self‑certification for SDVOSBs in prime and subcontract awards; contracts must be with businesses certified by the SBA as owned and controlled by service‑disabled veterans.
  • Provides a one‑year transition period: businesses that self‑certify must apply for SBA certification within a year or lose their self‑certified status.
  • Requires the SBA Administrator to issue implementing regulations within 180 days of the bill’s enactment.

Legislative Activity

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2 earlier actions
SenateCommittee Latest Action

Committee on Small Business and Entrepreneurship. Hearings held.

November 15, 2023

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SenateIntro Referral

Introduced in Senate

May 4, 2023

SenateIntro Referral

Read twice and referred to the Committee on Small Business and Entrepreneurship.

May 4, 2023

SenateCommittee

Committee on Small Business and Entrepreneurship. Hearings held.

November 15, 2023

Bill Text

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Introduced in SenateIssued May 4, 2023

II

118th CONGRESS

1st Session

S. 1469

IN THE SENATE OF THE UNITED STATES

May 4, 2023

Ms. Ernst (for herself and Mr. Moran) introduced the following bill; which was read twice and referred to the Committee on Small Business and Entrepreneurship

A BILL

To require certification of small business concerns as small business concerns owned and controlled by service-disabled veterans in order to be counted toward goals for contract awards, and for other purposes.

1.

Short title

This Act may be cited as the Stop Stolen Valor for Service-Disabled Veteran-Owned Small Business Contractors.

2.

Eliminating self-certification for service-disabled veteran-owned small businesses

(a)

Definitions

In this section:

(1)

Administrator

The term Administrator means the Administrator of the Small Business Administration.

(2)

Small business concern; small business concerns owned and controlled by service-disabled veterans

The terms small business concern and small business concerns owned and controlled by service-disabled veterans have the meanings given those terms in section 3 of the Small Business Act (15 U.S.C. 632).

(b)

Eliminating Self-Certification in Prime Contracting and Subcontracting for SDVOSBs

(1)

In general

Each prime contract award and subcontract award that is counted for the purpose of meeting the goals for participation by small business concerns owned and controlled by service-disabled veterans in procurement contracts for Federal agencies, as established in section 15(g)(2) of the Small Business Act (15 U.S.C. 644(g)(2)), shall be entered into with small business concerns certified by the Administrator as small business concerns owned and controlled by service-disabled veterans under section 36 of such Act (15 U.S.C. 657f).

(2)

Effective date

Paragraph (1) shall take effect on October 1 of the fiscal year beginning after the Administrator promulgates the regulations required under subsection (d).

(c)

Phased Approach to Eliminating Self-Certification for SDVOSBs

Notwithstanding any other provision of law, any small business concern that self-certified as a small business concern owned and controlled by service-disabled veterans may—

(1)

if the small business concern files a certification application with the Administrator before the end of the 1-year period beginning on the date of enactment of this Act, maintain such self-certification until the Administrator makes a determination with respect to such certification; and

(2)

if the small business concern does not file a certification application before the end of the 1-year period beginning on the date of enactment of this Act, lose, at the end of such 1-year period, any self-certification of the small business concern as a small business concern owned and controlled by service-disabled veterans.

(d)

Rulemaking

Not later than 180 days after the date of enactment of this Act, the Administrator shall promulgate regulations to carry out this Act.