Mr. Speaker, small, disadvantaged businesses have been denied access to prominent contracting and subcontracting opportunities across the spectrum of industry. Many entrepreneurs and small businesses have either been hurt or put out of…
Mr. Speaker, small, disadvantaged businesses have been denied access to prominent contracting and subcontracting opportunities across the spectrum of industry. Many entrepreneurs and small businesses have either been hurt or put out of business by the gross disparity between procurement opportunities they receive and those received by large, majority owned businesses. In response to this inequity, former President Clinton enacted an executive order in October 2000 to improve the situation and rectify the inequity. The executive order's sole focus was to increase opportunities and access for disadvantaged businesses in relation to Federal procurement opportunities.
According to the executive order, each department and agency with procurement authority was to aggressively seek to ensure that small disadvantaged businesses, minority business enterprises and other types of small businesses were intimately involved in prime contracting opportunities. The underlying premise of the order was to contribute to a reduction of inequality within the realm of Federal procurement opportunities.
I want to codify former President Clinton's executive order specifically as it relates to Federal advertising contracts. My goal is to ensure that minority business concerns engaged in the advertising industry have ample Federal advertisement procurement opportunities. In addition, the legislation pinpoints minority business concerns owned and controlled by socially and economically disadvantaged individuals as businesses in drastic need of increased participation in Federal advertising procurement opportunities.
The advertising industry is an ever-expanding industry that exposes many products and services to a growing and diverse nation. There are more than 21,000 advertising agencies engaged in the business and thousands more that want to become engaged in the advertising industry. However, for various reasons, many smaller and disadvantaged businesses have found it difficult to obtain advertising contracts, particularly large Federal government contracts. This bill will eradicate the inequity by facilitating the following:
1. Aggressively seeking to ensure that minority business concerns are aware of the Federal advertising procurement opportunities by using the most effective forms of communication, including the Internet, specialty press and trade press;
2. Ensuring that procurement authorities will work with the Small Business Administration (SBA) to make sure that eligible small business concerns receive information regarding the contracts;
3. Ensuring that the price evaluation preference programs authorized by Section 7102 of the Federal Acquisition Streamlining Act of 1994 are used to the maximum extent when granting Federal advertising contracts to minority business concerns;
4. Requiring that contractors meet the commitments required by this legislation and other related laws (i.e., Small Business Act); and
5. Ensuring that contracts involving commitments with minority business concerns include clauses that address the assessment of liquidated damages when commitments are not met.
I sincerely hope that Congress will consider the positive effect of this bill not only for minority business concerns, but also for the betterment of the advertising industry in general. This bill can cure an ill that has plagued the advertising industry for a long time. I look forward to the opportunity to discuss this issue with my many colleagues in Congress.