Last Fall, we described a Bill introduced by U.S. Representative Mike Coffman, (Chairman, Veterans’ Affairs Subcommittee on Oversight and Investigations) that would strip VA of authority to verify Service-Disabled Veteran-Owned Small Business (“SDVOSB”) status. The House of Representatives has now passed H.R. 4435, the 2015 National Defense Authorization Bill, which includes the substance of Rep. Coffman’s Bill.
Rep. Coffman’s proposed legislation responded to dissatisfaction with administration of the SDVOSB program by the VA Center for Verification and Evaluation (“CVE”). According to Coffman, “Many of the certification, appellate, and excessive cost problems at the VA have been well-documented by veterans, and even by the Government Accountability Office. It’s past time to create a clear and transparent set of rules and processes for the government to follow.” According to Bill sponsors, CVE’s effort duplicates SBA programs. Consolidation of authority in the SBA will streamline the process because SBA administers similar programs and because small businesses could submit documentation to only one agency.
Rep. Coffman’s original draft Bill would give SBA control over the Vets First program, including verification and appeals. The House of Representatives has included the substantive provisions of that Bill in the FY15 National Defense Authorization Act, H.R. 4435, (“FY15 NDAA) passed by the House last Tuesday, May 22, 2014.
If adopted by the Senate, FY15 NDAA will give SBA authority to make rules, to maintain and operate the VIP database, to handle SDVOSB verification, and to decide appeals. In short, it would effectively abolish the role of CVE in the SDVOSB verification program. SDVOSBLAW.com will continue to monitor this important legislation and keep you updated.
