The General Services Administration (GSA) latest Small Business Landscape Analysis report finds that the Federal government is beating its government wide goals on small business contracting in fiscal year 2022.
GSA found that at the Federal level, the government has “exceeded its 23 percent statutory goal by obligating 24.1 percent of all dollars to small businesses,” during FY2022.
Other areas of improvement since 2021 include the increase in Socioeconomic Small Business (SESB) Performance, which GSA said saw an increase of “62.5percent of all Small Business obligations, up 3.3 percentage points from 52.9 percent in FY21.”
While the report shows areas where the federal government has been successful in expanding its share of contracting with small businesses, it also reveals challenges.
“While the government continued to exceed its overall statutory goal, there was a dip in annual Federal Small Business performance from 24.9 percent to 24.1 percent, equating to $5.2 billion of FY22 procurement spend,” the report says.
The report also finds that the simplified acquisitions procedures (SAP) – a method focused on promoting Small Business Utilization – was not used for “nearly 157 thousand potentially eligible contracts at or under the Simplified Acquisition Threshold, totaling nearly $5.6 billion.”