Renewed Effort to Build
Reciprocity in
Small Business
Certification
by Frances Laskey, SB-Cal
member, Board of Directors
On
September 6, 2005 AB 348, the Small Business Certification
and Reciprocity Program (introduced by Assembly Members
Arambula and Bass) was approved by Governor Schwarzenegger.
This is, at least potentially, great news for small
businesses who are tired of having to re-certify as small
businesses with every county or city with which they hope to
do business. The burden of all these filings is significant;
when added to the difficulty of trying to meet the different
requirements of each entity, it can become nearly
impossible.
AB 348
does several things. First, it specifies that a business
that has been certified by one governmental entity in the
state may be eligible for certification by the state if the
original certifying entity has substantially the same or
more stringent definitions as the state. This builds on
existing legislation encouraging such reciprocity. However,
to date very few local entities have participated in the
program. AB 348 should significantly increase participation.
In addition, AB 348 requires the Department of General
Services (DGS) to make efforts to develop a core statewide
small business certification application (working with
associations of other governmental entities, i.e. counties,
cities, and special districts). This would be a tremendous
improvement over the current rather chaotic situation.
In
addition to the provisions about reciprocity, AB 348
establishes the Office of Small Business and Disabled
Veteran Business Enterprise Services, with duties defined to
cover a range of services to assist small and disabled
veteran businesses to participate in state contracting,
including:
-
Compiling and maintaining a comprehensive bidders list
of small businesses and DVBEs, including notation of
which are microbusinesses;
-
Coordinating services with various federal agencies
(SBA, Minority Business Development Agency, etc.);
-
Conducting workshops to provide technical assistance and
managerial aids to small, DV, and micro businesses with
regard to state procurement and contracting;
-
Assisting small, DV, and micro businesses in complying
with state bidding procedures;
-
Working
with a range of federal, state, local, and private
agencies to disseminate information of bid processes and
opportunities;
-
Making
recommendations for simplification of specifications and
terms in order to increase opportunities; and
-
Developing other programs and practices to aid and
protect the interests of small, DV, and micro businesses
in contracting with the state.
The bill
can be read in its entirety at:
http://www.leginfo.ca.gov/pub/bill/asm/ab_0301-0350/ab_348_bill_20050906_chaptered.html.
