Legis Daily

Stop 8(a) Contracting Fraud Act

USA119th CongressS-3173| Senate 
| Updated: 12/10/2025
Joni Ernst

Joni Ernst

Republican Senator

Iowa

Small Business and Entrepreneurship Committee

  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted
This bill establishes a moratorium on the Small Business Administration's ability to award sole source contracts under section 8(a)(16) of the Small Business Act. This prohibition will remain in effect until the Administration completes a specific audit of its 8(a) business development program, which was ordered on June 27, 2025. Furthermore, the SBA must submit a comprehensive report detailing the audit's findings to the Senate and House Small Business Committees before the moratorium can be lifted. The bill includes a critical waiver provision, allowing sole source contracts to proceed if a contracting officer determines it is imperative for national security . To obtain a waiver, a detailed justification must be provided, explaining why the contract is essential for national security and why no other small business can perform the work. This waiver request must be approved by the SBA Administrator or Deputy Administrator, and this specific authority cannot be delegated.
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Timeline
Nov 10, 2025
Introduced in Senate
Nov 10, 2025
Read twice and referred to the Committee on Small Business and Entrepreneurship.
Dec 10, 2025
Committee on Small Business and Entrepreneurship. Hearings held.
  • November 10, 2025
    Introduced in Senate


  • November 10, 2025
    Read twice and referred to the Committee on Small Business and Entrepreneurship.


  • December 10, 2025
    Committee on Small Business and Entrepreneurship. Hearings held.

Commerce

Accounting and auditingCongressional oversightFraud offenses and financial crimesPublic contracts and procurement

Stop 8(a) Contracting Fraud Act

USA119th CongressS-3173| Senate 
| Updated: 12/10/2025
This bill establishes a moratorium on the Small Business Administration's ability to award sole source contracts under section 8(a)(16) of the Small Business Act. This prohibition will remain in effect until the Administration completes a specific audit of its 8(a) business development program, which was ordered on June 27, 2025. Furthermore, the SBA must submit a comprehensive report detailing the audit's findings to the Senate and House Small Business Committees before the moratorium can be lifted. The bill includes a critical waiver provision, allowing sole source contracts to proceed if a contracting officer determines it is imperative for national security . To obtain a waiver, a detailed justification must be provided, explaining why the contract is essential for national security and why no other small business can perform the work. This waiver request must be approved by the SBA Administrator or Deputy Administrator, and this specific authority cannot be delegated.
View Full Text

Suggested Questions

Get AI-generated questions to help you understand this bill better

Timeline
Nov 10, 2025
Introduced in Senate
Nov 10, 2025
Read twice and referred to the Committee on Small Business and Entrepreneurship.
Dec 10, 2025
Committee on Small Business and Entrepreneurship. Hearings held.
  • November 10, 2025
    Introduced in Senate


  • November 10, 2025
    Read twice and referred to the Committee on Small Business and Entrepreneurship.


  • December 10, 2025
    Committee on Small Business and Entrepreneurship. Hearings held.
Joni Ernst

Joni Ernst

Republican Senator

Iowa

Small Business and Entrepreneurship Committee

Commerce

  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted
Accounting and auditingCongressional oversightFraud offenses and financial crimesPublic contracts and procurement