The Small Business Administration (âSBAâ) must collect this information to examine participants in SBAâs program under 15 U.S.C. § 637 (the â8(a) programâ) in response to urgent concerns regarding small business federal contracting and subcontracting compliance by businesses participating in the program, as well as other instances of waste, fraud and abuse in the same program. This information will be used to determine continued eligibility, program and contract term compliance, and to identify instances of fraud. SBA is authorized to collect this information as part of its general investigative authority under the Small Business Act (codified at 15 U.S.C. § 634(b)(11)).
See attached memo.
The Small Business Administration (âSBAâ) requests emergency processing under 5 CFR 1320.13 for a new Information Collection Request (âICRâ). SBA seeks approval by November 18, 2025, to enable immediate collection of business data relating to participants in SBAâs business development program under 15 U.S.C. § 637 (the â8(a) programâ and such participants â8(a) participantsâ). This data is essential to the mission of the SBA in order to examine participants in the 8(a) program in response to urgent concerns regarding small business federal contracting and subcontracting compliance by businesses participating in the program as well as other documented instances of waste, fraud and abuse within the same program. 5 CFR 1320.13(a)(1)(ii).
Recent government-wide investigations by the Department of Justice, the Small Business Administration Office of Inspector General, and the Government Accountability Office, coupled with recent public allegations of illegal conduct by an 8(a) participant, have exposed systemic risks within the 8(a) program that make the program particularly susceptible to waste, fraud, and abuse. For example, risks of improper pass-through contracting and noncompliance with FAR 52.219-14, Limitations on Subcontracting, improper control of 8(a) firms, eligibility fraud, improper disbursements, and improper transfers of contractual responsibilities across the federal acquisition landscape have been identified. The absence of standardized, data-driven reporting on prime versus subcontractor labor utilization, for example, has been identified as a vulnerability throughout government. SBAâs request will increase visibility into the 8(a) program, strengthen internal surveillance and oversight of 8(a) participants, and reinforce public trust through proactive corrective measures.
The public investigations and recent widespread reporting of the 8(a) programâs susceptibility to fraud mentioned above, together with the Department of Justiceâs uncovering of a $550 million scandal involving 8(a) contracting at USAID, could jeopardize SBAâs efforts to investigate and counter fraud, waste and abuse in its 8(a) program, as explained further below. In particular, the recent publicity given to both fraud within the program and SBAâs efforts to address it have created a new urgency in requesting potential data essential to SBAâs mission and the integrity of the 8(a) program.
The increased attention on the 8(a) program means that the use of normal clearance procedures is extremely likely to prevent or disrupt the collection of essential information that may be altered, destroyed or otherwise concealed by those seeking to evade enforcement. Because of these concerns and the identified systemic risks discussed above, the information must be collected prior to the expiration of the ordinary time periods for notice and comment. 5 CFR 1320.13(a)(1)(i).
Delaying implementation until completion of normal Paperwork Reduction Act clearance procedures would undermine these efforts and perpetuate risk, including evidentiary spoliation risks, during active oversight investigations. 5 CFR 1320.13(a)(2)(iii). SBAâs ability to document 8(a) participant eligibility and compliance is essential to ensuring that small-business set-aside awards meet requirements and maintain program integrity. The requested emergency clearance will allow SBA to gather baseline data and support interagency coordination with OMB, Treasury and other federal agencies utilizing SBAâs 8(a) participants to inform a permanent, government-wide solution.
On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).
The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control number;
If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.