On October 1, 2021 more streamlining efforts arecoming to the Department of Administrative Services (DAS) Small and Minority Business certification that creates a more rational and data-driven basis for defining for-profit small businesses. The changesimplifies and expedites the CT certification process.
Legislation passed Public Act No. 21-76 modifies the definition of a Small Business Enterprise to conform to federal guidelines. In addition to enhancing opportunities to do business with the State, there is also the potential to provide greater exposure to our Connecticut Small Businesses with the Federal procurement opportunities.
Currently, a “small contractor” has a separate definition in Connecticut than it does with the federal Small Business Administration (SBA) – creating duplicative work, and confusion. The SBA has more common sense, industry specific standards that help more accurately define small businesses.
Governor Lamont, and our team here at DAS want to ensure that we eliminate burdens for small business who want to work with us here at the state, and operate in Connecticut.
So, starting October 1, 2021, under the new statute “Small Contractor" means any contractor, subcontractor, manufacturer, service company or corporation that maintains its principal place of business in the state, and is registered as a small business in the federal database maintained by the United States General Services Administration, as required to do business with the federal government.
The federal program has a procedure to establish size standards that looks at each industry with research behind each size standard established. (see SBA Table of Size Standards).
Going forward, Connecticut-based small businesses will need to register in the Federal System for Awards Management System (SAMS) as a small business utilizing the industry size standards.The State Small Business certification application will include a verification method to ensure the business is registered in the System for Awards Management System (SAMS).
DAS will continue to individually review and certify both SBE and S/MBE applications through the State of Connecticut online certification application process.
This program change also falls in line with the many modernization changes the State and DAS are implementing to streamline processes and better serve business owners, and everyone who lives in Connecticut.
