NASBP reported in the January 2009 edition of Focal Point on legislation that provides for the reauthorization of the Department of Veterans Affairs small business loan program to increase the maximum guarantee amount available under the program to $500,000. Additionally, the bill would carve out an exception to statutory bonding requirements by providing, among other things, that veteran-owned small businesses could not be required to furnish a performance or payment bond in an amount that exceeds 50 percent of the amount of the construction contract when awarded a contract by the Department of Veterans Affairs.

NASBP has actively lobbied against H.R. 294 and has visited a number of the bill’s co-sponsor’s offices and key committee staff to educate them on why the merits of the bill are flawed and are unworkable. At present, H.R. 294 has 13 co-sponsors. NASBP is pursuing a strategy to educate those Congressional offices whose member has signed on as a co-sponsor to the bill, including Congressman Brian Bilbray (R-CA). Additionally, NASBP sent a letter in opposition to Congressman Bob Filner (D-CA) who chairs the House Committee on Veterans’ Affairs and met with his staff. Just recently, NASBP visited the office of Congresswoman Stephanie Herseth Sandlin (D-SD), who chairs the Veterans’ Affairs Subcommittee on Economic Opportunity where the bill has been referred. Congresswoman Sandlin’s staff was unfamiliar with the proposal and assured NASBP that if the bill was scheduled for a hearing in committee NASBP would be contacted.

Remember NASBP’s library of Government Relations Position Briefs are posted at the NASBP web site. Click here to access these.