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The Small Business Payment for Performance Act Advances

Last week, the House passed its annual defense policy bill (the National Defense Authorization Act (NDAA)) authorizing nearly $840 billion in defense spending for fiscal year 2023 with a bipartisan vote of 329-101 vote. Thirty-nine Democrats and 62 Republicans voted against the measure.  A separate version of the annual defense policy bill still needs to be considered in the Senate, and then both versions will be reconciled in conference committee before the bill advances through both chambers for final passage.  The Stauber Amendment (H.R. 8273, the Small Business Payment for Performance Act), which we supported and drafted, was included in the House’s FY23 NDAA and agreed to via voice vote.

Thank you Rep. Stauber for understanding the timeliness to advance this important piece of legislation for small businesses and for taking immediate action by offering your legislation as an amendment to the FY23 NDAA.  This amendment will allow small businesses to request an equitable adjustment to the contracting officer if the contracting officer places a change order without the agreement of the small business.  It would require the federal government to pay at least 50% of cost occurred from the change order upon receipt of the equitable adjustment.  ASA will keep you updated on further activity as this legislation advances in Congress, and ASA will continue to work with members of the Construction Industry Procurement Coalition (CIPC) to move this legislation toward enactment.