In a transformative era for small businesses nationwide, the Biden-Harris Administration has achieved a historic milestone in federal procurement opportunities. Under the visionary leadership of Administrator Isabella Casillas Guzman, the administration has surpassed its small business contracting goal for fiscal year (FY) 2022, allocating an unprecedented 26.5% of federal contract dollars to small businesses. This monumental investment, totaling $162.9 billion, represents an extraordinary $8.7 billion increase from the preceding fiscal year. Such substantial support underscores the administration's unwavering commitment to nurturing economic growth, reducing barriers, and fostering fair competition within federal contracting processes.

Across various federal agencies, notable success has been observed in prioritizing small businesses. Ten agencies garnered an exemplary "A+" grade for their outstanding performance in small business contracting, with an additional ten agencies securing an "A" grade. This collective effort, culminating in an overall "A" grade on the government-wide scorecard, vividly illustrates the government's dedication to championing small business participation in federal procurement endeavors.

A pivotal facet of the administration's achievement lies in its steadfast support for diverse small business communities. Notably, Small Disadvantaged Business (SDB) spending exceeded its 11% goal for the second consecutive year, a testament to President Biden's resolute commitment to achieving ambitious contracting objectives. Similarly, service-disabled Veteran-owned small businesses surpassed their 3% goal, reaching an impressive 4.6% in procurement, amounting to a substantial $28.1 billion—a commendable $3 billion increase from the preceding year.

Moreover, Historically Underutilized Business Zone (HUBZone) small businesses experienced a watershed moment, receiving a record-breaking $16.3 billion in federal contract awards. Although falling short of the 3% statutory goal, the federal government made significant strides in supporting and empowering HUBZone small businesses, underlining a dedication to fostering growth in historically marginalized communities.

The administration's unwavering support for Women-owned Small Businesses (WOSBs) has yielded impactful results, with WOSBs receiving over $26 billion in FY 2022, accounting for 4.6% of total eligible dollars. Notably, funds specifically set aside for WOSB firms saw a remarkable 17% surge, reaching $1.56 billion in FY 2022. These efforts, bolstered by the expansion of certified WOSB firms and eligible NAICS codes, demonstrate the administration's commitment to advancing gender diversity in federal contracting opportunities.

Despite significant progress in awarding contracts to small businesses, challenges persist in increasing the number of small businesses securing prime contracts with the federal government. Despite witnessing a substantial increase in small business awards, a multi-year trend of decreases in small-business vendors over the past decade underscores the need for continued collaboration and strategic initiatives to empower small businesses nationwide.

To enhance access to federal contracting opportunities, the Small Business Administration (SBA) has spearheaded several strategic changes under Administrator Guzman's leadership. These initiatives include the release of new guidance aimed at encouraging new entrants to the federal contracting space, reforms in small business contracting evaluation criteria, promotion of maximum utilization of 8(a) certified SDBs, and updates to NAICS codes eligible for WOSB set-aside contracts. Additionally, initiatives such as ChallengeHer and the creation of a new HUBZone map underscore the administration's commitment to fostering a more inclusive and resilient federal marketplace.