Virginia House Bill HB381

Virginia 2024 Regular Session

• Introduced: 1/7/24
• Refer: 1/7/24

Caption

Virginia Public Procurement Act; participation by veteran-owned small businesses.

Impact

HB381 is designed to create a more inclusive environment in state contracting by mandating a minimum of five percent participation for veteran-owned and service-disabled veteran-owned businesses in the procurement goals of executive agencies. This initiative is part of a broader push to support small and minority-owned businesses and aims to address disparities in procurement by ensuring that veteran-business owners have equal footing in competitive bidding processes alongside other minority groups. The bill's language allows the governor to require remedial measures if disparities are identified, reinforcing the state's commitment to equitable business practices.

Summary

House Bill 381 seeks to amend the Virginia Public Procurement Act, enhancing opportunities for veteran-owned small businesses in the state's procurement processes. The bill emphasizes non-discrimination against contractors on the basis of their employment of ex-offenders, allowing their participation in state contracts if beneficial. This encourages the inclusion of diverse business groups in state contracts, while also establishing minimum participation goals specifically for veteran-owned and service-disabled veteran-owned businesses in executive branch agency contracts.

Contention

The discussions around HB381 cover several points of contention, including concerns about the bill's potential for overreach and the implications for existing minority-owned business programs. Some legislators argue that while supporting veteran-owned businesses is essential, it should not come at the expense of other minority groups or lead to unnecessary regulatory burdens on state agencies. This highlights the ongoing debate regarding the balance between fostering diverse business participation and maintaining effective state procurement processes. The voting records indicate mixed support, with some legislators advocating for strong commitments to veteran-owned businesses, while others express caution on the changing dynamics of small business support.