Virginia House Bill HB817

Virginia 2022 Regular Session

• Introduced: 1/12/22
• Refer: 1/12/22

Caption

Grants and public procurement; grants or contracts issued by Governor, state agency, etc.

Impact

The implications of HB 817 are significant for existing state laws governing procurement practices. By formally incorporating principles that favor small and minority-owned businesses into formal procurement criteria, the legislation aims to eliminate barriers that prevent these businesses from competing fairly. The amendments to existing laws aim to facilitate the participation of these groups in public contracts and ensure that state funds are distributed to a more diverse array of contractors, thereby stimulating economic growth across various communities.

Summary

House Bill 817 focuses on enhancing public procurement by encouraging participation from small, women-owned, minority-owned, and service disabled veteran-owned businesses in Virginia. The bill mandates that state agencies inquire about the certification status of these businesses when awarding grants or contracts. If a business is eligible but not certified, the state agency is required to notify the Department of Small Business and Supplier Diversity to assist in the certification process. This initiative is intended to bolster diversity in state procurement and ensure equitable opportunities for historically underrepresented groups.

Contention

Despite its intentions, the bill may face contention surrounding the practical implementation of its provisions. Proponents argue that it will rectify inequities in government contracting, while critics may raise concerns about the bureaucratic burden on state agencies and the potential for unintended discrimination against businesses that do not fall into the specified categories. Additionally, provisions that require agencies not to discriminate against contractors employing ex-offenders may introduce complexities regarding employment practices and assessments of contractor suitability.