SBA proposes to revise Small Business Size Standards for some industries in NAICS Sector 31‑33, Manufacturing

The U.S. Small Business Administration (SBA) has proposed to

• increase small business size standards for 209 industries in NAICS Sector 31-33, Manufacturing; and,
• increase the refining capacity component of the Petroleum Refiners (NAICS 324110) size standard to 200,000 barrels per calendar day total capacity, and the requirement that 90 percent of output being delivered be refined by the bidder (footnote 4).

As part of its ongoing comprehensive size standards review, SBA evaluated employee based size standards for all 364 industries in NAICS Sector 31-33 to determine whether they should be retained or revised.

This proposed rule is one of a series reviewing all small business size standards, grouped by NAICS Sector.  SBA issued a White Paper entitled “Size Standards Methodology” and published a notice in the October 21, 2009 issue of the Federal Register that the “Size Standards Methodology” White Paper was available on its website at www.sba.gov/size for public review and comment.  The “Size Standards Methodology” White Paper explains how SBA establishes, reviews, and modifies both receipts based and employee based small business size standards.

The size standards in Sector 31‑33 are all employee‑based, and SBA applied its methodology in this proposed rule.

We invite you to review the rule and submit your comments.  The rule explains how to submit your comments.  We recommend that you comment through the Federal eRulemaking Portal:Regulations.gov.  Follow the instructions there or in the attached document for submitting your comments.  SBA will not accept comments submitted by email.

You may read/download the rule at Regulations.gov (search on “RIN 3245-AG50” [without quotes]).  All comments are public.  Therefore, you may review the other comments that interested parties submit on the same site.

The period for comments closes November 10, 2014.

SBA proposes to change size standards for some industries with employee based size standards that are not part of Manufacturing (Sector 31‑33), Wholesale Trade (Sector 42), or Retail Trade (Sector 44‑45)

The U.S. Small Business Administration (SBA or Agency) has issued a proposed rule that would do the following for industries that are not part of North American Industry Classification System (NAICS) Sector 31-33 (Manufacturing), Sector 42 (Wholesale Trade), or Sector 44-45 (Retail Trade):

• increase employee based small business size standards for 30 industries and three sub-industries (i.e., “exceptions” in SBA’s table of size standards)
• decrease employee based small business size standards for three industries
• eliminate the Information Technology Value Added Resellers “exception” under NAICS 541519 (Other Computer Related Services) and its 150-employee size standard
• eliminate the Offshore Marine Air Transportation Services “exception” under NAICS 481211 and 481212 and the Offshore Marine Services “exception” under NAICS Subsector 483 and their $30.5 million receipts based size standard
• remove Footnote 15 and Footnote 18 from the table of size standards

We invite you to review the rule and submit your comments.  The rule explains how to submit your comments.  We recommend that you comment through the Federal eRulemaking Portal:Regulations.gov.  Follow the instructions there or in the attached document for submitting your comments.  SBA will not accept comments submitted by email.

You may read/download the rule at Regulations.gov (search on “RIN 3245-AG51” [without quotes]).  All comments are public.  Therefore, you may review the other comments that interested parties submit on the same site.

The period for comments closes November 10, 2014.

SBA increases monetary size standards to account for inflation since 2008

The U.S. Small Business Administration (SBA or Agency) has issued an interim final rule that does the following:

• Adjusts monetary based industry size standards (i.e., receipts, assets, net worth, and net income) for inflation that has occurred since the last adjustment in 2008.  These adjustments are in addition to the recent revisions that were part of the comprehensive size standards review, as mandated by the Small Business Jobs Act of 2010 (Jobs Act).
• Adjusts program based size standards, with the exception of the new alternative size standard for SBA’s 7(a) and 504 loan programs that was established under the Jobs Act.  The new alternative size standard will remain in effect until SBA establishes a permanent alternative size standard for the 7(a) and 504 loan programs.
• Deletes references to Surety Bond Guarantee size standards for contracts awarded in the Presidentially declared disaster areas following Hurricanes Katrina, Rita, and Wilma in 2005.
• Deletes the determination date for eligibility under the Agency’s Economic Injury Disaster Loan (EIDL) Program in connection with Hurricanes Katrina, Rita, and Wilma.
• Clarifies that footnote 9 to its table of size standards is not limited to NAICS 531190, but rather applies to all industries in Industry Group 5311, Lessors of Real Estate.

We invite you to review the rule and submit your comments.  The rule explains how to submit your comments to SBA.  We recommend that you comment through the Federal eRulemaking Portal: Regulations.gov.  Follow the instructions there or in the attached document for submitting your comments.  SBA will not accept comments submitted by email.

You may read/download the rule at Regulations.gov (search on “RIN 3245‑AG60” [without quotes]).  All comments are public.  Therefore, you may review the other comments that interested parties submit on the same site.

These changes are effective July 14, 2014.

The period for comments closes August 11, 2014.

Important:  If you participate in federal government procurement programs, either as a prime contractor or as a subcontractor, your size status may change on July 14, 2014 as a result of this interim final rule.  You must visit the System for Award Management (SAM)and verify that your profile and certifications are up to date based on these revised size standards.

SBA proposes to increase employee based size standards for industries in NAICS Sector 42, Wholesale Trade, and NAICS Sector 44 45, Retail Trade 

The United States Small Business Administration (SBA) has issued a proposed rule to do the following:

• Increase employee based size standards for 46 industries in North American Industry Classification System (NAICS) Sector 42, Wholesale Trade
• Increase the employee based size standard for one industry in NAICS Sector 44‑45, Retail Trade
• Retain the current size standards in the remaining industries in those sectors
• Retain the current 500‑employee size standard for Federal procurement of supplies under the nonmanufacturer rule (13 CFR 121.406).

SBA reviewed all 71 industries in NAICS Sector 42 and two industries in NAICS Sector 44‑45 that have employee based size standards as part of its ongoing comprehensive size standards review.  These revisions primarily affect eligibility for SBA’s financial assistance programs.

If the proposed rule is adopted in its present form, nearly 4,000 more firms in Sectors 42 and 44 45 will become small for financial assistance under the revised employee based size standards.

You may read/download SBA’s proposed rule at Regulations.gov (search on “RIN 3245 AG49” [without quotes]).  SBA must receive comments to this proposed rule on or before July 18, 2014.  You may submit comments identified by RIN 3245‑AG49 by one of the following methods:  (1) Federal eRulemaking Portal: Regulations.gov, following the instructions for submitting comments; or (2) Mail/Hand Delivery/Courier: Khem R. Sharma, Ph.D., Chief, Office of Size Standards, 409 Third Street SW., Mail Code 6530, Washington, DC 20416.  SBA will not accept comments to this proposed rule submitted by email except for confidential information.

SBA increases size standards for NAICS Sector 22, Utilities 

The United States Small Business Administration (SBA) has revised the size standards for 13 industries in NAICS Sector 22, Utilities.  Specifically, SBA

• increased receipts based size standards for three industries;
• changed the basis for measuring business size from megawatt hours to number of employees for the 10 electric power generation, transmission, and distribution industries; and,
• removed Footnote 1 from SBA’s Table of Size Standards that applied to all of the NAICS codes in electric power generation, transmission, and distribution.

Before its removal, the footnote stated that a firm is small if, including its affiliates, it is primarily engaged in the generation, transmission, and/or distribution of electric energy for sale and its total electric output for the preceding fiscal year did not exceed 4 million megawatt hours.  This requirement no longer applies.

SBA is retaining the current size standards for the remaining industries in Sector 22.  As part of its ongoing comprehensive size standards review, SBA evaluated all size standards for industries in NAICS Sector 22 to determine whether they should be retained or revised.

Approximately 400 additional firms will be small under the new size standards and eligible for SBA’s loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (search on “RIN 3245‑AG25” [without quotes]).

You may also review the originally proposed rule together with all of the comments submitted by going to Regulations.gov.  The proposed rule and the comments are included in the same docket.

The revised size standards are effective January 22, 2014.

SBA increases size standards for NAICS Sector 23, Construction 

The United States Small Business Administration (SBA) has revised size standards for two industries in NAICS Sector 23, Construction, and retained current standards for the remaining 30 industries in that Sector.  Specifically, SBA

• increased the size standard for NAICS 237210, Land Subdivision, from $7 million in average annual receipts to $25.5 million; and,
• increased the size standard for Dredging and Surface Cleanup Activities from $20 million to $25.5 million, the size standard for which is an “exception” under NAICS 237990, Other Heavy and Civil Engineering Construction.

The SBA had proposed to eliminate Footnote 2 from its table of size standards.  Footnote 2 states that to be considered small for purposes of Government procurement, a firm must perform at least 40 percent of the volume dredged with its own equipment or equipment owned by another small dredging concern.  However, based on the comments the Agency received to the proposed rule, it is making no change to the footnote.

As part of its ongoing comprehensive size standards review, SBA evaluated all size standards for industries in NAICS Sector 23 to determine whether they should be retained or revised.

Approximately 480 additional firms will be small under the new size standards and eligible for SBA’s loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (search on “RIN 3245‑AG37” [without quotes]).

You may also review the originally proposed rule together with all of the comments submitted by going to Regulations.gov.  The proposed rule and the comments are included in the same docket.
The revised size standards are effective January 22, 2014.

SBA increases size standards for NAICS Sector 11, Agriculture, Forestry, Fishing, and Hunting 

The United States Small Business Administration (SBA) has increased the receipts based small business size standards for 11 industries in North American Industry Classification System (NAICS) Sector 11, Agriculture, Forestry, Fishing and Hunting, and retained the current standards for five industries and two exceptions to NAICS 115310. As part of its ongoing comprehensive size standards review, SBA evaluated all receipts based size standards for industries in NAICS Sector 11 to determine whether they should be retained or revised. SBA did not review size standards for 46 industries in NAICS Sector 11 that are currently set by statute at $750,000 in average annual receipts. SBA also did not review the 500‑employee based size standard for NAICS 113310, Logging, but will review it in the near future with other employee based size standards.

Up to 7,800 additional firms will be small under the new size standards and eligible for SBA’s loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (search on RIN 3245‑AG43 or SBA‑2012‑0013).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to Regulations.gov. The proposed rule and the comments are included in the same docket.

The revised size standards are effective July22, 2013.

SBA increases size standards for NAICS Subsector 213, Support Activities for Mining (Part of Sector 21, Mining, Quarrying, and Oil and Gas Extraction) 

The United States Small Business Administration (SBA) has increased the small business size standards for three of the four industries in North American Industry Classification System (NAICS) Subsector 213, Support Activities for Mining, that are based on average annual receipts. As part of its ongoing comprehensive size standards review, SBA evaluated all receipts based size standards for industries in NAICS Sector 21 to determine whether they should be retained or revised. Within NAICS Sector 21, only NAICS Subsector 213 has receipts based size standards. The rest of the industries in that Sector have employee based size standards which SBA will review in the near future with other employee based size standards.

More than 475 additional firms will be small under the new size standards and eligible for SBA’s loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (search on RIN 3245‑AG44 or SBA‑2012‑0020).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to Regulations.gov. The proposed rule and the comments are included in the same docket.

The revised size standards are effective July 22, 2013.

SBA increases size standards for NAICS Sector 52, Finance and Insurance, and Sector 55, Management of Companies and Enterprises

The United States Small Business Administration (SBA) has increased the receipts based small business size standards for 36 industries in North American Industry Classification System (NAICS) Sector 52, Finance and Insurance, and for two industries in NAICS Sector 55, Management of Companies and Enterprises. In addition, SBA changed the basis for measuring size from assets to annual receipts for one industry in NAICS Sector 52, namely, NAICS 522293, International Trade Financing. Finally, SBA deleted NAICS 525930, Real Estate Investment Trusts, from its table of size standards. As part of its ongoing comprehensive size standards review, SBA evaluated the size standards for all industries but one in NAICS Sector 52 and Sector 55 to determine whether they should be retained or revised. The one that SBA did not review is NAICS 524126, which has a 1,500 employee standard, and SBA will review it in the near future with other employee based size standards.

More than 7,400 additional firms will be small under the new size standards and eligible for SBA’s loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (search on RIN 3245‑AG45 or SBA‑2012‑0015).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to Regulations.gov. The proposed rule and the comments are included in the same docket.

The revised size standards are effective July 22, 2013.

SBA increases size standards for NAICS Sector 71, Arts, Entertainment, and Recreation

The United States Small Business Administration (SBA) has increased the receipts based small business size standards for 17 industries in North American Industry Classification System (NAICS) Sector 71, Arts, Entertainment, and Recreation, and retained the current size standards for the remaining eight industries in that Sector. As part of its ongoing comprehensive size standards review, SBA evaluated all size standards for industries in NAICS Sector 71 to determine whether they should be retained or revised.

Approximately 1,450 additional firms will be small under the new size standards and eligible for SBA’s loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (search on RIN 3245‑AG36 or SBA‑2012‑0006).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to Regulations.gov. The proposed rule and the comments are included in the same docket.

The revised size standards are effective July 22, 2013.

Small Business Size Regulations, Small Business Innovation Research (SBIR) Program and Small Business Technology Transfer (STTR) Program 

The U.S. Small Business Administration (SBA) has amended its regulations governing size and eligibility for the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs.  This rule implements provisions of the National Defense Authorization Act for Fiscal Year 2012.  The rule addresses ownership, control and affiliation for participants in the SBIR and STTR programs.  This includes participants that are majority‑owned by multiple venture capital operating companies, private equity firms or hedge funds.

This rule is effective January 28, 2013.

You may read/download SBA’s final rule at Regulations.gov (RIN 3245‑AG‑46; Docket ID: SBA‑2012‑0008).

You may also review there the originally proposed rule together with all of the comments that the public had submitted.

SBA increases size standards for NAICS Sector 51, Information

The United States Small Business Administration (SBA) is increasing the receipts based small business size standards for 15 industries and retaining the current receipts based size standards for five industries in North American Industry Classification System (NAICS) Sector 51, Information.  As part of its ongoing comprehensive review of all size standards, SBA evaluated all receipts based size standards for industries in NAICS Sector 51 to determine whether they should be retained or revised.  SBA did not review the employee based standards for industries in NAICS Sector 51 in this rule, but will do so later with other employee based size standards.

Up to 500 additional firms will be small under the new size standards and eligible for SBA’s loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (RIN 3245‑AG26).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to Regulations.gov.  The proposed rule and the comments are included in the same docket.

The revised size standards will be effective January 7, 2013.

SBA Increases size standards for NAICS Sector 56, Administrative and Support, Waste Management and Remediation Services

The United States Small Business Administration (SBA) is increasing the small business size standards for 37 industries and retaining the current size standards for the remaining seven industries in North American Industry Classification System (NAICS) Sector 56, Administrative and Support, Waste Management and Remediation Services.  As part of its ongoing comprehensive review of all size standards, SBA evaluated all receipts‑based size standards for industries in NAICS Sector 56 to determine whether they should be retained or revised.  SBA did not review the employee‑based size standard for Environmental Remediation Services, an “exception” under NAICS 562910, Remediation Services, in NAICS Sector 56, but will do so later with other employee‑based size standards.

Up to 2,700 additional firms will become small under these new size standards and eligible for SBA’s loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (RIN 3245‑AG27).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to Regulations.gov.  The proposed rule and the comments are included in the same docket.

The revised size standards will be effective January 7, 2013.

SBA increases size standards for NAICS Sector 53, Real Estate and Rental and Leasing

The United States Small Business Administration (SBA) is increasing the small business size standards for 21 industries and one sub‑industry in North American Industry Classification System (NAICS) Sector 53, Real Estate and Rental and Leasing, and retaining the current standards for the remaining four industries in that Sector. As part of its ongoing comprehensive review of all size standards, SBA evaluated all size standards for industries in NAICS Sector 53 to determine whether they should be retained or revised.

Up to 13,000 more firms will be small under these new size standards and eligible for SBA loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (RIN 3245‑AG28).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to the same Regulations.gov. The proposed rule and the comments are included in the same docket.

The revised size standards will be effective October 24, 2012.

SBA increases size standards for NAICS Sector 61, Educational Services

The United States Small Business Administration (SBA) is increasing the small business size standards for nine industries in North American Industry Classification System (NAICS) Sector 61, Educational Services, and retaining the current size standards for the remaining eight industries and one sub‑industry (“exception”) in this Sector. As part of its ongoing comprehensive review of all size standards, SBA evaluated every industry in NAICS Sector 61 to determine whether the existing size standards should be retained or revised.

Up to 1,500 additional firms will be small under the new size standards and eligible for SBA loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (RIN 3245‑AG29).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to the same Regulations.gov. The proposed rule and the comments are included in the same docket.

The revised size standards will be effective October 24, 2012.

SBA Increases size standards for NAICS Sector 62, Health Care, and Social Assistance

The United States Small Business Administration (SBA) is increasing the small business size standards for 28 industries in North American Industry Classification System (NAICS) Sector 62, Health Care and Social Assistance, and retaining the current standards for the remaining 11 industries in that Sector. As part of its ongoing comprehensive review of all size standards, SBA evaluated every industry in NAICS Sector 62 to determine whether the existing size standards should be retained or revised.

Up to 4,100 firms will become small under these new size standards and eligible for SBA loan and Federal procurement programs.

You may read/download SBA’s final rule at Regulations.gov (RIN 3245‑AG30).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to the same Regulations.gov. The proposed rule and the comments are included in the same docket.

The revised size standards will be effective October 24, 2012.

SBA Adopts NAICS 2012 for Small Business Size Standards

The U.S. Small Business Administration (SBA) is amending its Small Business Size Regulations to incorporate the Office of Management and Budget’s 2012 modifications of the North American Industry Classification System (NAICS), identified as NAICS 2012, into its table of small business size standards.  NAICS 2012 has created 76 new industries and reused 11 2007 industry codes with additional or modified content.  Those 87 NAICS 2012 industries consist of 208 industries and activities formerly identified in NAICS 2007.  The large majority of the changes involve renumbering and/or redefining NAICS 2007 industries and activities in NAICS 2012, without any changes to the size standards that apply to them.  SBA’s adopting NAICS 2012 will result in changes to small business size standards for 42 industries or activities, mostly in Manufacturing.

Effective October 1, 2012, Federal agencies and programs must use SBA’s small business size standards based on NAICS 2012.

If you would like to submit comments on SBA’s interim final rule, identify them by RIN 3245‑AG47. The interim final rule explains how to submit your comments to SBA. We recommend that you comment through the Federal eRulemaking Portal:http://www.regulations.gov/.  Follow the instructions there for submitting your comments. SBA will not accept comments submitted by email to this interim final rule.

You may also review the interim final rule together with comments from other interested parties by going to www.regulations.gov.

The period for comments closes October 19, 2012.

SBA increases size standards for NAICS Sector 48‑49, Transportation, and Warehousing

The United States Small Business Administration (SBA) has increased the small business size standards for 22 industries in North American Industry Classification System (NAICS) Sector 48‑49, Transportation and Warehousing, and retained the current standards for the remaining 37 industries in that Sector.  As part of its ongoing comprehensive review of all size standards, SBA evaluated all receipts based standards for industries in NAICS Sector 48‑49 to determine whether they should be retained or revised.  SBA did not review the employee based standards for industries in NAICS Sector 48‑49, but will do so at a later date with other employee based size standards.

You may read/download SBA’s final rule at Regulations.gov (RIN 3245‑AG08).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to the same www.regulations.gov.  The proposed rule and the comments are included in the same docket.

The revised size standards will be effective March 26, 2012.

SBA increases size standards for NAICS Sector 54, Professional, Technical, and Scientific Services

The United States Small Business Administration (SBA) has increased 37 small business size standards for 34 industries and three sub‑industries (“exceptions” in SBA’s table of small business size standards) in North American Industry Classification System (NAICS) Sector 54, Professional, Technical, and Scientific Services.  SBA also increased the one size standard in NAICS Sector 81, Other Services, which it did not review in 2010. These size standards are all receipts based. SBA is retaining the current standards for the remaining industries in NAICS Sector 54.  This rule also removes “Map Drafting” as the “exception” to NAICS 541340, Drafting Services.

You may read/download SBA’s final rule at Regulations.gov (RIN 3245‑AG07).

You may also review the originally proposed rule together with all of the comments that the public had submitted by going to the same www.regulations.gov. The proposed rule and the comments are included in the same docket file.

The revised size standards will be effective March 12, 2012.

The government website Regulations.gov posts documents concerning federal regulations and published in the Federal Register, the government’s legal newspaper. Some of these pertain to government contracting. Members of the public can submit comments about proposed regulations and other documents that are open for comment.

SBA issues White Paper on its Size Standards Methodology

The U.S. Small Business Administration (SBA) has prepared a White Paper, explaining how it establishes, reviews and modifies (when appropriate) small business size standards. The document, entitled “SBA Size Standards Methodology,” is available on SBA’s website where any interested party can review and/or download it. SBA is using “Size Standards Methodology” for ongoing comprehensive review of size standards and will apply it to future regulatory actions that relate to establishing, reviewing and modifying size standards. The Agency welcomes comments on “Size Standards Methodology.” Please submit your comments to Regulations.gov. To comment on the document, search SBA under the advanced search and search document 2009‑0008.