Virginia House Bill 1404
Session 2024
Small SWaM Business Procurement Enhancement Program; established, definitions, report.
Became Law
Became Law on Apr 17, 2024
Origin Chamber
House
Type
Bill
Bill Number
1404
State
Virginia
Session
2024
Motion Text
VOTE: Adoption (64-Y 34-N 1-A)
House Roll Call Votes
Yes
Yes
Yes
Yes
Abstain
Didn't Vote
Yes
Reaser, Atoosa R.
Yes
Yes
Yes
Summary
Department of Small Business and Supplier Diversity; Small Business Procurement Enhancement Program and Women-owned and Minority-owned Business Procurement Enhancement Program established; report. Establishes the Small Business Procurement Enhancement Program with a statewide goal of 42 percent of certified small business utilization in all discretionary spending by state agencies and covered institutions in procurement orders, prime contracts, and subcontracts, as well as a target goal of 50 percent subcontracting to certified small businesses in instances where the prime contractor is not a small business for all new capital outlay construction solicitations that are issued. In addition, the bill provides for a small business set-aside for state agency and covered institution purchases of goods, services, and construction, requiring that purchases up to $100,000 be set aside for award to certified small businesses and that purchases up to $10,000 be set aside for award to microbusinesses. The bill also establishes the Women-owned and Minority-owned Business Procurement Enhancement Program with a statewide goal of 23.1 percent of certified women-owned and minority-owned business utilization in all discretionary spending by state agencies and covered institutions in procurement orders, prime contracts, and subcontracts. The bill creates the Division of Procurement Enhancement within the Department of Small Business and Supplier Diversity for purposes of collaborating with the Department of General Services, the Virginia Information Technologies Agency, the Department of Transportation, and covered institutions to further the Commonwealth's efforts to meet the goals established under the Small Business Procurement Enhancement Program and the Women-owned and Minority-owned Business Procurement Enhancement Program, as well as implementing initiatives to enhance the development of small businesses, microbusinesses, women-owned businesses, and minority-owned businesses in the Commonwealth. Finally, the bill amends the Virginia Public Procurement Act to permit public bodies to establish purchase procedures, if adopted in writing, not requiring competitive sealed bids or competitive negotiation for single or term contracts for the purchase or lease of goods, or for the purchase of services, insurance, or construction, if the aggregate or the sum of all phases is not expected to exceed $125,000. Under current law, such purchase procedures may only be established for (i) goods and services other than professional services and non-transportation-related construction, if the aggregate or the sum of all phases is not expected to exceed $200,000; (ii) transportation-related construction, if the aggregate or sum of all phases is not expected to exceed $25,000; and (iii) professional services, provided that the aggregate or the sum of all phases is not expected to exceed $80,000. The bill has a general delayed effective date of January 1, 2025, and delayed effective dates of July 1, 2025, for covered institutions, and July 1, 2026, for certain university hospitals and medical centers. The provisions of the bill creating the Women-owned and Minority-owned Business Procurement Enhancement Program sunset on July 1, 2031.
Department of Small Business and Supplier Diversity; Small SWaM Business Procurement Enhancement Program established; disparity study report. Establishes the Small SWaM Business Procurement Enhancement Program with a statewide goal of 42 percent of certified small SWaM business utilization in all discretionary spending by executive branch agencies and covered institutions in procurement orders, prime contracts, and subcontracts, as well as a target goal of 50 percent subcontracting to small SWaM businesses in instances where the prime contractor is not a small SWaM business for all new capital outlay construction solicitations that are issued. The bill provides that executive branch agencies and covered institutions are required to increase their small SWaM business utilization rate by three percent per year until reaching the 42-percent target level or, if unable to do so, to implement achievable goals to increase their utilization rate. In addition, the bill provides for a small SWaM business set-aside for executive branch agency and covered institution purchases of goods, services, and construction, requiring that purchases up to $100,000 be set aside for award to certified small SWaM businesses.The bill creates the Division of Procurement Enhancement within the Department of Small Business and Supplier Diversity for purposes of collaborating with the Department of General Services, the Virginia Information Technologies Agency, the Department of Transportation, and covered institutions to further the Commonwealth's efforts to meet the goals established under the Small SWaM Business Procurement Enhancement Program, as well as implementing initiatives to enhance the development of small businesses, microbusinesses, women-owned businesses, minority-owned businesses, and service disabled veteran-owned businesses in the Commonwealth.Finally, the bill requires the Department of Small Business and Supplier Diversity to conduct a disparity study every five years, with the next disparity study due no later than January 1, 2026. The bill specifies that the study shall evaluate the need for enhancement and remedial measures to address the disparity between the availability and the utilization of women-owned and minority-owned businesses. The provisions of the bill other than those requiring a disparity study have a delayed effective date of January 1, 2025, and apply to covered institutions beginning July 1, 2025. This bill incorporates HB 716.
Department of Small Business and Supplier Diversity; Small SWaM Business Procurement Enhancement Program established; disparity study report. Establishes the Small SWaM Business Procurement Enhancement Program with a statewide goal of 42 percent of certified small SWaM business utilization in all discretionary spending by executive branch agencies and covered institutions in procurement orders, prime contracts, and subcontracts, as well as a target goal of 50 percent subcontracting to small SWaM businesses in instances where the prime contractor is not a small SWaM business for all new capital outlay construction solicitations that are issued. The bill provides that executive branch agencies and covered institutions are required to increase their small SWaM business utilization rate by three percent per year until reaching the 42-percent target level or, if unable to do so, to implement achievable goals to increase their utilization rate. In addition, the bill provides for a small SWaM business set-aside for executive branch agency and covered institution purchases of goods, services, and construction, requiring that purchases up to $100,000 be set aside for award to certified small SWaM businesses.The bill creates the Division of Procurement Enhancement within the Department of Small Business and Supplier Diversity for purposes of collaborating with the Department of General Services, the Virginia Information Technologies Agency, the Department of Transportation, and covered institutions to further the Commonwealth's efforts to meet the goals established under the Small SWaM Business Procurement Enhancement Program, as well as implementing initiatives to enhance the development of small businesses, microbusinesses, women-owned businesses, minority-owned businesses, and service disabled veteran-owned businesses in the Commonwealth.Finally, the bill requires the Department of Small Business and Supplier Diversity to conduct a disparity study every five years, with the next disparity study due no later than January 1, 2026. The bill specifies that the study shall evaluate the need for enhancement and remedial measures to address the disparity between the availability and the utilization of women-owned and minority-owned businesses. This bill incorporates HB 716.
Presented and ordered printed 24105093D
January 17, 2024
Committee substitute printed 24106396D-H1
January 26, 2024
Committee substitute printed 24107050D-H2
February 7, 2024
HB1404ER
March 25, 2024
HB1404ER2
April 17, 2024
Amendment: HB1404AG
Fiscal Impact Statement: HB1404FH1122.PDF
Fiscal Impact Statement: HB1404FH2122.PDF
Fiscal Impact Statement: HB1404FER122.PDF
Sort by most recent
04/17/2024
Office of the Governor
Acts of Assembly Chapter text (CHAP0834)
04/17/2024
House
Enacted, Chapter 834 (effective - see bill)
04/17/2024
Senate
Signed by President as reenrolled
04/17/2024
House
Signed by Speaker as reenrolled
04/17/2024
House
Reenrolled bill text (HB1404ER2)
04/17/2024
House
Reenrolled
04/17/2024
Office of the Governor
Governor's recommendation adopted
04/17/2024
Senate
Senate concurred in Governor's recommendation (40-Y 0-N)
04/17/2024
House
VOTE: Adoption (64-Y 34-N 1-A)
04/17/2024
House
House concurred in Governor's recommendation (64-Y 34-N 1-A)
04/17/2024
House
Passed by temporarily
04/08/2024
House
Governor's recommendation received by House
04/03/2024
House
Impact statement from DPB (HB1404ER)
03/27/2024
Office of the Governor
Governor's Action Deadline 11:59 p.m., April 8, 2024
03/27/2024
House
Enrolled Bill communicated to Governor on March 27, 2024
03/26/2024
House
Signed by Speaker
03/25/2024
Senate
Signed by President
03/25/2024
House
Bill text as passed House and Senate (HB1404ER)
03/25/2024
House
Enrolled
03/05/2024
Senate
Passed Senate (20-Y 19-N)
03/05/2024
Senate
Read third time
03/04/2024
Senate
Constitutional reading dispensed (40-Y 0-N)
03/01/2024
Senate
Reported from Rules (9-Y 4-N)
02/15/2024
House
Impact statement from DPB (HB1404H2)
02/14/2024
Senate
Referred to Committee on Rules
02/14/2024
Senate
Constitutional reading dispensed
02/13/2024
House
VOTE: Passage (73-Y 26-N)
02/13/2024
House
Read third time and passed House (73-Y 26-N)
02/12/2024
House
Engrossed by House - committee substitute HB1404H2
02/12/2024
House
Committee on Appropriations substitute agreed to 24107050D-H2
02/12/2024
House
Committee on Rules substitute rejected 24106396D-H1
02/12/2024
House
Read second time
02/09/2024
House
Read first time
02/07/2024
House
Committee substitute printed 24107050D-H2
02/07/2024
House
Reported from Appropriations with substitute (15-Y 7-N)
02/07/2024
House
Subcommittee recommends reporting with substitute (6-Y 2-N)
02/07/2024
House
House subcommittee amendments and substitutes offered
02/01/2024
House
Impact statement from DPB (HB1404H1)
01/27/2024
House
Assigned App. sub: Commerce Agriculture & Natural Resources
01/26/2024
House
Referred to Committee on Appropriations
01/26/2024
House
Incorporates HB716 (Torian)
01/26/2024
House
Committee substitute printed 24106396D-H1
01/26/2024
House
Reported from Rules with substitute (14-Y 3-N)
01/17/2024
House
Referred to Committee on Rules
01/17/2024
House
Presented and ordered printed 24105093D
Sources
Open States
Record Created
Jan 18, 2024 12:55:55 AM
Record Updated
May 3, 2024 12:22:46 AM