A change to the definition of what qualifies as a small business in Virginia could have a substantial impact on Virginia firms and the way they do business with the Commonwealth.
HB 1901, which passed during Virginia’s last legislative session, changes the definition of small business to require the business, together with affiliates, to meet the small business size standards established by the regulations of the U.S. Small Business Administration. Currently under Virginia law, a small business is required to have 250 or fewer employees or average annual gross receipts of $10 million or less averaged over the previous three years.
Under the proposed change, a small business offering architectural services must make less than $7.5 million in average annual receipts.
The bill requires the Secretary of Commerce and Trade to convene a workgroup of interested stakeholders to examine how this change to the definition of small business in the Code of Virginia might impact Virginia businesses.
This workgroup will report its findings and recommendations to the Governor and General Assembly on or before Dec. 1, 2015. The bill will not become effective unless reenacted by the 2016 Session of the General Assembly.
This study is currently underway and we’d like your help determining how this change might impact Virginia’s architecture firms. Please take a moment to complete this brief, 3-question survey.
While AIA Virginia doesn’t take an official position on this issue because of the diverse views held by our membership, we encourage you to reach out to your legislators or the Secretary’s office to share your views.
Related Topics and Resources:
Virginia Department of Small Business and Supplier Diversity
Executive Order #20: Sets a 42% goal for small-business expenditures by executive branch agencies; establishes a micro-business category; and expands set-asides for small businesses
Micro Business: A new certification category