SBA Extends Comment Period on Small Business Size Rules
Summary
The U.S. Small Business Administration (SBA) has extended the public comment period for two proposals that would overhaul the standards used to define small businesses. The new deadline is November 20, 2026. This extension provides stakeholders with additional time to review the proposed changes, which could impact 338 industry groups and industries.
The Proposals
Proposed Small Business Size Standards
- RIN 3245-AI67; Docket No. SBA-2026-0199 This proposal aims to establish updated size standards for various industries and industry groups.
Revised Size Standards Methodology
- Docket No. SBA-2026-0265 This proceeding focuses on the methodology SBA proposes to use when establishing, reviewing, and revising size standards.
Extension Justification
The extension is significant as the proposed changes could affect the eligibility of thousands of companies for federal small-business programs, including:
- Small-business set-aside contracts
- 8(a) Business Development Program opportunities
- Women-owned and service-disabled veteran-owned small business procurements
- HUBZone contracting
- Small-business subcontracting credits
- Joint ventures and mentor-protégé arrangements
What Contractors Should Do
Before the extended deadline, affected contractors should:
- Identify NAICS codes: Review codes assigned to current and upcoming contracts, subcontracts, and bids.
- Compare thresholds: Assess the impact of the proposed changes on their business status.
- Analyze competition: Identify newly eligible competitors and larger companies that might qualify under the new standards.
- Review methodology: Examine SBA's proposed analysis for industry-specific factors.
- Prepare comments: Submit data-backed comments, including industry evidence, and suggest alternative standards if applicable.
Initial Publication Details
The proposals were originally published on August 20, 2026, with an initial comment period scheduled to close on September 21, 2026. SBA subsequently granted a 60-day extension, leading to the new November 20 deadline.