Committee backs bill to streamline state certification for minority, women and veteran‑owned firms

The State Planning & Community Affairs committee gave House Bill 128 a favorable recommendation after Representative Hong outlined measures to simplify state certification for small businesses and add women‑owned and veteran‑owned firms to state supplier programs.

Representative Hong said the bill moves responsibility for state certification from the Department of Transportation to the Department of Administrative Services (DOAS) and allows DOAS to accept qualifications from established certifying organizations so businesses will not need to duplicate federal or national certification steps. “So instead of having to go through that process again… DOAS is looking to make it more efficient and streamlined,” Autumn Cole, general counsel at DOAS, told the committee.

HB128 also extends an existing tax deduction for prime contractors that subcontract to certified minority businesses — a 10% reduction in gross income for qualifying subcontract payments up to $100,000 — to women‑owned and veteran‑owned subcontractors. Committee members asked how DOAS will avoid adding red tape; Autumn Cole said the department intends to accept certifications from nationally recognized organizations (for example, SBA programs, Women Owned Small Business, National Minority Supplier Development Council, and VA verification) and will set policy to identify eligible certifiers.

Representative Bentley moved a recommendation of 'due pass' and Representative Reese supported the motion; the committee approved HB128 by voice vote. The measure now moves from committee with a favorable recommendation.

The committee adjourned after completing the vote and thanked witnesses who testified on implementation details.