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Legislation establishing policies and spending priorities for the Defense Department also aims to boost federal contracting to small businesses.
The Senate passed the National Defense Authorization Act on a 70-27 vote Wednesday, sending the bill to President Barack Obama. The president, however, has threatened to veto the legislation because it includes funding from a special account to get around spending caps imposed by sequestration.
If Obama goes through with a veto, it’s not clear if there are enough votes in the House and Senate to override it.
The provisions boosting contracting to small businesses are not controversial, however, and could be included in future legislation if this bill isn’t enacted.
Rep. Steve Chabot, R-Ohio, who chairs the House Small Business Committee, said more than 100,000 small businesses have dropped out of federal contracting since 2013. That’s bad news for the government, as well as for businesses that have lost this potential source of revenue.
Read more: Defense bill could help small businesses win more government contracts
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