San Diego Small Business To Receive Help Landing Stimulus-Funded Contracts
Small businesses in San Diego that have felt shut out of opportunities provided by federal stimulus funding could get help qualifying.
The Small Business Administration has joined with the City of San Diego to help small local businesses overcome one of the hurdles preventing them from bidding on federal, state and city contracts. To qualify for a subcontract, companies have to be bonded for $5 to $10 million.
Ruben Garcia, director of the SBA in San Diego, says there are a lot of government contracts going out to bid.
“The one thing we found that was troubling was that a lot of the smaller companies wouldn’t even apply, because they knew that they couldn’t get the surety bonding. So hopefully we’re going to see a lot of that change,” says Garcia.
Garcia says the SBA can offer 90 percent backing for bonds of up to $10 million.
He says CalTrans has put out $400 million worth of construction work in the past six months. The military has billions of dollars in construction contracts in the region, and the city’s new main library project is also looking for bids.