State business with small Illinois firms nearly tripled last year
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Over 1,500 new small businesses competing
for government business; small businesses now providing more
products and services to Illinois government
Small
Business Set Aside Program grows by $25 million and hits new record;
fosters business growth for Illinois’ entrepreneurs
[OCT. 26, 2006]
SPRINGFIELD – Small Illinois companies
won a record amount of state business during the last fiscal year,
thanks to the expansion of the state’s Small Business Set Aside
Program and an aggressive outreach effort, Governor Rod R.
Blagojevich announced today. A record $39 million in set-aside
contracts were awarded to small Illinois firms in the fiscal year
ended June 30. Additionally, nearly 1,500 new Illinois small
businesses are now engaged in the state procurement process, which
is fostering greater competition and expanding opportunities for
these firms.
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“Small businesses are the backbone of our economy,
creating jobs and providing services in communities all over our
state. But for too long, complicated procurement rules and
bureaucracy essentially excluded small businesses from opportunities
to win business with the state. That’s why we established the Small
Business Set Aside program, to ensure that small businesses that are
good at what they do can have a chance to compete for contracts to
provide goods and services to state agencies. By fostering small
business growth, we are expanding opportunities for entrepreneurs
and creating jobs for Illinois workers,” Gov. Blagojevich said.
As a result of legislation passed in 2004 and concentrated efforts
to grow the Small Business Set Aside program, the Blagojevich
Administration has:
• Expanded the number of contracts set aside and awarded to small
firms to $39 million, a full 176% increase over fiscal year 2005
total of $14 million. Before the program was expanded, the state
historically awarded approximately $6 million in set aside contracts
each year.
![](http://archives.lincolndailynews.com/2006/Oct/26/images/ads/current/HOT06.png) • Increased the number of small Illinois firms registered in the
program by 80%, from 1,925 on January 1, 2005 to 3,455 on June 30,
2006, through statewide business outreach.
“More and more small Illinois companies are now competing for state
business. Gov. Blagojevich understands that expanding these programs
gives entrepreneurs throughout the state a chance to increase their
revenues and expand their business,” said State Senator James DeLeo
(D-Chicago).
“The Small Business Set Aside Program is important because Illinois
government can give preference to Illinois businesses. As a result,
we keep more money in our state, which helps keep our economy moving
forward and local companies create jobs for local workers,” said
State Representative David Miller (D-Dolton).
The Department of Central Management Services (CMS) has led many
efforts to engage more small and diverse firms. During the first two
years of the Administration, the agency reorganized and streamlined
the state’s procurement operations, which the National Association
of State Procurement Officials recognized with its highest honor, a
Gold Cronin Award, in 2004. Through this past year, CMS held 69
workshops with hundreds of small and diverse business owners, and
launched www.sell2.illinois.gov and a call center at 1-866-ILL-BUYS,
to help vendors navigate through the procurement process.
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“Illinois counts on small businesses to create jobs and drive our
economy, and we also count on them to provide many of the goods and
services that the state needs to operate,” said CMS Director Paul
Campbell. “Acting on Gov. Blagojevich’s directive, we’ve shown that
more firms competing for state business is better for Illinois
taxpayers and Illinois companies.”
Eligible businesses are encouraged to enroll in the Small Business
Set Aside Program and Business Enterprise Program (for firms owned
by women, minorities and persons with disabilities) by visiting
www.sell2.illinois.gov. Besides registering for these special
programs, business owners are encouraged to register their product
or service specialties on the Illinois Procurement Bulletin: once
enrolled, they automatically receive email notification when the
state is requesting bids or proposals in their product or service
category.
“The state’s Small Business Set Aside Program has played an
instrumental role in helping many women and minority owned
businesses through new business opportunities with the state, which
helps them to expand their operations and increase their revenues,
and I commend the Blagojevich Administration for making this a
priority,” said Hedy Ratner, Co-President of the Women’s Business
Development Center.
“Thanks to Gov. Blagojevich’s leadership, more businesses now have
the opportunity to win state contracts. By giving access to
opportunities to all Illinois residents, we create a stronger
economy and a stronger Illinois,” said Juan Ochoa, President of the
Illinois Hispanic Chamber of Commerce.
“State government can be an important force to enable opportunities
for small and minority-owned businesses, and these results show that
Gov. Blagojevich’s efforts to support these entrepreneurs are moving
in the right direction,” said Larry Ivory, President & CEO of the
Illinois State Black Chamber of Commerce.
![](http://archives.lincolndailynews.com/2006/Oct/26/images/ads/current/sheriff%202006.png)
In addition to the $39 million that small firms won through the
Small Business Set Aside program where they compete only against
other small firms, they also won a significant amount of business
when competing outside the program – an estimated $98 million last
fiscal year.
As a result of Public Act 93-0769, wholesale and construction
businesses making $10 million or less are eligible for the Small
Business Set Aside program, up from $7.5 million; retail/service
businesses making $6 million or less are eligible to participate in
this program, up from just $1.5 million in annual revenues.
[News release] |