On April 7, 2011 Peter L. McClintock, Deputy Inspector General for the U.S. Small Business Administration, provided testimony before the Senate Committee on Indian Affairs, related to OIG audits of the Alaska Native Corporation's (ANC) participation in the SBA’s 8(a) Business Development Program. These audits were initiated as a result of complaints received by the OIG regarding ANC-owned firms and issues identified by a prior Government Accountability Office (GAO) audit related to SBA’s oversight of ANC 8(a) activity.
Under the program, 8(a) firms owned by ANCs, American Indian Tribes, and Native Hawaiian Organizations (NHOs), enjoy special procurement advantages beyond those afforded most 8(a) businesses. These advantages were intended to provide economic development opportunities for Alaska natives and other tribal members. Further discussed in this testimony are 8(A) Advantages for firms owned by ANCs, Tribes, and NHOS; Benefits ANCs derive from these advantages; Growth of ANC activity with the 8(A) program, and the SBA’s management and oversight of ANC participant activity.