Lab directs millions to small businesses

Contact: Steve Sandoval, steves@lanl.gov, (505) 665-9206

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LOS ALAMOS, N.M., Aug. 27, 2001 -- Procurements by the Department of Energy's Los Alamos National Laboratory have generated awards to small businesses exceeding $1 billion over the past five years.

And the Laboratory is directing an increasingly large percentage of its annual procurements to small businesses in the seven-county region of Northern New Mexico in support of an ongoing effort to enhance economic development of the region and as a result of outreach programs, networking and special initiatives.

Los Alamos Principal Deputy Director Joe Salgado presented details of the Laboratory's efforts with small businesses to members of the House of Representatives' Committee on Small Business at a hearing in Santa Fe today.

"The Laboratory is committed to small-business procurements, particularly in Northern New Mexico," Salgado said. "In this fiscal year, for example, we will place about $1 billion in procurements. Our goal is to place 35 percent, or $335 million, with small businesses. We are on track to exceed that goal."

The Laboratory has instituted a number of programs to increase its effectiveness in placing procurements in Northern New Mexico, including

• Certifying regional firms for Historically Underutilized Business designation, which gives them priority procurement status for federal and Laboratory contracts;
• Establishing a web site and newsletter to inform regional businesses about procurement opportunities;
• Hosting business conferences to educate New Mexicans on how they can most effectively work with the Laboratory; and
• Hosting technology expositions to educate Laboratory scientific and technical staff on the availability of products from Northern New Mexico small businesses

"We feel strongly that the small businesses of Northern New Mexico must have the best opportunity we can offer to do business with the Laboratory," Salgado said. "We will continue to provide technical support to area small businesses so that they may successfully compete for more and larger procurements."

For example, Salgado described a recent effort to solicit four small, disadvantaged businesses in the region to provide networking equipment for the Laboratory's computing division, which led to a five-year, $4 million contract to Abba Technologies Inc.

Another recent success is the award of a $1.6-million contract to the Anvil Welding Company of the Española Valley under the HUB Zone Program to provide wood-incineration equipment for the Cerro Grande Fire rehabilitation project.

Total expenditures to Northern New Mexico small businesses in Fiscal Year 00 were $110 million and involved 454 firms. Total expenditures to all small businesses nationally this year are expected to be about $335 million.

"We have consistently exceeded the small-business goals set by the Department of Energy," Salgado told the committee.

Los Alamos National Laboratory is operated by the University of California for the Department of Energy's National Nuclear Security Administration.