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Committee sends Small Business Set‑Aside (HB 863) forward; bill asks state agencies to aim for 20% small‑business participation

February 25, 2026 | 2026 Legislature Georgia, Georgia


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Committee sends Small Business Set‑Aside (HB 863) forward; bill asks state agencies to aim for 20% small‑business participation
Representative Rees presented HB 863, the Small Business Set‑Aside Act (substitute LC 590367S), asking state agencies to make reasonable efforts to give at least 20% of annual procurement contracts to Georgia small businesses.

Rees said the measure is nonbinding guidance and not a preference or penalty scheme; witnesses, including Marquis Tate of the Atlanta Black Chambers and Georgia Realtors, testified in favor, saying the directive would improve competition, keep more taxpayer dollars local and expand opportunity for underserved vendors.

The committee voted to pass the bill.

What happens next: HB 863 proceeds through the House; because it is nonbinding guidance, effects will depend on subsequent agency implementation and reporting.

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