Natural Resources Assistance Program

The federal government sells large quantities of natural resources and surplus real and personal property authorized for sale in accordance with public law. SBA cooperates with other federal agencies to channel a fair share of this property and resources to small businesses.

SBA's Natural Resources Sales Assistance Program is intended to ensure small businesses obtain a fair share of government property sales and leases through small business set-asides. SBA also provides counseling and other assistance to small businesses on government sales and leasing.

Items Covered Under the Natural Resources Assistance Program

The program covers five categories of federal resources:

  1. Timber and Related Forest Products

  2. Strategic Materials from the National Stockpile

    • The General Services Administration (GSA) regulates the procurement and disposal of strategic materials in accordance with statutory requirements.

    • Whenever a stockpile requirement is lowered, excess material may be sold. In those instances where small business may find it difficult to purchase its fair share because of the large quantities in which they are sold, the agencies may agree to divide the materials into small parcels, and/or set aside a reasonable amount for exclusive bidding by small business.

  3. Royalty Oil

    • Royalties due to the government under leases of federal oil rights for the exploration of oil may be accepted by the Secretary of the Interior in the form of oil or money. If the Secretary elects to accept oil in lieu of money, the oil is identified as "royalty oil."

    • If the Secretary of the Interior determines that sufficient supplies of crude oil are not available in the open market to small business refineries, preference will be granted to these refineries for processing royalty oil.

    • SBA refers qualifying small business refineries to the [2]U.S. Department of the Interior's Office of Natural Resource Revenue (ONRR) to assist small concerns in obtaining royalty oil

  4. Leases involving rights to Minerals, Coal, Oil, and Gas

    • The federal government is the extensive owner of mineral, oil, coal, and gas rights. Leases to recover these natural resources are normally sold by the government on a competitive basis.

    • SBA and the sales agency may jointly set aside a reasonable amount of leases for bidding by small concerns when it appears that under open bidding small businesses will not obtain its fair share.

  5. Surplus Real and Personal Property

    • The federal government disposes of property for which it has no foreseeable need. The property is first made available for donation to recipients authorized by law, such as educational and public health facilities, state and local governments, and other entities. The remainder is sold.

    • The two agencies of the government primarily concerned with surplus personal property sales are the Department of Defense and the General Services Administration. Scheduled sales are widely publicized as competitive bid sales.

For additional information, contact any of the Industrial Specialists listed below:



Industrial Specialist (forestry) U.S. Small Business Administration Office of Government Contracting 233 Peachtree Street, NE Suite 1900 Atlanta, GA 30303 Voice: (404)331-7587 x 206 Fax: (202) 481-1709 Email: 

Forest Service Regions: R8, R9 


KEVIN MICHAEL Industrial Specialist (forestry) 

U.S. Small Business Administration Office of Government Contracting 400 15th SW Auburn, WA 98001-1128 Tel: (253) 931-7161 Fax: (253) 931-7743 Email: 

Forest Service Regions: R1, R6, R10, and Bureau of Land Management 



Industrial Specialist (forestry) 

U.S. Small Business Administration 

2401 Fourth Avenue, Suite 400 

Seattle, WA 98121 

Tel: (206) 553-8546 

Fax: (206) 553-6263 


Forest Service Regions: R2, R3, R4, R5 



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