re: Can a business offer two simple IRA plans?

Yes, you can use a different company for your simple - there's two different types of simple's, one does not let you. However, I would bet dollars to donuts your employer doesn't know if they have a 5304 or 5305. If they do know, ask them to amend. You can get the form online and do it for them if you were so inclined, assuming they'd sign it.

And all this is under the assumption you wouldn't look like a jerk for pushing the issue.