Are You in the Zone? City of San Antonio’s Procurement Technical Assistance Center (PTAC)
The Historically Underutilized Business Zones (HUBZone) Empowerment Contracting program was enacted into law as part of the Small Business Reauthorization Act of 1997 .
The program falls under the auspices of the U.S. Small Business Administration.
The program encourages economic development in historically underutilized business zones - "HUBZones"
SBA's HUBZone program is in line with the efforts of both the Administration and Congress to promote economic development and employment growth in distressed areas by providing access to more federal contracting opportunities and by:
Increasing employment opportunities
Stimulating capital investment in those areas
Empowering communities through economic leveraging and the “multiplier effect”
To qualify for the program, a business (except tribally-owned concerns) must meet the following criteria:
It must be a small business by SBA standards
It must be owned and controlled at least 51% by U.S. citizens, or a Community Development Corporation, an agricultural cooperative, or an Indian tribe
Its principal office must be located within a “Historically Underutilized Business Zone,” which includes lands considered “Indian Country” and military facilities closed by the Base Realignment and Closure Act
At least 35% of its employees must reside in a HUBZone.
Am I in a HUBZone?
Benefits Three types of HUBZone Prime Contract Benefits: Competitive: HUBZone contracts can be awarded if the contracting officer has a reasonable expectation that at least two qualified HUBZone small business concerns (SBCs) will submit offers and that the contract will be awarded at a fair market price. Sole-source: HUBZone contracts can be awarded if the contracting officer determines that: one qualified HUBZone SBC is responsible to perform the contract, two or more qualified HUBZone SBCs are not likely to submit offers and the anticipated award price of the proposed contract, including options, will not exceed: $5,000,000 for a requirement within the North American Industry Classification System (NAICS) code for manufacturing or $3,000,000 for a requirement within all other NAICS codes Full and open: Competitive contracts can be awarded with a price evaluation preference. The offer of the HUBZone small business must not be 10 percent higher than the offer of a non-small business. Other Benefits Through Federal prime contractors, subcontracting opportunities. Through SBA Office of Surety Guarantees, higher surety bond guarantees.
The Application Process
You can Apply for the HUBZone Certification Online .
The login method to HUBZone has changed from using an SBA Customer ID and password to using the SBA General Login System (GLS). This new login method requires any individual with authority to submit, update and/or commit on behalf of the company to have a SBA GLS User ID and Password registered in SBA's GLS system.
You must have the following to login and apply for the application:
An active & up-to-date Dun and Bradstreet profile and DUNS number that represents the business for which you are seeking HUBZone Program certification.
An active CCR profile for each of the businesses location(s). A business is identified using your Employer Identification (EIN).
Small Business Administration (SBA) Go to SBA’s Website for additional information www.sba.gov/hubzone