The Small Business Administration (SBA) is proposing major changes to the Historically Underutilized Business Zone or HUBZone program. The Federal Register defines a HUBZone as, “small business concerns are those that have a principal place of business located in a HUBZone and 35 percent of their employees residing in one or more HUBZones. After SBA certifies eligible businesses into the program, they become eligible for HUBZone contracting preferences. HUBZone areas are generally defined as areas with low income levels, high poverty and unemployment rates, Indian reservations, closed military bases, or disaster areas.”

SBA is seeking comments on the following:

  • eliminating the burden on HUBZone small businesses to continually demonstrate that they meet all eligibility requirements at the time of each offer and award for any HUBZone contract;
  • requiring only annual recertification;
  • allowing small firms to count employees as living in a HUBZone if they move out of the area after initial certification or if the area no longer qualifies as a HUBZone.

You have more than a month to comment, so let SBA know what you think. Submit all comments with the identifier RIN 3245-AG38 by either the Federal eRulemaking Portal or mail (for written, CD, or disk submissions) to Mariana Pardo, Director, HUBZone Program, 409 Third Street SW, Washington, DC 20416.   (Federal Register)

Give us a call for assistance with your comments at 301-913-5000.