Hey everyone, I'm trying to figure out these HUB requirements I keep seeing on Texas state and university solicitations. My company is a Hispanic-owned electrical firm in Jacksonville, FL, and we've been looking at some state-level RFQs for electrical services, like for Texas A&M. I keep seeing a HUB Subcontracting Plan (HSP) requirement in Section B of the solicitations, with a deadline to submit the HSP with our bid. I thought HUB was the federal HUBZone program, but then I saw on the Texas Comptroller's website that it's the Historically Underutilized Business program. Is the Texas HUB certification the same as the federal HUBZone certification? How does the HSP work for a subcontractor if we're not located in Texas? Does any other state recognize the Texas HUB certification, or is it just for Texas state agencies?
What is Texas HUB certification, is it the same as HUBZone, and does it matter outside Texas?
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The Texas HUB certification is not the same as the federal HUBZone certification, and Keisha is right that your firm would not qualify as a prime for Texas HUB because you are not located in Texas. However, as a subcontractor, your firm can still be listed on a Texas HUB Subcontracting Plan (HSP) even if you are not a Texas HUB-certified business. The prime contractor needs to show they made a good faith effort to find Texas HUBs, but if they can't, they can justify using non-HUB subcontractors. Your firm would simply be a non-HUB subcontractor on their HSP. Texas HUB certification is only for the state of Texas; other states have their own programs.
The Texas Historically Underutilized Business (HUB) certification is not the same as the federal HUBZone certification; they are separate programs with different eligibility criteria and purposes. The Texas HUB program is a state-level initiative designed to promote contracting opportunities for small businesses owned by socially and economically disadvantaged individuals within Texas. The federal HUBZone program, on the other hand, is administered by the Small Business Administration (SBA) and focuses on businesses located in economically distressed urban and rural communities across the United States.
Since your company is located in Florida, you would not be eligible for Texas HUB certification because a business must have its principal place of business in Texas to qualify. The HUB Subcontracting Plan (HSP) requirement you are seeing means the prime contractor must demonstrate how they will include Texas-certified HUBs in their subcontracting efforts. As an out-of-state firm, you would participate as a non-HUB subcontractor.
No other state recognizes the Texas HUB certification. Each state has its own procurement regulations and certifications designed to support its local businesses. If you plan to pursue state-level contracts in other states, you would need to investigate their specific programs and certifications, such as a Disadvantaged Business Enterprise (DBE) or MBE and WBE certification, which are distinct from federal small business programs.