National

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National HUBZone Small Business Conference
Best Practices for Successful HUBZone Program
Management
Rebecca Parks HUBZone Program Manager Defense
Supply Center Columbus rebecca.parks_at_dla.mil 614-6
92-3510 DSN 850-3510
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What is HUBZone?

• Historically Underutilized Business Zone
• Empowerment program to reinvest federal
  procurement dollars into economically distressed
  areas
• Program resulted from provisions contained in the
  Small Business Reauthorization Act of 1997

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HUBZone Benefits

• HUBZone Benefits
• Increased Employment Opportunities
• Increased Economic Growth in
• HUBZone Areas
• Increased Empowerment in
• Communities through Leveraging

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HUBZone Areas
http//map.sba.gov/hubzone/init.asp
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HUBZone Areas

• http//www.sba.gov/hubzone
• Search Location By
• City
• County
• State
• Address

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HUBZone Certification Requirements

• Must be a Small Business Concern
• Principle Point of Operations must be located in
  a HUBZone
• 35 of Employees must reside in A HUBZone
• At least 51 owned by U.S. citizen(s), Community
  Development Corporation, Agriculture
  Cooperative, Alaska Native Corporation, or Indian
  tribe

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Checking HUBZone Certifications

• Search HUBZone Certified Companies by state
• https//eweb1.sba.gov/hubzone/internet/general/app
  roved-firms.cfm
• Dynamic Small Business Search
• http//dsbs.sba.gov/dsbs/dsp_dsbs.cfm
• Enter Cage or Company Name
• Profile will have HUBZone Certification Date
• Also Search by NAICS, Keyword, State etc.

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HUBZone Set-aside Performance Requirements

• HUBZone Manufacturer
• A qualified HUBZone Manufacturer must supply 50
  of the cost of manufacturing, excluding profit
  and cost of materials, they may partner with
  other HUBZone SBCs to make the 50 and
  Subcontract the remainder to any manufacturer
  large or small
• HUBZone Non-manufacturing Concerns
• A qualified HUBZone non-manufacturer must furnish
  only end items manufactured or produced by
  HUBZone small business manufacturer concerns

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HUBZone Program Exceptions Waivers to the
Non-manufacturers Rule

• Exception - HUBZone set aside contract actions
  between 2,500 and 25,000, a qualified HUBZone
  SBC may supply the end item of any manufacturer,
  including a large business
• Waiver - There is no provision for a waiver to
  the non-manufacturers rule for HUBZone Set Asides
  

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HUBZone Contracting

• Sole Source
• Contracting Officer does not have a reasonable
  expectation that two HUBZone offers will be
  received. Cannot exceed 5 million for
  manufacturing, or 3 million for all other
  requirements and must meet fair market pricing
• Competitive
• Contracting Officer must have reasonable
  expectation that at least two qualified HUBZone
  concerns will submit offers at fair market value

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HUBZone Contracting

• Price Evaluation Preference
• Contract Requirements
• Full and Open Competition
• Over SAT
• Must Include FAR Clause 52.219-4

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HUBZone Strategy

• Customer Service Approach
• Contracting Officers
• HUBZone Contractors Database
• Assistance in Acquisition Planning
• NSN List of HUBZone Items and Sources
• HUBZone Companies
• Notifications of Upcoming Set-Asides
• Assistance in RFQ Preparation (General)
• Source Development

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HUBZone Strategy

• GOALS
• Make HUBZone Set-Aside Procurements Easier for
  Contracting Officers
• Ensure Successful HUBZone Participation in These
  Set-Asides
• Change Perception of Set-Aside Process from
  Hindrance to Partnership

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HUBZone Strategy

• HUBZone Contractors Database
• Derived from the Dynamic Small Business Search
• Stored in the DSCC Shared Drive and Acquisition
  Portal
• Fields Include CAGE, Government Sales POC and
  Contact Information, NAICS Code, FSC, Keywords,
  Award Data

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HUBZone Strategy

• HUBZone Contractors Database continued
• Access Database
• Contracting Personnel Can Execute Queries to Find
  Exactly What They Need (i.e. NAICS)

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HUBZone Strategy

• Assist in Acquisition Planning Stage
• Meeting with Small Business Specialist
• Extracting HUBZone Sources
• HUBZone Pre-solicitation Workshop
• Search HUBZone Certifications
• Liaison between Buyer and Contractor

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HUBZone Strategy

• HUBZone Notifications
• Marketing for Upcoming HUBZone Set-asides to
  Ensure Success and Awareness
• Utilization of PTACs
• Source Development
• Targeted Outreach
• Site Visits with Technical Engineer

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HUBZone Strategy

• HUBZone Pre-Solicitation Workshop
• Created Webpage with Link to Register
• Emailed Interested Parties from Database

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HUBZone Strategy

• HUBZone Pre-Solicitation Workshop
• Agenda Topics Included Surge and Sustainment,
  Packaging, Drawings, RFP Preparation, and
  Forecasting Option Years/Filling in Excel File
  with Calculated Options, Delivery etc.

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HUBZone Strategy

• HUBZone Pre-Solicitation Workshop
• Attendees Included HUBZone Companies, PTACs,
  Manufacturers Representatives, Manufacturing
  Business Development Organizations, Contracting
  Personnel Involved, and Subject Matter Experts

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HUBZone Strategy Case Examples

• Land Project
• 98 NSNs
• 48 Awarded
• 1.5 Years to Award
• 49 Coverage

• Maritime Project
• 631 NSNs
• 619 Awarded
• 85 Days to Award
• 98 Coverage

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HUBZone Updates

• HUBZone Tracts wont move until the 2010 Census
  is complete (est. 2012)
• SBA HUBZone Matching
• Checks FedBizOpps for Procurements that could
  have been set-aside for HUBZone
• Sends Email to Contracting Officer to Notify them
  of HUBZone Sources that could have received
  contract for future awards and awareness

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HUBZone Updates

• Regulatory Changes
• HUBZone Companies must recertify every 3 years
  instead of annually
• HUBZone Construction Firms may only subcontract
  50 of the work instead of 85
• HUBZone Firms can only enter into Joint Ventures
  with other HUBZone Concerns and still be
  certified in the program
• HUBZones are Eligible for the Mentor Protégé
  Program

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HUBZone Goal

• Federally Mandated 3 of Contract Dollars Awarded

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HUBZone

• QUESTIONS??