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Historically Underutilized Business (HUB) Program

What is a HUB?

A HUB is defined as a business formed for the purpose of making a profit and is otherwise a legally-recognized business organization under the laws of the State of Texas in which at least 51 percent of the business is owned, operated, and controlled by one or more who are economically disadvantaged and who have been historically underutilized because of their identification as members of these groups:

  • Black Americans - includes all persons having origins of Black racial groups of Africa
  • Hispanic Americans - includes all person of Mexican, Puerto Rican, Cuban, Central or South America, or other Spanish/Portuguese culture or origin, regardless of race
  • Asian Pacific Americans - includes persons whose origins are from Japan, China, Taiwan, Korea, Vietnam, Laos, Cambodia, the Philippines, Samoa, Guam, the U.S. Territories of the Pacific, or the Northern Marianas; and Subcontinent Asian Americans which includes persons who origins are from India, Pakistan, Bangladesh, Sri Lanka, Bhutan, or Nepal
  • Native Americans - includes persons who are American Indians, Eskimos, Aleuts or Native Hawaiians and
  • American Women - includes women of any ethnicity, including all that are listed above.

Eligible entities must have their principal place of business located in Texas where the majority HUB owner(s) makes the decisions, controls the daily operations of the organization, and participates in the business. The qualifying owners must be residents of the State of Texas.

HUB Participation Goals

The Texas Legislature requires all state agencies to make a good faith effort to assist HUBs in receiving a portion of the total contract value of all contracts that the agency expects to award in a fiscal year. The HUB goals for the UT Permian Basin:

  • 00% -- Construction
  • 00% -- Building Construction
  • 00% -- Special Trades
  • 00% -- Professional Services
  • 00% -- Other Services
  • 41% -- Commodities

Annual HUB Reports can be viewed on the Texas State Purchasing Website. These reports can help higher education institutions track their expenditures and utilize the numbers as a bench marking tool to meet or exceed HUB utilization in the above categories. HUB Reports can also be used by vendors and the public to determine where state agencies purchase products or services.

Once this has been identified, vendors can contact that agency's HUB Coordinator to introduce their business and further understand state procurement.

HUB Certification

In pursuit of these goals, UT Permian Basin is committed to increasing opportunities for HUBs. Qualifying minority- and women-owned businesses are strongly encouraged to apply for certification as a HUB through the Texas Comptroller of Public Accounts (CPA).

A business owner must complete a HUB Certification Application and submit it to the CPA to become a certified HUB vendor with the State of Texas. HUB certification remains effective for four years and is free of charge.

Certified HUBs are included in the HUB directory, which is maintained by the CPA and accessed by state agencies searching for certified HUBs. Certification does not guarantee the award of contracts to HUB businesses, but it does increase their visibility within the state contract/procurement process.

State Contracting and the HUB Program Slideshow

For more information regarding the HUB program and certification, visit call the CPA at 512-463-5872 or toll free at 888-863-5881.

Webinar For HUB Vendors

The Statewide HUB Program will share business development tips and provide answers to questions to help HUBs during this difficult time.