FAA is Incorporating Historically Underutilized Business Zone (HUBZone) Set-Asides

February 08, 2021

Historically Underutilized Business Zone

The FAA has added the ability to set-aside individual procurements to small Historically Underutilized Business Zone (HUBZone) certified businesses.   

Eligibility requirements for HUBZone certification includes a firm needing to be a small business concern owned at least 51 percent by U.S. citizens, a Community Development Corporation, a small agricultural cooperative, a Alaska Native Corporation (ANC), a Native Hawaiian organization, or Indian Tribal Governments, with its principal office located in the designated HUBZone and 35% of the employees living in the zone. These are typically areas that are of low median household incomes, high unemployment, or both.  The HUBzone footprint map supports long term investment in communities and is updated every five years.  Please visit the SBA’s HUBZone map webpage to view qualified HUBZone districts.  

Firms must be SBA-certified as a HUBZone small business concern to participate in FAA HUBZone set-asides. In addition, each frim claiming HUBZone status is required to complete the electronic annual representations and certifications via SAM to self-certify its eligibility.  Certifications can be verified on the List of Qualified HUBZone Small Business Concerns.
 
Currently, under the FAA’s Acquisition Management System (AMS), when appropriate, individual procurements may be awarded noncompetitively or set-aside competitively for award among HUBZone small businesses. Noncompetitive awards may only be made when the anticipated total value of the procurement (including all options) is $7.5 million or below for procurements assigned eligible manufacturing NAICS codes and $4.5 million or below for all other eligible procurements.  Please visit the FAA’s AMS Policy and AMS Guidance for additional information.