SBA Extends HUBZone Map Freeze Through June 2023
Today, the U.S. Small Business Administration ("SBA") published a direct final rule to extend the Historically Underutilized Business Zone ("HUBZone") program map freeze until June 30, 2023.
SBA's previous HUBZone map freeze – which was implemented in response to the National Defense Authorization Act for Fiscal Year 2018 – was slated to end on December 31, 2021. However, SBA will not have the data necessary to update the HUBZone map to reflect the 2020 census results until December 2022. Thus, SBA's direct final rule extends the HUBZone map freeze through June 2023 to "permit SBA to process the data, update the HUBZone map, and provide adequate notice to the HUBZone small business community."
Unless SBA receives significant adverse comments, the direct final rule takes effect on June 21, 2021.
Takeaway
The extension of SBA's HUBZone map freeze is welcome news for contractors that were worried about losing their HUBZone status – and ultimately their eligibility for HUBZone set-aside contracts – due to map changes in December. With SBA's extension, HUBZone contractors will have breathing room to plan for the update of the HUBZone maps on July 1, 2023.
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