HUBZone Help

Are You Ready for E-Verify

The requirement to comply with E-Verify for employees is set for September 1, 2009.  E-verify will require many, if not most, Federal government contractors to use the E-Verify system to check the immigration status of some of their employees.  This requirement is a result of President Bush's Executive Order 13465 issued in June 2008.  See text here.

The Final Rule, with comments on the proposed rule along with the changes to the Federal Acquisition Regulation can be downloaded here. The total announcement with comments is 55 pages.  Download Everify

There is a discussion of the requirement by the National Immigration Law Center here.

Posted at 03:47 PM | Permalink

The requirement to comply with E-Verify for employees is set for September 1, 2009.  E-verify will require many, if not most, Federal government contractors to use the E-Verify system to check the immigration status of some of their employees.  This requirement is a result of President Bush's Executive Order 13465 issued in June 2008.  See text here.

The Final Rule, with comments on the proposed rule along with the changes to the Federal Acquisition Regulation can be downloaded here. The total announcement with comments is 55 pages.  Download Everify

There is a discussion of the requirement by the National Immigration Law Center here.

Linkedin Provides Contracting Support and Information

Linkedin, a social networking network for business and professions has several groups that are related to Federal government contracts.  These groups provide different viewpoints and there may be one (or more) that are helpful to you.  Register on Linkedin.com and search for government contracts groups.  Some are focused on teaming opportunities for federal contractors and some share information and insights.  One group, The Federal Contractor Network, has its own website at http://www.federalcontractor.us.  It is worth your time to check it out.

Power Law Office to Open Website to Support Veterans

Power Law Office will open a website in June whose purpose is to support veterans.  The new website, powerforveterans.com, will initially provide information on federal contracting programs supporting veteran owned business.  Later, information on VA veteran benefits will be provided.   You can make sure you receive information about when the new website will be up and running by subscribing to Power Law Office's newsletter at powerlawoffice.com and going to the subscribe page.

Small Business Financing

Eric Zamikow, Director of Financial Assistance for the SBA was online to answer questions from small business owners.  Mr. Zamikow answered wide ranging questions about different aspects or opportunities for small business financing.  The entire transcript of the questions and answers as reported by The Washington Post can be seen here.

DoD HUBZone Contracting Preferences Enjoined

A Federal District Court enjoined the Department of Defense from using contracting preferences in 10 U.S.C. 2323 to benefit HUBZone concerns as well as socially and economically disadvantages small businesses.  The sectiion had been declared unconstitutional because it was based upon racial classifications that the Court of Appeals for which the Federal Circuit found Congress did not have a proper basis. 

The government argued that only those parts of the statute relating to racial classifications should be enjoined.  Notably, the HUBZone program is not based upon racial classification.  However, the court found that if the HUBZone preferences were not enjoined then the HUBZone program would benefit from the entire 5 percent goal and that was intended for all the small business programs.  The court found there was no evidence Congress would have approved this result.  The complete decision with a DoD policy memo can be found here.  At this time the decision only applies toDoD contract awards.

Office on Indian Reservation Qualifies as an Office in a HUBZone

A principal office located on an indian reservation qualifies as an office in a HUBZone.  Many indian tribes are building office sites on reservations as part of their economic development.  By moving into an office space on an indian reservation a business can establish a principal office in a HUBZone which is one of the requirements to qualify as a certified HUBZone concern.  If you are interested in finding out if there is a reservation that could serve as an office location I have installed a link on the general link page on hubzonehelp.com to a listing of all indian reservations.  Not all reservations will be able to lease office space but you can contact those near you to find out if they do.

$1.3 Million Settlement In HUBZone Fraud Suit

The U.S Department of Justice announced on January 26, 2009 that it settled a suit alleging fraud in the award of Federal highway contracts.

According to Assistant United States Attorney Catherine Swann who litigated the case, the government alleged that Mercer-Fraser Company applied for entitlement to preferences and was awarded federal road construction contracts pursuant to false representations that it qualified as a “HUBZone” Small Business Concern. DOJ press release.   For more information see articles in the Times Standard and North Coast Journal.

5 Tips for Landing a Government Contract

This article, appearing in Small Biz on smartmoney.com, provides 5 tips for getting more government contracts.  It emphasizes the role of special programs, such as the HUBZone empowerment program, in helping small businesses.  See entire article.

House Small Business Committee Looking Into SBA Oversight.

    The House Small Business Committee intends to examine the role of Alaska Native Corporations in the Small Business Administration’s 8(a) contract set-aside program after allegations of fraud were raised.

  The committee, chaired by Rep. Nydia Velázquez (D-N.Y.), said Jan. 28 that wants to check on SBA’s oversight of the program to stop further attempts at fraud. The committee said it also plans to follow up on regulations concerning the Historically Underutilized Business Zone program. Last year, the Government Accountability Office revealed alleged scams by companies to gain HUBZone eligibility. GAO then set up several fake HUBZone companies to prove SBA’s lack of oversight.

“The committee will examine the SBA’s contracting and business development to ensure that the agency’s efforts are meeting the needs of small businesses,” according to the committee’s priority list.

This was reported in Federal Computer Week.  Complete story here.

 

Free HUBZone CD to Enforce Rights to Set-Aside Preference

As a HUBZone business you should know that Congress favors HUBZone set-asides over other small business set-asides, including 8(a) and Veterans. The Small Business Administration supports this policy but many local SBA officials and even more contracting officers seem to be unaware of this HUBZone preference, They continue to solicit contract requirements as 8(a), Veterans, or other small business set-asides that are required by law to be set-aside exclusively for HUBZone businesses participation.

I represented the contractor in the Federal court cases that upheld the preference for HUBZone set-asides over other types of set-asides. Yet I have seen contracting officers fail to apply the preference for HUBZone set-asides for years. Unless HUBZone businesses act to insist upon their legal rights there will not be enough HUBZone set-asides.

To protect your rights as a HUBZone certified small business I have gathered the legal basis for the HUBZone set-aside preference, including language in the Small Business Act, the SBA regulations, the FAR regulations, and the court and GAO decisions upholding the HUBZone preference, and put these on a CD. Along with these I also include a letter to send to contracting officers pointing out their legal obligation to issue a solicitation as a HUBZone set-aside. The letter is in both Word and WordPerfect format and you can easily customize it for many solicitations. This CD provides you with the tools you need to make sure that the government provides the HUBZone set-asides for you that Congress and SBA require.

To get a copy of the HUBZone CD, go to www.powerlawoffice.com  and  subscribe to our newsletter, and then send us an e-mail at info@powerlawoffice.com with the name and address to which you want the CD sent. If you know anyone else who would like this CD, please forward this information to them.