Entire city of Fredericksburg to remain HUBZone
From Fredericksburg Department of Economic Development and Tourism
The entire City of Fredericksburg will remain in the federal HUBZone program until 2020, and potentially longer.
Three of the City’s six Census tracts had been scheduled to lose their HUBZone eligibility as of January 1, 2018. That changed with the recent signing of the National Defense Authorization Act (NDAA) for Fiscal Year 2018.
“We are delighted with the legislation and so thankful for all the work done by both our Congressional representatives and partners in the public and private sector,” said Bill Freehling, Fredericksburg’s director of economic development and tourism. “We believe this continued citywide HUBZone designation will have a positive effect on our economic development recruitment and retention efforts.”
The Small Business Administration’s (SBA) HUBZone program can help businesses win certain kinds of federal contracts. Eligible businesses must locate in a HUBZone, and at least 35 percent of their employees must live in a HUBZone.
The NDAA makes the following changes to the HUBZone program:
• Freezes the HUBZone maps until 2020 Census data are released and updates what Census tracts are eligible only every five years after that.
• Changes the way HUBZones are calculated, potentially expanding the program in certain areas.
• Requires the SBA to process HUBZone-certification applications within 60 days of the time the SBA receives a completed application.
• Provides state governors with the ability to petition the SBA Administrator to designate zones in areas that have higher unemployment rates.
The way the SBA uses data to determine HUBZone areas is established by law. Qualification (or requalification) of zones is calculated and determined by the SBA.
To see a map of which Fredericksburg properties/Census tracts had been scheduled to lose their HUBZone designations, go to Fredericksburg’s GIS system at gis.fredericksburgva.gov. Under “Tourism and Economic Development” on the left side of the page, select “HUBZones.”