The House of Representatives passed H.R. 8229, the “Parity for HUBZone Appeals Act,” by voice vote on December 3, 2020. It would allow appeal of HUBZone decisions to the SBA Office of Hearings and Appeals.

What has long been a thorn in the side of HUBZone applicants or existing companies is, hopefully, on its way out the door. Currently, the only “appeal” process for adverse HUBZone determinations is to go right back to the SBA’s HUBZone Office and ask it to reconsider or submit a new application after waiting at least 90 days.  The Parity for HUBZone Appeals Act would give the SBA Office of Hearings and Appeals jurisdiction to decide appeals relating to whether an applicant qualifies as a HUBZone small business concern.

This is welcome news. As we blogged about previously, OHA currently lacks jurisdiction to hear these appeals. This sets the HUBZone Program apart from the other three major socioeconomic contracting programs (SDVOSB/VOSB, WOSB/EDWOSB and 8(a)), all of which allow a denied applicant or the losing party in a protest to appeal to OHA.  Allowing an appeals process not only helps ensure that a denied HUBZone applicant gets a chance to make its case to a judge, but will also allow for a body of publicly available HUBZone case law to be developed. This will greatly improve transparency, let HUBZone applicants know how the SBA applies the rules, and help ensure that all HUBZone applicants are treated fairly and equally. 

For HUBZone applicants, OHA appeals would be a game changer. The bill now heads off to the Senate, where we hope it will pass just as easily. Even in times where it is seemingly difficult to agree on anything, this is one where agreement just makes sense.

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The post HUBZone Appeals at OHA Are One Step Closer to Reality first appeared on SmallGovCon - Government Contracts Law Blog.

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