HUB Subcontracting Plan (HSP)

HHS strives to provide access to procurement opportunities to HUB businesses in all of its contracts. In addition to contracting directly with HHS agencies, HUB businesses may find further opportunities available through subcontracting.

The State of Texas requires that every agency determine if probable subcontracting opportunities exist prior to soliciting bids, proposals, offers, or other applicable solicitations valued at $100,000 or more. When subcontracting opportunities are likely, all responses are required to include a HSP.

Respondents must demonstrate a good faith effort to include HUB business in all of their subcontracting needs. Good faith efforts are defined by dividing the contract work into reasonable lots or portions in accordance with industry standards. The respondent must determine what portions of the contract, including staffing, goods, materials, equipment and services will be subcontracted.

A respondent must use one of the following good faith effort methods to satisfy this requirement:

Solicitation Method

  1. Provide written notification to a minimum of three (3) Texas HUB certified businesses per subcontracting opportunity;
  2. Provide written notification to a minimum of two (2) trade organizations or business development centers per contract;
  3. Include the scope of work, information regarding the location to review plans and specification, bonding and insurance requirements (if applicable), required qualifications, identify a respondent’s contact person and their contact information; and
  4. Allow seven (7) working days for HUB businesses and trade organizations/business development centers to respond. 

Mentor – Protégé Program

If the respondent is participating as a mentor in a State of Texas Mentor-Protégé Program, the respondent may use the HUB protégé as a subcontractor to perform the specific work listed within the HSP.

Learn more about the Mentor-Protégé Program.

Using all Texas Certified HUB Subcontractors Method

The respondent will be awarding all subcontracts to only Texas-certified HUB businesses, regardless of the percentage utilized (cannot use non-HUBs subcontractors in this method).

Meeting or Exceeding the HUB Goal

Use if the respondent will be subcontracting any portion of the contract to Texas-certified HUB and non-HUB businesses, and the total percentage of all of the subcontracted work that will be awarded to Texas-certified HUB businesses will meet or exceed the HUB goal on the contract. HUB businesses previously used by the respondent for more than five (5) or more years in a continuous contract cannot be used to meet the HUB goal.

A continuous contract is any existing written agreement (including any renewals that are exercised) between a prime contract and a HUB business, where the HUB provides the prime contractor with goods or services under the same contract for a specified period of time.

Self – Performing Method

The respondent will not subcontract any portion of the contract and will fulfill the entire contract with its own resources.

The HHS HUB Program Office is available to provide assistance to all respondents. Respondents may also contact us to request an HSP Courtesy Review prior to the submission of the proposal.

Call (512) 406-2570 or email hhschuboutreach@hhsc.state.tx.us.

(HSP) Post-Contract-Award Requirements

Upon a contract award, the HSP submitted with the proposal becomes a contract provision and must be implemented in good faith. The HHS HUB Program meets with every successful contractor and conducts a HUB Post-Contract-Award Meeting to provide guidance for maintaining compliance with the HSP contract provision and the reporting requirements. To help vendors understand the expectation of implementing the HSP in good faith, the HUB Program has provided specific training aimed at promoting HUB compliance through the duration of the life of the contract.