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Small and Disadvantaged Business Utilization

This program ensures that small and disadvantaged businesses, minority firms, and women-owned businesses can compete for and win a fair share of the contracts that HUD awards.

HUD's Office of Small and Disadvantaged Business Utilization (OSDBU) serves as an ombudsman for small businesses, minority firms, businesses owned by disadvantaged persons, and women-owned firms ("target businesses") to make sure that they get a fair share of HUD's Federal contract awards?as mandated by the Small Business Act (SBA). Under this Act, every Federal agency must have an OSDBU that pursues this contracting goal.

Type of Assistance:
The Federal Government's goal under SBA is to award 23 percent of its prime contracts to small businesses. Within this goal, there is a subgoal of 5 percent for small, disadvantaged businesses and minority businesses, and 5 percent for women-owned small businesses.

To meet these SBA goals, HUD's program for small and small disadvantaged businesses and women-owned businesses includes many activities. The program:

  • Sets and tracks progress toward HUD's SBA contracting goals.

  • Ensures that all contracts over $500,000 ($1 million if public facility construction) include subcontracting goals.

  • Implements contract set-aside procedures for each HUD program.

  • Oversees HUD staff insofar as their duties relate to SBA.

  • Serves as a liaison with businesses of all sizes to ensure that target businesses are adequately considered for HUD procurement.

  • Coordinates SBA enforcement with HUD procurement staff.

  • Serves as a Federal intra- and interagency representative for target business matters.

  • Evaluates HUD's performance under SBA and reports to the SBA and other Federal agencies.

  • Helps target businesses understand SBA requirements.

  • Conducts assertive outreach to the small business community.

  • Participates in Government-industry conferences to assist target businesses.

  • Helps develop, implement, and review automated contracting systems for SBA compliance.

  • Assists HUD's program managers and contracting officers in complying with SBA.

  • 1.0 percent of prime contracts for HUBZone small businesses for FY1999 and not less than 1.5 percent for FY2000, 2 percent for FY2001, and 2.5 percent for FY2002 and 3 percent for FY2003 and each year thereafter;

  • 3 percent of prime and subcontracts for service-disabled veteran-owned small businesses.

Along with these basic activities, the program also puts a priority on women-owned businesses and coordinates HUD's efforts regarding the Small Business Regulatory Enforcement Act. OSDBU reviews HUD regulations for their potential impact on small businesses and serves as an ombudsman and honest broker for small businesses in clarifying and applying these regulations.

Eligible Grantees:
Not applicable

Eligible Customers:
Owners, managers, and staff members of small and disadvantaged businesses, minority firms, and women-owned businesses can benefit from this program's activities.

Not applicable.

Funding Status:
Not applicable.

Technical Guidance:
This program is authorized by Sections 8 and 15 of the Small Business Act, as amended (15 U.S.C. 637(a)). Program regulations are in 24 CFR 85.36 and Parts 241 and 242b of the HUD Acquisition Regulation. The program is administered by HUD's Office of Small and Disadvantaged Business Utilization. The contact persons are Meishoma Hayes and Arnette McGill-Moore at (202) 708-1428.

For More Information:
HUD's Office of Small and Disadvantaged Business Utilization maintains its own homepage on the Internet, which offers additional information.