Texas Comptroller of Public Accounts
Statewide Historically Underutilized Business (HUB) Program
• Things to know before getting to the ABC’s
of HUB certification, CMBL registration and
Procurement Resources
o Statewide HUB Program
o Centralized Master Bidders List
o Electronic State Business Daily
Paul Gibson
Statewide HUB Program, Manager
Things to know before getting to the
ABC’s of HUB certification………
• Procurement is a major activity for the state and the
system is designed to ensure fair and equitable
treatment of all individuals that participate in the
procurement process. Vendors are an important
element in this process and vendor participation is
crucial to the success of existing and new programs.
• The Texas Comptroller of Public Accounts (CPA) - Texas
Procurement and Support Services (TPASS) division has
developed the State of Texas Vendor Guide to acquaint
vendors with general information about the state’s
procurement processes and encourage all vendors to
become suppliers to the state.
• The State of Texas Vendor Guide is available online at
http://www.cpa.state.tx.us/procurement/pub/vendor_guide.pdf
and provides a current source of information for
prospective vendors regarding the many selling
opportunities existing in the State of Texas.
Mandatory Source Procurement
(Set Aside Programs)
• State Statutes and the CPA Rules require state agencies
to purchase certain approved products and services from
mandatory sources [i.e., the Texas Industries for the
Blind and Handicapped (TIBH) and the Texas
Correctional Industries (TCI)].
• The goods and services offered by these mandatory
sources must meet the procuring agency’s specified
requirements, including quality and urgency of need.
• The procurement of such products and services from
TIBH or TCI is not subject to the competitive solicitation
requirements of the Texas Government Code and the
CPA Rules.
Delegated Purchasing Authority
The authority to purchase is delegated to state agencies by
the CPA as allowed by state statutes and CPA Rules.
Agencies are delegated the authority to purchase
commodities up to $25,000 and services up to $100,000.
Also delegated to state agencies are:
• Direct publication purchases;
• Perishables (food-related) purchases;
• Distributor purchases;
• Fuel, oil and grease purchases; and
• Emergency purchases.
Procurement requirements for goods and services in
excess of a non-exempt agency’s delegated purchasing
authority are forwarded to TPASS for processing. With
limited exceptions, the rules for competitive procurement
apply.
Purchase of Commodities
A commodity purchase is a procurement of supplies, materials
or equipment and does not include the purchase of real
property or services.
CPA has delegated to non-exempt state agencies the
authority to purchase commodities with an estimated dollar
amount that does not exceed $25,000. Commodity
purchases that are not covered by the delegated purchasing
authority are:
• Any item required by statute to be purchased from a
particular source. (Commodity items and services currently
available through the Texas Council for Purchasing from
People with Disabilities and the Texas Correctional
Industries);
• Any item on a CPA statewide term contract, unless the item
fails to meet the specified needs of the agency, including
budgetary considerations, or the quantity purchased is less
than the minimum quantity specified under the term contract
including price and delivery schedule; or
• Any item designated by CPA as a scheduled purchase.
Purchase of Services
All purchases of services over $100,000 per year are not
delegated and are to be prepared in the appropriate
manner for a CPA Open Market requisition with complete
specifications and submitted to CPA for review.
CPA may choose to process the requisition and issue the
order accordingly, or, if there is no competitive advantage,
the CPA may delegate the purchase back to the agency.
Procurement Thresholds
• Procurement opportunities up to $5,000 does not require
a competitive bid process; however, purchasing from state of
Texas certified HUBs is encouraged. Agencies will frequently
refer to vendors registered/active on the CMBL with the NIGP
Codes applicable to the products or services being procured
by the agency, and relevant to the Texas Highway District(s)
where vendors can provide their products or services.
• Procurement opportunities over $5,000 to $25,000
requires state agencies to solicit a minimum of three (3)
vendors registered/active on the CMBL with the NIGP Codes
applicable to the products or services being procured to
include relevant Texas Highway District(s) where vendors
can provide their products or services. Two of the three (3)
vendors solicited must be Texas certified HUBs.
• Procurement opportunities over $25,000 requires state
agencies to send notice of the procurement opportunity to all
the vendors registered/active on the CMBL with the NIGP
Codes applicable to the products or services being procured,
and are relevant to the Texas Highway District (s) where
vendors can provide their products or services.
Statewide HUB Program
The statewide HUB Program facilitates the use of HUBs
in state procurement and provides information on the
state's procurement process.
In accordance with HUB Rule §20.10 (relating to Policy
and Purpose) and Government Code, §2161.181 and
§2161.182, each state agency shall make a good faith
effort to utilize HUBs in contracts for construction,
services (including professional and consulting
services) and commodities purchases.
Statewide Annual HUB Utilization Goals
Each state agency shall make a good faith effort to assist
HUBs in receiving a portion of the total contract value of all
contracts that the agency expects to award in a fiscal year.
State agencies may achieve the statewide and/or their
agency-specific annual HUB goals specified in their
Legislative Appropriations Request by contracting
directly with HUBs or indirectly through subcontracting
opportunities.
The Statewide Annual HUB Goals are:
 Heavy construction other than building contracts - - 11.2%
 Building construction, including general contractors and
operative builders contracts - - 21.1%
 Special trade construction contracts - - 32.7%
 Professional services contracts - - 23.6%
 Other services contracts - - 24.6%
 Commodities contracts - - 21%
HUB Qualifications
A "Historically Underutilized Business“...
• is a for-profit entity that has not exceeded the
size standards prescribed by 34 TAC §20.23;
• has its principal place of business in Texas; and
• is at least 51% owned by
o
o
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o
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o
Asian Pacific American;
Black American;
Hispanic American;
Native American;
American woman; and/or
Service Disabled Veteran
• who reside in Texas and actively participate in
the control, operations and management of the
entity's affairs.
Service Disabled Veteran (SDV)
…..as defined by 38 United States Code
(U.S.C.), Section 101(2) who have a
service-connected disability as defined
by 38 U.S.C. Section 101(16), and have
a disability rating of 20 percent or more
as determined by the Department of
Veterans Affairs or the Department of
Defense.
- - Required Documentation - • Military Discharge form DD214
issued by the Department of Veterans Affairs
or the Department of Defense
• Disability Rating Letter
issued by the Department of Veterans Affairs
• Certification of Military Service
form 13038
issued by the National archive
Benefits of HUB Certification
 HUB Certification is free of charge.
 4 year certification, provided that the business continues to meet
the eligibility requirements.*
 Business profile is captured in the Comptroller’s web-based HUB
Directory.
 State agencies use Comptroller’s CMBL/HUB Directory
Search to solicit bids from certified HUBs for state
purchasing and public works contracts. Prime contractors
also use the CMBL/HUB Directory Search to identify HUBs
who may be able to perform their subcontracting
opportunities.
 Increased exposure to the general public, as well as, other
entities who have a supplier diversity program and are searching
for minority-, woman- and SDV-owned Texas certified HUBs.
*Note: If HUB certification is granted through a certification agreement approved through the TPASS
Division of the Comptroller’s , the term of the applicant’s HUB certification shall coincide with the
certifying entity’s certification.
HUB Certification Agreements
In accordance with Texas Administrative Code § 20.17, in order to maximize the number
of certified HUBs, TPASS pursues certification agreements with local governments and
nonprofit organizations in Texas which certify businesses under substantially the same
definition as a HUB and meet certification standards as defined by TPASS.
Texas based minority-, woman- and SDV-owned businesses who are certified with an
organization listed below may receive HUB certification automatically if:
 The certifying entity determines that the business is HUB-eligible, and
 The certifying entity submits the business’ information to the Statewide
HUB Program for approval and inclusion in the CMBL/HUB Directory.
 City of Austin
 City of Houston
 Dallas/Fort Worth Minority Supplier Development Council
 El Paso Hispanic Chamber of Commerce
 Golden Triangle Minority Business Council
 Houston Minority Supplier Development Council
 South Central Texas Regional Certification Agency
 Southwest Minority Supplier Development Council
 Texas Department of Transportation
 Women’s Business Council - Southwest
 Women’s Business Enterprise Alliance
Centralized Master Bidders List (CMBL)
What is the CMBL, and how it can benefit your
business to be registered on it?
The Centralized Master Bidders List
 The CMBL is a master database used by State of Texas
purchasing entities to develop a mailing list of vendors
who are registered/active on the CMBL to receive bid
notices based on the NIGP Codes applicable to the
products or services being procured to include relevant
Texas Highway District(s) where vendors can provide their
products or services to the State of Texas.
 The CMBL is for all vendors, HUBs and Non-HUBs.
Manufacturers, suppliers, and other vendors wishing to
furnish materials, equipment, supplies, and services to the
state should register for the CMBL to receive notification of
bidding opportunities.
 CMBL registration cost $70 annually, and can increase
your chances of doing business with the state because
state entities must search the CMBL when planning to buy
goods and services that cost more than $5,000.
 The CMBL/HUB Directory Search is a public search
engine that can also be used by the general public to
search for vendors who can provide goods or services.
The CMBL/HUB Directory Search
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2
The CMBL/HUB Directory Search (cont.)
2
1
The CMBL/HUB Directory Search
NIGP Commodity Codes
(cont.)
The CMBL/HUB Directory Search
NIGP Commodity Codes
(cont.)
The CMBL/HUB Directory Search
NIGP Commodity Codes
(cont.)
The CMBL/HUB Directory Search
Texas Highway Districts
(cont.)
The CMBL/HUB Directory Search (cont.)
Class Code 620 = Office Supplies: Erasers, Inks, Leads, Pens, Pencils, etc.
Item 79 = Pens, Fountains
District 14 = Bastrop, Blanco, Burnet, Caldwell, Gillespie, Hays, Lee, Llano, Mason, Travis, Williamson
The CMBL/HUB Directory Search (cont.)
The CMBL/HUB Directory Search (cont.)
The CMBL/HUB Directory Search (cont.)
68 HUB vendors were not inclusive to the CMBL only search,
because they elected not to register on the state’s CMBL.
Registration on the CMBL increases your chances of doing
business with the state - - Give your business the attention
it deserves by joining the CMBL and keeping your vendor
profile current.
The CMBL/HUB Directory Search
Vendor Profile
(cont.)
CMBL/HUB Registration
CMBL/HUB Registration (cont).)
CMBL/HUB Registration (cont).)
CMBL/HUB Registration (cont).)
CMBL/HUB Registration (cont).)
Manage CMBL/HUB Profile
MANAGE CMBL/HUB PROFILE (CONT.)
Manage CMBL/HUB Profile (cont.)
Manage CMBL/HUB Profile (cont.)
Manage CMBL/HUB Profile (cont.)
Manage CMBL/HUB Profile (cont.)
Vendor Profile
Ensure that your profile information is
always Current.
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Business Description
Web address
Email address
Mailing and physical address
Contact information
Class and Item Codes
Highway Districts
Electronic State Business Daily (ESBD)
When state entities have contract opportunities
over $25,000 they must advertise them on the
Electronic State Business Daily.
The ESBD is an online search engine that is
available to anyone, and allows you to find bid
opportunities by type, entity, vendor award or
National Institute of Governmental Purchasing
(NIGP) codes.
Important Links
Downloadable HUB Certification Application Forms
http://www.window.state.tx.us/procurement/prog/hub/hub-forms/
Federal EIN
http://www.irs.gov/businesses/
MyCPA Profile Log In
https://mycpa.cpa.state.tx.us/securitymp1portal/displayLoginUser.do
NIGP - National Institute of Governmental Purchasing Codes
http://cmblreg.cpa.state.tx.us/commodity_book/Alpha_index_inquiry.cfm
Highway Districts
http://www.window.state.tx.us/procurement/tools/proc_forms/bid_districts/
ESBD - Electronic State Business Daily
http://esbd.cpa.state.tx.us/
HUB Calendar of Events
https://portal.cpa.state.tx.us/hub/eo
HUB Reporting
http://www.window.state.tx.us/procurement/prog/hub/hub-reporting/
HUB QUIZ
True……False?

You must be HUB certified to do business with the state of Texas?

Texas certified HUB vendors are guaranteed contracts?

HUB certification is transferrable?

You can apply for HUB certification online?

HUB certification applications can be expedited?

The HUB application process is 30 days?

Your company does not have to be located in Texas to obtain a HUB certification?

The Vendor Identification (VID) is the same as the Texas Taxpayer Identification (TTI)?

You must be a U.S. citizen to qualify for HUB certification?
QUIZ Answers

You must be HUB certified to do business with the state of Texas? False

Texas certified HUB vendors are guaranteed contracts? False

HUB certification is transferrable? False

You can apply for HUB certification online? False

HUB certification applications can be expedited? False

The HUB application process is 30 days? False

Your company does not have to be located in Texas to obtain a HUB certification? True

The Vendor Identification (VID) is the same as the Texas Taxpayer Identification (TTI)? True/False

You must be a U.S. citizen to qualify for HUB certification? True/False
Statewide HUB Program
Contact Information
• Paul Gibson
Program Manager
(512) 305-9071
• Keisha Gash
Marketing Coordinator
(512) 463-5894
• Suzette Ballenger
Ops Support Specialist
(512) 463-3364
• Ricardo Perez
Certification/Compliance
Tech. Lead (512) 463-0294
Toll Free
(888) 863-5881
Texas4HUBS@cpa.state.tx.us