Exhibit H- Historically Underutilized Business (HUB)Subcontracting Plan (HSP) Requirements.pdf

Historically Underutilized Business (HUB) Subcontracting Plan (HSP) Requirements

Exhibit H

Table of Contents

DFPS HUB Subcontracting Plan (HSP) Requirements

HUB Subcontracting Plan (HSP) Quick Checklist

HUB Subcontracting Plan (HSP) Forms .......................................................................................……13

Sample CMBL – Vendor Detail Example………………………………………………………………………………………….20

List of Trade Organizations and Business Development Centers……………………………………………………..21

1.1 DFPS Administrative Rules

Pursuant to TGC Section 2161.002 and Section 2161.003, DFPS adopted the rules of the Texas Comptroller of Public Accounts (CPA) as its own rules (see TAC, Title 1, Part 15, Chapter 391, Subchapter E, Rule §391.501). If there are any discrepancies between the CPA’s administrative rules and this Solicitation, the rules will take priority.

1.2 Determination of HSP Requirement

TGC Chapter 2161 and TAC, Title 34, Part 1, Chapter 20, Subchapter D, Division 1, Rule §20.285, requires the agency to consider whether there will be probable subcontracting opportunities for all contracts, with an expected value of $100,000 or more (including renewals and amendments), before the agency solicits bids, proposals, offers, or other applicable expressions of interest for the contract. Subcontracting opportunities are considered to be equipment, materials, goods, contracted labor,1 and services the Respondent cannot fulfill with its own internal resources.

If the agency determines that there is a probability of subcontracting opportunities, the agency must require that each bid, proposal, offer, or other applicable expression of interest for the contract include a completed HSP. If the response does not include a completed HSP and/or DFPS determines that the HSP was not developed in good faith, the response will be deemed non-responsive, and it cannot be evaluated for a contract award.

DFPS has examined the Scope of Work under the proposed Contract to determine if it is likely to be performed by a Subcontractor; researched the Centralized Master Bidders List (CMBL) for HUBs that may be available to perform the Contract Work; reviewed the past history of similar agency procurements; and has determined that subcontracting opportunities are probable for this Solicitation.

https://statutes.capitol.texas.gov/Docs/GV/htm/GV.2161.htm#2161.002 https://statutes.capitol.texas.gov/Docs/GV/htm/GV.2161.htm#2161.002 https://statutes.capitol.texas.gov/Docs/GV/htm/GV.2161.htm#2161.003 https://statutes.capitol.texas.gov/Docs/GV/htm/GV.2161.htm#2161.003 https://texas-sos.appianportalsgov.com/rules-and-meetings?$locale=en_US&interface=VIEW_TAC_SUMMARY&queryAsDate=02%2F05%2F2026&recordId=204981 https://texreg.sos.state.tx.us/public/readtac$ext.ViewTAC?tac_view=5&ti=1&pt=15&ch=391&sch=E&rl=Y https://texreg.sos.state.tx.us/public/readtac$ext.ViewTAC?tac_view=5&ti=1&pt=15&ch=391&sch=E&rl=Y https://statutes.capitol.texas.gov/Docs/GV/htm/GV.2161.htm#2161.252 https://statutes.capitol.texas.gov/Docs/GV/htm/GV.2161.htm#2161.252 https://texas-sos.appianportalsgov.com/rules-and-meetings?$locale=en_US&interface=VIEW_TAC_SUMMARY&queryAsDate=02%2F05%2F2026&recordId=214411 https://texas-sos.appianportalsgov.com/rules-and-meetings?$locale=en_US&interface=VIEW_TAC_SUMMARY&queryAsDate=02%2F05%2F2026&recordId=214411 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=285

Therefore, all Respondents regardless of HUB status (HUB or non-HUB) must develop an HSP in good faith and submit a completed HSP with their response. Failure to comply with this requirement will deem the bid, proposal, offer, or other applicable expression of interest non-responsive, and it will be rejected without further evaluation due to material failure.

1.2.1 Probable Subcontracting Opportunities

DFPS has determined that probable subcontracting opportunities exist within the following National Institute of Governmental Purchasing (NIGP) Class/Item Code(s):

Item Code Item Description

952-01 Adoption Services

952-47 Foster Care Services

952-59 Human Services (Not Otherwise Classified)

1 Contracted labor means individuals that are not “regular” employees of the company/organization, see also guidance available from the Internal Revenue Service (IRS) regarding contracted labor vs. employees (IRS 1099 publications). Contracted labor is a subcontractor.

The above identified items do not represent all of the possible subcontracting opportunities that may be available through this Solicitation. The Respondent is not required to use, nor limited to using any of the above class and item code(s). However, the Respondent is required to include HUBs in any opportunity the Respondent will not be performing with their internal resources (materials, equipment, supplies, and employees0F

1).

1.3 Compliance Resources

1.3.1 Solicitation’s DFPS’s HUB Coordinator

In an effort to assist Respondents to comply with the HUB requirements, DFPS’s HUB Coordinator as a sole point of contact for HUB inquiries, HSP training, and to provide HSP Courtesy Reviews (upon request – see Section 1.3.2 of this exhibit). The DFPS’s HUB Coordinator is:

Name: Sherice Williams, DFPS HUB Coordinator Email: Sherice.williams47@dfps.texas.gov

1.3.2 HSP Courtesy Reviews

A courtesy review of a Respondent’s completed HSP is optional and is available to assist Respondents in providing a compliant and responsive HSP. This courtesy review may

1 Employee means an individual that receives a Wage and Tax Statement (W-2 Form) from the Respondent.

only identify possible deficiencies. The final HSP determination may only be provided at the time of the final submission of the HSP with the Solicitation Response.

To request a courtesy review, submit the completed HSP including all supporting documentation in accordance with the directions provided in the Solicitation.

HSPs received after the “Courtesy Review of HSP” deadline in the Solicitation’s Schedule of Events or deadlines established in subsequent Addenda, will not be reviewed and will be returned to the requestor.

The final HSP must be submitted by the Solicitation Response Deadline identified in the Solicitation’s Schedule of Events or deadline established in subsequent Addenda.

Responses received without a properly completed and compliant HSP will be disqualified.

1.3.3 HSP Training Resources

DFPS encourages Respondents to take advantage of the HSP training offered specifically for this Solicitation (if applicable) and noted in the Solicitation’s Schedule of Events. In addition, HSP training providing general information for developing an HSP in good faith is available at:

https://www.dfps.texas.gov/Doing_Business/HUB/default.asp

DFPS also recommends that Respondents review training resources provided in Section 1.6, Post-Award HSP Requirements, and Section 1.7, HSP Most Common Errors, of this exhibit.

1.3.4 CMBL/HUB Directory

The CPA is responsible for HUB certification as well as maintaining the CMBL/HUB Directory to satisfy the good-faith effort requirements. Note, only HUB vendors that are included in the CPA’s database that are actively HUB certified at the time of the Solicitation may be used to satisfy the Respondent’s requirement for developing the HSP in good faith.

Below are instructions for identifying the State of Texas Certified HUBs on the CMBL/HUB Directory:

1. Access the CMBL and HUB Directory at https://mycpa.cpa.state.tx.us/tpasscmblsearch/tpasscmblsearch.do.

2. CMBL page will default to certain fields already checked – using the “HUBs Only” and “HUBs On CMBL” radio buttons will help to provide a current list of Texas certified HUBs. Ensure the vendor’s HUB status code is “A” for currently active HUBs.

3. Under the “Multiple Vendor Search” tab enter the NIGP code that correlates to the products or services in the “NIGP Class Code” and “Items” fields. A complete list of NIGP codes may be found at: https://mycpa.cpa.state.tx.us/commbook/.

https://www.dfps.texas.gov/Doing_Business/HUB/default.asp https://mycpa.cpa.state.tx.us/tpasscmblsearch/tpasscmblsearch.do https://mycpa.cpa.state.tx.us/tpasscmblsearch/tpasscmblsearch.do https://mycpa.cpa.state.tx.us/commbook/ https://mycpa.cpa.state.tx.us/commbook/

4. Enter “Highway District(s)” number to select specific geographical location or leave blank for a statewide search. Start with a specific geographical search; and if unable to locate HUBs, expand the geographical search.

5. Under the “Selected Fields for Output” tab, the detail list page will default to certain fields. In addition to these defaulted fields, add “HUB Eligibility,” and “Business Description” fields to the search.

6. The “Output Options” tab provides users with the ability to choose the format of the data. For better data sorting, “Excel” is recommended as the output option. Data manipulations are easier to perform in an Excel spreadsheet to find the appropriate HUB vendors for effective HUB outreach.

7. The CPA is responsible for certifying vendors that meet the legal criteria for HUB certification. More information regarding HUB certification may be accessed at https://comptroller.texas.gov/purchasing/vendor/hub/certification-process.php.

8. Respondents may contact the DFPS’s HUB Coordinator in Section 1.3.1 of this exhibit for assistance if needed.

Note, DFPS does not endorse, qualify, or guarantee any of the vendors listed in the CMBL or HUB directory.

1.3.5 Trade Organizations and Business Development Centers

Outreach resources to identify trade organizations or business development centers that predominantly serve service-disabled veterans as defined by 38 U.S.C. § 101(2)) to assist with good-faith effort requirements may be accessed on the CPA’s website at https://comptroller.texas.gov/purchasing/vendor/hub/resources.php.

1.4 HUB Subcontracting Plan Procedures - If Respondent Intends to Subcontract

An HSP must demonstrate that the Respondent made a good-faith effort to comply with the DFPS HUB policies and procedures. The following subparts outline the items that DFPS will review in determining whether an HSP meets the good-faith effort standard. A Respondent that intends to Subcontract must complete the HSP to document its good-faith efforts.

1.4.1 Identify Subcontracting Areas and Divide Them into Reasonable Lots

A Respondent should first identify each area of the Contract Work it intends to Subcontract. Then, to maximize HUB participation, it should divide the Contract Work into reasonable lots or portions to the extent consistent with prudent industry practices.

1.4.2 Notify Potential HUB Subcontractors

The HSP must demonstrate that the Respondent made a good-faith effort to Subcontract with HUBs. The Respondent’s good-faith efforts shall be shown through utilization of Method A or Method B, in conformance with the development and submission of the HSP and by complying with the following steps:

https://comptroller.texas.gov/purchasing/vendor/hub/certification-process.php https://comptroller.texas.gov/purchasing/vendor/hub/certification-process.php https://comptroller.texas.gov/purchasing/vendor/hub/resources.php

1. Divide the Contract Work into reasonable lots or portions to the extent consistent with prudent industry practices. The Respondent must determine which portions of Work, including Goods and Services, will be Subcontracted.

2. Use the appropriate method(s) to demonstrate good-faith effort. The Respondent must use one of the Method(s) A or B as set out below when subcontracting:

1.4.2.1 Method A Attachment A: Utilizing Only HUBs;

Respondent only intends to utilize HUB Subcontractors. No non-HUB Subcontractors may be use for this method. The Respondent must identify in the HSP the active and certified HUBs that will be utilized and submit written documentation that confirms 100% of all available subcontracting opportunities will be performed by one or more HUBs.

Please complete the following sections and provide the following documents for “Method A”

☐HSP, Page 1, Section 1 - Respondent and Requisition Information;

☐HSP, Page 2, Section 2 - Respondent's Subcontracting Intentions;

☐HSP, Page 3, Section 4 – Affirmation;

☐Submit an “Attachment A” for each subcontracting item listed in HSP, Section 2;

and ☐Submit supporting documentation to substantiate each HUB selected is an actively certified HUB vendor (include a copy of the profile located in the CPA’s CMBL/HUB Directory);

or

1.4.2.2 Mentor-Protégé Program

Respondent (Mentor) intends to subcontract directly with their HUB Protégé. DFPS will accept a Mentor-Protégé Agreement that has been entered into by a Respondent (Mentor) and a certified HUB (Protégé) in accordance with TGC Section 2161.065. When a Respondent proposes to subcontract with their Protégé(s), it does not need to provide additional notices to three (3) HUB vendors for the subcontracted item(s) provided by Protégé(s).

https://statutes.capitol.texas.gov/?tab=1&code=GV&chapter=GV.2161&artSec=2161.002

The Respondent must identify the subcontracting item(s) that the Protégé(s) will be providing as well as the subcontracting value. However, if the Respondent intends to utilize additional Subcontractors other than the Protégé(s), the Respondent is required to utilize Method B: Solicitation, Section 1.4.2.4 below, for all other subcontracting items to comply fully with the HSP requirements – see all applicable requirements for Section 1.4.2.4, Method B: Solicitation.

1.4.2.3 Method A Attachment A: Utilizing HUBs Only;

The Respondent intends to subcontract with HUBs only. The Respondent must identify in the HSP and submit written documentation that one or more HUB Subcontractors will be utilized and that the aggregate expected percentage of Subcontracts with HUBs. Note, this method is not time sensitive.

Please complete the following sections and provide the following documents for “Method A”:

HSP, Page 1, Section 1 - Respondent and Requisition Information;

HSP, Page 2, Section 2 - Respondent's Subcontracting Intentions;

HSP, Page 3, Section 4 - Affirmation;

Submit an “Attachment A” for each subcontracting item listed in HSP, Section 2; and Submit supporting documentation to substantiate each HUB selected is an actively certified HUB vendor (include a copy of the profile located in the CPA’s CMBL/HUB Directory).

or

1.4.2.4 Method B Attachment B Utilizing all NONHUB and/or both HUB and

NONHUB

The Respondent will be utilizing a combination of HUBs and NONHUBs; ALL of the following requirements apply and require written supporting documentation:

1. Written notifications to a minimum of two (2) HUB trade organizations and/or business development centers that predominantly serve service-disabled veterans as defined by 38 U.S.C. § 101(2)) to assist in identifying and marketing to potential HUBs by disseminating the subcontracting solicitations to their respective membership/participants. A list of trade organizations, and/or business development centers is available on the CPA’s website as noted on Page 12 of this exhibit and https://comptroller.texas.gov/purchasing/vendor/hub/resources.php.

2. Provide written notifications to a minimum of three (3) HUB vendors per subcontracting opportunity item listed on the HSP, Page 2, “Section 2 Respondent’s Subcontracting Intentions.”

3. The above written notices to the trade organizations/business development centers AND HUB vendors must contain the following information:

a. A description of the scope of work to be subcontracted and all of the pertinent information to submit a response;

b. Information regarding the location to review the plans or specifications;

c. Information regarding insurance and bonding requirements (if applicable);

d. Required qualifications and other pertinent contract requirements;

e. The Respondent’s point of contact and how to respond to the subcontracting solicitation; and

f. The time and date the subcontracting response is due to the Respondent

(note, must be due prior to the Solicitation deadline identified in the Solicitation’s Schedule of Events or deadlines established in a subsequent Addendum).

Note, the CPA’s “HUB Subcontracting Opportunity Notification” form is an optional form that may also be used to comply with the above requirements. It is not a mandatory form but may assist Respondents in providing all of the required information.

4. Respondents must provide trade organizations/business development centers AND HUB vendors a reasonable amount of time to respond to the written notice but not less than a minimum of seven (7) working days. The date the notification is sent is considered day “zero” and cannot be used to satisfy the seven (7) working days’ requirement. In accordance with TAC, Title 34, Part 1, Chapter 20, Subchapter D, Division 1, Rule §20.282(35), a working day is a “normal” business day of a state agency, not including weekends, federal or state holidays, or days the state agency is declared closed by its executive officer.” To further clarify what days are considered non-working days due to federal or state holidays, a link to the state’s holiday schedule is provided at http://www.hr.sao.texas.gov/Holidays/.

Note, Method B: Solicitation is time sensitive and failure to provide the required seven (7) working days as noted as well as all of the other requirements noted in Section 1.4.2.4 of this exhibit will result in disqualification, and the HSP will be deemed non-responsive for material failure to comply with advertised specifications.

5. In addition, a Respondent must provide written justification of its selection process if it chooses a non-HUB Subcontractor. The justification should demonstrate that the Respondent negotiated in good faith with qualified HUB bidders and did not reject qualified HUBs who were the best value responsive bidders.

Please complete the following sections and provide the following documents for “Method B”:

HSP, Page 1, Section 1 - Respondent and Requisition Information;

HSP, Page 2, Section 2 - Respondent's Subcontracting Intentions;

HSP, Page 3, Section 4 - Affirmation;

Submit an “Attachment B” for each item listed in HSP, Page 2, Section 2 Submit supporting documentation to substantiate that each HUB notified or selected is an actively certified HUB vendor (include a copy of the profile located in the CPA’s CMBL/HUB Directory); and

Submit written supporting documentation (emails, faxes, or certified letters) to substantiate compliance with Section 1.4.2.4, Method B.

https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 https://texas-sos.appianportalsgov.com/rules-and-meetings?$locale=en_US&interface=VIEW_TAC_SUMMARY&queryAsDate=02%2F03%2F2026&recordId=214408 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 http://www.hr.sao.texas.gov/Holidays/

1.5 HUB Subcontracting Plan Procedures - Respondent Does Not Intend to Subcontract

1.5.1 Self-Performance Justification;

When the Respondent does not intend to subcontract any portion of the Contract, but instead is able to provide all Work with the Respondent’s own equipment, supplies, materials, and/or employees (see Footnote 2), the Respondent is still required to submit a completed HSP.

The Respondent must complete the HSP, Page 3, “Section 3: Self Performing Justification” and attest that it does not intend to subcontract for any Goods or Services, including the class and item codes identified in Section 1.2.1, Probable Subcontracting Opportunities of this exhibit. In addition, the Respondent must identify the sections of the proposal that describe how it will complete the Scope of Work using its own resources (including employees, see Footnote 2) or provide a statement explaining how it will complete the entire Scope of Work using its own internal resources (including employees, see Footnote 2). The Respondent must agree to comply with the following upon DFPS request:

1. Provide evidence of sufficient Respondent staffing to meet the Contract objectives;

2. Provide monthly payroll records showing the Respondent staff fully engaged in the Contract;

3. Allow DFPS to conduct an on-site review of company headquarters or work site where Services are to be performed; and

4. Provide documentation proving employment of qualified personnel holding the necessary licenses and certificates required to perform the Scope of Work.

Note, for purposes of this exhibit, TAC, Title 34, Part 1, Chapter 20, Subchapter D, Division 1, Rule §20.282(27), defines Subcontractor “[a]s defined by Government Code, §2251.001, this is a person who contracts with a prime contractor to work or contribute toward completing work for a governmental entity.” Subcontracting includes outsourcing of supplies, materials, equipment, and/or services. In addition to provide further clarity, contracting staffing (see Footnote 1) is also considered subcontracting and if the Respondent intends to fulfill any portion of the Contract utilizing contracted staffing (see Footnote 1), then the Self-Performance is not an option for complying with the good-faith effort requirements. The Respondent must utilize any one of the four other methods listed above to submit a responsive HSP.

https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 https://texas-sos.appianportalsgov.com/rules-and-meetings?$locale=en_US&interface=VIEW_TAC_SUMMARY&queryAsDate=02%2F03%2F2026&recordId=214408 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282

1.6 Post-Award HSP Requirements

Once the Contract has been awarded, the HSP submitted with the response becomes a Contract provision and must be implemented in good faith.

Immediately after the Contract award, the DFPS’s HUB Coordinator will coordinate a HUB Post-Contract-Award meeting with the Contractor and the program area. The following items will be addressed during this meeting:

1. Solidifying the HSP prior to the start of the Contract. Please note, to make any updates to the HSP, the Contractor must have proper justification. Pricing is not an acceptable justification after the Contract is awarded.

2. As a condition of award, the Contractor is required to send notification to all selected Subcontractors as identified in the accepted/approved HSP. In addition, a copy of the notification(s) must be provided to the DFPS contract manager and/or HUB Program Office within ten (10) working days of the Contract award.

3. Discuss procedure for any HSP change requirements should a need arise during the life of the Contract to replace or add any new Subcontractors onto the HSP.

Contractor is required to make changes in good faith by utilizing any of the good-faith methods stated in Section 1.4, HUB Subcontracting Plan Procedures – If Respondent Intends to Subcontract, of this exhibit. In addition, it requires the DFPS HUB Program Office to provide prior approval before the Contractor may engage any new Subcontractors.

3. Failure to meet the HSP and post-contract-award requirements will constitute a breach of Contract and will be subject to remedial actions.

4. DFPS may also report noncompliance to the CPA in accordance with the administrative rule governing the Vendor Performance and Debarment Program.

Note, the CPA Debarment Program may result in being debarred from state contracting for a period of up to five (5) years.

1.7 HSP Most Common Errors

1. Method B Attachment B, Section B-3: Failure to submit a completed HSP with the Solicitation Response when the agency determined probability of subcontracting opportunities (see Section 1.2.1, Probable Subcontracting Opportunities of this exhibit).

Completion requires responses with supporting documentation reflected by respective HSP Method, see Section 1.4. through Section 1.5.1 of this exhibit.

2. HUB Respondent’s failure to provide a completed HSP or incorrectly incorporating their company’s participation into the HSP. Please note, being a certified Texas HUB does not exclude HUB Respondent from complying with the good-faith effort requirements reflected in this Solicitation. All Respondents regardless of HUB status responding to the Solicitation must fully adhere to the good-faith effort requirements in developing the HSP.

3. Method B Attachment B, Section B-3: Failure to provide seven (7) working days for trade organizations/business development centers and HUB vendors to respond. Note, in accordance with TAC, Title 34, Part 1, Chapter 20, Subchapter D, Division 1, Rule §20.282(35), “working day” means a “normal” business day of a state agency, not including weekends, federal or state holidays, or days the state agency is declared closed by its executive officer.” To further clarify what days are considered federal or state holidays, a link to the state’s holiday schedule is provided:

http://www.hr.sao.texas.gov/Holidays/. In addition, the day the Solicitation notification document is sent to the trade organizations/business development centers and HUB vendors is considered day zero (0) and cannot be used to satisfy the seven (7) working days’ requirement (i.e., the notices were sent out on a Friday and the following Monday was a holiday, then Tuesday would be day one (1)).

4. Method B Attachment B, Section B-3: Soliciting a trade organization that is not located in the State of Texas. Contact information for trade organizations is available on the CPA’s website: https://comptroller.texas.gov/purchasing/vendor/hub/resources.php.

5. Method B Attachment B, Section B-3: Failure to provide sufficient information in the subcontractor solicitation(s) for HUB vendors and trade organizations/business development centers to be able to respond to a solicitation or determine the Solicitation’s Scope of Work (see Section1.4.2.4, Method B: Solicitation, and the HSP form, Attachment B, “Section B-3: Notification of Subcontracting Opportunity).

6. Method B Attachment B, Section B-3: Soliciting to HUB businesses whose NIGP Class and Item Codes or business description is unrelated to the subcontracting solicitation or soliciting HUB businesses for services outside of the geographical area, when HUBs are available in the immediate area (i.e., the physical work is located in Houston, Texas, but Respondent choose to solicit HUBs in El Paso, Texas). Start with a specific geographical search; and if unable to locate HUBs, expand the geographical search area until HUBs are located. If unable to locate HUBs to solicit, contact the DFPS’s HUB Coordinator in Section 1.3.1 for guidance.

https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=282 http://www.hr.sao.texas.gov/Holidays/ http://www.hr.sao.texas.gov/Holidays/ http://www.hr.sao.texas.gov/Holidays/ http://www.hr.sao.texas.gov/Holidays/

7. Method A Attachment A and/or Method B Attachment B: Indicating “TBD” in any of the required HSP fields. When a solicitation contains unknown variables for determining dollar amounts or percentages, contact the DFPS’s HUB Coordinator for guidance.

Leaving these fields blank or documenting as “TBD” may result in a non-responsive HSP determination.

8. Method A Attachment A and/or Method B Attachment B: Documenting a non-certified vendor as a HUB vendor used to satisfy the good-faith effort requirements.

Respondent should always confirm the vendor’s HUB status in the CPA’s CMBL/HUB Directory profile (https://mycpa.cpa.state.tx.us/tpasscmblsearch/tpasscmblsearch.do) to ensure the vendor HUB certification is “A” active on the date the Solicitation was sent to the vendor.

Furthermore, it is recommended that a printed copy of the HUB vendor’s profile be include with the HSP as supporting documentation to avoid any issues.

9. Method A Attachment A and/or Method B Attachment B: Including contracting staffing (see Footnote 1) as employees in the proposal and/or HSP and does not perform a good-faith effort requirement to include HUBs in the services performed by the contracted staffing (see Footnote 1) - note, only employees (see Footnote 2) may be considered as employees.

10. Methods A Attachment A and/or Method B Attachment B: Failure to document all subcontracting activity reflected within the proposal on the HSP documents. At the time of the HSP evaluation, a comparison is performed of the submitted proposal and the HSP to ensure the HSP is a true representation of any subcontracting that will be needed to fulfill all portions of an awarded contract. Any discrepancies may result in a non-responsive HSP and cannot be considered for a contract award.

11. Section 2b (Respondents Subcontracting Intentions), Method A Attachment A, Section A-2 and/or Method B Attachment B, Section B-4b: Calculating the subcontracting percentages incorrectly. The correct method for calculating subcontracting percentages is: (subcontracting amount divided by (÷) total contract amount.

https://mycpa.cpa.state.tx.us/tpasscmblsearch/tpasscmblsearch.do https://mycpa.cpa.state.tx.us/tpasscmblsearch/tpasscmblsearch.do https://mycpa.cpa.state.tx.us/tpasscmblsearch/tpasscmblsearch.do

Rev. 12/25

HUB Subcontracting Plan (HSP)

QUICK CHECKLIST

While this HSP Quick Checklist is being provided to merely assist you in readily identifying the sections of the HSP form that you will need to complete, it is very important that you adhere to the instructions in the HSP form and instructions provided by the contracting agency.

If you will be awarding all of the subcontracting work you have to offer under the contract to only Texas certified HUB vendors, complete:

Section 1 - Respondent and Requisition Information

Section 2 a. - Yes, I will be subcontracting portions of the contract.

Section 2 b. - List all the portions of work you will subcontract, and indicate the percentage of the contract you expect to award to Texas certified HUB vendors.

Section 2 c. - Yes Section 4 - Affirmation

GFE Method A (Attachment A) - Complete an Attachment A for each of the subcontracting opportunities you listed in Section 2 b.

If you will be subcontracting any portion of the contract to Texas certified HUB vendors and Non-HUB vendors, and the aggregate percentage of all the subcontracting work you will be awarding to the Texas certified HUB vendors meets or exceeds the HUB Goal the contracting agency identified in the “Agency Special Instructions/Additional Requirements”, complete:

Section 1 - Respondent and Requisition Information

Section 2 a. - Yes, I will be subcontracting portions of the contract.

Section 2 b. - List all the portions of work you will subcontract, and indicate the percentage of the contract you expect to award to Texas certified HUB vendors and Non-HUB vendors.

Section 2 c. - No

Section 2 d. - Yes Section 4 - Affirmation

GFE Method A (Attachment A) - Complete an Attachment A for each of the subcontracting opportunities you listed in Section 2 b.

If you will be subcontracting any portion of the contract to Texas certified HUB vendors and Non-HUB vendors or only to Non-HUB vendors, and the aggregate percentage of all the subcontracting work you will be awarding to the Texas certified HUB vendors does not meet or exceed the HUB Goal the contracting agency identified in the “Agency Special Instructions/Additional Requirements”, complete:

Section 1 - Respondent and Requisition Information

Section 2 a. - Yes, I will be subcontracting portions of the contract.

Section 2 b. - List all the portions of work you will subcontract, and indicate the percentage of the contract you expect to award to Texas certified HUB vendors and Non-HUB vendors.

Section 2 c. - No

Section 2 d. - No

Section 4 - Affirmation

GFE Method B (Attachment B) - Complete an Attachment B for each of the subcontracting opportunities you listed in Section 2 b.

If you will not be subcontracting any portion of the contract and will be fulfilling the entire contract with your own resources (i.e., employees, supplies, materials and/or equipment), complete:

Section 1 - Respondent and Requisition Information

Section 2 a. - No, I will not be subcontracting any portion of the contract, and I will be fulfilling the entire contract with my own resources.

Section 3 - Self Performing Justification

Section 4 - Affirmation

HUB Subcontracting Plan (HSP) In accordance with Texas Gov’t Code §2161.252, the contracting agency has determined that subcontracting opportunities are probable under this contract. Therefore, all respondents, including State of Texas certified Historically Underutilized Businesses (HUBs) must complete and submit this State of Texas HUB Subcontracting Plan (HSP) with their response to the bid requisition (solicitation).

NOTE: When a state agency requires a subcontracting plan, a bid, proposal, offer, or other applicable expression of interest for the contract must contain a plan to be considered responsive.

The HUB Program promotes equal business opportunities for economically disadvantaged persons to contract with the State of Texas.

- - Agency Special Instructions/Additional Requirements - -

In accordance with 34 TAC §20.285(d), a respondent (prime contractor) may demonstrate good faith effort to utilize Texas certified HUBs for its subcontracting opportunities if the total value of the respondent’s subcontracts with Texas certified HUBs meets or exceeds the statewide HUB goal or the agency specific HUB goal, whichever is higher. When a respondent uses this method to demonstrate good faith effort, the respondent must identify the HUBs with which it will subcontract. If using existing contracts with Texas certified HUBs to satisfy this requirement, only the aggregate percentage of the contracts expected to be subcontracted to HUBs shall qualify for meeting the HUB goal.

SECTION 1: RESPONDENT AND REQUISITION INFORMATION

a. Respondent (Company) Name: State of Texas VID #:

Point of Contact: Phone #:

E-mail Address: Fax #:

b.

c.

Is your company a State of Texas certified HUB?

Requisition #:

- Yes - No

Bid Open Date:

(mm/dd/yyyy)

Enter your company’s name here: Requisition #:

SECTION 2: RESPONDENT's SUBCONTRACTING INTENTIONS

After dividing the contract work into reasonable lots or portions to the extent consistent with prudent industry practices, and taking into consideration the scope of work to be performed under the proposed contract, including all potential subcontracting opportunities, the respondent must determine what portions of work, including contracted staffing, goods and services will be subcontracted. Note: In accordance with 34 TAC §20.282, a “Subcontractor” means a person who contracts with a prime contractor to work, to supply commodities, or to contribute toward completing work for a governmental entity.

a. Check the appropriate box (Yes or No) that identifies your subcontracting intentions:

- Yes, I will be subcontracting portions of the contract. (If Yes, complete Item b of this SECTION and continue to Item c of this SECTION.)

- No, I will not be subcontracting any portion of the contract, and I will be fulfilling the entire contract with my own resources, including employees, goods and services. (If No, continue to SECTION 3 and SECTION 4.)

b. List all the portions of work (subcontracting opportunities) you will subcontract. Also, based on the total value of the contract, identify the percentages of the contract you expect to award to Texas certified HUBs, and the percentage of the contract you expect to award to vendors that are not a Texas certified HUB.

Item # Subcontracting Opportunity Description

HUBs

Percentage of the contract expected to be subcontracted to HUBs.

Non-HUBs

Percentage of the contract expected to be subcontracted to non-HUBs.

1 % %

2 % %

3 % %

4 % %

5 % %

6 % %

7 % %

8 % %

9 % %

10 % %

11 % %

12 % %

13 % %

14 % %

15 % %

Aggregate percentages of the contract expected to be subcontracted: % %

c. Check the appropriate box (Yes or No) that indicates whether you will be using only Texas certified HUBs to perform all of the subcontracting opportunities you listed in SECTION 2, Item b.

- Yes (If Yes, continue to SECTION 4 and complete an “HSP Good Faith Effort - Method A (Attachment A)” for each of the subcontracting opportunities you listed.)

- No (If No, continue to Item d, of this SECTION.)

d. Check the appropriate box (Yes or No) that indicates whether the aggregate expected percentage of the contract you will subcontract meets or exceeds the HUB goal the contracting agency identified on page 1 in the “Agency Special Instructions/Additional Requirements.”

Yes (If Yes, continue to SECTION 4 and complete an “HSP Good Faith Effort - Method A (Attachment A)” for each of the subcontracting opportunities you listed.)

No (If No, continue to SECTION 4 and complete an “HSP Good Faith Effort - Method B (Attachment B)” for each of the subcontracting opportunities you listed.)

Rev. 12/25

Enter your company’s name here: Requisition #:

SECTION 3: SELF PERFORMING JUSTIFICATION (If you responded “No” to SECTION 2, Item a, you must complete this SECTION and continue to SECTION 4.) If you responded “No” to SECTION 2, Item a, in the space provided below explain how your company will perform the entire contract with its own employees, supplies, materials and/or equipment.

SECTION 4: AFFIRMATION

As evidenced by my signature below, I affirm that I am an authorized representative of the respondent listed in SECTION 1, and that the information and supporting documentation submitted with the HSP is true and correct. Respondent understands and agrees that, if awarded any portion of the requisition:

• The respondent will provide notice as soon as practical to all the subcontractors (HUBs and Non-HUBs) of their selection as a subcontractor for the awarded contract. The notice must specify at a minimum the contracting agency’s name and its point of contact for the contract, the contract award number, the subcontracting opportunity they (the subcontractor) will perform, the approximate dollar value of the subcontracting opportunity and the expected percentage of the total contract that the subcontracting opportunity represents. A copy of the notice required by this section must also be provided to the contracting agency’s point of contact for the contract no later than ten (10) working days after the contract is awarded.

• The respondent must submit compliance reports (Prime Contractor Progress Assessment Report – PAR) to the contracting agency, verifying its compliance with the HSP, including the use of and expenditures made to its subcontractors (HUBs and Non-HUBs). (The PAR is available at https://comptroller.texas.gov/purchasing/docs/hub-forms/ProgressAssessmentReportForm.xls).

• The respondent must seek approval from the contracting agency prior to making any modifications to its HSP, including the hiring of additional or different subcontractors and the termination of a subcontractor the respondent identified in its HSP. If the HSP is modified without the contracting agency’s prior approval, respondent may be subject to any and all enforcement remedies available under the contract or otherwise available by law, up to and including debarment from all state contracting.

• The respondent must, upon request, allow the contracting agency to perform on-site reviews of the company’s headquarters and/or work-site where services are being performed and must provide documentation regarding staffing and other resources.

Signature Printed Name Title Date (mm/dd/yyyy)

Reminder:

If you responded “Yes” to SECTION 2, Items c and d, you must complete an “HSP Good Faith Effort - Method A (Attachment A)” for each of the subcontracting opportunities you listed in SECTION 2, Item b.

If you responded “No” to SECTION 2, Item c and "Yes" to Item d, you must complete an “HSP Good Faith Effort - Method A (Attachment A)” for each of the subcontracting opportunities you listed in SECTION 2, Item b.

3If you responded “No” SECTION 2, Items c and d, you must complete an “HSP Good Faith Effort - Method B (Attachment B)” for each of the subcontracting opportunities you listed in SECTION 2, Item b.

https://comptroller.texas.gov/purchasing/docs/hub-forms/ProgressAssessmentReportForm.xls

HSP Good Faith Effort - Method A (Attachment A) Rev. 12/25

Enter your company’s name here: Requisition #:

IMPORTANT: If you responded “Yes” to SECTION 2, Items c or d of the completed HSP form, you must submit a completed “HSP Good Faith Effort - Method A (Attachment A)” for each of the subcontracting opportunities you listed in SECTION 2, Item b of the completed HSP form. You may photo-copy this page or download the form at https://comptroller.texas.gov/purchasing/docs/hub-forms/hsp-allfms.pdf

SECTION A-1: SUBCONTRACTING OPPORTUNITY

Enter the item number and description of the subcontracting opportunity you listed in SECTION 2, Item b, of the completed HSP form for which you are completing the attachment.

Item Number: Description:

SECTION A 2: SUBCONTRACTOR SELECTION

List the subcontractor(s) you selected to perform the subcontracting opportunity you listed above in SECTION A-1. Also identify whether they are a Texas certified HUB and their Texas Vendor Identification (VID) Number or federal Employer Identification Number (EIN), the approximate dollar value of the work to be subcontracted, and the expected percentage of work to be subcontracted. When searching for Texas certified HUBs and verifying their HUB status, ensure that you use the State of Texas’ Centralized Master Bidders List (CMBL) - Historically Underutilized Business (HUB) Directory Search located at http://mycpa.cpa.state.tx.us/tpasscmblsearch/index.jsp. HUB status code “A” signifies that the company is a Texas certified HUB.

Company Name Texas certified HUB Texas VID or federal EIN

Do not enter Social Security Numbers.

If you do not know their VID / EIN, leave their VID / EIN field blank.

Approximate Dollar Amount

Expected Percentage of

Contract

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

- Yes - No $ %

REMINDER: As specified in SECTION 4 of the completed HSP form, if you (respondent) are awarded any portion of the requisition, you are required to provide notice as soon as practical to all the subcontractors (HUBs and Non-HUBs) of their selection as a subcontractor. The notice must specify at a minimum the contracting agency’s name and its point of contact for the contract, the contract award number, the subcontracting opportunity they (the subcontractor) will perform, the approximate dollar value of the subcontracting opportunity and the expected percentage of the total contract that the subcontracting opportunity represents. A copy of the notice required by this section must also be provided to the contracting agency’s point of contact for the contract no later than ten (10) working days after the contract is awarded.

(Attachment A)16 http://mycpa.cpa.state.tx.us/tpasscmblsearch/index.jsp https://comptroller.texas.gov/purchasing/docs/hub-forms/hub-sbcont-plan-gfe-achm-a.pdf

HSP Good Faith Effort - Method B (Attachment B) Rev. 12/25

Enter your company’s name here: Requisition #:

IMPORTANT: If you responded “No” to SECTION 2, Items c and d of the completed HSP form, you must submit a completed “HSP Good Faith Effort - Method B (Attachment B)” for each of the subcontracting opportunities you listed in SECTION 2, Item b of the completed HSP form. You may photo-copy this page or download the form at https://comptroller.texas.gov/purchasing/docs/hub-forms/hsp-allfms.pdf.

SECTION B-1: SUBCONTRACTING OPPORTUNITY

Enter the item number and description of the subcontracting opportunity you listed in SECTION 2, Item b, of the completed HSP form for which you are completing the attachment.

Item Number: Description:

SECTION B 2: MENTOR PROTÉGÉ PROGRAM

If respondent is participating as a Mentor in a State of Texas Mentor Protégé Program, submitting its Protégé (Protégé must be a State of Texas certified HUB) as a subcontractor to perform the subcontracting opportunity listed in SECTION B-1, constitutes a good faith effort to subcontract with a Texas certified HUB towards that specific portion of work.

Check the appropriate box (Yes or No) that indicates whether you will be subcontracting the portion of work you listed in SECTION B-1 to your Protégé.

- Yes (If Yes, continue to SECTION B-4.)

- No / Not Applicable (If No or Not Applicable, continue to SECTION B-3 and SECTION B-4.)

SECTION B 3: NOTIFICATION OF SUBCONTRACTING OPPORTUNITY

When completing this section you MUST comply with items a, b, c and d, thereby demonstrating your Good Faith Effort of having notified Texas certified HUBs and trade organizations or development centers about the subcontracting opportunity you listed in SECTION B-1. Your notice should include the scope of work, information regarding the location to review plans and specifications, bonding and insurance requirements, required qualifications, and identify a contact person.

When sending notice of your subcontracting opportunity, you are encouraged to use the attached HUB Subcontracting Opportunity Notice form, which is also available online at https://www.comptroller.texas.gov/purchasing/docs/hub-forms/HUBSubcontractingOpportunityNotificationForm.pdf.

Retain supporting documentation (i.e., certified letter, fax, e-mail) demonstrating evidence of your good faith effort to notify the Texas certified HUBs and trade organizations or development centers. Also, be mindful that a working day is considered a normal business day of a state agency, not including weekends, federal or state holidays, or days the agency is declared closed by its executive officer. The initial day the subcontracting opportunity notice is sent/provided to the HUBs and to the trade organizations or development centers is considered to be “day zero” and does not count as one of the seven (7) working days.

a. Provide written notification of the subcontracting opportunity you listed in SECTION B-1, to three (3) or more Texas certified HUBs. Unless the contracting agency specified a different time period, you must allow the HUBs at least seven (7) working days to respond to the notice prior to you submitting your bid response to the contracting agency. When searching for Texas certified HUBs and verifying their HUB status, ensure that you use the State of Texas’ Centralized Master Bidders List (CMBL) - Historically Underutilized Business (HUB) Directory Search located at http://mycpa.cpa.state.tx.us/tpasscmblsearch/index.jsp. HUB status code “A” signifies that the company is a Texas certified HUB.

b. List the three (3) Texas certified HUBs you notified regarding the subcontracting opportunity you listed in SECTION B-1. Include the company’s Texas Vendor Identification (VID) Number, the date you sent notice to that company, and indicate whether it was responsive or non-responsive to your subcontracting opportunity notice.

Company Name Texas VID (Do not enter Social Security Numbers.)

Date Notice Sent (mm/dd/yyyy)

Did the HUB Respond?

- Yes - No

- Yes - No

- Yes - No

c. Provide written notification of the subcontracting opportunity you listed in SECTION B-1 to two (2) or more trade organizations or development centers in Texas to assist in identifying potential HUBs by disseminating the subcontracting opportunity to their members/participants. Unless the contracting agency specified a different time period, you must provide your subcontracting opportunity notice to trade organizations or development centers at least seven (7) working days prior to submitting your bid response to the contracting agency. A list of trade organizations and development centers that have expressed an interest in receiving notices of subcontracting opportunities is available on the Statewide HUB Program’s webpage at https://www.comptroller.texas.gov/purchasing/vendor/hub/resources.php.

d. List two (2) trade organizations or development centers you notified regarding the subcontracting opportunity you listed in SECTION B-1. Include the date when you sent notice to it and indicate if it accepted or rejected your notice.

Trade Organizations or Development Centers Date Notice Sent (mm/dd/yyyy)

Was the Notice Accepted?

- Yes - No

- Yes - No

(Attachment B) https://comptroller.texas.gov/purchasing/docs/hub-forms/HUBSubcontractingOpportunityNotificationForm.pdf https://mycpa.cpa.state.tx.us/tpasscmblsearch/tpasscmblsearch.do https://comptroller.texas.gov/purchasing/docs/hub-forms/hub-sbcont-plan-gfe-achm-b.pdf

HSP Good Faith Effort - Method B (Attachment B) Cont. Rev. 12/25

Enter your company’s name here: Requisition #:

SECTION B 4: SUBCONTRACTOR SELECTION

Enter the item number and description of the subcontracting opportunity you listed in SECTION 2, Item b, of the completed HSP form for which you are completing the attachment.

a. Enter the item number and description of the subcontracting opportunity for which you are completing this Attachment B continuation page.

Item Number: Description:

b. List the subcontractor(s) you selected to perform the subcontracting opportunity you…