SUBSCRIBE 

JOIN OUR MAILING LIST!


JOIN NOW!

Become a member today!

DON'T WAIT FOR CHANGE, MAKE IT HAPPEN!
  • HOME
  • The End of An Area: Planning Now for Potential Loss of HUBZone Status

The End of An Area: Planning Now for Potential Loss of HUBZone Status

<< First  < Prev   1   2   3   Next >  Last >> 
  • 19 Jan 2021 11:31 AM
    Message # 9877779
    Anonymous member (Administrator)

    The End of An Area: Planning Now for Potential Loss of HUBZone Status
    January 19, 2021

    2021 is an important year for the many HUBZone firms located in redesignated areas that will lose HUBZone status after 12/31/21. For these firms, the time is now to plan for maintaining HUBZone status in 2022 and beyond. Here’s what you need to know.
     
    If you are located in a redesignated area that loses HUBZone eligibility after this year, you could make plans this year to move your office to a new location that will still be HUBZone eligible after the end of the year. Before going that route, however, you should evaluate whether you can qualify your current principal office location to remain HUBZone eligible for at least 10 years under a new rule SBA implemented about one year ago. According to this rule, if a firm owns its office or enters into a long-term lease (i.e., of at least 10 years) for its office in an area that qualifies as HUBZone at the time of the firm’s initial certification or an annual recertification, SBA will deem the firm’s principal office to be located in a HUBZone for at least 10 years from the date of the certification, as long as the firm maintains the long-term lease or continues to own the property.
     
    Notably, the new 10-year rule can apply retroactively if you bought your office or entered into a long-term lease prior to an earlier HUBZone certification. Therefore, even though the rule has only been around for about one year, it is possible that you may be able to take advantage of the new 10-year rule based on the circumstances that may have existed at the time of one of your prior recertifications or your initial HUBZone certification.
     
    According to SBA’s rules, you cannot take advantage of the new 10-year rule if you buy or make a long-term investment in your office at a time when the area is in redesignated status. At first blush, this would seem to present a problem for firms located in a redesignated area that might want to use the new rule at some point in 2021 before their area loses HUBZone status at the end of the year. However, if your redesignated area is considered a qualified disaster area (QDA), this will allow you to use the 10-year rule if you own your office or make a long-term investment this year. Many redesignated HUBZone areas qualify as QDAs because of COVID or a natural disaster. If you want to go this route, you will need to buy your office or enter into a long-term lease in the QDA before your 2021 HUBZone recertification.
     
    PilieroMazza is working with HUBZone firms to help them determine their options for addressing loss of HUBZone status for their redesignated area at the end of 2021. If you are currently in a redesignated area that will lose HUBZone status at the end of 2021, before you decide if you need to move your principal office, we recommend exploring if you can take advantage of the new 10-year rule. Please reach out to Jon Williams and Anna Wright, members of PilieroMazza’s Government Contracts Group, if you need help determining how to take advantage of this new principal office rule, whether you are located in a QDA, and any other HUBZone compliance questions you may have.


  • 17 Mar 2021 5:59 AM
    Reply # 10205858 on 9877779
    1
    20
  • 17 Mar 2021 6:00 AM
    Reply # 10205861 on 9877779
    1
    20
  • 17 Mar 2021 6:00 AM
    Reply # 10205862 on 9877779
    -1 OR 2+773-773-1=0+0+0+1 --
    20
  • 17 Mar 2021 6:00 AM
    Reply # 10205863 on 9877779
    -1 OR 3+773-773-1=0+0+0+1 --
    20
  • 17 Mar 2021 6:00 AM
    Reply # 10205864 on 9877779
    -1 OR 2+316-316-1=0+0+0+1
    20
  • 17 Mar 2021 6:00 AM
    Reply # 10205865 on 9877779
    -1 OR 3+316-316-1=0+0+0+1
    20
  • 17 Mar 2021 6:00 AM
    Reply # 10205866 on 9877779
    -1' OR 2+38-38-1=0+0+0+1 --
    20
  • 17 Mar 2021 6:00 AM
    Reply # 10205867 on 9877779
    -1' OR 3+38-38-1=0+0+0+1 --
    20
  • 17 Mar 2021 6:00 AM
    Reply # 10205868 on 9877779
    -1' OR 2+191-191-1=0+0+0+1 or '1irj6mlv'='
    20
<< First  < Prev   1   2   3   Next >  Last >> 

Become a member today!

JOIN NOW!


Connect

MOBILE MEMBERSHIP APP 

Download on the App Store        Get it on Google Play

Contact Us

Address

PO Box 355

Oakland, MD 21550

 © 2018 HUBZone Contractors National Council 
HUBZone Contractors National Council is a 501(c)6 non-profit organization.

While the HUBZone Contractors National Council strives to make the information on this website as timely and accurate as possible, the Council makes no claims, promises, or guarantees about the accuracy, completeness, or adequacy of the contents of this site, and expressly disclaims liability for errors and omissions in the contents of this site. No warranty of any kind, implied, expressed, or statutory, including but not limited to the warranties of non-infringement of third party rights, title, merchantability, fitness for a particular purpose or freedom from computer virus, is given with respect to the contents of this website or its links to other Internet resources.

Reference in this site to any specific commercial product, process, or service, or the use of any trade, firm or corporation name is for the information and convenience of the public, and does not constitute endorsement, recommendation, or favoring by the HUBZone Contractors National Council.

Powered by Wild Apricot Membership Software
HttpSession sess =request.getSession(); sess.invalidate(); sess = request.getSession(true); PHP: session_start(); session_regenerate_id(true);