Austin, Texas, December 6, 2025
The Texas Comptroller has restructured the HUB program into VetHUB, targeting support exclusively for service-disabled veteran entrepreneurs. This change emphasizes new eligibility criteria that aim to promote equity in state contracting by revoking race and sex-based preferences. The rebranding signifies a commitment to cater to the unique needs of veteran-owned small businesses in Texas, ensuring compliance with constitutional mandates while fostering economic growth.
Austin, Texas
Austin’s HUB Program Transforms into VetHUB for Veteran Support
New focus sharpens support for service-disabled veteran entrepreneurs
In a significant policy shift, Texas Comptroller Kelly Hancock has unveiled the restructured Historically Underutilized Business (HUB) program, now dubbed Veteran Heroes United in Business (VetHUB). This new initiative exclusively targets small businesses owned by service-disabled veterans, enhancing support for those who have bravely served the nation. By narrowing its focus, the program aims to eliminate race and sex-based preferences in state contracting, thereby addressing constitutional concerns and fostering a more equitable business environment in Texas.
The VetHUB program introduces new certification criteria, granting eligibility only to businesses owned by service-disabled veterans with a 20% or higher service-connected disability. This shift follows the suspension of new and renewed HUB certifications announced in October 2025, marking a commitment to align with constitutional requirements and the legislative guidelines established in 2015.
Background on the HUB Program
Established in the 1990s, the original HUB program sought to increase opportunities for minority and women-owned businesses in state procurement processes. However, concerns regarding its constitutionality necessitated a reevaluation, leading to the suspension and subsequent overhaul of the program. The rebranding to VetHUB signifies a focused effort to support service-disabled veterans, positioning them as a distinct group deserving of targeted assistance in their entrepreneurial endeavors.
Eligibility Criteria for VetHUB
Under the new VetHUB program, the eligibility parameters are clearly delineated. Only small businesses that are owned by service-disabled veterans meeting the specified disability requirement can participate. This change also means that certifications for businesses previously recognized under race or sex-based criteria will be revoked unless they can demonstrate compliance with the new overarching veteran-focused eligibility requirements.
Impact on Existing HUB-Certified Businesses
The transition to the VetHUB program will have a direct impact on existing HUB-certified businesses. Those businesses certified under the former program’s race or sex-based criteria, but not owned by eligible service-disabled veterans, will see their certifications revoked. The transition emphasizes a commitment to uphold constitutional standards within state contracting and procurement processes, cleaning up previous inconsistencies.
Ensuring Compliance and Support
The Comptroller’s office has committed to expediting the certification updates to align with these new rules, ensuring that businesses correctly reflect their eligibility and qualifications under the VetHUB program. By adhering to the constitutional framework while still providing support to an underserved demographic of entrepreneurs, the state emphasizes a balanced approach to economic growth and community inclusivity.
Conclusion: A New Era of Support for Veteran Entrepreneurs
The launch of the VetHUB program marks a transformative step towards a more streamlined, equitable approach to state contracting in Texas. By centering on service-disabled veterans, the program not only adheres to constitutional mandates but also exemplifies a commitment to uplifting those who have sacrificed for the country. As Austin continues to develop its vibrant business landscape, supporting local veteran-owned enterprises will be crucial for fostering innovation and economic resilience in the region. Community members are encouraged to further engage with and support Austin TX’s small businesses, especially those led by veterans, to contribute to a more robust and dynamic economy.
Frequently Asked Questions (FAQ)
What is the VetHUB program?
The VetHUB program is a restructured version of the Historically Underutilized Business (HUB) program, now focusing exclusively on small businesses owned by service-disabled veterans with a 20% or higher service-connected disability. This change aims to address constitutional concerns by eliminating race and sex-based preferences in state contracting.
Why was the HUB program restructured?
The HUB program was restructured to address constitutional concerns related to race and sex-based preferences in state contracting. The new VetHUB program aligns with constitutional requirements and legislative guidelines established in 2015, focusing on supporting service-disabled veterans.
Who is eligible for the VetHUB program?
Eligibility for the VetHUB program is limited to small businesses owned by service-disabled veterans with a 20% or higher service-connected disability. Businesses previously certified under race or sex-based criteria will have their certifications revoked unless they meet the new veteran-related criteria.
What changes have been made to the HUB program?
The HUB program has been rebranded as VetHUB, narrowing its focus to support service-disabled veterans. The new rules revoke certifications for businesses not meeting the veteran-related criteria, aligning the program with constitutional requirements and legislative guidelines established in 2015.
How will the changes affect existing HUB-certified businesses?
Businesses previously certified under race or sex-based criteria will have their certifications revoked unless they meet the new veteran-related criteria. The Comptroller’s office will promptly update certifications to reflect this shift, ensuring compliance with constitutional requirements.
Key Features of the VetHUB Program
| Feature | Description |
|---|---|
| Eligibility | Small businesses owned by service-disabled veterans with a 20% or higher service-connected disability. |
| Program Focus | Support for service-disabled veterans in state contracting opportunities. |
| Certification Criteria | Businesses must meet veteran-related criteria to qualify; previous race or sex-based certifications are revoked unless criteria are met. |
| Compliance | Aligns with constitutional requirements and legislative guidelines established in 2015. |
| Implementation | The Comptroller’s office will promptly update certifications to reflect the program’s new focus. |
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Author: STAFF HERE AUSTIN WRITER
The AUSTIN STAFF WRITER represents the experienced team at HEREAustinTX.com, your go-to source for actionable local news and information in Austin, Travis County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as SXSW, Austin City Limits Music Festival, Formula 1 United States Grand Prix, and the Austin Film Festival. Our coverage extends to key organizations like the Greater Austin Chamber of Commerce and Visit Austin, plus leading businesses in technology, automotive, and retail that power the local economy such as Dell Technologies, Tesla, and Apple. As part of the broader HERE network, including HERECollegeStation.com, HEREDallas.com, HEREHouston.com, and HERESanAntonio.com, we provide comprehensive, credible insights into Texas's dynamic landscape.
