{"id":3551,"date":"2025-12-03T18:10:21","date_gmt":"2025-12-03T18:10:21","guid":{"rendered":"https:\/\/theinformantusa.com\/?p=3551"},"modified":"2025-12-03T18:10:23","modified_gmt":"2025-12-03T18:10:23","slug":"texas-scraps-minority-and-women-owned-business-program-shifts-focus-to-disabled-veterans-under-new-vethub-rule","status":"publish","type":"post","link":"https:\/\/theinformantusa.com\/?p=3551","title":{"rendered":"TEXAS SCRAPS MINORITY- AND WOMEN-OWNED BUSINESS PROGRAM, SHIFTS FOCUS TO DISABLED VETERANS UNDER NEW \u201cVetHUB\u201d RULE"},"content":{"rendered":"\n<hr class=\"wp-block-separator has-text-color has-white-color has-alpha-channel-opacity has-white-background-color has-background\"\/>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\"><em>The Texas Comptroller\u2019s Office eliminated HUB certifications tied to race, ethnicity, and gender, restructuring a decades-old program under emergency rules and sparking legal and political questions.<\/em><\/h2>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-white-color has-alpha-channel-opacity has-white-background-color has-background\"\/>\n\n\n\n<p>The Texas Comptroller\u2019s Office announced Tuesday that it is <strong>removing minority-owned and women-owned businesses<\/strong> from the state\u2019s <strong>Historically Underutilized Business (HUB)<\/strong> program and <strong>restructuring it entirely<\/strong> to focus solely on companies owned by <strong>service-disabled military veterans<\/strong>.<\/p>\n\n\n\n<p>The revamped program \u2014 now called <strong>Veterans Heroes United in Business (VetHUB)<\/strong> \u2014 will only certify businesses owned by veterans with <strong>at least a 20% service-connected disability<\/strong>, according to the Comptroller\u2019s press release.<\/p>\n\n\n\n<p>Under the new emergency rules, all HUB certifications connected to <strong>race, ethnicity, or gender<\/strong> have been <strong>revoked effective immediately<\/strong>, and those businesses will be <strong>removed from the HUB vendor directory<\/strong>.<\/p>\n\n\n\n<p>The change dramatically shrinks a program that has existed for decades to help disadvantaged businesses compete for state contracts.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">IMMEDIATE IMPACT: CERTIFICATIONS REVOKED, PROGRAM FROZEN<\/h2>\n\n\n\n<p>Emails sent Tuesday notified affected vendors that their HUB certification had been revoked.<\/p>\n\n\n\n<p>Contracts <strong>already underway<\/strong> will not be disrupted, according to a FAQ posted by the Comptroller.<\/p>\n\n\n\n<p>The Comptroller\u2019s Office had already <strong>frozen new and renewed HUB certifications<\/strong> in late October, citing a review to ensure compliance with executive orders from <strong>President Donald Trump<\/strong> and <strong>Gov. Greg Abbott<\/strong> banning DEI initiatives in government agencies.<\/p>\n\n\n\n<p>Following the freeze, Comptroller <strong>Kelly Hancock<\/strong> posted on social media that the move was intended to eliminate what she described as <strong>\u201crace or sex quotas\u201d<\/strong> in state procurement.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">COMPTROLLER HANCOCK: \u201cTexas is restoring constitutional integrity\u201d<\/h2>\n\n\n\n<p>In a written statement Tuesday, Hancock said:<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><strong>\u201cVeterans have always stood up for our nation. VetHUB is how Texas stands up for them \u2014 reducing bureaucracy, restoring constitutional integrity, and opening doors for the men and women who wore the uniform. These emergency rules ensure that Texas state contracting is free from gender or race discrimination.\u201d<\/strong><\/p>\n<\/blockquote>\n\n\n\n<p>The office did <strong>not<\/strong> immediately respond to questions about what gives the Comptroller authority to <strong>alter a state program created by legislation<\/strong>, which typically requires action by the Legislature or a court ruling to change.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-white-color has-alpha-channel-opacity has-white-background-color has-background\"\/>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">LEGAL QUESTIONS &amp; FEDERAL LAWSUIT<\/h2>\n\n\n\n<p>The overhaul comes as a <strong>federal lawsuit<\/strong> moves forward against the HUB program.<br>A non-HUB business claims it <strong>lost state contracts<\/strong> due to the program\u2019s preferences and alleges unconstitutional discrimination.<br>No ruling has yet been issued.<\/p>\n\n\n\n<p>Legal experts say the Comptroller\u2019s unilateral suspension and restructuring of the HUB program could trigger further litigation, given that the program was created by state statute.<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Texas Comptroller\u2019s Office eliminated HUB certifications tied to race, ethnicity, and gender, restructuring a decades-old program under emergency rules and sparking legal and political questions. The Texas Comptroller\u2019s Office announced Tuesday that it is removing minority-owned and women-owned businesses from the state\u2019s Historically Underutilized Business (HUB) program and restructuring it entirely to focus solely [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":3553,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[1577,1573,1575,1578,1576,1574],"class_list":["post-3551","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-u-s","tag-kelly-hancock-hub-changes","tag-minority-business-certifications-revoked","tag-state-contracting-rules-texas","tag-texas-dei-rollback","tag-texas-hub-program-eliminated","tag-vethub-texas"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.0 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>TEXAS SCRAPS MINORITY- AND WOMEN-OWNED BUSINESS PROGRAM, SHIFTS FOCUS TO DISABLED VETERANS UNDER NEW \u201cVetHUB\u201d RULE - The Informant USA<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/theinformantusa.com\/?p=3551\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"TEXAS SCRAPS MINORITY- AND WOMEN-OWNED BUSINESS PROGRAM, SHIFTS FOCUS TO DISABLED VETERANS UNDER NEW \u201cVetHUB\u201d RULE - The Informant USA\" \/>\n<meta property=\"og:description\" content=\"The Texas Comptroller\u2019s Office eliminated HUB certifications tied to race, ethnicity, and gender, restructuring a decades-old program under emergency rules and sparking legal and political questions. 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