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FAR and DFARS › FAR Part 19: Small Business Programs › Subpart 19.13

FAR 19.1307 Price evaluation preference for HUBZone small business concerns.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This section describes a price evaluation preference for HUBZone small business concerns in full and open competition acquisitions. It explains when the preference does not apply and how contracting officers apply a 10 percent factor to other offers. It matters because it can improve a HUBZone concern's competitive standing on price.

Applies to: Acquisitions conducted using full and open competition

What it requires

  • Contracting officers shall apply the HUBZone price evaluation preference in full and open competition acquisitions, except in the listed situations.
  • Contracting officers shall add a factor of 10 percent to all offers, except offers from HUBZone small business concerns that have not waived the preference and otherwise successful small business offers.
  • Contracting officers shall apply the 10 percent factor on a line item basis or to any group of items on which award may be made.
  • Contracting officers shall award to the HUBZone small business concern when the two highest rated offerors are a HUBZone concern and a large business and their evaluated offers are equal after considering the preference.

Key terms: price evaluation preference · HUBZone small business concern · full and open competition · factor of 10 percent · line item basis

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

(a) The price evaluation preference for HUBZone small business concerns shall be used in acquisitions conducted using full and open competition. The preference shall not be used—

(1) Where price is not a selection factor so that a price evaluation preference would not be considered (e.g., Architect/Engineer acquisitions);

(2) Where all fair and reasonable offers are accepted (e.g., the award of multiple award schedule contracts); or

(3) For the reserved portion of a solicitation for a multiple-award contract (see 19.503).

(b) The contracting officer shall give offers from HUBZone small business concerns a price evaluation preference by adding a factor of 10 percent to all offers, except—

(1) Offers from HUBZone small business concerns that have not waived the evaluation preference; or

(2) Otherwise successful offers from small business concerns.

(c) The factor of 10 percent shall be applied on a line item basis or to any group of items on which award may be made. Other evaluation factors, such as transportation costs or rent-free use of Government property, shall be added to the offer to establish the base offer before adding the factor of 10 percent.

(d) When the two highest rated offerors are a HUBZone small business concern and a large business, and the evaluated offer of the HUBZone small business concern is equal to the evaluated offer of the large business after considering the price evaluation preference, the contracting officer shall award the contract to the HUBZone small business concern.

Sections it refers to

Sections that refer to it

  • 15.503 Notifications to unsuccessful offerors.

← 19.1306 HUBZone sole-source awards. · 19.1308 [Reserved] →

Rule changes for FAR Part 19

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

FAR 19.1307 Price evaluation preference for HUBZone small business concerns · SpendQuery