Also known as

Definition

HUBZone firms receive a 10% price evaluation preference in full and open competition (FAR 19.1307). If the HUBZone offer is not the lowest price but is within 10% of the lowest, it is treated as the lowest for evaluation purposes. This preference does not apply in set-aside competitions or when price is evaluated under best value tradeoff.

Where this matters in federal contracting

Hubzone Price Evaluation Preference is a measurement used in federal contract evaluation, source selection, oversight, or performance management. For example: Example: The Simplified Acquisition Threshold or a fiscal-year budget measure. Understanding Hubzone Price Evaluation Preference matters because evaluators use metrics like it to compare proposals quantitatively, score past performance, set award-fee outcomes, and decide who gets the next option year. Contractors who track how Hubzone Price Evaluation Preference is calculated — and what target values look like in their NAICS or service area — write proposals that are concrete and defensible instead of generic and easily dismissed. Hubzone Price Evaluation Preference also has implications for contract administration: getting the calculation methodology wrong post-award is a common source of disputes and contracting-officer modifications. Pair Hubzone Price Evaluation Preference with the related metrics above to see how the federal government composes evaluation criteria into source-selection narratives.

Example

Example: The Simplified Acquisition Threshold or a fiscal-year budget measure.

More metric terms