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Rules and Regulations
Federal Register Vol. 86, No. 85
Wednesday, May 5, 2021

This section of the FEDERAL REGISTER
contains regulatory documents having general applicability and legal effect, most of which are keyed to and codified in the Code of Federal Regulations, which is published under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.

SMALL BUSINESS ADMINISTRATION
13 CFR Part 126
RIN 3245AH66

HUBZone Program: Extending Map Freeze U.S. Small Business Administration.
ACTION: Direct final rule.
AGENCY:

This direct final rule extends the HUBZone map freeze mandated by the National Defense Authorization Act for Fiscal Year 2018 NDAA 2018 from December 31, 2021, to June 30, 2023.
The NDAA 2018 requires that certain certified HUBZone small business concerns shall maintain their HUBZone status until the HUBZone map is updated in accordance with the results of the 2020 census. SBA previously issued a rule to implement this provision and freeze the HUBZone map until December 31, 2021. However, SBA has learned that the data necessary to update the HUBZone map to reflect the 2020 census results will not be available to SBA until December 2022.
Thus, SBA must extend the HUBZone freeze through June 30, 2023, which will permit SBA to process the data, update the HUBZone map, and provide adequate notice to the HUBZone small business community. This amendment is necessary to avoid public confusion about when certain HUBZone designations will be expiring.
DATES: This rule is effective on June 21, 2021 without further action, unless significant adverse comment is received by June 4, 2021. If significant adverse comment is received, SBA will publish a timely withdrawal of the rule in the Federal Register.
ADDRESSES: You may submit comments, identified by RIN: 3245AH66, by any of the following methods:
Federal eRulemaking Portal: http
www.regulations.gov. Follow the instructions for submitting comments.
SUMMARY:

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Mail or Hand Delivery/Courier:
Laura Maas, HUBZone Program, 409
Third Street SW, Washington, DC
20416.
SBA will post all comments on http
www.regulations.gov. If you wish to submit confidential business information CBI, as defined in the User Notice at http www.regulations.gov, please submit the information to Laura Maas, HUBZone Program, 409 Third Street SW, Washington, DC 20416, 202
2057341, or send an email to hubzone@sba.gov. Highlight the information that you consider to be CBI
and explain why you believe SBA
should hold this information as confidential. SBA will review the information and make the final determination on whether it will publish the information.
FOR FURTHER INFORMATION CONTACT:
Laura Maas, HUBZone Program, 409
Third Street SW, Washington, DC
20416, 2022057341, hubzone@
sba.gov.
Section 1701i of the National Defense Authorization Act for Fiscal Year 2018
NDAA 2018, Public Law 11591, December 12, 2017, provides that certain certified HUBZone small business concerns shall maintain their HUBZone status until the HUBZone map is updated in accordance with the results of the 2020 census. To implement this provision, on November 26, 2019, SBA published a final rule freezing the HUBZone map until the map could be updated based on the results of the 2020 census. 84 FR 65222.
In the preamble to the final rule, SBA
explained:

SUPPLEMENTARY INFORMATION:

In enacting section 1701i, Congress intended for small businesses located in expiring redesignated areas to retain their HUBZone eligibility until the date on which SBA updates the HUBZone maps in accordance with the broader changes described in section 1701. In other words, firms that were certified HUBZone small business concerns as of the date of enactment of the NDAA 2018 December 12, 2017, and that had principal offices located in redesignated areas set to expire prior to January 1, 2020, shall remain certified HUBZone small business concerns until SBA
updates the HUBZone maps after the 2020
decennial census . . . SBA notes that to implement this change, SBA will freeze the HUBZone maps with respect to qualified census tracts, qualified non-metropolitan counties, and redesignated areas. As a result,
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for all redesignated areas in existence on December 12, 2017, the expiration of their HUBZone treatment has been extended until December 31, 2021. SBA selected this date because SBA estimates that the HUBZone maps will have been updated to incorporate the results of the 2020 census and to reflect the broad changes mandated by section 1701
by that time, and selecting a specific date provides stability to program participants.
SBA did not receive any comments on the proposed definition of HUBZone small business concern and is implementing the changes as proposed. 84 FR 65222, 65226.

In the time since the publication of this final rule, SBA has learned that the datasets necessary for SBA to update the HUBZone map based on the results of the 2020 census will not be available to SBA until approximately December 2022. These datasets include the Department of Housing and Urban Developments designation of qualified census tracts. Consequently, SBA must extend the HUBZone map freeze beyond December 31, 2021. SBA has determined that the map freeze should be extended through June 30, 2023, which will permit SBA to process the data, update the HUBZone map, and provide adequate notice to the HUBZone small business community.
In order to extend the map freeze through June 30, 2023, SBA must amend the date set forth in the definitions of the terms HUBZone small business concern or certified HUBZone small business concern and Redesignated area contained in 126.103 of the HUBZone regulations. This amendment is necessary to avoid public confusion about when certain HUBZone designations will be expiring.
Compliance With Executive Orders 12866, 12988, 13132, 13175, 13563, the Congressional Review Act 5 U.S.C.
801808, the Paperwork Reduction Act 44 U.S.C. Ch. 35, and the Regulatory Flexibility Act 5 U.S.C. 601612, and the Administrative Procedure Act, 5
U.S.C. 553
Executive Order 12866
The Office of Management and Budget OMB has determined that this direct final rule does not constitute a significant regulatory action under Executive Order 12866 Regulatory Planning and Review.
Executive Order 12988
This action meets applicable standards set forth in sections 3a and
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