Understanding the HUBZone Program
The Historically Underutilized Business Zones (HUBZone) Empowerment Contracting program was enacted into law as part of the Small Business Reauthorization Act of 1997. The program falls under the auspices of the U.S. Small Business Administration. The program encourages economic development in historically underutilized business zones – “HUBZones” – through the establishment of preferences.

SBA’s HUBZone program is in line with the efforts of both the Administration and Congress to promote economic development and employment growth in distressed areas by providing access to more federal contracting opportunities.

How the HUBZone Program Works
The SBA regulates and implements the HUBZone program. SBA does the following:

• Determines which businesses are eligible to receive HUBZone contracts
• Maintains a listing of qualified HUBZone small businesses that federal agencies can use to locate vendors
• Adjudicates protests of eligibility to receive HUBZone contracts
• Reports to the Congress on the program’s impact on employment and investment in HUBZone areas.

Benefits of the HUBZone Program
The program’s benefits for HUBZone-certified companies include:

• Competitive and sole source contracting
• 10% price evaluation preference in full and open contract competitions, as well as subcontracting opportunities.

• The federal government has a goal of awarding 3% of all dollars for federal prime contracts to HUBZone-certified small business concerns.

Eligibility for the HUBZone
Make sure to review the HUBZone Primer (transcript) to understand the HUBZone requirements. To qualify for the program, a business (except tribally-owned concerns) must meet the following criteria:

• It must be a small business by SBA standards
• It must be owned and controlled at least 51% by U.S. citizens, or a Community Development Corporation, an agricultural cooperative, or an Indian tribe
• Its principal office must be located within a “Historically Underutilized Business Zone,” which includes lands considered “Indian Country” and military facilities closed by the Base Realignment and Closure Act
• At least 35% of its employees must reside in a HUBZone.

If you are eligible, visit Applying for the HUBZone Program, as well as Maintaining the HUBZone Certification.

Helpful Resource:
Find out if you are located in a HUBZone

Providing retirement benefits is a good way to attract and keep top talent in your company. In addition, business owners receive a tax break because contributions to a retirement plan are generally deductible.

For small-business owners who want to start a retirement plan, the IRS is a good place to begin. Written in plain language, the IRS materials give an accurate and unbiased look at the basics of various retirement plans and help the small-business owner learn the questions to ask and pitfalls to avoid in setting up and operating a plan.

“Our goal is to help small-business owners make the best decisions for themselves and their employees when it comes to saving for retirement,” says Mark O’Donnell, director of customer education and outreach, IRS Office of Employee Plans.

IRS free resources include:

Retirement Plans Navigator – a web guide to help choose a plan, maintain it and correct plan mistakes.

Small Business Retirement Plan Resources webpage – connects you to a webcast on how to start and operate a low-maintenance retirement plan, plan maintenance reminders, frequently asked questions, newsletters, tips for employees and more.

Widgets – portable on-screen tools that contain information on the latest retirement plans news, benefits of retirement plans and other tips. They are easy-to-use and can be posted on your website or desktop.

Forms and Publications – plain-language publications on various types of retirement plans, plan features and programs.

Visit http://www.IRS.gov/retirement to learn more about all the available retirement plan resources.

To help educate entrepreneurs on available capital resources, the Initiative for a Competitive Inner City (ICIC) and the Staples Foundation have compiled a short guide for CEOs about federally funded capital access programs.

SBA 7(a) Loan Program: The SBA’s 7(a) loan program is the largest government-backed loan program for entrepreneurs and is designed to encourage lenders to work with companies they might otherwise consider too risky. The 7(a) loan program can help finance up to $5 million, which can be used to buy a business, for long-term working capital or to purchase equipment.

Depending on the size of the loan, the SBA generally guarantees from 75 to 85 percent of the total loan amount. The caveat is that SBA loans can come with hefty fees—In a sense, the business owner is buying insurance on the loan. Such fees currently start at 3.5 percent of the guaranteed amount of the loan and can be financed as part of the loan. Learn more at http://www.sba.gov.

Community Development Financial Institutions (CDFI): CDFIs are financial institutions that support the economic revitalization of low-income communities, including the businesses there. Banks, credit unions and venture funds may all be certified as CDFIs and use federal funds to invest in businesses or real estate, to make consumer loans or to provide other services in communities that lack them. Entrepreneurs who have worked with CDFIs describe the due diligence process as being more intensive than that used by most banks but often say they get a valuable mentoring relationship—in addition to cash—in return. The availability of CDFI financing varies greatly. You can learn about this resource at http://www.cdfifund.gov/.

New Markets Tax Credits (NMTC): This program is designed to encourage investment in low-income areas. Investments in qualifying projects can get a 39 percent tax credit taken over seven years. More than $25 billion in tax credits has already been granted. NMTC money is chiefly used for real estate, with about 82 percent being used this way. Entrepreneurs of all kinds can also benefit from the program, using it to build new physical locations. For more information, visit http://www.icic.org.

That’s the word from experts who say the U.S. industry accounts for $216.5 billion in revenue. A positive trade balance of $53.3 billion is the highest of any U.S. manufacturing sector.

The aerospace and defense industry has the best technology in the world, which keeps our nation and men and women in uniform safe during these unsettling times.

Plus, more than 800,000 aerospace and defense employees support more than 2 million middleclass jobs in all 50 states.

These are just some of the reasons why a week of special events is planned in Washington, D.C. and across the country during National Aerospace Week from September 11 to 17, 2011.

The week will call attention to the contributions the industry makes to this country while encouraging elected officials to pursue policies that will keep it healthy.

For more information, visit http://www.NationalAerospaceWeek.org. You can write your elected official by going to the Take Action tab.

These three bilateral FTA’s were negotiated and signed by President George W. Bush. They all have faced a long period of legislative inaction, in part because of legitimate economic and political concerns that have now been rectified, but also because of political gamesmanship.

The recent fight over the deficit and debt ceiling has left many observers with severely lowered expectations for this Congress, including diminished hopes for the return of liberalized trade as a centerpiece of the country’s economic competitiveness agenda. But some degree of optimism was rekindled in early August when Senate and House leaders announced they had found a “path forward” for the three FTAs and would take them up after their summer recess.

Now it’s a matter of the administration and Congressional leaders following through with the kind of bipartisan effort that trade liberalization measures have invariably required.

The rationale for supporting these agreements has always been strong, but in a down economy alongside the kinds of power shifts that are underway in the world-and in our hemisphere-approving the FTAs is even more critical. Here are three reasons why:

First, they will benefit the United States economically by boosting exports, generating jobs and enhancing our global competitiveness. Exports have been one of the few bright spots in our economic landscape the last few years. According to one analysis, the export sector contributed 44 percent to the growth of the US economy in 2010. Two-thirds of US exports last year came from the manufacturing sector, which generally pays better wages and generates more jobs than other sectors. Estimates are that the three agreements will increase the size of the US economy by about $15 billion thanks to the removal of tariff and non-tariff barriers that will encourage trade.

Second, without these agreements, the U.S. risks the loss of market share and access to two regions that are critical to our nation’s short- and long-term economic interests. And make no mistake, other global competitors are not hesitating to step into the void that our inaction on these FTAs has created. Witness the Canada-Colombia free trade deal that went into force in August, leaving US exporters, particularly those in the agricultural sector, at a competitive disadvantage and putting downward pressure on US market share.  Consider that on July 1st, European Union and South Korea entered into a free trade pact. In just one month Europe’s exports to Korea increased by 34 percent.

Third, the agreements are important to US geopolitical interests and offer an opportunity to reassert our strategic interests in Latin America and in the Asia-Pacific region. Through the FTAs, we affirm our commitment to partnership and signal that we intend to remain fully engaged, economically and otherwise, in regions we deem important to our national interests.

These FTA’s are not only good for business and creating jobs, they help strengthen ties we have with important allies and aid in cultivating more democratic institutions and market-based economies at the precise moment that some influences (such as that of Venezuela’s Hugo Chavez) may be ebbing, and others (such as China’s) may be poised to flow in.  Summer’s nearly over, it’s time for congress to act.

About the Author:
Antonio O. Garza is the former U.S. Ambassador to Mexico and is counsel in the Mexico City office of White & Case and a partner in ViaNovo, a U.S.-based public affairs consultancy.  He is online at http://.tonygarza.com, on Facebook at http://facebook.com/AntonioOGarza and on Twitter @aogarza.

The Problem
Technology seems to have gotten ahead of the country’s sales tax laws. Internet retailers say they’re exempt from collecting sales tax in states where they do not have a physical presence; states argue that sales taxes are already due on all sales and should be collected at the point of purchase.

This tax loophole puts traditional, brick—and-mortar businesses—the backbone of their communities-at a distinct competitive disadvantage to remote sellers who don’t collect sales tax. This can lead to stores shutting their doors for good and jobs being lost.

In the U.S., there are more than 12 million shopping center-related jobs. One out of every 11 U.S. jobs is shopping center-related and for every 100 individuals directly employed at regional shopping centers, an additional 20 to 30 are supported in the community. This means that a decrease in retail sales will have a ripple effect on other businesses that provide jobs, such as restaurants, movie theaters and gas stations.

Moreover, states are losing critical funding, at a time when it is needed more than ever, for schools, law enforcement, first responders, government services and the jobs they provide.

“While the Internet marketplace has rapidly expanded, tax collection for e-commerce sales lags woefully behind,” said William F. Fox, director of the Center for Business and Economic Research at the University of Tennessee. “We urgently need a new commonsense solution for both consumers and businesses.”

A Solution
That’s where the Main Street Fairness Act comes in. It is expected to create a viable and equitable solution for both online and brick-and-mortar retailers.

Through the Act, Congress gives states the ability to require out-of-state vendors to collect and remit sales taxes. It grants that authority particularly to states that have simplified their tax codes through the Streamlined Sales and Use Tax Agreement.

Explained Michael Kercheval, president and CEO of the International Council of Shopping Centers, “The Main Street Fairness Act will give retailers a level playing field, allowing them to continue creating jobs and protecting local economies.”

Learn More
For more information, visit http://www.icsc.org/mainstreetfairness or call (202)626-1400.

“It’s a pivotal time to remind our federal elected officials of the importance and urgency of finding solutions to the dire situation the construction industry and our highways are facing,” says Gerald F. Voigt, P.E., president and CEO of the American Concrete Pavement Association.

Congress needs to do the right thing by making highways and other elements of the surface transportation system a top priority, said Voigt.

This year marks the sixth anniversary of the signing of the most recent highway bill, which, since its expiration, has been extended seven times.

Extensions make it difficult for businesses to invest in the future, and not having a clear timeline for the next transportation bill will continue to jeopardize the economic vitality of companies—and the nation.

The ability to move people and goods is critical to the nation’s economy.

When the federal government under invests in transportation infrastructure, it’s easier for the nation to fall behind in the global marketplace.

“China, India and other developing nations understand the value of infrastructure development and the critical link between infrastructure, commerce, personal mobility and safety,” said Voigt. “Why are those issues any less important in the U.S. than in other nations?”

Fuel prices are rising at an alarming rate, and with widespread speculation that motorists might pay $5 per gallon for gasoline, motorists can scarcely afford to waste fuel because of the inefficiency and disrepair of the nation’s highways.

As the nation’s economy continues to falter, said Voigt, unemployment remains high in the construction industry. Passage of a new highway bill would create and sustain well-paying, long-term jobs for people who want to work and need to work.

“Talk to your neighbors, your colleagues, your employees and everyone you know who has the power of the vote and urge them to take a stand; to tell their elected officials to find and invest the funds to repair and preserve the nation’s highways,” said Voigt.

You can let your elected officials know how you feel about this and any other issue. For more information, visit www.acpa.org or http://www.pavements4life.com.

by Paul Yarossi

The results of failing to invest in an outdated transportation network and maintain a state of good repair are threatening America’s resilience, security, economic performance and ability to compete globally.

According to the American Society of Civil Engineers, America needs to make a $2 trillion infrastructure investment during the next five years.

Yet, to make real progress, the American people and Congress need to know why they should invest. What is the public being asked to pay for? We don’t have a comprehensive national transportation plan that includes an integrated strategy for all modes of transportation, so it’s not clear to many people where their hard-earned dollars are going.

This can be an opportunity, on the other hand, to create the transportation network this country needs and create jobs to turn around the economy. It can ensure infrastructure strength and capacity to support growth in international trade. It can shore up security and safety for all citizens and significantly affect the quality of life in many metropolitan areas.

If we don’t find common ground, we will continue to lag behind competitors such as China and India. We will face ever-increasing municipal and individual debt, as we attempt to fund infrastructure replacements with piecemeal funding strategies.

The answer lies in a coordinated, strategic, national infrastructure program that covers all types of transportation, explained in a way the American people can understand and support—what’s in it for them?

The plan has to leverage both public funding and private investment—a source that we’ve failed to fully mine.

Three key hurdles to consider if we are to make real progress are:

• The public needs to know what it’s paying for.
• The transportation industry must work together to affect policy.
• American voters must elect strong leadership. Persistent misinformation, mistrust and a lack of vision could threaten the transportation sector.

Action Steps
HNTB is working hand in hand with clients and industry partners to explore options for improvement. The public can provide input too by:

• Continuing the dialogue across transportation modes and advocating for change.
• Calling, visiting and sending letters to policymakers urging a new approach and working together to create a well-balanced, well-funded transportation network.
• Working to elect leaders who share a positive vision for the country’s infrastructure, understand the urgency and are willing to take the lead.

Learn more at http://ARTBA.org, http://ACEC.org, http://uschamber.com/lra and http://www.HNTB.com.

Everyone recognizes a Post Office.

There are lots of Post Offices—about 32,000. But there are even more other places to get U.S. Postal Service stamps, products and shipping services-more than twice as many. Altogether, there are over 100,000 locations—banks, ATMs, grocery stores, drugstores and other retailers. Service may be closer than you think. There is no need for a special trip to the Post Office. Many are open in the evening and on the weekend.

“We’re teaming up with hundreds of new stores so customers can do postal business at places where they already shop,” explains Postmaster General Patrick R. Donahoe. “Americans have more to do and less time to do it. We know simpler is better—online, on your mobile device, on your way, with an expertise that you can count on.”

You can use your mobile device. The U.S. Postal Service has one of the top 10 free business applications, on Apple’s iPhone and iPod touch mobile devices, that lets customers track packages, locate Post Offices and calculate postage prices anywhere. A new Android app has also just come out.

You can also shop online at http://www.usps.com, print postage from your computer, and your letter carrier will pick up packages at your home or office without extra charge.

Adds Donahoe, “We’re everywhere so you can be anywhere.”

To find the nearest U.S. Postal Service retail location go to http://www.uspseverywhere.com and type in the ZIP Code or city and state.

This trend is not limited to popular magazine articles, academic journals or libraries. For example, it’s possible to access official federal government publications free online.

Known as “America’s Authentic Government Information,” the Government Printing Office’s (GPO) Federal Digital System—called FDsys—is designed to benefit the American public by enhancing its access to information.

With FDsys, consumers can:

Search for documents and publications—GPO’s FDsys provides advanced search capabilities and the ability to refine and narrow a search for quick access to the information you need.

Browse for documents and publications—The system offers browsing by collection, congressional committee and date.

Access background information about documents and publications—Information is presented about government publications in standard XML formats.

Download documents and publications in multiple renditions or file formats—With FDsys, it’s possible to download a single file or download content and metadata packaged together in a compressed file.

If you find a publication on FDsys that you wish to purchase, navigate to the “More Information” page for that publication and click on “Purchase your own copy.” If it is available for purchase, that link will take you directly to the publication on GPO’s Online Bookstore website.

The GPO provides publishing and dissemination services for the official and authentic government publications to Congress, federal agencies, federal depository libraries and the American public.

To learn more, visit the website at http://www.fdsys.gov.