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Texas Freezes Program to Help Minority-Owned Businesses Compete for Contracts

Texas Comptroller halted the HUB program to review its constitutionality amid a lawsuit and executive order banning diversity, equity, and inclusion programs in state agencies.

  • Texas Comptroller of Public Accounts office froze the Historically Underutilized Business program, pausing new and renewed certifications and removing program information from its website for constitutional review under Gov. Greg Abbott's DEI ban.
  • Acting Comptroller Kelly Hancock took office in July and prioritized reviewing the HUB program after Austin-based Aerospace Solutions sued last November alleging bidding disadvantages.
  • The program was codified in the 1990s and legislation placed the HUB program under the comptroller's office, which certifies HUB businesses and monitors procurement compliance.
  • Agencies and universities received a comptroller memo prohibiting contracts based on race, ethnicity or sex, and Acting Comptroller Kelly Hancock stopped certifications but cannot end the program.
  • Doing away with the program would require either a court ruling it unconstitutional or the State Legislature repealing the law, and State Sen. Royce West said Thursday `The program is not a quota program.
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Texas freezes program to help minority-owned businesses compete for state contracts

The state program intended to give additional exposure to businesses owned by women, minorities and disabled veterans seeking state contracts was frozen by the Texas Comptroller of Public Accounts’ office this week, the latest instance of Republican state officials targeting a program perceived as p

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San Antonio Express-News broke the news in on Thursday, October 30, 2025.
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