On December 2, 2025, the Texas Comptroller officially eliminated the Historically Underutilized Business (HUB) program. This decision brings an end to twenty five years of race based and gender based procurement preferences that shaped how state construction and professional service contracts were awarded. In place of the HUB program, the Comptroller introduced VetHUB, a new certification available only to service disabled veteran owned businesses.
This single policy change immediately removed HUB certification status from more than fifteen thousand women owned, Black owned, Hispanic owned, Asian owned, and other minority owned construction, industrial, and professional services companies across Texas. While existing contracts can continue under their current terms, every new bid opportunity with state agencies, TxDOT, public universities, and school districts now operates under a fully neutral, merit driven evaluation structure.
There are no diversity preference points, no race based participation goals, and no gender based considerations. A company can no longer rely on the phrase we are HUB certified as a strategic advantage or an automatic conversation starter with a prime contractor. If your business relied on HUB certification as a differentiator or a door opener, the environment you operated in last week no longer exists today. The elimination of HUB is the single most significant shift in Texas public procurement since the program’s debut in 1999.
This article outlines exactly what changed, who benefits, who loses ground, and what every Texas construction and industrial contractor must do immediately to strengthen visibility and protect future project pipelines.
What Texas Eliminated and What Replaced It
The former HUB program
The HUB program provided preference or goal credit for firms owned at least 51 percent by women or by individuals from minority groups recognized by the State of Texas. The credit given to primes encouraged outreach to HUB certified subcontractors and influenced evaluation points during contract scoring. Because of this structure, many primes included HUB subcontractors to remain competitive.
The new VetHUB program
VetHUB is now the only certification program that carries weight within state level procurement, and it applies only to service disabled veteran owned businesses. Unlike the HUB program, VetHUB does not provide benefits tied to race or gender. It reflects federal veteran preference models and is entirely veteran status driven.
Additional implications
MWBE preferences at the state level are effectively gone. The federal Disadvantaged Business Enterprise (DBE) program, which influences transportation projects, is currently under review and may face significant narrowing or legal challenges in 2026. Small Business Enterprise (SBE) classifications that use SBA size standards now represent the only broad, race neutral certification category that still provides strategic value for public contracting.
Good faith effort requirements technically remain, but primes receive no scoring credit for using former HUB categories unless those firms also qualify under the new VetHUB program.
The reality is simple. The certification card that thousands of Texas contractors carried for decades no longer works on new state funded projects.
How the HUB Overhaul Is Already Reshaping Texas Projects
Imagine a fifty million dollar TxDOT highway package releasing early next year. Last year, the prime contractor on that package needed between eleven and fifteen percent HUB participation to remain competitive during scoring. This requirement pushed primes to call every available HUB certified electrician, hauler, concrete subcontractor, erosion control provider, and specialty firm on the list. It did not matter if the prime had worked with the subcontractor before. The certification alone warranted outreach.
Next year, that same prime contractor can limit calls to subcontractors they already know and can easily justify to the owner. Firms that never established visibility, never built digital credibility, or never connected with primes outside of the HUB directory may now find themselves invisible.
General contractors across Dallas, Fort Worth, Houston, Austin, and San Antonio are already communicating the same message. They report that half the names on the historical HUB list are unfamiliar. They skip subcontractors whose websites appear outdated or lack project photos. They prioritize firms with strong Google profiles, active LinkedIn pages, and clearly documented performance history.
This new behavior is not theoretical. It is already happening and it represents the new subcontractor selection process in Texas.
Winners and Losers After HUB Elimination
Winners
Contractors who invested early in branding, website updates, SEO, active social presence, and ongoing relationship building now gain a significant advantage. Service disabled veteran owned businesses have an immediate and exclusive certification benefit. Small businesses with verifiable performance data, strong safety metrics, compelling project photos, and testimonials will continue to attract interest from primes.
Losers unless they change quickly
Companies that built their pipeline on the phrase we are HUB certified are at risk. Firms with outdated websites, no Google reviews, no social media presence, and minimal digital footprint will struggle to earn attention. Subcontractors who never submitted prequalification packets because the HUB certification opened the door will find the door closed.
Why Digital Marketing Has Become the Tiebreaker on Texas Public Projects
With the elimination of race- and gender-based HUB preferences, the old certification shortcut is gone forever. Primes no longer get scoring credit just for reaching out to any certified firm. They are also no longer required to prove “good faith effort” to an entire directory.
That means every qualified subcontractor now starts in the same giant rolodex. Registration, safety records, bonding capacity, and past performance still get you on the list. But when a new TxDOT, NTTA, or university package hits the street, primes typically have 20 to 50 pre-vetted subs in every trade who already check every box.
In that environment, digital marketing is no longer optional. It has quietly become one of the biggest factors that decides three things:
- Who gets the first phone call when bid day is two weeks away
- Whose past-performance stories feel instantly credible
- Whose technical capability looks rock-solid before anyone even opens the bid package
The top subcontractors in every trade now consistently show the same digital traits:
- Mobile-friendly websites that rank for “[trade] + [city]” searches (example: “concrete contractor Dallas” or “erosion control Fort Worth”)
- Strong Google Business Profile presence. Residential-focused trades (roofing, HVAC, remodeling) typically have 30 to 100+ reviews with jobsite photos. Commercial specialties (concrete, electrical, sitework) win with even 10 to 20 targeted reviews from past clients or project owners, especially when they include photos of completed highway or institutional work.
- Active LinkedIn company pages that post weekly project updates, safety milestones, or short crew videos
- Capability statements and prequalification packets that lead with hard metrics (99% on-time, 0.78 EMR, $20M bonding capacity) instead of generic text
- Up-to-date profiles in every major GC’s vendor portal
When everything else is equal, these are the firms that jump to the top of the call list. Firms with outdated websites, zero reviews, or no visible proof of work simply get scrolled past, even if they have done excellent projects no one can find online.
Bottom line: registration and relationships still open the door. In post-HUB Texas, digital marketing decides who actually walks through it first and who wins the work.
Five Essential Actions Every Texas Contractor Must Take Immediately
1. Rewrite your capability statement today
Remove all references to HUB, MWBE, or DBE certifications unless they are still relevant under federal rules. Replace these references with performance driven data, safety metrics, bonding capacity, and project summaries. A capability statement should begin with a results focused headline such as Texas site work contractor with more than two hundred acres cleared in 2025, ninety eight percent on time delivery, and an EMR of zero point eight one.
2. Claim and optimize your Google Business Profile
Your Google Business Profile is now the first thing people see when they search for a subcontractor they aren’t fully familiar with. Add your top projects as photos with descriptive captions. Update your service area. Respond to all reviews. Post weekly updates about completed work, equipment additions, team achievements, or safety milestones. This profile is now a critical ranking signal and a central credibility source.
3. Establish consistent activity on LinkedIn
LinkedIn is where general contractors evaluate professionalism, reliability, and activity level. Share completed projects, short videos, team promotions, equipment purchases, job site milestones, and bid announcements. Tag owners, general contractors, and suppliers to increase visibility. Daily or weekly engagement drives recognition that HUB certification once delivered.
While your team attending a golf tournament or an industry happy hour can be fun moments, relying on these as your primary content strategy does not strengthen credibility. These posts alone do little to influence how general contractors evaluate your business.
Use these lighter, “fun” moments sparingly, as a layer that humanizes your brand, on top of consistently strong, value-driven content. Your core content should always demonstrate expertise, reliability, and performance. Fun content should support your strategy, not replace it.
4. Update your website for SEO performance
Your website must be fast, mobile friendly, and structured to rank for trade plus geography keywords. Include up to date project portfolios, clear capability descriptions, bonding and safety information, and high quality photographs. Create specific pages for each service line and city served. These pages can rank independently and generate the visibility HUB certification once provided.
5. Prequalify with major general contractors immediately
Primes now rely on prequalification documentation more than ever. Submit complete and accurate packets to all major general contractors, TxDOT primes, public university procurement offices, and municipal agencies. Emphasize safety records, financial stability, past performance, and service capacity. Primes want subcontractors they can justify easily and prequalification is the best way to demonstrate readiness.
What This Means for Texas Contractors Moving Forward
The HUB overhaul changes the game for everyone. Formerly certified firms no longer have the old shortcut, and every other subcontractor now competes directly against them on the same terms. Primes have larger rolodexes than ever. With no scoring credit tied to diversity certifications, the firms that get called first are the ones that stand out through clear digital visibility, active relationships, and documented performance.
Whether you were HUB-certified before or always competed without it, the requirement is identical today: you need a strong online brand (search-optimized website, active LinkedIn, complete Google Business Profile) plus consistent in-person outreach (tradeshows, prime meet-and-greets, and targeted PR) to stay top-of-mind.
Contractors who move quickly to strengthen these areas will win more TxDOT, NTTA, and institutional work in 2026 and beyond. Those who wait will get scrolled past.
For nearly two decades, Bold Entity has delivered unapologetic B2B marketing that turns industrial companies into the modern powerhouses everyone wants to work with… and work for. We handle website redesigns and local SEO, LinkedIn growth strategies, capability statement overhauls, Google review campaigns, GC prequalification packets, tradeshow preparation, and public relations that position you as the go-to sub in your trade.Ready to get ahead? Visit our construction marketing services page at https://boldentity.com/construction-marketing. We look forward to bringing you BOLD results.
