By now you probably know that at least 35% of your total employees must reside in a HUBZone. By total employees, we mean every single employee that works more than 40 hours a month, no matter where they work. This means employees that work at your principal office, other office locations, jobsites, and remotely from home, all count towards that 35% that you must meet.
This brings us to the question of what counts as residing in a HUBZone and what kind of proof is required. To be considered a HUBZone resident, you must have resided there for at least 180 days prior to the date of application. There was a time when an employee could be a currently registered voter with intent to live at a HUBZone residence indefinitely and that would meet the requirement even if they had been there less than 180 days. That is no longer the case and the SBA is now using the 180 days of prior residency as the determining factor.
The easiest way to prove that your employee has resided at their address for the minimum requirement of 180 days is to provide a copy of their driver’s license or voter registration card that was issued to them at that address at least 180 days prior. If your employee meets the 180-day requirement, but say for example, they recently had to renew their driver’s license, there are multiple options to still prove this. You could provide a copy of both the old and new license from the same address or you could provide a copy of the new license along with a deed, lease agreement, or utility bill from 180 days prior to show that they have resided in the HUBZone for the necessary length of time.
If your employee meets the 180-day requirement, but does not have the necessary driver’s license, state issued ID, or voter registration card needed for proof. There are still other options along with having them sign the SBA’s statement as to why this documentation is unavailable.
There are many other different situations that we have come across, but as long as the employee has been at their HUBZone address for at least 180 days, we can usually find a solution.
If you would like to know if you qualify for the Hubzone Program, please take our online HUBZone Eligibility Questionnaire.
