Small Business Program
Program Overview
Purpose
The Austin City Council and the City Manager’s Office recognize that a strong and active small business community is essential to Austin’s longterm economic health and sustainability. To support the policy objectives set by Council and City leadership, Austin Financial Services oversees the Small Business Procurement Program. This program uses a range of formal and informal procedures and administrative policies to encourage and increase small business participation in City contracts and purchases.
Definition
The City defines a Small Business as any person or corporate entity holding a recognized certification that, among the certification’s requirements, includes compliance with the US Small Business Administration’s Small Business Size Standard.
About Certifications and Sources
The list of applicable certifications and certification sources is current as of June 15, 2026. It represents the only certifications recognized by the City’s Small Business Procurement Program. The City may consider adding additional certifications as they are identified or recommended, and prospective offerors are encouraged to suggest new options well before a solicitation’s deadline. However, the City does not commit to reviewing or deciding on new certifications within a specific timeframe.
- City of Austin
• Minority-Owned Business Enterprises
• Women-Owned Business Enterprise
• Small Business Enterprise
• Disadvantaged Business Enterprise (See Federal)
• Airport Concession Disadvantaged Business Enterprise (See Federal) - City of Houston
• Minority-Owned Business Enterprise
• Women-Owned Business Enterprise
• Small Business Enterprise
• Persons with Disabilities Business Enterprises
• Disadvantaged Business Enterprise
• Airport concession Disadvantaged Business Enterprise
• LGBT Business Enterprise - State of Texas
• Veteran Heroes United in Business
• Small Business Enterprise - North Central Texas Regional Certification Agency
• Minority Business Enterprise
• Woman Owned Business Enterprise
• Small Business Enterprise
• Small Business Enterprises Concessionaire
• Airport Concessionaire Disadvantaged Business Enterprises - South Central Texas Regional Certification Agency
• African American Business Enterprise
• Asian American Business Enterprise
• Disabled Individual Business Enterprise
• Emerging Small Business Enterprise
• Hispanic American Business Enterprise
• Minority Business Enterprise
• Native American Business Enterprise
• Small Business Enterprise
• Veteran Owned Business
• Woman Owned Business Enterprise - US Federal Government
• Disadvantaged Business Enterprise
• Women-Owned Small Business
• Economically Disadvantaged Women-owned Small Business
• Veteran-Owned Small Business
• Service-Disabled Veteran-owned Small Business
• Airport Concession Disadvantaged Business Enterprise
• Veteran Small Business Certification
Formal Solicitations and Preference Amounts
Invitation for Bids (IFB)
When the Small Business Procurement Program applies to an IFB, bids will be discounted as follows. Bid Discounts are for purposes of the competition only and will not apply to any resulting contract.
• Offerors that ARE Certified Small Businesses, see “Primes” below for applicable Bid Discounts.
• Offerors that ARE NOT Small Businesses BUT include one or more Certified Small Business Subcontractor(s) with their Offer, with a total value for all Subcontract(s) at or above five percent (>5%) of the Offer’s total value, see “Subs” below for applicable Bid Discounts. Certified Small Business Subcontractor(s) must be submitted with the Subcontracting Plan – No MBE/WBE Goals.
• Bid discounts will be applied to either the Prime or Subcontractor, not a combination of both.
IFB Contract scopes | Total value | Prime Bid Discounts | Sub Bid Discounts |
|---|---|---|---|
Goods, general services and construction | $78,000 to $100,000 | 5% | 2% |
Good & general services | $100,000 to $500,000 | 5% | 2% |
Good & general services | $500,000 to $50 million | 3% | 1% |
Good & general services | Above $50 million | 0% | 0% |
Note: For Bid Discounts use the highest of either Prime or Sub
Request for Proposals (RFP)
When the Small Business Procurement Program applies to an RFP, evaluation Preference Points will be applied as follows:
• Offerors that ARE Certified Small Businesses, see “Primes” below for applicable Preference Points.
• Offerors that ARE NOT Small Businesses BUT include one or more Certified Small Business Subcontractor(s) with their Offer’s, with a total value for all Subcontract(s) at or above five percent (>5%) of the Offer’s total value, see “Subs” below for applicable Preference Points. Certified Small Business Subcontractor(s) must be submitted with the Subcontracting Plan – No MBE/WBE Goals.
• Preference Points will be applied to either the Prime or Subcontractor, not a combination of both.
• If M/WBE goals are assigned to a solicitation, only the offeror/prime contractor that is a certified small business may receive the small business preference. The small business preference does not apply to subcontractors when M/WBE goals are assigned.
RFP Contract Scopes | Total Value | Prime Preference Points | Sub Preference Points |
|---|---|---|---|
Goods, general services and construction | $78,000 to $100,000 | 10 pts | 4 pts |
Good & general services | $100,000 to $500,000 | 10 pts | 4 pts |
Good & general services | $500,000 to $50 million | 6 pts | 2 pts |
Good & general services | Above $50 million | 0 pts | 0 pts |
Note: For Preference Points use the highest of either Prime or Sub