Loading...
HomeMy WebLinkAboutResolution - 667 - Policy Statement - Minority Business Enterprise Program - Equal Opportunity - 12/11/1980l II)GV:bs RESOLUTION 4667 - December 11, 1980 RESOLUTION Q ! WHEREAS, the City Council of the City of Lubbock deems it to be in the ?public interest to adopt a policy ensuring that members of the minority business 9community and females will have equal opportunity to compete for City of Lub- slbock contracts for construction, professional services, purchases of equipment and supplies and all other services required by the City, and WHEREAS, the City Council of the City of Lubbock deems it to be in the public interest for contractors providing services, materials or supplies to the City of Lubbock to provide employment opportunities to minorities and female equal to those opportunities provided other groups or individuals, NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the City Council of the City of Lubbock hereby adopts as its policy the Policy Statement found upon pages 1 through 3 of the Minority Business Enterprise Program attached hereto, and THAT the Mayor of the City of Lubbock BE and is hereby authorized to exe- cute for and on behalf of the City of Lubbock said Policy Statement and any amendments thereto, and THAT the City Manager of the City of Lubbock or his designee shall be the Minority Business Enterprise Liason Officer for the City of Lubbock and shall shave authority to implement this policy. Passed by City Council this 11th day of December , 1980. 10 BILL McALISTER, MAYOR !' ATTEST : f - Evelyn Ga fga, City ec et -Treasurer IAPPROVED AS TO CONTENT: Jiml6fJagg, Assistant 66,1anager APPROVED AS TO FORM: Donald G. Vandiver, Assistant City Attorney No Text i t s fTABLE OF CONTENTS 1. Policy Statement . . . . . . . . . . . . . . . 1 Il. Minority Business Enterprise (MBE) Liason Officer. . . . . 4 III. Procedure to Insure Equitable Opportunity to Compete for Contracts and Subcontracts'. .. , , 6 IV. Use of Minority and Women-Owned Banks. . . . . . . . . . . . . . 6 V. MBE Directory . . . . . . . . . . . . . . . . . . 6 VI. MBE Eligibility and Joint Ventures Involving MBEs. . . . . 7 VII. Percentage Goals . . . . . . . . . . . . . . . . . . . . 7 VIII. Procedures to Require that MBEs be Identified by Name by Competitors that Meet MBE Goals . . . . . . . . . . . 9 IX. Selection Criteria to Insure Prime Contracts are Awarded to Competitors that Meet MBE Goals . . . . . . . . . . . . 9 X, Compliance of Subrecipients, Contractors, and Subcontractors to the MBE Requirements. . . . . . . . . . . . . . . . . . . . 9 XI. Maintenance of Records and Reports . . . . . . . . . . . . . 9 X11. Information to be Included in Contract Document. . . . . 11 XIII. MBE Requirements for Transit Vehicle Manufacturers . . . . . . . 12- XIV. Policy Concerning leases . , . . . . . . . . . . . . . . . . . 12 XV. Set Asides . . . . . . . . . . . . . . . . . . . . 13 APPENDIX Attachment 1. Instructions to Bidders Regarding the City of Lubbock's MBE Program . . . . , 14 Attachment 2. Selecting Criteria to Insure that Prime Contracts are Awarded to Competitors that Meet MBE Goals . . . . . . . . . . 16 Attachment 3. Counting MBE Participation Toward Meeting MBE Goals . . . . . . . . . . . . . . . . . . 20 Attachment 4, Eligibility Standards , . , .. 21 • •Table of Contents (continued) • Page Attachment $ Appeals of Denial of Certification as an MBE . . . . . 24 Schedule A. Certification Form . . . . . . . . . . . . . . . . 25 Schedule B. Joint Venture Eligibility Form . . . . . . . ... . . 28 Schedule C. Schedule of MBE Participation . . . . . . . . . . . . 34 Schedule D. MBE/WBE Participation Quarterly Report . . . . _ . 35 4 CITY OF LUBBOCK MINORITY BUSINESS ENTERPRISE POLICY I. POLICY STATEMENT It is the policy of the City of Lubbock, Texas to:involve Minority Business Enterprises to the fullest extent feasible in all phases of its procurement practices, and to provide them equal opportunities to compete for contracts for construction, provision of professional services, purchases of equipment and supplies, and provision of other services required by the City. As a part of the effort to attain these policy objectives, it is the intent of the City of Lubbock to develop and implement a Minority Business Enterprise Program to ensure that the members of the minority business community will have equal opportunities to be utilized in all apsects of the City's procurement programs. For the, purpose of this policy,, a Minority Business Enterprise is defined as: a small business concern which is owned and controlled by one or more minorities or women. "Owned and controlled" is specified as a business which a) is at least 51% owned by one or more minorities or women or in the -case of a publicly owned business, at least 51% of the stock of which is owned by one or more minorities or women, and b) whose management and daily business operations are controlled by one or more such individuals. Such persons would include any person who is a citizen or lawful resident of the United States and who is: A. Black (a person having origins in any of the black racial groups of Africa) B. Hispanic (a person of Spanish or Portuguese culture with origins in Mexico, -1- I South or Central America, or the Caribbean Islands, regardless of race.) C. 'Asian American (a person having origins in any of the original peoples of the Far East, Southeast Asia, the Indian subcontinent, or the.Pacific Islands), D. American Indian, and Alaskan Native (a person having origins in any of the original peoples of North America), E. Members of other groups, or other individuals found to be economically and socially disadvantaged by the Small Business Administration under Section 8(a) of the Small Business Act, as amended (15 U.S.C.(3] ,&LL To the extent legally practicable, the City of Lubbock will insure that all contractors providing services, materials or supplies to the City provide employment opportunities to minorities and females equal to those provided all other groups or individuals. Such contractors will also be required to take positive steps toward the utilization of minority business enterprises, to the maximum extent compatible with prompt and satisfactory completion of the projects for which they contract. The City will provide assistance, when requested, to Minority Business Enterprises in providing instructions on the preparation of bid specifications, compliance with procurement policy, and fulfillment of general bid requirements. In addition, the City will provide information on job performance requirements, procurement opportunities and prerequisites for bidding on contracts. The City of, Lubbock will encourage joint ventures among Minority Business Enterprises and between majority and :minority firms bidding for City contracts.- The City of Lubbock will seek and will use its best efforts to insure that Minority Business Enterprises are informed of current and future -2- �t procurement activities through newsletters, including minority newspapers, focal minority chambers of commerce, and other minority organizations as well as through direct contact with minority entreprenuers. As evidence of its intent to vigorously pursue the object of this Minority Business Enterprise Program, the City Manager has designated the Assistant City Manager as the Minority Business Enterprise Liaison Officer for the Department of Transportation related projects, who will be assisted by the City of Lubbock's Human Relations Department, Transit Department, and Department of Aviation, in developing, administering, and implementing the City's Minority Business Enterprise Program. APPROVED AND ADOPTED this 11th day of December , 19$0 by the Lubbock City Council. Approved as to form: C `? -, , tlohn C, Ross, Jr., City Attorney City Attorney December 11, 1980 Date CITY BBOCK, E S .,0* Bill MCAltster, Mayor City of Lubbock, Texas December 11, 1980 Date Larry Pnni.ngham, it'Manager December 11, 1980 Date s 1I. LIAISON OFFICER the City of Lubbock has designated the Assistant City Manager to serve as the City's Liaison Officer for the Minority Business Enterprise Program. The Liaison Officer reports directly to the City of Lubbock's City Manager, the Assistant City Manager has been charged with the responsibility for developing and executing the Minority Business Enterprise Program. The duties of the Liaison Officer shall include the following: A. Development, managing,implementing, and evaluating the MBE Program. B. The review of all contract language and supporting data submitted in all phases of project administration to assure compliance with the MBE Program requirements and applicable federal, state, and local laws. C. The monitoring via periodic reviews of the contractors' compliance with the City's MBE Program as a mechanism for evaluation and planning. D. Maintenance and updating of a registry of minority and women -owned businesses, a! certified by SBA or other appropriate agency, with specific•inforriation on exper- tise work performance, and other information .including verification of ownershil E. The design and conduct of "in-house" MBE Seminars as well as the provision r of technical assistance to interested bidders. F. Analyzation of available planning tools to project priority areas of MBE efforts. G. -Providing assistance to City departments in resolving specific problems related to implementation of the MBE program and achievement of stated goals. H. Publication of business opportunities to MBE's and assistance to such businesses in obtaining contracts and sub -contracts. I. Attendance of pre-bid and pre -construction conferences to explain MBE requirements. J. Participation on bid and proposal review panels. -4- i. K. The maintenance of MBE contract records, and regular reporting to the -City Manager and to the Mayor. L. The coordination of the MBE Program with the procurement and legal de- partments, and other appropriate local agencies. M. Submit all reports as required by DOT and other Federal Regulations. SUPPORTIVE STAFF The MBE Liaison Officer shall have adequate staff to perform the duties. The Coordinators of the Transportation, Aviation, and other appropriate de- partments or their designated representative will serve as the MBE Coordinator for their respective departments. The Departmental Coordinator will be at a minimum, responsible for: A. Notifying the MBE Liaison Officer of all grants being applied for through the U.S. Department of Transportation, B. Notifying the Liaison Officer of approved grant awards, C. Evaluating approved grants for potential MBE participation, D. Involving the MBE Liaison Officer in the entire bid process for DOT assisted projects, which includes, but is not limited to: 1. Notification in advance by appropriate department of consultant and/or construction contracts 2. Providing the Officer the opportunity to review bid proposals and requests for proposals {RFP} prior to their formal advertisements to insure that the City's MBE requirements have been met. 3. Notifying the Officer of the time and place for all.pre-bid conferences if any, so that the MBE requirements can be explained and questions answered, 4. Making sure that the Liaison Officer has an opportunity to evaluate all bids received in an effort to assure the validity of the degree of MBE -5- • set forth in the regulations. VI. MBE ELIGIBILITY AND JOINT VENTURES INVOLVING MBE's To insure that the MBE program only benefits firms owned and controlled by minorities or women, the :Sr-aII Business Administration shall certify the eli9ibiIit) MBE's and joint ventures involving MBE"s that are named by competitors by completing Schedule A and/or B. (For exceptions, see Attachment 2, Part G.) The City shall require prime contractors to make good faith efforts to replace an MBE contractor that is unable to perform successfully with another MBE. The City shall reserve the right to approve all substitutions of subcontractors before bid opening and during contract performance, in order to insure that the substitute firms are eligible MBE's VII PERCENTAGE GOALS A. Overall Goals The overall goals for the City of Lubbock's MBE program is eight percernt (8%) of the contract amount of minority-owned f1rms*and two. percent (2%) for bus- inesses owned by women. In no case shall these goals constitute a fixed quota; The following factors were considered in arriving at these goals: 1. The number and types of contracts to be awarded by the City during its fiscal year; 2. The number and types of MBE's and WBE's that have been identified by the City: and SBA; 3. The number and types of MBE's and WBE's I ikely to be available to compete for contracts during the funding period. The past efforts of the City to contract with MBE's and WBE's. The overall goals shall -be reviewed on an annual basis.. The review process shall analyze projected versus actual MBE participation during the previous • participation claimed. This will include verification of the information ' included In Schedule A. E. Reporting to the Liaison Officer on no less than a quarterly basis on the various departments efforts at achieving the MBE goals. III. PROCEDURE TO INSURE EQUITABLE OPPORTUNITY TO COMPETE FOR CONTRACTS AND SUBCONTRACTS The City of Lubbock will develop and use affirmative action techniques to facilitate MBE participation in contracting activities. These techniques shall include, but are not limited to: A. Arranging solicitations, time for the presentation of bids, quantities, specifications, and delivery schedules so as to facilitate the partici- pation of MBE's; B. Providing assistance to MBE's in overcoming barriers such as the inability to obtain bonding, financing, or technical assistance by working with outside agencies to provide these resources; ry C. Carrying out information and communications programs on contracting- procedures and specific contracting opportunities in a timely manner; D. Holding pre-bid conferences to explain the projects and encourage prime contractors to use MBE's as subcontractors; and E. Including the City's goal requirement for MBE participation in the bid F solicitations for DOT -assisted projects. IV. USE OF MINORITY AND WOMEN -OWNED BANKS There are no minority or women -owned banks in Lubbock. However, should this situation change in the future, the City of Lubbock will thoroughly investigate the full extent of services offered and make the greatest feasible ,use of these banks. ^. V. MBE DIRECTORY Such directory or source list shall specify which firms listed have been determined by DOT or SBA to be eligible MBE's in accordance with procedures -6- fiscal year. Whatever revisions considered necessary, shall be made and submitted to the Department of Transportation for approval. B. Contract Goals Contract goals will be set on specific, projects which the bidder/proposer must meet or exceed or demonstrate that it would not meet despite its best efforts. The goals will be set based on the known availability of qualified MBE's. C. Publication of Goals At the time the City submits its overall goals to the Department of Transportation for approval, it shall publish a notice announcing these goals, informing the public that the goals and a description of how they were selected are available for inspection during normal business hours at the City Manager's Office for 30 days following the date of notice, and informing the public that the Department and the City will accept comments on the goals for 45 days from the date of the notice. The notice shall include addresses to which comments may be sent, and shall be published in general circulation media and available minority -focus' media and trade association publications, and shall state that the comments are for informational purposes only. D. Geographic Area The City of Lubbock and contractors shall at a minimum, seek MBE's in same geographic area in which contractors or subcontractors are sought for a given solicitation. If the goals cannot be met by using MBE's from this geographic area, the City and contractors shall expand its search to a reasonably wider area. *1lill. `PROCEDURES TO REQUIRE THAT MBE's BE IDENTIFIED BY NAME BY COMPETITORS FOR CONTRACTS In solicitations for DOT-assisted contracts that provide opportunities for MBE participation, the City shall indicate its goals for the use of firms owned and controlled by minorities and women. A. All bidders/proposers will be required to submit a written assurance of meeting the goals in their bids of proposals by completing Attachment 1. B. Within a reasonable period of time after the opening of bids, and before the award of the contract, the City shall require all bidders wishing to remain in competition for the contract to submit Schedule C which provides: 1. The names and addresses of MBE subcontractors; 2. A description of the work each is to perform; and, 3• The dollar value of each proposed MBE subcontract. C. The time allowed for submission of Schedule C will beset for individual contracts and may vary, depending on circumstances. D. Agreements between a bidder/proposer and an MBE in which the MBE promises not to provide subcontracting quotations to other bidders/proposers are, prohibited. IX. SELECTION CRITERIA TO INSURE THAT PRIME CONTRACTS ARE AWARDED TO COMPETITORS THAT MEET MBE GOALS To insure that prime contracts are awarded to competitors who meet MBE goals, the selection criteria which is outlined in Attachment 2 will be followed. X. COMPLIANCE OF SUBRECIPIENTS, CONTRACTORS AND SUBCONTRACTORS TO THE'MEE REQUIREMENTS The City of Lubbock does not have any subrecipients at this time. Should the situation change in the future, all subrecipients must comply with the MSE requirements outlined in this program. XI. MAINTENA14CE OF RECORDS AND REPORTS A. In order to monitor the progress of its MBE program, the City shall maintain .9_ a recordkeeping system which will identify and assess MBE contract awards. .prime contractors' progress in achieving MBE subcontract goals and other MBE affirmative action efforts. B. Specifically, the City shall maintain records showing: 1. Procedures which have been adopted to comply with the requirements of this program. 2. Awards to 11BE's. These awards shall be measured against projected MBE awards and/or MBE goals. To assist in this effort, the City shall obtain regular reports from prime contractors on their progress in meeting contractual MBE obligations. 3• Specific efforts to identify and award contracts to MBE's. C. Records shall be available, upon request, to an authorized officer or employee of the government. D. The City shall submit reports conforming in frequency and format to existing contract reporting requirements of the applicable Department element. Where no such contract reporting requirements exist, MBE reports shall be submitted quarterly. These reports shall include as a minimum: (See Schedule D) 1 The number of contracts awarded to MBE's; 2. A description of the general categories of contracts awarded to MBE's; 3. The dollar value of contracts awarded to MBE's; 4. The percentage of the dollar value of all contracts awarded during this period which were awarded to MBE's; and, 5. An indication of whether and the extent of which the percentage met or exceeded the goal specified in the application. E. The records and reports shall provide information relating to firms owned and controlled by minorities separately from information relating to firms owned and controlled by women. If the records and reports include any SBA -10- • `i • $(a) contractors that are not minorities or women, information concerning these contractors shall also be recorded and reported separately. X11. INFORMATION TO BE INCLUDED IN CONTRACT DOCUMENT 1. Policy. It is the policy of the Department of Transportation that minority business enterprises as defined in 49 CFR Part 23 shall have the maximum opportunity to participate in the performance of contracts financed in whole or in part with Federal funds under this agreement. Consequently, the MBE requirements of 49 CFR Part 23 will be included in all contract documents. 2. MBE Obligation. The City of Lubbock or its contractor agrees to insure that minority business enterprises, as defined in 49 CFR Part 23, have the maximum opportunity to participate in the performance of contracts and subcontracts financed in whole or in part with Federal funds provided under this agreement. In this regard, the City or ,its contractors shall take all necessary and reasonable steps in accordance with 49 CFR Part 23 to insure that.minority business enterprises have the maximum opportunity to compete for and perform contracts. The City and its contractors shall not dis- criminate on the basis of race, color, national origin, or sex in the award and performance of DOT -assisted contracts. 3. The City shall advise each subrecipient, contractor, or subcontractor that failure to carry out the requirements set forth in this program shall con- stitute a breach of contract and, after the notification of the Department, may result in termination of the agreement or contract by the City or such remedy as the City deems appropriate. 4. In addition, the following items will be provided to prospective bidders in the specification documents: (a) MBE goals,; (Attachment 1) (b) MBE selection criteria; (Attachment 2) -ll- • (c) Certification Schedules A and B; - (d) MBE definitions; (Attachment 1) (e) Methods of counting MBE participation; and (Attachment 3) (f) -Form for reporting names and addresses of MBE subcontractors, work to be performed, and dollar value of each proposed MBE ,contract. (Schedule C) XIII. MBE REQUIREMENTS FOR TRANSIT VEHICLE MANUFACTURERS Transit vehicle manufacturers who bid on UMTA-assisted transit vehicle pro- curement contracts shall have an UMTA approved MBE program. Bid invitation issued for UMTA-assisted transit vehicles shall include the provisions listed below: A. Policy. It is the policy of the Department of Transportation that minority business enterprises as defined in 49 CFR Part 23 shall have the maximum opportunity to participate in the performance of contracts financed in whole or in part with Federal funds under this agreement. Consequently,. the MBE requirements of 49 CFR Part 23 apply to this agreement. B. MBE, Obligation . The contractor agrees to insure that minority business enterprises as defined in 49 CFR Part 23 have the maximum opportunity to participate in the performance of contracts and. subcontracts. The con- tractor shall not discriminate on the basis of race, color, national origin, -or sex in the award and performance of DOT -assisted contracts. C. Contractor Obligation. Contractors and subcontractors failing to carry out the above requirements are to be advised that failure to meet provisions in Schedules A and B above, shall constitute a breach of contract. XIV. POLICY CONCERNING LEASES The following action will be taken concerning leases: A. The .City of Lubbock shall not exclude MBE's from participation in business -lr - I I opportunities by entering into long-term exclusive agreements with non - .MBE's for the operation of major transportation related activities or major activities for the provision of goods and services to the facility or to the public on the facility. XV. MBE SET ASIDES The City of Lubbock will limit the use of set asides to include subcontracts as they are utilized by the prime or general contractor. The City of Lubbock is prohibited by the Texas Competitive Bidding Stature, Article 236x, Tex.Rev. Civ.Stat.Ann. CVernon's Supp. 1980) to bid total contract amounts only to MBEs/WBEs. Based on these rulings the City of Lubbock cannot take the whole contract and allow only MBEs/WBEs to bid on it, but the City can specify in the contract with the prime contractor that a certain percent- age of the contract money will be spent by the prime contractor with MBE/WBE subcontractors. _13_. No Text ATTACHrENT 1 °t Page 1 of 2 INSTRUCTIONS TO BIDDERS REGARDING THE CITY OF LUBBOCK'S MINORITY BUSINESS ENTERPRISE PROGRAM The City of Lubbock has a Minority Business Enterprise (MBE) program which has set goals of .8q of the contract amount for participation on the part of MBE's and 2% women -owned businesses in DOT -assisted projects. Failure to carry out the requirements set forth in this program shall constitute a breach of contract and, after notification of the Department of Transportation, may result in termination of the agreement or contract by the City, or such other remedy as the City deems appropriate. The City defines a "minority" as a person who is a citizen or lawful permanent resident of'the United States and who is: (a) Black (a person having origins in any of the black racial groups of Africa); (b) Hispanic (a person of Spanish or Portuguese culture with origins in Mexico, South or Central America, or the Caribbean Islands, re- gardless of race); (.c) Asian American (a person having origins in any of the original peoples of the Far East, Southeast Asia, the Indian subcontinent, or the Pacific Islands); (d) American Indian and Alaskan Native (a person having origins in any of the original peoples of North America); or, (e) Members of other groups, or other individuals, found to be economically and socially disadvantaged by the Small Business Administration under Section 8 (a) of the Small Business Act, as amended (15 U.S.C. 637 (a)). A "Minority Business" means a small business concern which is owned and controlled' by one or more minorities or women. Owned and controlled means a business: (a) Which is at least 51 percent owned by one or more. minorities. or women or, in the case of a.publicly owned business, at least 51 percent of the stock which is owned by one or more minorities or women; and (b) Whose management and daily business operations are controlled by one or more such individuals. In order to receive favorable consideration on this project, bidders are expected tc provide assurances, in writing, that at least 8"% of the contract amount will go to minority business enterprises and at least 2% will go to women business enter- prises. This can be done by completing the bottom portion of this attachment and supplying whatever other supplemental information necessary. In any event, the low- est bidder, meeting the MBE requirements will receive the most favorable considerate THE UNDERSIGNED BIDDER HEREBY ASSURES THAT HIS/HER FIRM IS IN COMPLIANCE WITH THE CITY OF LUBSOCK'S MBE "PROGRAM AND HAS A GOAL OF % OF THE DOLLAR VALUE OF THIS PROJECT FOR MINORITY-OWNED BUSINESSES AND % FOR WOMEN -OWNED BUSINESSES. 14AME OF COMPANY SIGNATURE • ATTACHMENT i Page 2 of 2 SUPPLEMENTAL INSTRUCTIONS TO BIDDERS A. Other Attachments 1. The selection criteria to insure that prime contractors are awarded to the bidder/proposer that meet MBE goals is outlined in Attachment 2. 2. The method for counting MBE participation toward meeting MBE goals is discussed in Attachment 3. 3. The eligibility standards for determining whether firms are owned and controlled by minorities or women are outlined in Attachment. 4. The process for appealing denials of certification as an MBE is outlined in Attachment 5. B. In order to comply with the City of Lubbock's MBE requirements, it may be necessary to complete all of the following forms: 1. Schedule A - Certification of MBE Eligibility. This form must be completed and placed on file with the City for each MBE listed in Schedule C. If the prime contractor is a minority or women, Schedule A must accompany the bid submission. For information related to Third Party Certification, see Attachment 2, page 2, part G.) 2. Schedule B - Joint Venture Eligibility. This form must be com- pleted and placed on file with the City for all joint ventures between minority and non -minority firms on DOT -assisted projects. 3. Schedule C - Schedule of MBE Participation. You must indicate the MBE firms you propose to use, the type of work to be performed and the dollar value of the contract. C. Agreements between a bidder/proposer and an MBE in which the MBE promises not to provide subcontracting quotations to other bidders/proposers are prohibited. i ATTACHMENT 2 Page -1 of SELECTION CRITERIA TO INSURE THAT PRIME CONTRACTS ARE AWARDED TO COMPETITORS THAT MEET MBE GOALS A. If any competitor offering a reasonable price meets the MBE contract goal, the City of Lubbock shall presume that all competitors that failed to meet the goal have failed to exert sufficient reasonable efforts and consequently are ineligible to be awarded the contract. B. To implement this presumption, the City shall determine whether the competitor offering the lowest price of firms meeting the MBE contract goal has offered a reasonable price for the contract: I. if it is determined that this competitor has offered a reasonable price, the City shall award the contract to the firm; 2. If the City determines that this competitor's price is not reasonable, it shall consider the next price offered by the competitor with the highest percentage of MBE participation of those firms that failed to meet the goal. If the City determines that this price is reasonable, it shall award the contract to this competitor; 3. If it is determined that this price is not reasonable, the City shall consider the other competitors that failed to meet the goal in order of their percentage of MBE participation until it selects one with a reasonable price; and, 4. If it is determined that no competitor with MBE participation has offered a reasonable price, the City may award the contract to any competitor that demonstrates that it has made sufficient reasonable efforts to meet the MBE contract goal. C. To decide whether a price offered by a competitor is reasonable, the City of Lubbock shall use the same criteria that it would use to determine whether, if the competitor had made the only offer to perform the contract, the City would award the contract. D. To demonstrate sufficient reasonable efforts to meet the MBE contract goal, a contractor shall document the steps it has taken to obtain MBE participation, including, but not limited to, the following: 1. Attendance at a pre-bid conference, if any, scheduled by the 'City to inform MBE's of subcontracting opportunities under a given solicitation; 2. Advertisement in general circulation media, trade association publications, and minority -focus media for at least 20 days before bids or proposals are due. If 20 days are not available, publication for a shorter reasonable time is acceptable. -16- ATTACHMENT 2 Page 2 of_V_ 3. Written notification to MBE's that their interest lin :the contract is solicited; 4. Efforts made to select portions of the work proposed to be performed by MBE's in order to increase the likelihood of achieving the stated goal; 5. Efforts to negotiate with MBE's for specific subbids including at minimum: (a) The names, addresses, and telephone numbers of MBE's that were contacted; (b) A description of the information provided to MBE's regarding the plans and specifications for portions of the work to be performed; and (c) A statement of why additional agreements with MBE's were not reached. 6. Concerning each MBE the competitor contacted but rejected as unqualified, the reasons for the competitor's conclusion; 7. Effort made to assist the MBE's contacted that needed assistance in obtaining bonding or insurance required by the competitor or City. E. Competitors that fail to meet MBE goals and fail to demonstrate sufficient reasonable efforts shall not be eligible to be awarded the contract. F. To insure that all obligations under contracts awarded to MBE's are met, the City shallreview the contractor's MBE involvement efforts during the performance of the contract. The contractor shall bring to the attention of the City of Lubbock any situation in which regularly scheduled progress payments are not made to MBE subcontractors. G. Under the following circumstances, a business seeking to participate as a MBE in :the City of Lubbock's procurements and contracts need not submit the Minority Business Certification Affidavit(s). 1. If the potential MBE contractor has been determined by the Small Business Administration to be owned and controlled by a socially - and economically disadvantaged individual under section 8(a) of the Small Business Act, as amended. 2. If the potential MBE contractor states in writing that it has submitte, the same information to or has been certified by a DOT element, or another Federal agency that uses essentially the same definition and ownership and control criteria as the City. The potential .MBE contractor shall obtain the information and certification (if any) from the other agency and submit it to the City or cause the other agency to submit it. The City of Lubbock may rely upon such a certification. However, the City reserves the right to make its own determination based on the information it has obtained from the other agency. -17- . • ATTACHMENT 2 Page 3 of E 3. if the potential MBE contractor is certified by another organization or agency with which the City has a formal joint certificationagree- ment, it is understood that the City will only enter into such agree- ments with agencies that use essentially the same definition and owner- ship and control criteria as the City and DOT. -18- ' ATTACHMENT 2 Page of � N C o -v m a� •- u -v C L y d O a •� � u C C fp •- L N CL Z m O iD L (DQ d C N fD u 'fl O L p •� > O N M04. cD Cr-' L_ 4. C Z d 47 C C u a� - - .L m D. L a u _41 Z L - .Q 13 tD •- L O G> > Ln CL 3 O > V Cw C 41 1/'1 N C .- N N C d V LtJ Aj C L L. O 9 d H N ♦.r y m ._ L > O N - 'G L N u d. O 4- M m C C ++ L. w q — p rp Q O cm .0m .,S C V V O LLJ C c� Lu O s0.+ m. N Li Vct) C •D VI g tn C L 3 -p m (D T! Z � W mmQ.0 CCD _am 41 O� rto +� 3----�L ai 'O L O i.+ O M .— c a .0 a .c - � °� m U c au S •-�, O m •p N !p - fD fD m G] 3=a.0 L, a� -o y� - CL 3 O O d L vfJ > G7 >� O of N F- fD C C Q C _�9_. COUNTING MBE PARTICIPATION TOWARD MEETING MBE GOALS ATTACHMENT 3 MBE participation shall be counted toward meeting MBE goals as follows: A. Once a firm is determined to be an eligible MBE, the total dollar value of the contract awarded to the MBE's is counted toward the applicable MBE goals. B. The total dollar value of a contract to an MBE owned and controlled by both minority males and non -minority females is counted toward the goals for minorities and women, respectively, in proportion to the percentage of ownership and control of each group in the business. The total dollar value of a contract with an MBE owned and controlled by minority women is counted toward either the minority goal or the goal for women, but not to both. The City or the contractor employing the firm may choose the goal to which the contract vaiue is applied. C. The City or contractor may count toward its MBE goals a portion of the total dollar value of a contract with a joint venture eligible under the standards equal to the percentage of the ownership and controls of the MBE partner in the joint venture. D. The City or contractor may count toward its MBE goals only expenditures to MBE's that perform a commercially useful function in the work of a contract. An MBE is considered to perform a commercially useful function when it is responsible for execution of a distinct element of the work of an contract and carrying out its responsibilities by actually performing, managing, and supervising the work involved. To determine whether an MBE is per- forming a commercially useful function, the City or contractor shall eval- uate the amount of work subcontracted, industry practices, and other relevent factors. E.• Consistent with normal. industry practices, an MBE may enter into sub- contracts. if an MBE contractor subcontracts a significantiy greater portion of the work of the contract than would be expected on the basis of normal industry practices, the MBE shall be presumed not to be performing a commercially useful function. The MBE may present evidence to rebut this presumption to the City. The City's decision on the rebuttalofthis pre- sumption is subject to review by the Department of Transportation. F. The City or contractor may count toward its MBE goals expenditures for materials and supplies obtained from MBE suppliers and manufacturers, pro- vided that the MBE's assume the actual and contractual responsibility for th provision of the materials and supplies. (1) The City or contractor may count its entire expenditure to an MBE manufacturer (i.e. a supplier that produces goods from raw materials or substantially alters them before resale).. (2) The City may count 20 percent of its expenditures. to MBE suppliers that are not manufacturers, provided that the MBE supplier performs a commercially useful function .in the supply process. -20- ATTACHMENT 4 Page 7 of 3 ELIGIBILITY STANDARDS A. The following standards shall be used by the City in determining whether a firm is owned and controlled by one or more minorities or women is and shall therefore be eligible to be certified as an MBE. Businesses aggrieved by the determination may appeal in accordance with procedures set forth in Attachment 1 (1) Bona fide minority group membership shall be established on the basis of the individuallIs claim that he or she is a member of a minority group and is so regarded by that particular minority community. However, the City is not 'required to accept this claim if it determines the claim to be invalid. (2) An eligible minority business enterprise under this part shall be an independent business (a) The ownership and control by minorities or women shall be real, substantial, and continuing and shall go beyond the pro forma ownership of the firm as reflected in its ownership documents. (b) The minority or women owners shall enjoy the customary incidents of ownership and shall share in the risks and profits commensurate with their ownership interests, as demonstrated by an examination of the substance rather than form of arrangements. (c) Recognition of the business as a separate entity for tax or corporate purposes is not necessarily sufficient for recognition as an MBE. (d) In determining whether a potential MBE is an independent business; the City shall consider all relevent factors, including the date the business was established, the adequancy-of its resources for the work of the contract, and the degree to which financial, equipment leasing, and other relationships with non -minority firms vary from industry practice. (3) The minority or women owners shall also possess the power to direct or cause the direction of the management and policies of the firm and to make the day-to-day as well as major decisions on matters of management, policy, and operations, The firm shall not be subject to any formal or informal restrictions which limit the customary discretion of the minority or women owners. There shall be no restrictions through, for example, bylaw provisions, partnership agreements, or charter requirements for cumulative voting rights or otherwise that prevent the minority or women owners, without the cooperation or vote of any owner who is not a minority or woman. from making a business decision of the firm. (4) If the owners of the firm who are not minorities or women are dis- proportionately responsible for the operation of the firm; then the firm is not controlled by minorities or women and shall not be con- sidered an MBE within the meaning of this program. Where the actual -21- ATTACHMENT 4 Page. 2 of 3 management of the firm is contracted out to individuals other than the owner, those persons who have the ultimate power to hire and fire the managers can, for the purposes of this part, be considered as controlling the business. {5) All securities which constitute ownership and/or control of a Cor- poration for purposes of establishing it as an MBE under this part shall :be held directly by minorities or women. No 'securities held in trust, or by any guardian for a minor, shall be considered as held by minority or women in determining the ownership or control of a corporation. (G) The contributions of capital or expertise by the minority or women owners to acquire their interests in the firm shall be real and substantial. Examples of insufficient contributions include a promise to contribute capital, a note payable to the firm or its owners who are not socially and economically disadvantaged, or the mere participation as an employee, rather than as a manage B. In addition to the above standards, the City shall give special consideration to the following circumstances in determining eligibility under this program: (1) Newly formed firms and firms whose ownership and/or controls has changed since the date of the advertisement of the contract are closely scrutinized to determine the reasons for the timing of the formation or change in the firm. .. (2) A'previous and/or continuing employer-employee relationship between or among present owners is carefully reviewed to insure that the employee -owner has management responsibilities and capabilities discussed in this section. (3) Any relationship between an MBE and a business which is not an MBE which has an interest in the MBE is carefully reviewed to determine if the interest of the non -MBE conflicts with the ownership and control requirements of this program. C. A Joint venture is eligible under this part if the MBE partner of the joint venture meets the standards for an eligible MBE set forth above and the MBE partner is responsible fora clearly defined portion of the work to be performed and shares in the ownership, control, management responsibilities, risks, and profits of the joint venture. D. A business wishing to be certified as an MBE or joint venture MBE by the SBA shall cooperate with the City by supplying additional information which may be requested in order to make a determination. E. Once certified, an MBE shall update its submission annually by submitting a new Attachment C or certifying that the Attachment C on file is still accurate. If at any time there is a change in ownership or control of the firm, the MBE shall submit a new Attachment C. F. Except as provided in Attachment 1, the denial of.a certification by the Department of Transportation or City shall be final, for that contract and other contracts being let by the City at the time of the denial of certifi • ATTACHMENT 4 Page 3 of 3 r cation. MBE's and joint ventures denied certification may correct deficiencies in their ownership and control and apply for certifi- cation only for future contracts. G. The City shall safeguard from disclosure to unauthorized persons information that reasonably may be regarded as confidential business information, consistent with Federal, State and local law.. -23- ATTACHMENT 5 Page 1 of 1 APPEALS OF DENIAL OF CERTIFICATION AS AN MBE A. Filing Any firm which believes that it has been wrongly denied certification as an MBE or joint venture by the Department of Transportation or the City may file an appeal in writing, signed and dated, with the Department of Transportation. The appeal shall be filed no later than 180 days after the date of denial of certification." The Secretary of Transportation may extend the time for fiiing or waive the time limit in the interest of justice, specifying in writing the reasons for so doing. Third.parties who have reason to believe that another firm has been wrongly denied or granted certification as an MBE or joint venture may advise the Secretary. This information is not considered as appeal pursuant to this section. B. Decision to Investi ate The Secretary insures that a prompt investigation is made.pursuant to prescribed DOT Title VI investigation procedures. C. Status of Certification During the Investigation The Secretary may at his/her discretion, deny the MBE or joint venture in question eligibility to participate as an MBE DOT -assisted contracts let during the pendency of the investigation, after providing the MBE or joint venture in question an opportunity to show cause by written statement to the Secretary why this should not occur. D. Cooperation in Investigation All parties shall cooperate fully with the investigation. Failure or refusal to furnish requested information or other failure to cooperate .refusal a violation of this part. E. Determinations The Secretary makes one of the following determinations and informs the MBE or joint venture in writing of the reasons for the determination: (1) The MBE or joint venture is certified; or (2) The MBE or joint venture is not eligible to be certified and is denied eligibility to participate as an MBE in any direct or DOT -assisted contract until a new application for certification is approved by the City. -24- SCHEDULE A Page -1 of 5 • P CITY OF LUBBOCK MINORITY BUSINESS ENTERPRISE CERTIFICATION FORM 1. Name of Firm 2. Address 3. Phone Number 4. Legal Structure: Sole -Proprietorship / / Joint Venture f / Partnership / / Corporation Other, Specify 5. Nature of Business 6. Numbers of Years in Business 7. Ownership: Identify those who own 5% or more. Columns a and f need be filled out only if the firm is less than 100 percent minority owned. (a) (b) (c) (d) (e) (f) Years of Ownership Voting Name Race Sex Ownership Percentage Percentage With firms less than 100 percent minority owned, list the contributions of money, equipment, real estate, or expertise of each of the owners: Name Money Equipment Real Estate Expertise -25.. SCHEDULE A • Certification Form Page 2 of 5 V2 8. CONTROL OF FIRM: Identify by name, race, sex, and title in the firm those individuals (including owners and non -owners) who are responsible for day- to-day management and policy decision-making, including, but not limited to, those with prime responsibility for: Name Race Sex Title Financial Decisions Management Decisions, such as estimating, marketing/sales, hiring/ firing of management per- sonnel, and purchases of major items/supplies. Supervision of Field Operations 9. For each of those listed in question 8, provide a brief summary of the person's experience and number of years with the firm, indicating the person's qualifi- cations for the responsibilities given him/her. 10. Describe or attach a copy of any stock options or other ownership options that are outstanding, and any agreements between owners or between owners and third parties which restrict ownership or control of minority owners. -26- • Certification Form Page 3 of 5 1-1. Identify any owner.(see item 7) or management official (see item 8) of the named firm who is or has been an employee of another firm that 'had an ownership interest in or a present business relationship with the named firm. Present business relationships include shared space, equipment, financing, or employees as well as both firms having some of the same owners. 12. What are the gross receipts of the firm for each of the last two years? Year ending $ Year ending $ 13. Name of bonding company, if any: Bonding Limit 14. Are you authorized to do business in the state as well as locally? ` Yes /—/ No / / Licenses Held: 15. Indicate if this firm or other firms with any of the same officers have previously received or been denied certification or participation as an MBE= and describe the circumstances. Certifying Authority Date of Certification (or Denial) SCHEDULE A • Page 4 of 5 AFFIDAVIT CERTIFICATION OF ELIGIBILITY "The undersigned swears that the foregoing statements are true and correct and include all material information necessary to identify and explain the operations of (Name of firm) as well as the ownership thereof. Further, the undersigned agrees to provide through the prime contractor or, if no prime, directly to the grantee current, complete and accurate information regarding actual work performed on the project, the payment therefor and any proposed changes, if any, of the foregoing arrange- ments and to permit the audit and examination of books, records and files of the named firm. Any material misrepresentation will be grounds for terminating any contract which may be awarded and for initiating action under Federal or State laws concerning false statements." NOTE: If, after filing this Schedule A and before the work of this firm is completed on the contract covered by this regulation, there is any significant. change in the information submitted, you must inform the City of Lubbock of the change .through the prime contractor, if no prime contractor, inform the City directly. Signature Name Title Date Corporate Sea] (where appropriate). Date State of County of 1 I 1 SCHEDULE A Page 5 of 5 r On this day of 19 before me appeared to me personally known, who being duly sworn, did execute the foregoing affidavit, and did state that he/she was properly authorized by (Name of firm) to execute the affidavit and did so as his/her free act and deed. Notary Public Commission Expires • SCFIE ULE B Page 1 of 4 CITY OF LUBBOCK MINORITY BUSINESS ENTERPRISE JOINT VENTURE ELIGIBILITY (This form need not be filled in if all joint venture firms are minority owned.) 1. Name of Joint Venture 2. Address 3. Phone Number 4. Identify the firms which comprise the joint venture. ( The MBE partner must complete Schedule A.} (a) Describe the role of the MBE firm in the joint venture. (b) Describe very briefly the experience and business qualifications of each non -MBE joint venture. 5. Nature of the joint venture's business 6. Provide a copy of the joint venture agreement. E� 9. (5) Supervision of field operations Note: If, after filing -this Schedule B and before the completion of the joint venture's work on the contract covered by this regulation, there is any significant change in the information submitted, the joint venture must inform the City, either directly or through the prime contractor if the joint venture is a subcontractor. -31- SCHEDULE B Page 2 of 4 What is the claimed percentage of MBE ownership? Ownership of joint venture: (This need not be filled in if described in the joint venture agreement, provided by question 6.) (a) Profit and loss sharing. (b) Capital contributions, including equipment. (c) Other applicable ownership interests. Control of and participation in this contract. Identify by name, race, sex, and "firm" those individuals (and their titles) who are responsible for day- to-day management and policy decisionmaking, including, but not limited to, those with prime responsibility for: (a) Financial decisions (b) Management decisions, such as: (1) Estimating (2) Marketing and sales (3) Hiring/Firing of management personnel (4) Purchasing of major items/supplies (5) Supervision of field operations Note: If, after filing -this Schedule B and before the completion of the joint venture's work on the contract covered by this regulation, there is any significant change in the information submitted, the joint venture must inform the City, either directly or through the prime contractor if the joint venture is a subcontractor. -31- I I SCHEDULE B AFFIDAVIT Page 3 of 4 'JOINT VENTURE .J "The undersigned swear that the foregoing statements are correct and include all material information necessary to identify and explain the terms and operation of our joint venture and the intended participation by each joint venturer in the undertaking. Further, the undersigned covenant and agree to provide to the City current, complete and accurate information re- garding actual joint venture work and the payment therefor and any proposed changes in any of the joint venture arrangements and to permit the audit and examination of the books, records and files of the joint venture, or those of each joint venturer relevant to the joint venture, by authorized represent- atives of the City or the Federal funding agency. Any material misrepresent- ation will be grounds for terminating any contract which may be awarded and for initiating action under Federal or State laws concerning false statements." Name of Firm Signature Name Title Da to Date State of County of Name of Firm Signature Name Title Date SCHEDULE B .;. �► Page 4 of 4 r A . On this day of , 19 before me appeared to me personnaly known, who being duly sworn, did execute the foregoing affidavit, and did state that he/she was properly authorized by (Firm) to execute the affidavit and did so as his/her free act and deed. Notary Public Commission Expires (Seal) Date State of County of On -this day of 19 before me appeared to me personally known, who, being duly sworn, did execute the foregoing affidavit, and did state that he/she was properly authorized by to execute the affidavit and did so as his/her free act and deeds Notary Public Commission Expires (Seal) t sn� a �3 44 I L- W W 0 m . Ci i+ uj V c c Z o o v L � y a+ Q O V tQ Cl L O C B C. J t sn� a W W uj V - - c_ C7 C Q a Y O W � F- tOi z W W Q W W O V W W O w o 4_ O C.3 u F- W W 0 .La C4 4= Z W ~ Q G. w� J Q c¢.� ul u N LL. J W W W }- a_ . Y}-pci 3C1Q- t- tiw Z O U W a- D Z F— N N W c . O C1 c � O O F- - ci T� "F- U- CD Z - p W V Q Z r o C O �u u y x G1 C O C v .II y t u N H d C F .O a+ Y L O 3 I- 0 O 4- ♦.+ O N -u C L u +.+ fl. to O L L 0 �3 .a CJ L >- C± id ti L/ Li.. 4- L to c O H E L O ii cl 7 C 3 L dld L C u O E N 3 L t'S � s m C L f+7 V1 t E _ L 4- Y > u c rJ t3 O -3 M O � O C J CJ ~ 4- N L O ._ C? .— m Ln L) y u C L of .3 +� ; M a y IV C.�- c u Ct 3 G to u C v y u F- O 1- C O CL LLJ r C Ltl 1- O a Z a t- CL cs a ta.L n 3 Luz n tr ♦ CJ 1- C O CL LLJ r C Ltl 1- O a Z a t- CL cs a ta.L n 3 Luz n tr N 0 Lu Q ca ti y .� u L to.0 0uj V C� 3 uj �.+ p � L v R � . D d u V L w ra p ci a C m m tp- , C s.t _4 L V V1 L Q � L y R G L p v v v v- c� p v L 3 O L ta L O. - i c L .� O � L x W