1 florida department of transportation equal opportunity office 2014 disadvantaged business...
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Florida Department of TransportationEqual Opportunity Office
2014
Disadvantaged Business Enterprise (DBE) Program
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Disadvantaged Business Enterprise Program
True or False:
If I am a Hispanic female, my 501(c)(3) company can be certified as a DBE.
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Disadvantaged Business Enterprise Program
FALSE
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Disadvantaged Business Enterprise Program
• Governed by 49 CFR Part 26• Definition:
– DBE means a for-profit small business concern• That is at least 51 percent owned by one or more individuals
who are both socially and economically disadvantaged or, in the case of a corporation, in which 51 percent of the stock is owned by one or more such individuals; and
• Whose management and daily business operations are controlled by one or more of the socially and economically disadvantaged individuals who own it.
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DBE Certification ProcessNew Applicant
• DBE Application Received & Assigned (90 days to process) * If Application is Complete*– Confidential
• Desk Review Conducted• Additional Information Collected• On-site Review Conducted• Facts and Concerns gathered• File given to Certification Manager (by the 60th
day after all information received and on-site conducted)
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DBE Certification ProcessNew Applicant
• Certification Manager Reviews
• Manager, EOO, Approves or Denies
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DBE Certification
True or False:
As a certified DBE, I am prequalified to do work in the work groups that are approved by the EOO in my certification letter.
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DBE Certification
FALSE
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DBE Certification
• Certification is not a prequalification• Certification is for Specific Types of Work• Burden of Proof on Applicant• Once Certified, Burden shifts to Us
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Socially Disadvantaged
• Presumed Groups– Women– Black Americans– Hispanic Americans– Native Americans– Asian-Pacific Americans– Subcontinent Asian Americans
• Others if Documented
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Socially DisadvantagedIndividuals
• Must be a U.S. Citizen or Permanent Resident Alien
• Must Show Ownership– 51% by Disadvantaged Owner– Real & Substantial; Not Just on Paper– Contribution of Capital or Expertise
• Must Control Business– Independent – Does Not rely on Others– Makes Day to Day & Long Term Decisions
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EconomicallyDisadvantaged
True or False:
My family & I just moved into a $3.2M home on the coast & I won a million dollars in the lottery. I can still run my DBE company.
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EconomicallyDisadvantaged
TRUE
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EconomicallyDisadvantaged
• Personal Net Worth At or Below $1.32M• Each Qualifying Owner• Exclude Ownership in Business• Exclude Equity in Primary Residence
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Certified DBEs(As of 1/31/14)
Black Americans 317 (23.92%)Hispanic Americans 350 (26.42%)Native Americans 26 (1.96%)Asian Pacific Americans 71 (5.36%)Subcontinent Asian 52 (3.93%)Women 505 (38.11%)Other 4 (0.30%)Total 1325
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Certified DBEs(By District)
District 1 86 (6.49%)District 2 109 (8.23%)District 3 104 (7.85%)District 4 173 (13.06%)District 5 276 (20.83%)District 6 137 (10.34%)District 7 178 (13.43%)Out of State 262 (19.77%)Total 1325
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Reasons to use a DBE
• Contractors get 4 bonus points on contractor grading
• Recognition from FDOT Secretary (Letters)• Recognition & Award at FTBA Annual
Convention• Recognition & Award at FICE Annual Convention
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Reasons to use a DBE (cont.)
• DBE %’s Reported in Monthly Performance Review Meeting with District Secretaries
• Publish Reports and %’s on Internet• Letter Grades for Primes• Conducting DBE Utilization Assessments• Increases Competitive Pricing• Good for Florida’s Economy
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Reasons to use a DBE (cont.)
• DBE Supportive Services ProvidersBlackmon Roberts Group
aka “BRG”
DBE Specialized Development Program aka “The Council”
Construction Estimating Institute aka “CEI”
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AccomplishmentsSince Race Neutral
Federal DBE Federal % State % Combined %
Fiscal YearGoal Achieved Achieved Achieved2000-2001 8.0% 8.62% 11.55% 10.10%
2001-2002 8.0% 5.10% 8.35% 6.57%
2002-2003 8.0% 7.83% 8.61% 8.35%
2003-2004 7.5% 7.55% 7.92% 7.78%
2004-2005 7.5% 8.03% 7.50% 7.72%
2005-2006 7.9% 8.06% 9.11% 8.71%
2006-2007 8.1% 8.15% 9.96% 9.35%
2007-2008 8.1% 7.75% 9.49% 9.00%
2008-2009 8.12% 8.16% 10.00% 9.08%
2009-2010 8.18% 8.33% 10.13% 8.79%
2010-2011 8.18% 8.50% 13.63% 10.02%
2011-2012 8.60% 10.31% 12.71% 11.45%
2012-2013 8.60% 11.78% 10.88% 11.38%
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What the 2013percentage means in $$
Federal DBE Federal % State % Combined %
Fiscal Year Goal Achieved Achieved Achieved
2012-2013 8.60% 11.78% 10.88% 11.38%
$3,689,333,483 awarded for Federal & State projects
11.38% Committed to DBEs
$419,752,973 in DBE Participation
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BUSINESS DEVELOPMENT INITIATIVE
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BACKGROUND
• Purpose: • to increase competition• move subs to primes
• Began in July 2006 (District Two)• January 2007 in all districts• FHWA approved in March 2009• March 2012 became the Small Business Component of
the DBE Program Plan
Business Development Initiative
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STRATEGIES
• Reserve contracts for small businesses• Contracts are up to $1,500,000• Modified pre-qualification requirements• Waive bonds on contracts of a non-critical nature
Business Development Initiative
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ELIGIBILITY
• Meet USDOT definition of a small business• FDOT small business size standards• Construction/Maintenance - $15.0M• Professional Services - $6.5M
• Submit notarized affidavit • Provide references• Professional Services must still be prequalified
Business Development Initiative
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RESULTS – RESERVED CONTRACTS
• 260 contracts reserved• 88 professional services• 116 construction• 56 maintenance
• $66.3 Million reserved• $28.3 million in professional services• $27.8 million in construction• $10.2 million in maintenance
Business Development Initiative
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RESULTS – RESERVED CONTRACTS
• 119 different small businesses awarded contracts• 24 or 29% were DBEs• 36 or 44% had their first FDOT contract
• 28 small businesses were awarded multiple contracts• 7 were DBEs
• 34% of BDI reserved projects are professional services contracts
Business Development Initiative
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BDI PROGRAM
• For a list of reserved contracts, you can visit http://www.dot.state.fl.us/equalopportunityoffice/reservedContracts.shtm
• For more information on the BDI, please visit http://www.dot.state.fl.us/equalopportunityoffice/bdi.shtm or email [email protected]
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Websites Equal Opportunity Office
www.dot.state.fl.us/equalopportunityoffice/
DBE Certification Application & DBE Directory www.dot.state.fl.us/equalopportunityoffice/dbecertification.shtm
Contractor & Consultant DBE Utilization Letter Grades
www.dot.state.fl.us/equalopportunityoffice/dbereports.shtm
Business Development Initiative (BDI) Reserved Projectswww.dot.state.fl.us/equalopportunityoffice/reservedcontracts.shtm
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WebsitesBlackmon Roberts Group (Supportive Services Provider)
www.blackmonroberts.com/
Construction Estimating Institute
Construction Management Development & Bond Guarantee Programs
www.cmdp-bgp.com/
Southern Florida Minority Supplier Development Council /Ariel Business Group
FDOT DBE Specialized Development Program
www.fdotdbeservices.com/
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Contacts For Certification, DBE & BDI Programs
Arthur Wright – Manager Equal Opportunity Office
(850) 414-4749
Victoria Smith – DBE Certification Manager
(850) 414-4746
Tom Rush – DBE Program Manager
(850) 414-4687
Terry V. Watson – DBE Program Specialist
(850) 414-4763
Dwayne Moore – Business Development Specialist
(850) 414-4925