Item 14 - DBE Annual Plan
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AGENDA REPORT SUMMARY
- TO: Honorable Mayor and Members of the City Council
FROM: James L Bowersox, City M2..mJ.~
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INITIATED BY: John D. Fitch, Assistant City Manage~'r\.\ ~
Mark S. Weston, Director of Enginee ' g segfces" .
Kipp R. Hefner, Associate Civil Engineer K I
DATE: September 26, 1995
SUBJECI': Disadvantaged Business Enterprises (DBE) Annual Plan
ABSTRACI'
This status report concerns the establishment of Disadvantaged Business Enterprises (DBE) annual
goals in order to qualify for Federal Emergency Relief Funds for arterial repairs,
ENVIRONMENTAL REVIEW
Environmental review is not required for this item according to CEQA guidelines.
- FISCAL IMPACI'
There is no fiscal impact generated by this report. The fiscal impact of establishing a DBE goal
would be to allow the City to apply for the Federal Emergency Relief Funds.
ADDITIONAL PUBLIC NOTIFICATION AND CORRESPONDENCE
None.
RECOMMENDATION
It is reco=ended that the City Council adopt the preapproved DBE program and an annual
DBE goal of 16% for the 1995-96 Fiscal Year in accordance with 49 CPR part 23.
ACI'lON
agenda \ dbe.sum
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! AGENDA REPORT
CITY OF POW A Y
This re~rt is included on the Consent Calendar. There will be no separate discussion of the report prior to approval by the
City Council unless members of the Council. staff or public request it to be removed fr?~ ~e ~onsent Calendar and
discussed separately. If you wish to have this report pulled for discussion, please fill out a shp Indicating the report number
and give it to the City Clerk prior to the beginning of the City Council meeting.
TO: Honorable Mayor and Members of the City Council
fROM: James L. Bowersox, City Man~ .0
INITIATED BY: John D. Fitch, Assistant City Manager/Assistant Executive~\i
Director
Mark S. Weston, Director of Engineering Services~j'~
Kipp R. Hefner, Associate Civil Engineer l"1t ,.
DATE: September 26, 1995
SUBJECT: Disadvantaged Business Enterprises (DBE) Annual Plan
BACKGROUND
On July 25, 1995 staff contacted the California Department of Transportation
(CalTrans) to determine if the City could qualify for Federal Emergency Relief
Funds to repair several arterial streets in the City that are in need of
repair. These emergency relief funds are administered by the Federal Highway
Administration through CalTrans and were established to offer financial
assistance to States, Counties, and local agencies for repair of highways,
streets, and highway facilities damaged by last year's winter storms.
City staff is presently working with CalTrans to obtain emergency relief funds
for arterial repairs.
fINDINGS
The federal Highway Administration has determined that the City of Poway could
possibly qualify for funds to repair various arterial streets within the City.
One requirement in order to qualify for any emergency relief funds is that the
applicant must adopt an annual Disadvantaged Business Enterprise (DBE) Goal and
have a Disadvantaged Business Enterprises (DBE) Annual Plan (see Attachment 1)
approved and on file at the local district office of CalTrans.
DBE is a small business concern which is at least 51 percent owned and controlled
by one or more socially and economically disadvantaged individuals. On all
Federally funded projects a certain percentage of the work must be provided to
disadvantaged business enterprises. This percentage is determined and adopted
by local agencies through their annual plan.
ACTION:
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Disadvantaged Business Enterprises (DBE) Annual Plan
City Counc. Meeting of September 26, 1995
Page 2
To date, the City of Poway has not adopted a DBE Goal. As there are no clear
federa 1 standards for determi ni ng the DBE goals, nor a hi story of DBE
participation in City contracts, staff would recommend adopting a DBE goal of
16%, consistent with the minimum recommended by CalTrans. In addition, staff
recommends the City adopt the pre-approved DBE program as cited in LPP95-07
Attachment 4 (see Attachment 2).
ENVIRON"ENTAL REVIEW
Environmental review is not required for this item according to CEQA guidelines.
FISCAL I"PACT
There is no fi sca 1 impact generated by thi s report. The fi sca 1 impact of
establishing a DBE goal would be to allow the City to apply for the Federal
Emergency Relief Funds in order to repair various arterials through the City.
ADDITIONAL PUBLIC NOTIFICATION AND CORRESPONDENCE
-- None
RECOMENDATION
It is recommended that the City Council adopt the pre-approved DBE program and
an annual DBE Goal of 16% for the 1995-96 Fiscal Year in accordance with 49 CFR
Part 23, "Parti ci pat ion of Mi nority Business Enterpri ses and Department of
Transportation Programs."
ATTACHMENT 1: Disadvantaged Business Enterprises (DBE) Plan
ATTACHMENT 2: Pre-approved DBE Program Cited in LPP95-07 Attachment 4
agenda\dbe
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. Attachn .1 4 /)i."d\'.nt.~~d nu.in~.. Enlor ri.~ CUDE) I'r..~ram
DISADVANTAGED BUSINESS ENTERPRISES (DEE) ANNUAL PLAN
TO: CALTRANS DISTRICT _
District Local Assistance Engineer
The Citv/CnuntvlRp.f1jon of
requests approval of an annual DBE goal of % for the Federal Fiscal Year .
beginning on and ending on
It is anticipated that the following Federal-aid projects will be advertised during this Fiscal Year with
preliminary DBE participation levels established as shown. Gncludes consultant preliminary engineering
and construction contracts anticipated for award.)
Estimated
Contract DBE
Fed Pro; No Jtem~ Cn~t Panicin:llinn Tvne of Work
(1) S S
(2) S S
(3) S S
(4) S S
(5) S S
Grand Total $ S
DBE_ %
( ) This goal meets the 10% minimum Federal requirement
( ) Since this goal does not meet minimum 10% Federal requirement an exemption in accordance with
Section 5 is requested. (Justification for approval is enclosed.)
DBE Liaison Officer Dare
Attachment 1 ITEM 14
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LPP 9.5.07 Exhihit A
RcenJ:inecrins:. Atlachm.nt .. DisadvantaS,!ed nu~inep l':nterpriu:~ (DnEl Jlroj:!rllm .lUJ,!" 1
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PRE.APPROVED
DISADVANTAGED BUSINESS ENTERPRISES (DBE) PROGRAM
FOR LOCAL AGENCIES
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(FHWA suppons the use of this standard program description in accordance with Code
of Federal Regulations 49, Pan 23, Section 23.45 and other related sections)
Attachment 2 SEP 2 6 1995 ITEM 14
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LI'T' lJS-07 Exhihit A
Rccn::inccrin::. AII.eh, t 4 DisMd"antMCf'd Business Enlerpri mD E) I'r..~r.m JI..~... 2
DISADVANTAGED BUSINESS ENTERPRISE (DBE) PROGRAM
CITY/COUNTY OF:
1. PoIicv Sl.:ltcmcnt
It is thc policy of the
to utilize Disadvantaged Business Enterprises (DBEs) and firms as defined in 49 CFR Pan 23 in all
aspects of contracting to the maximum extent feasihle. This policy which is fully described herein
constitutes policy and commitment to substantially increase DBE Utilization in all program activities
funded wholly or in pan by any U. S. Depanment of Transportation modal element
This Agency. its contractors and subcontractors. which are the recipients of Federal-aid funds. agree
to ensure DBE firms have the maximum opportUnity to participate in the performance of contracts
and subcontracts. In this regard. this Agency and all of its contractors and subcontractors will take
all reasonable steps in accordance with 49 CFR Pan 23 to ensure that DBE firms have the maximum
opportunity to compete for and perform contracts.
II. Di~advanta!!ed Bu~ine..'\~ Entemri~ fDBE) Lini~n Offi~r
.
is the DBE Liaison Officer for this agency and shall repon to the
.He/She will be assigned such staff as is necessary to fully implement the
provision of 49 CFR Pan 23 and such other DBE programs as may he required. The reporting
structure and duties of suppon Staff are shown on Attachment _'
m Dutie~ of the DRE Lini~nn Officer
The DBE Liaison Officer shall develop, manage and implement the DBE Program on a day-to-day
hasis. Typical duties include. but are not limited to the following activities:
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. A ttaehm.nl 4 Ili.advanlal!.d I\u.in... Ent.r ri.~. (ORE) I'r"~rllm J~.. J:t' ,:\
. Devclop and cart)' out technical a.~~islancc programs for DBEs
. Arrangc solicitations. timc for thc presentation of hid. quantitics. specifications. and dcliwry
schedules. so a.~ to facilitate thc panicipation of DBEs. Wherc such changcs arc found
ncce....o;ary to incrc:l.<;C DBE utilization. thcy will he made in consultation and coopcr.llion with
the functional unit involved.
. Provide guidance to DBEs in overcoming harricrs. such as inability to obtain bonding or
financing.
. Carry out information and communication programs on contracting opponunities in a timely
manncr. Programs shall be bilingual where appropriate.
. Investigate the services offered by hanks owned and controlled by Disadvantagcd Busincss
Enterprises.
. DBEs cenified by Caluans will he utilized. Said listing is to be made available to all project
bidders. Said listing will include the following information: Name. address. telephone
number. ethnic and/or sexual ownership, and type of work performed by firm.
. Prior to approval of the substitution of any DBE sub-contractor, the prime contractors will bc
required to prove performance of good faith efforts to replace the DBE with another eligible
DBE.
. Establish a DBE overall annual goal. The goal shall he evaluated annually and adjusted as
necessary.
. Establish an appropriate individual project DBE goal for each Federal-aid project advertised.
. Perform good faith analysis when the project goal is not achieved.
. Maintain such documentation as is n"1'("SSary to verify performance of all activities included in
this program.
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LPr 95-07 Exhihit A
Recn::inecrinl:. Atlaehm~nt 4 Di.ad...nta~~d Ru.ine... EntnJ1ri.~. (DnE) I'rlJ~ram I'a~~ 4
IV. Ptlhlic Notification
I. At the timc of submittal of this program to the Stale Department of Transportation. a notice in
hath minority and majority local media will be published. Said publication shall includc:
. The annual overall DBE goal.
. Notification that a dcscription of how the goal was sct is availablc for public inspection
for a period of 30 days.
. Notification that hath U. S. DOT and this agency will acccpt comments on the goal for 45
days form the date of the notice. The notice shall advise intcfCS\cd parties that comments
are for information purposes only.
2. This program will be reaff1Tllled by public notice annually at the time of publication of the
overall goal. If substantial changes are made to this document, the entire document shall he
subject notification noted in (1) above.
3. In addition to the forgoing, interested disadvantaged and majority contractor organizations will
receive direct mailings of this complete program.
V. E~tahli5hment of Gnal
1. The DBE goal will be established both annually (overall) and on a per contract basis. The
overall goal will be based on planned contract activity for the coming year. The overall goal
established will be subject to methodology and procedures established in 49 CFR Pan 23.
Subparts (C) and (0) and take effect on October 1st of each year.
2. The overall DBE goal established with this initial program is _ % and covers the period
October I, 19_ to September 30, 19_.
3. Individual project goals will be established based on the following criteria:
. Attainment of established overall goals.
. Size of project
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LJ'J' 95-07 Exhihit A
Recn\:inecrin\:. AII.chm~nl 4 IlisadVlOnt.~~d Rusin... Entupris.s (lIRE) "rfll!ram J'uj!t" ~
. Opponunilies for DBEs as subcontractors. vcndors. and suppliers.
. Minority population of geographic area in which work is to be perfurmed.
. DBE goals being utilized in the gcographic area hy other State. Feder.u or local
jurisdictions.
. Availability of certified DBEs.
. Past experience on projects similar to the project being evaluated.
. Such other factors as may affect the utilization of DBEs
Complete evaluation documentation will be reUlined for each project
"-. 4. Projects which do not contain a specific goal will contain the following provisions:
A. ~. It is the policy of the Department of Transportation that disadvantaged business
enterprises as defmed in 49 CFR Part 23 shall have the maximum opponunity to
participate in the performance of contracts financed in whole or in part with Fedeml funds
under this agreement Consequently. the DBE requirements of 49 CFR Part 23 apply 10
this agreement..
B. DBE Ohlil!ation. The recipient or its contractor agrees to ensure that disadvantaged
business enterprises as dermed in 49 CFR Part 23 have the maximum opponunity \0
participate in the performance of contracts and subcontracts financed in whole or in part
with Federal funds provide under this agreement In this regard. all recipients or
contractors shall take all necessary and reasonable steps in accordance with 49 CFR Pan
23 to ensure that disadvantaged business enterprises have the maximum opponunity \0
compete for and perform contracts. Recipients and their contractors shall not discriminate
on the basis of race. color. national origin. or sex in the award and performance of DOT.
assisted contracts..
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VI. COnlr.lCI Procedure
This program shall bc implcmentcd through tbc utilization of a contract special provision which will
be provided/updated a.~ n.ecessary by Caltrans' Office of Local Programs. These procedures require
bidders to submit the names of DBE subcontractors and suppliers, a de.o;cription of the work each is
10 perform or material to be furnished. and the dollar value of each DBE suhactivity.
VII. DRE Notific;llion
ProjecL~ will be advertised in local newspapers and minority focus newspapers when possihle.
The.o;e ads will include reference to DBE requirements and will indiCllte the DBE project goal.
DBE supportive service assistance centers will receive notifICation of projects scheduled to be
advertised. Such centers will be afforded the Opportunity to receive complimentary plans and i
.
specifications for projects within their geographical area of responsihility. ,
VITI. ~e]ection Criteria for Pmiect~ with DBE Gonl i
Every project containing a DBE goal shall be evaluated by the DBE Liaison Officer or hislher
designee to ascertain bidding contractors' efforts to llnain the DBE goal. 11Ie award of any project
must be concurred with by the DBE Liaison Officer or hisIher designee before s:lid contract may be
awarded. Should there be disagreement between functional units concerning contractors' efforts to
attain contract goals for DBE participation, the matter shall be referred to the
or hislher designee, for fmal determination.
Competitors that fail to meet the DBE goal and fail to demonstrate sufficient reasonable good faith
efforts shall be declared non-responsive and ineligible for award of the contract
All contracts that contain a DBE goal, pursuant to this policy, will be monitored on an ongoing basis
by project personnel during the course of construction. 1be DBE Liaison Officer is to be
immediately advised of any circumstance wherein contractor compliance with the DBE provision is
questionable. The contractor shall submit a final report for each project which includes total
pllyments to the prime contractor as well as any payments the prime contractor has made to DBE
suhcontractors, vendors and suppliers. If the report indicates the prime contractor h:1s not achieved
the project goal, project personnel shall attach an evalulltion, in narrative form, of the reasons for
failure to attain the goal and any corrective action thllt was taken.
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LPP 95-07 Exhihit A
Reenj!ineerins:. Allarhmrnl 4 Ilisadv.nt.~.d lIusinr" J-:ntrrpris.. (IlIIE) I'rlt~ram I'U~I' 7
Primc contr.tClOrs will he l'ClJuireu to notify the Agency of any situation in which regularly schcuu\cu
progrcs.~ payment~ arc not made 10 DBE suhcontrolctors. vcndors or supplicrs.
IX. Count!"!! DRE PnnicinanlC;
This agency. its contr.tctors. and suhcontractors shall count DBE participation in accordancc with the
provisions of Scction 23.47. Title 49. of thc Code ofFcdcral Regulations.
X. Rccord~ :md Rennn~
I. The DBE Liaison Officer shall maintain such records. and provide such reports. as are
nccessary to ensure full compliancc with thi.~ policy. Such records and reports shall include. as
a minimum. the following information:
. Awards to DBEs
. Awards to majorily contractors
. Fmal project reports concerning DBE utilization
. Such other data as is needed to fully evaluate compliance with this program
2. The DBE Liaison Officer shall submit reports to Caluans and/or to the appropriate U. S. DOT modal
element as required.
XI. Cnmnlaintt;
Any complaints received by the Agency concerning this program will be investigated by :
. He/She will endeavor to resolve
said complaints within 90 days of receipt by the DBE Liaison Officer. The appropriate DOT modal
element and Caluans will be furnished a copy of the complaint and may be invited to participate in
the investigation/resolution. The DOT modal element and Caltrans will receive a complete
investigative repon on the complaint and may be requested to concur in the proposed disposition of
said complaint
Contractors will be directed to notify the Agency of any complaints they may receive concerning this
program.
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