1. Disadvantaged Business Enterprise Goal Fiscal Years 2017 to 2019 for Orlando International & Executive Airports Small Business Development Department July 25, 2016 GREATER ORLANDO AVIATION AUTHORITY

2. 2 Outline Background Administrative Requirements Potential AIP-Funded Projects Establishing the Triennial DBE Goal Race-Neutral Participation Summary Questions

3. 3 The Final Rule became effective March 4, 1999 and revised October 2, 2014 to: Ensure “level playing field” Replaced the former DBE regulation The DBE Goal is neither a “Quota” nor a “Set Aside”. Background

4. 4 Administrative Requirement Federal Aviation Administration (FAA) requires all recipients of Airport Improvement Funds (AIP) for planning & development exceeding $250,000 to have a DBE Program. The guidance is promulgated in 49 Code of Federal Regulation (CFR) Part 26

5. 5 GOAA, as a recipient of FAA Funding in excess of $250,000, has submitted a DBE program conforming to 49 CFR Part 26 to the FAA for approval. The program was approved by the Federal Aviation Administration (FAA) in February, 2001 Administrative Requirement Why Does GOAA Have a DBE Program?

6. 6 Runway 17R-35L Rehabilitation. Taxiway J Rehabilitation. Taxiways G and H Rehabilitation. Potential AIP-Funded Projects 2017-2019

7. 7 Establishing the Triennial DBE Goal Major airports must now update and submit their overall DBE goal every three years Establish portions of the overall goal through: Race Neutral/Race Conscious Airports must use a two-step Process (methodology) to determine the goal: Steps 1.Calculation of the base figure 2.Adjustment of the base figure

8. 8 Step 1 Establish the Base Figure Use latest County Business Pattern Data published by the U.S. Census Bureau Determine the number of all firms within the Normal Market Area (NMA) for DBEs & Non-DBEs Determine the number of Ready, Willing and Able (RWA) DBEs within the NMA using Directories (DBE & MWBE)

9. 9 Capacity Adjustment of the Base Figure Fiscal YearGoalActual Participation Over/(Under) 201114.0%13.5%-0.5% 201214.0%15.6%+1.6% 201314.0%16.1%+2.1% 201416.0%14.7%-1.3% 201516.0%15.5%-0.5% Actual Median Participation 15.5%-0.5% Step 2

10. 10 Establishing the Annual Goal Using the Two Step Methodology

11. 11 Establishing the Annual Goal Using the Two Step Methodology (Cont.)

12. 12 Establishing the Annual Goal Using the Two Step Methodology (Cont.) Other Adjustment The Aviation Authority has shown a median under-achievement from FY 11 to FY 15 by 0.5% (CFR 26.51.f (4)). The Capacity Adjusted Goal of 19.25% plus 0.5% results in an Adjusted DBE Goal of 20% (19.25% plus 0.5% = 19.75%, or 20% rounded)

13. 13 Race Neutral Participation The Federal Regulations require that we make every effort to achieve as much of our goal through Race Neutral Means, including but not limited to: Notify Primes and Subcontractors/Vendors of Contracting & Subcontracting Opportunities Make Plans available to all through Plan Rooms Conduct Pre-Bid/Pre-Proposal Meetings Subdivide Trade Packages into smaller packages when it is economically feasible - unbundling Maintain a DBE Directory through Florida UCP

14. 14 More Examples of Race-Neutral Participation DBE participation on a Prime Contract obtained through competitive procurement DBE participation on a contract that does not require a DBE goal DBE participation on a contract that exceeds the contract goal DBE participation on a contract where the Prime does not consider the firm’s DBE status in making the award

15. 15 Summary Proposed overall goal for next three years is 20% annually Race Neutral: 1% (Median over/under previous five years) Race Conscious: 19%

16. 16 Disadvantaged Business Enterprise Goal Fiscal Years 2017- 2019 Orlando International & Executive Airports July 25, 2016 GREATER ORLANDO AVIATION AUTHORITY

17. 17 Questions/Comments