1 Florida Department of Transportation Equal Opportunity Office 2014 Disadvantaged Business Enterprise (DBE) Program

2 Disadvantaged Business Enterprise Program True or False: If I am a Hispanic female, my 501(c)(3) company can be certified as a DBE.

3 Disadvantaged Business Enterprise Program FALSE

4 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.

5 DBE Certification Process New 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 60 th day after all information received and on-site conducted)

6 DBE Certification Process New Applicant Certification Manager Reviews Manager, EOO, Approves or Denies

7 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.

8 DBE Certification FALSE

9 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

10 Socially Disadvantaged Presumed Groups –Women –Black Americans –Hispanic Americans –Native Americans –Asian-Pacific Americans –Subcontinent Asian Americans Others if Documented

11 Socially Disadvantaged Individuals 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

12 Economically Disadvantaged 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.

13 Economically Disadvantaged TRUE

14 Economically Disadvantaged Personal Net Worth At or Below $1.32M Each Qualifying Owner Exclude Ownership in Business Exclude Equity in Primary Residence

15 Certified DBEs (As of 1/31/14) Black Americans317(23.92%) Hispanic Americans350(26.42%) Native Americans 26 (1.96%) Asian Pacific Americans 71 (5.36%) Subcontinent Asian 52 (3.93%) Women505(38.11%) Other 4 (0.30%) Total 1325

16 Certified DBEs (By District) District 1 86 (6.49%) District 2109 (8.23%) District 3104 (7.85%) District 4173(13.06%) District 5276(20.83%) District 6137(10.34%) District 7178(13.43%) Out of State262(19.77%) Total 1325

17 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

18 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

19 Reasons to use a DBE (cont.) DBE Supportive Services Providers  Blackmon Roberts Group aka “BRG”  DBE Specialized Development Program aka “The Council”  Construction Estimating Institute aka “CEI”

20 Accomplishments Since Race Neutral Federal DBEFederal % State %Combined % Fiscal YearGoalAchieved Achieved Achieved % 8.62% 11.55% 10.10% % 5.10% 8.35% 6.57% % 7.83% 8.61% 8.35% % 7.55% 7.92% 7.78% % 8.03% 7.50% 7.72% % 8.06% 9.11% 8.71% % 8.15% 9.96% 9.35% % 7.75% 9.49% 9.00% % 8.16% 10.00% 9.08% % 8.33% 10.13% 8.79% % 8.50% 13.63% 10.02% % 10.31% 12.71% 11.45% % 11.78% 10.88% 11.38%

21 What the 2013 percentage means in $$ Federal DBEFederal % State %Combined % Fiscal YearGoalAchieved Achieved Achieved % 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

BUSINESS DEVELOPMENT INITIATIVE

BACKGROUND Purpose:Purpose: to increase competitionto increase competition move subs to primesmove subs to primes Began in July 2006 (District Two)Began in July 2006 (District Two) January 2007 in all districtsJanuary 2007 in all districts FHWA approved in March 2009FHWA approved in March 2009 March 2012 became the Small Business Component of the DBE Program PlanMarch 2012 became the Small Business Component of the DBE Program Plan Business Development Initiative

STRATEGIES Reserve contracts for small businessesReserve contracts for small businesses Contracts are up to $1,500,000Contracts are up to $1,500,000 Modified pre-qualification requirementsModified pre-qualification requirements Waive bonds on contracts of a non-critical natureWaive bonds on contracts of a non-critical nature Business Development Initiative

ELIGIBILITY Meet USDOT definition of a small businessMeet USDOT definition of a small business FDOT small business size standardsFDOT small business size standards Construction/Maintenance - $15.0MConstruction/Maintenance - $15.0M Professional Services - $6.5MProfessional Services - $6.5M Submit notarized affidavitSubmit notarized affidavit Provide referencesProvide references Professional Services must still be prequalifiedProfessional Services must still be prequalified Business Development Initiative

RESULTS – RESERVED CONTRACTSRESULTS – RESERVED CONTRACTS 260 contracts reserved 260 contracts reserved 88 professional services 88 professional services 116 construction 116 construction 56 maintenance56 maintenance $66.3 Million reserved $66.3 Million reserved $28.3 million in professional services $28.3 million in professional services $27.8 million in construction $27.8 million in construction $10.2 million in maintenance $10.2 million in maintenance Business Development Initiative

RESULTS – RESERVED CONTRACTSRESULTS – RESERVED CONTRACTS 119 different small businesses awarded contracts 119 different small businesses awarded contracts 24 or 29% were DBEs 24 or 29% were DBEs 36 or 44% had their first FDOT contract 36 or 44% had their first FDOT contract 28 small businesses were awarded multiple contracts 28 small businesses were awarded multiple contracts 7 were DBEs 7 were DBEs 34% of BDI reserved projects are professional services contracts 34% of BDI reserved projects are professional services contracts Business Development Initiative

28 BDI PROGRAM For a list of reserved contracts, you can visit Contracts.shtm Contracts.shtm For more information on the BDI, please visit or

29 Websites Equal Opportunity Office DBE Certification Application & DBE Directory Contractor & Consultant DBE Utilization Letter Grades Business Development Initiative (BDI) Reserved Projects

30 Websites Blackmon Roberts Group (Supportive Services Provider) Construction Estimating Institute Construction Management Development & Bond Guarantee Programs Southern Florida Minority Supplier Development Council /Ariel Business Group FDOT DBE Specialized Development Program

31 Contacts For Certification, DBE & BDI Programs Arthur Wright – Manager Equal Opportunity Office (850) Victoria Smith – DBE Certification Manager (850) Tom Rush – DBE Program Manager (850) Terry V. Watson – DBE Program Specialist (850) Dwayne Moore – Business Development Specialist (850)