Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 1 New DMBE TAKE A LOOK at the New Department of Minority Business Enterprise Ida O McPherson, Director

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 2 History of DMBE In 1975, the Department of Minority Business Enterprise was first established by the General Assembly of Virginia at Virginia State University in Petersburg, Virginia.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 3 Importance of DMBE The General Assembly at that time recognized the importance of providing equal opportunity for participation in the purchasing policies and procedures of the Commonwealth. The General Assembly noted: “…it is essential that opportunity be provided for participation in our free enterprise system by socially and economically disadvantaged persons…improve the functioning of our economy and realize the great potential of the Commonwealth….”

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 4 Mission Mission of DMBE To promote “Access” to the Commonwealth of Virginia’s contracting opportunities and ensure fairness in the procurement process

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 5 Goals DMBE has two key goals: 1)Increase the number of certified businesses in the Commonwealth 2) Ensure that Virginia’s small, woman-owned, minority-owned and service- disabled veteran- owned businesses receive every opportunity to compete for the Commonwealth’s expenditures for goods and services.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 6 Certified Businesses Certified SWaM Businesses as of October 15, 2012 Small Business Women- owned Business Minority- owned Business Total SWaM Business 8,9225,2726,62520,819

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 7 Director’s Responsibilities Develop comprehensive plans and specific program goals for the small, women-owned, and minority-owned business programs; Establish regular performance monitoring and reporting systems to assure that goals of state agencies and institutions are being achieved; Evaluate the impact of federal and state support in achieving objectives.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 8 Executive Order 33 1.It shall be the goal of the Commonwealth that 40% of its purchases be made from small businesses. This includes discretionary spending in prime contracts and subcontracts. DMBE, in consultation with executive branch entities and institutions with procurement policy responsibilities, shall develop a race- and gender-neutral Goal Setting Program. The Program shall require small business goals in every agency’s procurement plan.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 9 Executive Order 33 2.DMBE, in consultation with executive branch entities and institutions with procurement authority shall develop a uniform, state-wide method for evaluating and monitoring SWaM participation plans in all state procurements. Each prime contractor shall include in its proposal(s)/bid(s) a SWaM participation component. Before final payment is made, the contractor must certify evidence satisfactory to the Commonwealth of compliance with the contract’s SWaM Procurement Plan.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 10 Executive Order 33 3.Executive branch entities and institutions with procurement responsibilities shall implement processes for producing SWaM subcontracting data as established by DMBE in consultation with the Department of General Services and the Virginia Information Technologies Agency. This subcontracting data must also include information on non-SWaM subcontractors performing on contracts over $200,000.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 11 Executive Order 33 4.DMBE, in consultation with executive branch entities and institutions with procurement policy responsibilities, shall formulate policies and procedures for the Commonwealth’s small business set aside program and implement small business enhancement tools, including but not limited to, the unbundling of selected State contracts, increasing SWaM participation on small procurements under $5,000, and the early posting of potential contract opportunities.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 12 Executive Order 33 5.Agency heads, senior managers with procurement responsibility, procurement personnel, and end users with procurement P-Cards shall be evaluated on the attainment of SWaM goals as part of their annual and interim employee evaluations.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 13 Important Annual Reports Agency SWaM Plan Required by § All public bodies shall establish programs to facilitate the participation of small businesses and businesses owned by women, minorities, and service disabled veterans in procurement transactions. The programs established shall be in writing and shall comply with the provisions of any enhancement or remedial measures authorized by the Governor, and shall include specific plans to achieve any goals established therein. State agencies shall submit annual progress reports on small, women- and minority-owned business procurement and on service disabled veteran-owned business procurement to the Department of Minority Business Enterprise in a form specified by the Department of Minority Business Enterprise.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 14 Important Annual Reports SWaM Plan Report to the Governor & the General Assembly Required by § The Director shall report, on or before November 1 of each year, to the Governor and the General Assembly the identity of the state departments and agencies failing to submit annual progress reports on small, women- and minority-owned business procurement, and the nature and extent of such lack of compliance. The annual report shall include recommendations on the ways to improve compliance with the provisions of § and such other related matters as the Director deems appropriate

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 15 SWaM Dashboard SWaM Expenditure Dashboard Required by § The Director, with the assistance of the Comptroller, shall develop and implement a systematic data collection process that will provide information for a report to the Governor and General Assembly on state expenditures to small, women- and minority- owned businesses during the previous fiscal year.

Virginia Department of Minority Business Enterprise (DMBE) 8/24/2015 “Leading By Example” 16 DMBE Duties The primary duties and responsibilities of the Agency are to coordinate as consistent with law, the plans, programs and operations of state government that affect or may contribute to the establishment, preservation and strengthening of small, women-owned, minority-owned and service disabled veteran-owned businesses. Promote activities and resources of state and local governments, businesses, universities, trade associations and other organizations towards the growth of these businesses Create a center for the development of information that is helpful to the successful operation of these businesses Provide technical and management assistance to the businesses Manage the PACE (Access to Capital Fund) of the Commonwealth

Virginia Department of Minority Business Enterprise (DMBE) SWaM Expenditures 8/24/2015 “Leading By Example” 17