Fair Share Program

Visit the Official Fair Share Program website at http://www.ephodnet.com/FairShare/ for meeting agendas and minutes.

Draft Task Force Recommendations - Nov. 9th

Metro Council/LES Correspondence

Letter Detailing the Stance of LES

Task Force Committee List

Policy As Approved on August 12th

FAIR SHARE PROGRAM FOR EQUAL BUSINESS OPPORTUNITY

Introduction.

In accordance with all applicable state and federal laws, the City of Baton Rouge-Parish of East Baton Rouge has adopted the following Fair Share Program policy for small economically disadvantaged businesses (S/DBE's) to comply with the City-Parish’s policy of providing and ensuring contracting/purchasing opportunities to level the playing field for these business concerns. The ultimate goal is to better enhance economic development within our own community through the growth and development of these businesses.

 This administration is presently taking steps to enhance its already existing federal DBE Programs for federally funded projects. We found that there were policies and procedures needed to improve these programs that had not been previously embraced and supported. The new Fair Share Program will operate along with the federal and state disadvantaged business enterprise (DBE) program, and will be complimented with a business development program which will provide various vehicles in which the City-Parish will be able to promote the development and growth of all small businesses.

 The guidance provided in this document is not all inclusive and shall be adjusted on an as needed basis and as directed by governing local, state, and federal laws, rules, and regulations. We also reserve the right to improve upon the procedures and documents in this plan in order to more efficiently achieve the objectives of these programs. It is continually our objective to improve and expand these very important programs.

 This program will not employ any set-aside or quota provisions, but will set goals to meet the objectives that will be monitored and reported to evaluate the program's effectiveness.

Policy statement. 

It is the policy of the City of Baton Rouge-Parish of East Baton Rouge to ensure every opportunity is made available to include small disadvantaged business concerns in its letting of contracts and purchases. At no time shall any City-Parish  department or representative exclude any responsive bidder from participation in, deny any person the benefits of, or otherwise discriminate against anyone in connection with, the award and performance of any contract or purchase on the basis of race, color, sex, religion, handicap, familial status, or national origin.

 The City-Parish shall provide adequate programs and services to assist all of the business of the City of Baton Rouge and Parish of East Baton Rouge. In keeping with that commitment, the City-Parish shall provide programs and services to assist all small disadvantaged business concerns in the development and growth of their business. Each department will take measures to evaluate and ensure optimum contracting and purchasing opportunities are made available.

 The intent of this policy is to identify and eliminate any barriers which may have an adverse impact upon small disadvantaged business participation in all City-Parish-let contracts and purchases. Its contractors will be required to participate in this endeavor and at no time shall they discriminate on the basis of race, color, sex, religion, handicap, familial status, or national origin in the award and performance of any City-Parish-let contract or purchase.

 The City-Parish shall implement a plan that will specify these intents, specify goals as required by the responsible federal agency for federally funded contracts/purchases and compliance requirements together with the state’s and City-Parish's goals for all City-Parish-let contracts/purchases. This plan shall be applicable to the City-Parish and its contractors with reference to their subcontracting and supply needs. The City-Parish will work with its contractors to ensure that they make a good faith effort to meet the stated goals.

 Operation and Administration of Fair Share Program

A Program Coordinator will be contracted with as an independent contractor to operate as the City-Parish DBE director and will be sufficiently equipped too manage and oversee the City-Parish’s small disadvantaged business enterprise program and Fair Share Program. The Program Coordinator will report to the Mayor’s Office through the Chief Administrative Officer as well as to the members of the Metropolitan Council. 

Each department will designate a DBE program point of contact to assist in the tracking and reporting requirements of this plan. 

Program application overview.

Some of the major components of this program will be as follows:

(1)   The Fair Share Program has a goal of awarding a minimum twenty-five percent (25%) of all City-Parish contracts to S/DBEs and DBEs.   

(2)   The program will be headed by a Program Coordinator reporting directly to the CAO, with sufficient experience and background to perform these programs successfully. The Program Coordinator will perform the duties necessary for managing the federal and state funding requirements and perform the duties to increase to a minimum of twenty-five percent (25%) and monitor the inclusion of these businesses in City-Parish-funded contracts.

(3)   This Program Coordinator will be involved in long-range planning with each City-Parish department, to ensure opportunities for S/DBE and DBE inclusion.

(4)   This Program Coordinator will work with the Purchasing Division to ensure that S/DBE's and DBE's are given opportunities to bid on contracts and respond to RFP’s.

(5)   City-Parish department heads will be assessed on their performance in the program's initiatives. A liaison officer will be appointed in each department to work with this program. They will give monthly reports on inclusion to the Program Coordinator, and these figures will be compiled and reported to the Mayor’s Office as well as the Metropolitan Council members quarterly.

(6)   Small businesses interested in participating in these programs should register or be certified. These are different procedures to meet specialized needs.

(7)   The Program Coordinator will be aggressive in educating businesses in bid opportunities and bidding processes. A copy of each City-Parish project’s plans and specs will be provided to the Program Coordinator for review by registered and/or certified small businesses. 

(8)   The City-Parish will make changes to some of the internal policies in the Division of Purchasing as well as any necessary ordinances to comply with the directives of this program.

Definitions.

Business size.  For purposes of the City-Parish 's Fair Share Program, an eligible firm's size shall be defined as 50 percent or less than the published U. S. Small Business Administration's (SBA) size standards by SIC codes. See the definition for "economically disadvantaged." 

Certification.  Procedure for verification that a business qualifies for designation as a small economically disadvantaged business enterprise (for Fair Share Program) or disadvantaged business enterprise (for the federal and state DBE program).

DOT/LDOT.  U.S. Department of Transportation, including the office of the secretary, the federal highway administration (FHWA), the federal transit administration (FTA), the federal aviation administration (FAA), and the Louisiana Department of Transportation and Development.

Disadvantaged business enterprise or DBE.  A for-profit small business concern: that is at least 51 percent owned by one or more individuals who are 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 economically disadvantaged individuals who own it. For the City-Parish 's federal DBE program, this category is defined utilizing the federal small business standards. 

DOT-assisted contract.  Any contract funded in whole or in part with DOT financial assistance, including letters of credit or loan guarantees, except a contract solely for the purchase of land. 

Economically disadvantaged.  Means any individual who is a citizen (or lawfully admitted permanent resident) of the United States and who is found to be an economically disadvantaged individual by the small business administration (SBA) pursuant to section 8(a) of the Small Business Act, for the federal DBE program. For the Fair Share Program, an individual found to be an economically disadvantaged person by state division of economically disadvantaged business development standards.

Economically disadvantaged person (for Fair Share Program).  A citizen or lawful resident of the United States whose ability to compete in the free enterprise system has been impaired due to the diminished capital and credit opportunities as compared to others in the same or similar line of business, and whose diminished opportunities have precluded, or are likely to preclude, such individual from successfully competing in the open market. 

Goal.  A numerically expressed objective which the City of Baton Rouge-Parish of East Baton Rouge for contractors and service providers that requires them to make good faith efforts to achieve in those specified contracts funded with federal, state, and City-Parish  money as stated by governing federal regulations, the Mayor, and Metropolitan Council. 

Good faith efforts.  Efforts to achieve S/DBE or DBE goals or other requirements of this plan which, by their scope, intensity, and appropriateness to the objective, can reasonably be expected to fulfill the program requirement. 

Noncompliance.  When a recipient, sub-recipient, contractor and/or subcontractor have not correctly implemented the requirements set forth in governing directives. 

Personal net worth.  The net value of the assets of an individual, remaining after the total liabilities are deducted. An individual's net worth does not include: the individual's ownership interest in an applicant or participating S/DBE or DBE firm, or the individual's equity in his or her primary place of residence. An individual's personal net worth includes his or her own share of assets held jointly or as community property with the individual's spouse, and other assets. 

Registration.  Procedure to be developed to register an S/DBE or DBE whose business is out of our geographical traveling area. Registration will be used when the firm desires to be certified, but there is not a certifying agency within their area, from which the City-Parish can get and accept a reciprocal certification. 

Small business concern for DBE program.  As defined pursuant to section 3 of the small business act and small business administration regulations implementing it (13 CFR Part 121) that also does not exceed the cap on average annual gross receipts specified in 49 CFR part 26, section 26.65(b).

Small business concern for S/DBE program  The City of Baton Rouge-Parish of East Baton Rouge will utilize as a base, the eligibility requirements set forth by the state division of economically disadvantaged business development to determine the level of economic disadvantage required for this program. Presently the state levels are: Each individual owner's personal net worth may not exceed $250,000.00, and the business' net worth at the time of application may not exceed $750,000.00.

Small/disadvantaged business enterprise or S/DBE.  A for-profit small business concern, at least 51 percent owned by one or more individuals who are economically disadvantaged persons 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 economically disadvantaged individuals who own it. For the City-Parish’s Fair Share Program, this category is defined utilizing state small business size standards.

Participation goals.

As stated in the introduction, it is the intent of the City of Baton Rouge-Parish of East Baton Rouge to ensure equal contracting and purchasing opportunities are made available to small economically disadvantaged businesses, and to all small business concerns. An overall goal of a minimum of twenty-five percent (25%) will be set for participation in those contracts that are funded, in part or in whole, with funds received by the U.S. Department of Transportation (DOT) in accordance with 49 CFR Parts 23 and 26 and by the U.S. Environmental Protection Agency in accordance with their office of small disadvantaged business utilization guidance document, and/or City-Parish funds. 

A vendor application will be developed that will solicit the status of each business and flags the responses to provide record of participation. All qualified businesses from this tracking system will be offered certification. This additional information will show all DBE, W/DBE, M/DBE, and S/DBE participation achieved by the City-Parish, even when the participants refused certification, or did not qualify for certification by size or economic standards.

Good faith efforts.

All City-Parish contractors must make good faith efforts to meet the goal. The contractor can meet this requirement in one of two ways. First, the contractor can meet the goal, documenting commitments for participation by S/DBE or DBE firms (whichever is applicable to the contract). Second, if a contractor doesn't meet the goal, the contractor can document good faith efforts. This means that the contractor must show that it took all necessary and reasonable steps to achieve a goal or other requirement of this plan which, by their scope, intensity, and appropriateness to the objective, could reasonably be expected to obtain sufficient S/DBE or DBE participation, even if they were not fully successful. This information must be fully documented and submitted by the contractor to the Division of Purchasing. This information will be reviewed by the Purchasing Division, the contracting department, and the Program Coordinator.