Federally Funded Contracts
U.S. Government-funded contracts mandate a Small Business Program consistent with the Small Business Act (Public Law 85-536, as amended), and the Federal Acquisition Regulations (FAR Parts 19, 26, 42, and 44). Small Business certification requirements (for Small Disadvantaged and HUBZone Business Concerns) and Small Business size standards are determined by the Small Business Administration (SBA). While Small Business goals are established on a contract-by-contract basis, minimum expectations and accomplishment rates (floors) are determined by public law, but emphasis may vary to some extent from agency to agency. Generally, federal small business goals are based on the total procurement opportunity pool (total contract value less prime contractor self performance = procurement opportunity pool) rather than the total contract amount.
Self certification (for Small Business Concerns other than Small Disadvantaged and HUBZone Concerns) is acceptable only when a small business concern has satisfactorily completed and returned Small Business Program Representations in accordance with FAR 52.219-1. URS utilizes the Central Contractor Registration (CCR) database (http://www.ccr.gov) - the primary repository for approximately 500,000 prime contractors, subcontractors, and suppliers registered to do business with the federal government - to verify size standards and certifications for small business concerns. (Effective January 1, 2004, registration in CCR is mandatory for payments under federal contracting guidelines.)
State governments and municipal agencies often incorporate FAR requirements by reference.
U.S. Department of Transportation (DOT) Contracts:
DOT-funded contracts are administered in accordance with public law on a state-by-state basis and adhere to the Disadvantaged Business Enterprise (DBE) Program requirements defined by the Code of Federal Regulations, Title 49, Subtitle A, Part 26. As and exception to the federally funded contracts, DBE goals for DOT contracts are based on the total contract amount rather than the procurement opportunity pool. (http://osdbu.dot.gov/)
Generally, program goals and certification requirements are established through statewide Unified Certification Programs administered on behalf of each state by the Department of Transportation through state-sponsored Disparity Studies. While DBE’s must be small business concerns by definition, state-run DOT programs intentionally focus narrowly on Disadvantaged Business Enterprises (DBE’s) which includes both Minority Business Concerns (MBE) and Women Business Concerns (WBE). DBE, MBE and WBE certifications obtained through DOT Unified Certification Programs are not accepted by the SBA and do not satisfy federal acquisition requirements. DBE, MBE and WBE concerns must obtain certification first in the state where their primary office in located before obtaining certification in a state where the contract is executed.
Private-Sector Contracts:
Private-sector supplier-diversity program requirements are unique to each client and negotiated on a contract-by-contract basis. Private-sector diversity goals are generally regional in nature with socioeconomic objectives determined on behalf of each client relative to project location, regional demographics, as well as, comparative market and industry practices. Because these programs are often voluntary in nature, clients often develop definitions to satisfy unique socio-economic objectives that may not meet generally accepted definitions regarding small business concerns and related size standards.
Many third-party organizations provide certification to minority-owned and women-owned business concerns through subscriptions and memberships. URS maintains “corporate” memberships with the two largest nationally recognized certifying organizations, National Minority Supplier Development Council (NMSDC) and the Women’s Business Enterprise National Council (WBENC) and augments its membership with local and regional memberships accordingly.
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