Local Business Utilization Requirements RFP No. SFMTA-2016-82 Digitization, Archiving and Digital Documents Management System CCO #15-1366R Local Business Utilization Requirements Chapter 14B-- 6/28/2016

Contract Compliance Office (CCO) Maria Cordero (415) 701-5239 Maria.cordero3@sfmta.com CMD-LBE Certification information: www.sfgov.org/cmd or Ryan Young at (415) 581-2301. The SFMTA’s CCO office is responsible for enforcing and monitoring the LBE utilization as mandated by Chapter 14B. a) LBE Program – prime/sub b) Subcontracting requirements c) Good Faith Effort Requirements d) Required forms with proposal

Prime Incentives The 14B Ordinance is a two-part program, a prime program and a sub program. PRIME PROGRAM: To receive prime bid bonus points a firm must be CMD-certified at time of proposal submittal date. Rating bonus are added to the written scores and separately to the oral scores as follows: 10% for an LBE prime or a joint-venture between two LBEs. 5 to 7.5% for a Joint-venture with a certified LBE with 35% or more significant prime participation. A management plan is required with the proposal submittal.

Sub-Goal Requirement SUBCONSULTING PROGRAM: The 14B Ordinance requires a percentage of the contract be subcontracted out to certified Local firms. CCO set goals according to the local availability of firms. The LBE sub participation requirement for this contract is twenty percent (20%) of the total labor value of the services to be provided. The prime must list the firms on CMD Form 2A and in addition submit the good faith efforts requirements on form 2B. A firm must achieve 80 points to be found responsive to the local requirements.

Non-Responsive Proposals Rejected CMD Attachment 2 Required Forms at proposal due date: CMD 2A: Participation Form: If LBE prime, request your LBE bonus points (10% for Small/Micro LBE – 2% for SBA/LBEs applied only if no Small/Micro LBEs affected-see slide 6 for Joint-Venture breakdown). List all subcontractors and identified subs, scope of work and percentage of utilization or amount of contract. Primes cannot use themselves to meet the 20% Sub-requirement, even if the Prime is a Certified LBE. CMD 2B: Good Faith Efforts (GFE): Follow each step carefully. An LBE prime may count their own contract participation toward the 35% good faith efforts exemption. A non-LBE prime may opt to commit an additional 7% (35% over the 20% LBE requirement) instead of performing the GFE steps for a total of 27% LBE. *Please note: Proposals not meeting the LBE goal and GFE or GFE exemption will be rejected as non-responsive.

GFE STEPS – FORM 2B Submit documented evidence A Prime must receive 80 points to meet the GFE requirements: Step 1: Attend the pre-proposal meeting (15 points) Step 2: Advertise for LBE subs no less than 10 calendar days before the proposal due date, you may use the OCA’s free website (10 points) Step 3: Identify the scopes of work you would like to sub-out as categorized in the LBE directory to meet the LBE goal (10 points) Step 4: Contact LBEs certified under those categories you identified on Step 3. Twenty five is the magic number. If there are more than 25 firms certified under the identified category, outreach to no less than 25. Otherwise, points will be deducted for each firm not contacted. If less than 25 firms certified under the identified category, outreach to all firms. (45 points) Step 5: Negotiate in good faith: Follow-up is important. (20 points) Exemption to these steps: Commit to meet 35% over the established goal or 27% LBE utilization on Form 2A and note it on Form 2B.

Required Forms Continues CMD 3: Compliance Affidavit CMD 4: Joint Ventures (JV) submit form along with JV agreement or management plan. Bonus points for JVs: 10% JVs amongst certified LBE primes. 7.5% bonus points to a JV with LBE participation of 40% or more. 5% bonus points to a JV between 35% and 40%. No bonus points below 35% participation. CMD 5: CMD Employment Form. 12B-101: Submit only if Prime is not in compliance with the Equal Benefits Program. www.sfgov.org/cmd under Equal Benefits or contact CMD at (415) 581-2310. Find CMD Certified firms at: www.sfgov.org/cmd. Assistance available, please contact SFMTA’s Contract Administrator Geoffrey Diggs at geoffrey.diggs@sfmta.com