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MINNESOTA SMALL BUSINESS PROCUREMENT PROGRAM WHAT IS IT?  A statewide purchasing program for certified socially and economically disadvantaged small.

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Presentation on theme: "MINNESOTA SMALL BUSINESS PROCUREMENT PROGRAM WHAT IS IT?  A statewide purchasing program for certified socially and economically disadvantaged small."— Presentation transcript:

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2 MINNESOTA SMALL BUSINESS PROCUREMENT PROGRAM WHAT IS IT?  A statewide purchasing program for certified socially and economically disadvantaged small businesses  The size of a business is determined using the State of Minnesota size standards available on our website at http://www.mmd.admin.state.mn.us/sicsize.asp

3 TWO PARTS TO THE PROGRAM  TARGETED GROUP (TG)  ECONOMICALLY DISADVANTAGED (ED)

4 TARGETED GROUPS (TG) Small businesses that are at least 51% owned, operated and controlled by:  Non-minority women  Ethnic minorities  Persons with a substantial physical disability

5 OTHER ELIGIBILITY REQUIREMENTS FOR TARGETED GROUP CERTIFICATION Must be a for profit small business Must be based in Minnesota The majority owner must have the expertise to control the management and operation of the business

6 Construction Prime Contracts Construction Subcontracts Professional Services Other Services* Goods & Supplies African AmericanXXX American IndianXXXX Asian AmericanXXX Hispanic AmericanXXXXX Nonminority WomenXXXXX DisabledXXXXX STATE OF MINNESOTA DEPARTMENT OF ADMINISTRATION TABLE OF GROUPS EXPERIENCING DISPARITY IN STATE OF MINNESOTA PURCHASING & CONTRACTING CONDUCTED UNDER MINN. STAT. CHAPTER 16C (Based on the 2009 Disparity Study) March 16, 2010

7 For purposes of applying preferences, other services include the following categories: Janitorial and maintenance services Uniformed guard services Computer services (such as repairs) Certain job shop services Printing Graphics, photographic services Landscaping (except for large construction projects such as boulevards and highways) Other nontechnical or unlicensed services

8 ECONOMICALLY DISADVANTAGED (ED) Small business located in Economically Disadvantaged Counties:  LABOR SURPLUS COUNTIES – counties designated as labor surplus by the US Dept. of Labor  LOW MEDIAN INCOME COUNTIES – counties in which the median income for married couples is less than 70 percent of the state median income for married couples  REHABILITATION FACILITIES

9 ELIGIBILITY REQUIREMENTS FOR ECONOMICALLY DISADVANTAGED CERTIFICATION Must be a for profit small business Must be based in Minnesota Business must be located in one of the designated economically disadvantaged counties

10 AitkinGrantMarshallRedwood BeckerHubbardMeekerRenville Big StoneJacksonMorrisonRock CassKanabecMurraySibley ChippewaKittsonNormanSwift ClearwaterKoochichingOtter TailTodd CottonwoodLac Qui ParlePineTraverse DouglasLake of the WoodsPipestoneWadena FaribaultLincolnPopeWatonwan FillmoreMahnomenRed LakeYellow Medicine

11 BENEFITS OF CERTIFICATION A price preference when submitting bids to the State for goods, services and construction Up to a 6% preference for TG vendors Up to a 6% preference for ED vendors for goods and services Up to a 4% preference for ED vendors for construction Opportunities for sub-contracting on construction and professional/technical services contract

12 BENEFITS OF CERTIFICATION TG/ED certification may be used by Mn/DOT, the Metropolitan Council, and the Metropolitan Airports Commission for their state funded purchases Other states, counties, municipalities and government agencies verify eligibility through our program Some major corporations with programs for women and minorities accept our certification Can be used as a marketing tool

13 BENEFITS OF CERTIFICATION Business listing in the Materials Management website directory at http://www.mmd.admin.state.mn.us/process/search/ Designation as TG or ED in the state’s internal statewide purchasing system Both are updated immediately upon certification.

14 APPLICATION PROCESS Register as a vendor for the State of Minnesota, using our online vendor registration system at http://supplier.swift.state.mn.us Complete the online TG/ED Application and print it (Cannot be submitted electronically). The application is available at http://www.mmd.admin.state.mn.us/mn02001.htm

15 APPLICATION PROCESS Register as a vendor for the State of Minnesota, using our online vendor registration system at http://supplier.swift.state.mn.us Complete the online TG/ED Application and print it (Cannot be submitted electronically). The application is available at http://www.mmd.admin.state.mn.us/mn02001.htm

16 APPLICATION PROCESS Submit the application to the Materials Management Division with all applicable supplemental information Certification process takes approximately 8-10 weeks

17 CONTACT INFORMATION For information regarding the Minnesota Small Business Procurement Program:  Call the MMD HELPLINE at 651.296.2600 or by e-mail at mmdhelp.line@state.mn.us  Contact Sheila Scott 651-201-2428 Sheila.Scott@state.mn.us

18 WELCOME

19 MNUCP Objectives ›Provide a one-stop shop for DBE certification ›Standardized process ›One centralized directory ›Unifies all recipients of USDOT funds ›Less paperwork ›Comply with federal regulation 49CFR Part 26 ›Interstate certification (must be certified in home state first and can then apply to other locations)

20 Who are certifying members of the MnUCP? ›Federal Aviation Administration (FAA) fund recipients (Metropolitan Airports Commission) ›Federal Highway Administration (FHWA) fund recipients (Minnesota Department of Transportation) ›Federal Transit Authority (FTA) fund recipients (Metropolitan Council/Metro Transit). (NOTE: DBE also used on EPA-funded work with the Metropolitan Council Environmental Services division) ›City of Minneapolis

21 Which Businesses Are Eligible? ›For Profit ›Small Business as defined by NAICS Codes ›Minimum of 51% ownership by one or more socially and economically disadvantaged individuals ›Demonstrated daily management and control ›Independent

22 DBE’s Must Demonstrate ›Socially Disadvantaged Racial or Ethnic Prejudice Cultural Bias ›Economic Disadvantage Ability to compete impaired

23 Socially & Economically Disadvantaged Individuals (SED) ›Must be a citizen or permanent U.S. resident ›Groups reputably presumed to be SED: Black Americans Hispanics Native Americans Asian Pacific Asian American Women ›Appendix E – Individual Determination of Social & Economic Disadvantage

24 DBE’s Must Demonstrate ›Personal Net Worth $1,3200,000 maximum – excluding value of primary residence Assets Liabilities ›Commercial Useful Function Provide value-added services to the project (no pass-through)

25 DBE’s Must Also Demonstrate › Officer/status (majority owner must hold highest position within the business) › Disadvantaged owner may delegate responsibilities to other individuals, but must be able to demonstrate they have a comprehensive understanding of all functions of the business › A physical on-site at the business location is a certification requirement

26 How to Apply ›MnUCP DBE Certification Application is available in 3 formats at www.mnucp.orgwww.mnucp.org Microsoft Word Document PDF On-line application at http://dbe-app.net/ http://dbe-app.net/

27 Contact Information MAC- Debra Johnson 612.726.8193 Debra.Johnson@mspmac.org Metropolitan Council- Pat Calder 612.349.7463 Pat.calder@metc.state.mn.us Mn/DOT- Ashanti Payne 651.366-42903071 Ashanti.payne@state.mn.us City of Minneapolis 612-673-2112 Roxanne.crossland@minneapolismn.gov

28 Questions and Answers

29 CERT Program Tisidra Jones City of Saint Paul Department of Human Rights & Equal Economic Opportunity (HREEO)

30 What is the CERT Program? 1.Started in 1999 as a multi-government collaborative. 2.Current collaborative members are the City of Saint Paul, Ramsey County, and Hennepin County. 3.“One-stop shop” for certification process for three government small business inclusion programs.

31 Application Process 1.Applying for CERT is FREE. 2.Prior to starting, have all of your materials together. 3.Online application can be found at: https://cert.smwbe.com https://cert.smwbe.com

32 Eligibility Criteria CERTIFICATION CATEGORIESCRITERIA SBE (Small Business Enterprise) For profit, independent operation, below applicable size standard, located in 15 county metro MBE (Minority-owned Business Enterprise) 51% ownership, day-to day control WBE (Women-owned Business Enterprise) 51% ownership, day-to-day control

33 15 County Marketplace

34 CERT Application Required Documents

35 CERT Capabilities 1.Largest online searchable database of its kind in Minnesota. 2.Able to search for certified businesses based on multiple criteria such as: 1.Industry4. NAICS code 2.MBE/WBE/SBE5. Ethnicity 3.Zip code6. Gender 3.The CERT database is located at: https://cert.smwbe.com/https://cert.smwbe.com/

36 2008 VOP Results 2013 VOP Results Business Opportunity $255,126,472.67 Total Total VOP$104,961,262.30 41.14% MBE$18,846,208.24 7.39% WBE$38,252,631.13 15.10% SBE$47,589,422.93 18.65% VOP and CERT Outreach Impact For the City of Saint Paul Business Opportunity $128,000,000.00 Total Total VOP$4,851,200.00 3.79% MBE$1,100,800.00.86% WBE$1,359,800.00 1.06% SBE$8,393,600.00 1.87%

37 Questions Tisidra Jones tisidra.jones@ci.stpaul.mn.us 651-266-8904


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