1. TERMS AND CONDITIONS EPA DBE CONFERENCE OCTOBER 2007 ASSISTANCE AGREEMENT

2. Incorporated in all Assistance Agreements, regardless if expenditures are not allocated in the four procurement categories. Terms and Conditions – DBE Conference, October 2007 Applicable in the FOUR procurement categories: SERVICES (CONTRACTUAL), SUPPLIES, EQUIPMENT, and CONSTRUCTION. (SOMETIMES “OTHER”) Why? Recipient has the option to move funds within the budget categories.

3. Effective the date the Assistance Award is countersigned or beginning of project period, not when expenditures are made or when recipient actually start the project. ENFORCEABLE REQUIREMENT. Assistance Agreements should not be closed without recipient’s adherence to all DBE requirements or procurement dollars can be withheld. Dollar Threshold for Fair Share Negotiations Only, All other requirements apply, including reporting. Terms and Conditions – DBE Conference, October 2007

4. Reemphasis the DBE Program Requirements (CFR Part 33) Terms and Conditions – DBE Conference, October 2007 WHAT ARE DBEs?

5. DBE includes: Minority Business Enterprises (MBEs) Women Business Enterprises (WBEs) Small and Disadvantaged Businesses (SDBs) Disabled American Business Enterprises (DABEs) Small Business in Rural Areas (SBRAs) Terms and Conditions – DBE Conference, October 2007

6. DBE Includes: Labor Surplus Area Firms (LSAFs) Historically Black Colleges and Universities (HBCUs) Minority Institutions Historically Underutilized Business (HUB) Zone Small Business Concerns Not for Profit Business Concerns that are at least 51% owned and controlled by socially and economically disadvantaged individual(s) Terms and Conditions – DBE Conference, October 2007

7. Reemphasis the MBE/WBE Program Requirements (CFR Part 33) Terms and Conditions – DBE Conference, October 2007 MBEs and WBEs are considered DBEs.

8. Are the DBE/MBE/WBE Terms and Conditions Flow Down Requirements? Terms and Conditions – DBE Conference, October 2007

9. The DBE/MBE/WBE Program Requirements applies to the primary recipient and then its sub-recipients, loan recipients, and prime contractors. Basically this means to the lowest entity that receives the federal dollars and it stops at the Prime Contractor level. Terms and Conditions – DBE Conference, October 2007 YES. Note: Subcontractors do have a responsibility to report their expenditures to the Prime Contractor.

10. What Terms and Conditions are DBE Flow Down Requirements? Good Faith Efforts Contract Compliance Requirements Contract Administration Provisions Bidders List Documentation Non-compliance Terms and Conditions – DBE Conference, October 2007

11. What Terms and Conditions are MBE/WBE Flow Down Requirements? Negotiation of Fair Share Objectives All EPA Assistance Agreement recipients are given the opportunity to negotiate. Sub recipients or Loan Recipients may also negotiate goals separate from the State agencies receiving the award. Application of Fair Share Objectives (All objectives, no selecting) Terms and Conditions – DBE Conference, October 2007

12. What Terms and Conditions are MBE/WBE Flow Down Requirements? Reporting Requirements All EPA Assistance Agreement recipients are required to report to EPA on 5700-52a. The 5700-52a is a suggested form to obtain data from sub-recipients, loan recipients and prime contractors. Suggest recipient obtaining data from other entities request submission 15 days prior to due date of their report to EPA. Terms and Conditions – DBE Conference, October 2007

13. The Requirements Apply How Far Down? 3 Tiers Recipient (Tier 1) Prime Contractor (Tier 3) Sub-Recipient/Loan Recipient (Tier 2)

14. Terms and Conditions – DBE Conference, October 2007 The Requirements Apply How Far Down? 3 Tiers Recipient (Tier 1) Negotiation of Fair Share Objectives Application of Fair Share Objectives (All objectives, no selecting) Good Faith Efforts Reporting Requirements Contract Compliance Requirements Contract Administration Provisions Bidders List Documentation Non-compliance Pass the MBE/WBE/DBE Requirements to its recipients and prime contractors.

15. Terms and Conditions – DBE Conference, October 2007 The Requirements Apply How Far Down? 3 Tiers Sub-Recipient/Loan Recipient (Tier 2) Negotiation of Fair Share Objectives Application of Fair Share Objectives (All objectives, no selecting) Good Faith Efforts Reporting Requirements Contract Compliance Requirements Contract Administration Provisions Bidders List Documentation Non-compliance Pass the MBE/WBE/DBE Requirements to its recipients and prime contractors.

16. Terms and Conditions – DBE Conference, October 2007 The Requirements Apply How Far Down? 3 Tiers Prime Contractor with Subcontracts (Tier 2 or 3) Application of Fair Share Objectives (All objectives, no selecting) Good Faith Efforts Reporting Requirements Contract Compliance Requirements Contract Administration Provisions Bidders List Documentation Non-compliance

17. Terms and Conditions – DBE Conference, October 2007 Recipient Sub-Recipient/ Loan Recipient Prime Contractor Stop DBE/MBE/WBE Requirements do not flow pass the Prime Contractor Level. Refer to CFR Part 33 for Requirements. Stop Tier 3 Tier 2 Tier 1 Flow Down Level for DBE/MBE/WBE Requirements