MWBE: Policy and Goal

The District's policy regarding M/WBE utilization establishes a total combined M/WBE goal as noted in the previous sections. A bidder who, in accordance with the documentation requirements, has achieved that total combined participation of M/WBE's, as defined below, shall be in compliance with the requirements of this specification. A bidder who cannot achieve the total combined goal for M/WBE participation must provide documentation, as prescribed in the specification. In such an instance the bidder must be able to demonstrate that the required positive efforts were initiated prior to submittal of the bid. If the bidder cannot demonstrate such positive efforts, as defined below, the bid will be rejected as non-responsive.

For purposes of this manual, the term MWBE refers to:

1. Minority Business Enterprise (MBE), which is defined as a business which is at least 51% owned and controlled by minority group members. Controlled means that the minority ownership must exercise actual day-to-day management of the business. Minority groups covered by this policy include African-American, Hispanic-Americans, Asian-Americans and American Indians.

2. Women's Business Enterprise (WBE), which is defined as an independent business concern which is at least 51% owned by a woman or women, who also control (defined as above) and operate it.

The District will accept as prospective M/WBE participants for this project, only those M/WBE firms which have been certified by one or more of the following agencies on or before the date of the bid opening. Click here to see the list of certifications accepted by the District.

NOTE: In the case of a manufacturer, the District will also accept M/WBE certification by any state division of purchasing or the National Minority Supplier Development Council and its affiliates.

The District assumes no responsibility for their performance.

Pre-Contract Award Obligations

A bid, properly signed, shall certify that the bidder has undertaken the positive efforts described in this policy to achieve the stated goal for MWBE participation. Each bidder will be required to submit the information and documentation required with its bid on Form A and/or Form B. Failure to submit the information as required herein, on Form A and/or Form B will result in the bid being rejected as non-responsive.

1. A bid, properly signed, shall certify that the bidder has undertaken the positive efforts described in this M/WBE policy to achieve the stated goal for M/WBE participation. Each bidder will be required to submit the information and documentation required with its bid on Form A and/or Form B. Failure to submit the information as required herein, on Form A and/or Form B will result in the bid being rejected as non-responsive.

2. To establish a bid as responsive, the bidder must document on Form A the proposed utilization for M/WBE participants to achieve the stated goal and/or document on Form B the positive efforts expended by the bidder to utilize M/WBE participants. The documentation requirements are outlined in 3a and 3b. For the purpose of determining the degree of attainment through M/WBE general contractors, M/WBE joint ventures, M/WBE subcontractors, and M/WBE manufacturers and suppliers, the following methodology will be utilized:

1. A joint venture consisting of disadvantaged and majority business enterprises, functioning as general contractor, will be credited with disadvantaged participation on the basis that the percentage of the dollar amount of the work to be performed by the M/WBE bears to the total contract amount. The joint venture must prequalify and be certified prior to submitting a bid proposal.

2. A M/WBE general contractor will be credited with disadvantaged participation for 100% of the contract.

3. A bidder will be credited with disadvantaged participation for 100% of the dollar amount of purchases made from disadvantaged suppliers and manufacturers certified by one of the agencies listed in previously.

4. A non M/WBE general contractor will be credited with disadvantaged participation for that percentage of disadvantaged subcontractor participation.

Evaluation of Goal Achievement

As a prerequisite to demonstrate M/WBE goal achievement, the bidder shall provide the following data with its bid:

1. The total dollar amount of M/WBE participation. MBE and WBE shall be shown separately.

2. The names of M/WBE subcontractors to be utilized.

3. The type of work and dollar amount to be awarded to each M/WBE subcontractor.

NOTE: MSD FORM A SHALL BE USED FOR THIS PURPOSE

Except in those cases in which the general contractor is a M/WBE, for bids which do not meet the District's M/WBE goal, the bidder shall document on Form B the positive efforts taken to achieve said goal. For a bid to be considered to be responsive, each of the positive efforts listed below in (1) and (2) must each be documented. MSD Form B with appropriate attachments shall be used for this purpose.

The following are the positive efforts to be documented and attached to MSD Form B:

1. Copies of timely (dated a minimum of fourteen (14) calendar days prior to bid opening) solicitation letters sent to M/WBE firms other than those used on MSD Form A that will not perform the same work as those listed on MSD Form A. The solicitation letters should include the specific type or work and delivery schedule conforming to the type of work that the M/WBE firm performs. Blanket solicitations are not required. Letters shall be sent by either registered or certified mail (return receipt required) or courier and proof of receipt must be attached.

2. Documentation of any other efforts to extend opportunities to M/WBE firms, such as advertisements in minority and women trade association newsletters and minority-owned media and written notification sent to minority and women contractor associations, including the Contractors Assistance Program.

If the bid is considered non-responsive under subsection 3, the District will advise the bidder, in writing, of the basis for such determination. 
 

Post Contract Award Compliance

1. Within fifteen (15) calendar days after notice of award of the contract, M/WBE verification letters signed by all the M/WBE participants or copies of all M/WBE related subagreements signed by the general contractor and subcontractors shall be submitted to the District. If a bidder fails to submit the required information and documentation within fifteen (15) calendar days after notice of award, the District may withdraw the notice of award and the bid security of that bidder will be forfeited to the District.

2. During execution of the contract the general contractor shall timely submit minority involvement reports to the District using the minority involvement report form furnished by the District. Changes to the previously reported (Form A) M/WBE utilization will be considered by the District only for one of the following reasons:

1. The named M/WBE firm is unable to meet the delivery requirements of the construction schedule.

2. The named M/WBE firm is dilatory in complying with the requirements of the contract documents.

3. The named M/WBE firm is prevented from performing due to bankruptcy, insolvency or otherwise.

The general contractor shall promptly report any and all proposed changes in the utilization of M/WBE firms to the District, in writing, with appropriate documentation. All changes must be confirmed by a written change order.

NOTE: The general contractor shall attach the District's M/WBE Involvement Report to the progress payment request for this purpose. Before final payment will be authorized, the contractor must submit a signed confirmation of total payment from each M/WBE subcontractor listed on Form A of this contract.

In the event the contractor fails to conform to its M/WBE obligations, it shall furnish to the District, in writing, the reasons for such failure. If in the sole judgment of the District there is non-utilization without good cause, the District will advise the general contractor, in writing, of corrective actions to be initiated. If the general contractor fails to timely and fully initiate such actions, the District may withhold the amount which should have been paid to the M/WBE(s) from any payments and/or institute appropriate actions pursuant to the provisions which have been incorporated into these specifications. An equivalent amount shall be defined as that portion of the M/WBE goal set forth in Form A which has not been met. 

Failure to Comply with Post Contract Award Requirements

Failure to execute the Contract, Contract Bond, and provide proper insurance certificates and M/WBE verification requirements within fifteen (15) calendar days after the acceptance of the bid proposal and award may be cause for rejection of the bid, the annulment of the Contract Award and forfeiture of the bid security to the District. In addition, if the contracts and appropriate, acceptable attachments, (Certificate of Insurance, Insurance Binder, Contract Bond, and M/WBE verification requirements), are not submitted within the fifteen (15) calendar days, the successful bidder will not be allowed to procure bid proposal forms, plans or specifications, nor be allowed to submit a bid for any future construction projects to the District having a date of advertisement later than the fifteen (15) calendar day period until proper compliance is made. If appropriate signed contracts are submitted on time but upon the District's review deemed unacceptable, seven (7) calendar days will be allowed for the successful bidder to make the necessary corrections. If the corrections are not made and returned on or before the seventh day, the successful bidder will then not be allowed to procure bid proposal forms, plans or specifications, nor be allowed to submit a bid for any future construction projects to the District until proper compliance is made. If the successful bidder fails to comply with either the fifteen (15) calendar day or the seven (7) calendar day specified due dates, he will not be allowed to submit a proposal for any District project advertised during the delinquent period