2012 vendor fair - go metrocomponents, final assembly in u.s. •bidders must certify compliance or...

2012 Vendor Fair

J. Thomas Hodges

Chairman

Southwest Ohio Regional

Transit Authority

Welcome

Terry Garcia Crews

Chief Executive Officer

& General Manager

Metro

Overview

Metro’s

Procurement

Process

Wright C. Parkes

Director of Procurement

Metro

What SORTA Buys

• Everything from alternators to zippered

coveralls

• Goods

• Services

• Construction

• Vehicles

2011 Spending by Category

Transportation parts and supplies $13.0 million

Contracted services $ 5.7 million

Environmental & utilities $ 1.8 million

Administration $ 1.8 million

Facility services & construction $ 1.2 million

What SORTA Spends

2010

2011

$20.7 million

$23.5 million

Governance

• Political subdivision of the State of Ohio

• Governed by Board of Trustees

• Governed by state and local laws

• Governed by Federal Transit Administration

(FTA) requirements

• Some FTA requirements overrule state law

• Some FTA requirements don’t apply when

Federal funds are not used

• Socio-economic programs (DBE, Buy America)

Procurement Types

Small purchase (under $100,000 – RFQ, IFB, RFP)

Sealed Bid (IFB)

Request for Proposal (RFP)

Sole Source

Small Purchase

• Under $100,000

• No formal advertising

• Solicit reasonable number of sources

• May be Request for Quotes (RFQ), IFB or

RFP

• RFQs usually sent & received electronically

Sealed Bid (over $100,000)

• Most common

• Requires clear & unambiguous specifications

• Award decision based on price

• Bids must conform to specification

• Publicly advertised with public bid opening

• Award to lowest responsive bid from a responsible bidder

• Award without discussions/negotiations

Responsive & Responsible

• Responsive - Complies with all material requirements - Unambiguous offer to sell at a specified price - No deviations from specifications - Allows minor informalities

• Responsible - Capable of fulfilling contract - Technical capacity - Financial resources - Qualified personnel, equipment, etc. - Reputable

Negotiated Procurements – RFP

(over $100,000)

• Used where no clear specification available

• Award decision based on best overall value

• Scope or specification is looser, alternatives acceptable

• Publicly advertised

• Proposals not publicly opened

• Confidential evaluation by SORTA staff

• Usually discussions/negotiations before award

Negotiated Procurements – RFP

(over $100,000)

• Proposals must be responsive

• Usually fewer requirements than IFB

• Responsibility determined through evaluation process

Sole Source

• Competition not legally required or reasonably available

• Applies to proprietary, repair, follow-on,

professional or emergency purchases

• Must justify why competition was not available

and price quoted is fair and reasonable

Buy America

• FTA-funded procurements over $100,000

• Iron, steel, manufactured goods must be 100%

U.S. made; vehicles must be 60% U.S.

components, final assembly in U.S.

• Bidders must certify compliance or non-

compliance with bid

• Disqualification for failure to certify or duplicate

certifications

• Limited waivers for non-compliant products

• Fraudulent certification can be criminal offense

Bonds

• Construction – required by Federal & state law

• Three main types required for construction:

- Bid -10% of amount bid

- Performance - 100% of contract price

- Payment - 100% of contract price

• Non-construction – types & amounts vary with

risk to SORTA

• Represents added cost to project

• Can eliminate smaller firms

Prevailing Wage - Construction

Davis-Bacon Act

– Applies to contracts $2,000 and above

– Establishes minimum wages to be paid

– Determined for specific areas and labor

categories

– Applies to contractors and subcontractors at

all tiers

Certified Payrolls - Construction

- Validate payment of prevailing wages

- Include all personnel working on jobsite

- ID employee, job category, hours

worked and wages paid

- Signed by responsible person in

company

- Submitted with invoice

- Validate DBE activity

- Federal penalties for falsification

How to Prepare a Bid

• Read the IFB or RFP carefully; understand all

requirements

• If something is unclear, ask in writing –

responses will be sent to all known bidders

• Attend pre-bid conference if there is one

• Follow instructions in preparing your bid

• Verify pricing & availability with subcontractors

and suppliers

How to Prepare a Bid

• Understand basis of award – low price or

best value

• Make sure package includes everything that

is required with the bid

• Double-check that bid and all certifications

are accurately completed and signed

• Triple-check your pricing for missed items,

math errors

• Make sure bid is delivered on time

Questions ?

Metro’s Disadvantaged Business Enterprise

(DBE) Program

Darryl Haley

Executive Director of Development

DBE Coordinator

Metro

DBE Program Summary

An equal opportunity

program designed to

ensure that small

businesses owned by

minorities, women, and

other disadvantaged

individuals have a fair

opportunity to compete

for federal dollars

spent in transit.

U.S. DOT Program

Qualifies certified DBEs for transit and highway projects

SORTA requires certification by each state

Certification must be complete prior to submittal of bids

DBE Contract Goals • Established for each procurement over

$100,000

• Goal based on:

- Availability of opportunities

- Availability of qualified DBEs

- Goal, not a quota

• Prime must attain or exceed goal, or

• Demonstrate good faith efforts prior to bid

Documentation Requirements

• Representation by prime contractor as to percentage of DBE participation included, whether or not goal is attained

• Responsiveness issue – if not submitted, bid will be rejected

With Bid:


• DBE Plan – List of DBEs and dollar amounts

• Affidavits from DBE subcontractors certifying status

• Letters of intent from DBE subs

After bid is received (if goal

is attained):


• All of the above, plus

• Good Faith Effort documentation

• DBE unavailability certification signed by DBE

After bid is received (if goal is not attained):

After Award

• Executed subcontracts or POs for each DBE

• Must reflect price and scope of Letters of

Intent

• Spot checks to verify actual participation

• Any change in DBE participation must be:

Justified

Documented

Approved by DBE compliance officer

Prompt Payment Processes

49 CFR Part 26.29

• Mandatory part of the DBE program

• Requires prime contractors to pay subcontractors within specific number of days after prime receives payment for satisfactorily completed work

• Requirement flows down to all lower tiers

Prompt Payment Documentation

• On-time submittal of current, accurate and

complete invoices

• Primes must document amounts paid to subs

• DBEs must submit documentation of amounts

received

• Delay or postponement of payment may take

place only for good cause, and only with prior

written approval by the DBE Compliance Officer

DBE Guidelines Links

• Ohio Department of Transportation - www.ohioucp.org

• US Department of Transportation, Office of Small and

Disadvantaged Business Utilization - www.osdbu.dot.gov

• Federal Transit Administration – www.fta.dot.gov

• US Department of Labor, Davis-Bacon Information –

www.dol.gov/esa/programs/dbra/index.htm

• Davis-Bacon Wage Determinations - www.gpo.gov/davisbacon

Marleise Wicker

DBE Liaison

Ohio Unified

Certification Program

(UCP)

Disadvantaged Business Enterprise

DBE

Ohio Unified Certification Program (UCP)

Other Certifications

MBE SBA EDGE WBE

Other City &

Local X DBE


Definition of DBE • a Disadvantaged Business Enterprise (DBE) is a

for-profit small business.

• at least 51% owned by one or more individuals who are both socially and economically disadvantaged

• whose management and daily business operations are controlled by one or more of the socially and economically disadvantaged individuals who own it.


DBE Eligibility Standards DBE owner must:

• actually controls the management, policy, and

operations of the firm;

• must have an overall understanding of, and

managerial and technical competence and

experience in the firm's overall operations;

• a firm must be independent;

• cannot engage in outside employment or other

business interests that conflict or interfere with

the management of the firm.


DBE Eligibility Standards

• Must meet SBA definitions of small business:

– Measured in dollars for type of work

• (Heavy Highway <$22.4 Million gross receipts

averaged over three years)

• (Type of work is the line of work for the company,

in which a NAICS* code is assigned)

– Meet federal personal net worth limitations

• (<$1.32 million excluding personal residence and

investment in the business)

*North American Industry Classification System

http://www.census.gov/epcd/naics02

OHIO-UCP

The OHIO-UCP is a "one stop" certification

process for the Federal DBE Programs in

Ohio. The Ohio-UCP consolidates all DBE

firms certified by five different agencies

into one centralized DBE Directory for

USDOT funded contracts for Airport,

Highways, and Public Transit.

http://www.dot.gov/

What DBE Certification CAN Do for a

DBE Firm • Support services are available in both technical &

tuition reimbursement for construction related companies

• Statewide exposure to all prime contractors bidding on USDOT funded projects, which may have goals

• DBE firms only have to get certified with one agency to do work with:

– Federal Highway (FHWA) - Federal Transit (FTA)

– Federal Aviation (FAA)


What DBE Certification CANNOT

Do for a DBE Firm

Guarantee work

Guarantee success


UCP Online

• Fill out application online @ www.ohioucp.org:

-Register

-Complete & submit an online application.

-Mail a notarized application & required

supporting documentation

• Update annual affidavit information online

• Check status of application/affidavit online

• Online help to assist in utilizing system

• Query certification list


UCP Online - Security

• Information secure

• Encrypted data

• User ID and password assigned upon sign-up

• Password reset by user upon first login


Processing the Application

Certification decision must be

reached within 90 days of a

completed application

Online Application


• Application

questions

• Wizard to

display how

far along in

application

Required Documentation

• Completed application

• Supporting business documentation:

• Personal Net Worth Statement

• Taxes – Business and Personal (3 years)

• Financial Statement

• Information on owners

• Business structure

• Resume of owners

Processing the Application

• Step 1 - Application is received

• Step 2 - Application is checked for completeness. If incomplete, the applicant is sent a letter requesting the missing information.

• Step 3 - Once the application is complete an on-site review is scheduled and conducted at the applicant's office. During the on-site review, interviews are conducted with the owners of the firm.

• Step 4 - All materials submitted by the applicant and the on-site report are reviewed by the investigator, who determines if the applicant meets the eligibility standards.

• Step 5 - The investigator reviews the application and makes a decision on the firm's eligibility for certification in the DBE program with the Deputy Director.

• Step 6 - If the application is approved, the applicant is notified, in writing & e-mail, of the certification approval.

20 NAICS Categories


Agriculture, Forestry, Fishing, Hunting

Mining

Utilities

Construction

Manufacturing

Wholesale Trade

Retail Trade

Transportation and Warehousing

Information

Finance and Insurance

Real Estate and Rental and Leasing

Professional, Scientific, and Technical Services

Management of Companies and Enterprises

Adm. & Support, Waste Mgmt & Remediation

Educational Services Manufacturing

Health Care and Social Assistance

Arts, Entertainment, and Recreation

Accommodation and Food Services

Other Services (except Public Administration)

Public Administration

11

21

22

23

31-33

42

44-45

48-49

51

52

53

54

55

56

61

62

71

72

81

92

After firm is certified . . .

• Good for 3 years from certification date, BUT an Annual Affidavit must be completed on the anniversary date

• Annual affidavit includes but not limited to Personal Net Worth Statement & Taxes

• The DBE has a duty to update Ohio UCP regarding new information within 30 days of the event.

Annual Affidavit

The state of Ohio UCP requires an Annual Affidavit to maintain & renew Disadvantaged Business

Enterprise.

– 60 day advance notice via e-mail* and postal

services.

*e-mail notification every 45, 30, 15 days the certified firm will be notified.

Ohio UCP Certifying Agencies COLUMBUS:

• Ohio Department of Transportation (ODOT)

Office of Contracts, DBE Section

1980 W. Broad Street, 1st Floor

• Columbus, OH 43223

(614) 728-9598

(614) 728-2078 (fax)

CLEVELAND:

• Cleveland Hopkins International Airport Greater Cleveland Regional Transit Authority (GCRTA) 5300 Riverside Drive 1240 W. 6th Street

Cleveland, OH 44135 Cleveland, OH 44113-1331

(216) 265-6137 (216) 566-5002

(216) 265-6021 (fax) (216) 781-4752 (fax)

DAYTON:

• City of Dayton 130 W. Second Street, Suite 730

Dayton, OH 45402

(937) 228-7277

(937) 222-4589 (fax)

http://www.dot.state.oh.us/contract/dbe.htm

http://www.clevelandairport.com/

http://www.gcrta.org/dobusiness.asp

http://www.cityofdayton.org/

Questions? Visit our web site at:

http://www.ohioucp.org

or

http://www.dot.state.oh.us/con

tract* *for upcoming projects

Intake Coordinator

(Lisa Feaster-Bynum 614/728-2067)

800-459-3778 or by fax 614-728-2078


http://www.ohioucp.org/

http://www.dot.state.oh.us/contract

http://www.dot.state.oh.us/contract

Quiana Barbee, Supplier Diversity

Specialist

Larry Stokes, Marketing Manager

CINTAS SUPPLIER DIVERSITY BLAZING A TRAIL TOWARD WORLD CLASS

THE CINTAS CORPORATION

Headquartered in Mason, OH, Cintas provides

highly specialized services to businesses of all

types throughout the world.

• Financial Strength

• Revenue over $3.8 billion in FY’11

• Publicly traded on NASDAQ

• Member of S&P 500

• Experience

• Over 800,000 business customers

• Over 5 million people wear a Cintas uniform

• Over 500 national accounts

• Local Resources

• Service 315 of top 326 metropolitan areas

• Over 300 rental locations

• Over 30,000 employee-partners

CINTAS PRODUCTS & SERVICES

UNIFORMS & APPAREL

• A positive image is just a snap, button or zip away

FACILITY SERVICES

• Keep up appearances for a lasting impression

DOCUMENT MANAGEMENT

• Efficiency and economy go hand in hand

FIRST AID & SAFETY SERVICES

• Provide a sense of security and greater productivity will follow

FIRE PROTECTION SERVICES

• Provide your employees with the best protection possible

BRANDED PROMOTIONAL PRODUCTS

• Recognition is its own reward

SENIOR LEVEL PERSPECTIVE

“Cintas began its journey in Supplier Diversity just over 7 years ago, and since then, it has become a strategic business initiative. Supplier Diversity is an important component of our long-term business strategy that is already providing a competitive business advantage. It’s important because it enhances Cintas’ ability to meet customer needs by reflecting the changing demographics of the end consumer, while providing increased competition, creativity and flexibility in our supply chain.” – Scott Farmer, CEO

“Supplier diversity is a business practice that makes sense. Cintas needs the value-added products and services these suppliers provide. A growing number of Cintas’ customers are also recognizing the value of this business practice and requiring their suppliers to embrace the utilization of minority and women owned suppliers. We are well on our way to ensuring that supplier diversity is systemic throughout the enterprise.”

– Phillip Holloman, President & COO

SUPPLIER DIVERSITY

To expand and maximize the utilization of

our network of certified women and

minority suppliers who will enhance

Cintas’ value and/or create a competitive

business advantage.

MISSION STATEMENT

SUPPLIER DIVERSITY THE “SMART THING” TO DO

Supplier Diversity

Customer Satisfaction & Success

Image

Innovation & Value

Market

Penetration

Increased Revenue

Shareholder

Value

Competitive Advantage

SUPPLIER DIVERSITY TIMELINE

STAFFING | Full-time

Supplier Diversity team

DATA SCRUB |

Evaluated current and

historic performance

SUPPLIER

DEVELOPMENT |

Introduced business

development training as an

investment in the long-term

sustainability of suppliers

CEO ENGAGMENT |

Integrated supplier diversity

into CEO Diversity Council.

MENTORING | Participated

in the South Centeral Ohio

MSDC Module for Centers

of Excellence

EXECUTIVE ENGAGEMENT |

Established a Supplier

Diversity Executive Steering

Committee

NATIONAL ENGAGEMENT |

SVP, Global Supply Chain &

Corporate Six Sigma appointed

to the national board of

directors for the National

Minority Supplier Development

Council

AWARDS | The South

Central Ohio Minority

Supplier Development

Council 2011 Class II

Corporation of the Year

2008 2007 2011 2009 2010

SALES STRATEGY |

Diverse Supplier

Partnerships & Success

leveraged

STRATEGIC

SOURCING

INTEGRATION |

Moving from Push to

Pull

BUSINESS DEVELOPMENT

SALES STRATEGY| Learn how to develop and implement a

strategic action plan for managing the sale of accounts and

leveraging a value proposition

LEADING NEGOTIATIONS | Learn effective negotiation skills

through interactive discussions and simulations

SIX SIGMA GREEN BELT TRAINING | Learn how to utilize

traditional lean tools and overview of the Six Sigma DMAIC

(Define, Measure, Analyze, Improve, Control) process and tools

METICULOUS HIRING | Learn how to create a systematic hiring

process and work on improving skills vital for making effective

hiring decisions

DIVERSE SPEND EVOLUTION

6%

8%

9%

10%

11%

0%

2%

4%

6%

8%

10%

12%

$0

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

$160,000,000

$180,000,000

FY07 FY08 FY09 FY10 FY11

% o

r To

tal S

pe

nd

Tota

l M/W

BE

Spen

d

Fiscal Year

NATIONAL AFFILIATIONS

NATIONAL MINORITY SUPPLIER DEVELOPMENT COUNCIL

Corporate Member

National Board Appointment

Centers of Excellence

www.nmsdc.org

WOMEN’S BUSINESS ENTERPRISE NATIONAL COUNCIL

Corporate Member

National Conference Presenter

www.wbenc.org

http://www.nmsdc.org/

http://www.nmsdc.org/

http://www.wbenc.org/

http://www.wbenc.org/

SUPPLIER DIVERSITY CINCINNATI COMMUNITY ENGAGEMENT

African American Chamber

• State of Ohio Mentor-Protégé Program

• Breakfast with the COO

Hispanic Chamber

of Commerce

• Corporate Membership

• Corporate Partner

Cincinnati USA

Regional Chamber

• Corporate Goal Setter

Cintas

Supplier

Diversity

SUPPLIER MANAGEMENT PORTAL

http://cintas.cvmsolutions.com

Pamela Brailsford | Senior Director

Supplier Diversity & Sustainability

[email protected] | 513-573-4877

Holli Turner | Solutions Director



Quiana Barbee| Supplier Diversity Specialist


Jennifer Ratliff O’Neal | Coordinator



SUPPLIER DIVERSITY TEAM

mailto:[email protected]




Questions?

Closing Remarks

Darryl Haley

Executive Director of Development

DBE Coordinator

Metro

Networking & Refreshments

2012 vendor fair - go metrocomponents, final assembly in u.s. •bidders must certify compliance or...

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