DISADVANTAGED
BUSINESS
ENTERPRISE
PROGRAM
City of Corona Transit Service
Program Update: September 2023
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 1 of 52 Table of Contents
Disadvantaged Business Enterprise Objectives and Policy Statement.................3 SUBPART A – GENERAL REQUIREMENTS..............................................................................4 DBE Program Objectives/Policy Statement (§ 26.1, 26.23)............................................................4 Applicability (§ 26.3)...............................................................................................................................4 Definitions (§ 26.5).................................................................................................................................4 Non-discrimination Requirements (§ 26.7).........................................................................................4 Record Keeping, Reporting and Bidder’s List Requirements (§ 26.11 (b)(c)) ..............................4 Reporting § 26.11 (b) ............................................................................................................................4 Bidder’s List § 26.11 (c) .........................................................................................................................5 Federal Financial Assistance Agreement and Contract Assurance (§ 26.13 (a)(b))...................5 Federal Financial Assistance Agreement Assurance § 26.13 (a)...........................................................5 Contract Assurance § 26.13 (b).............................................................................................................6 SUBPART B - ADMINISTRATIVE REQUIREMENTS.............................................................6 DBE Program Updates (§ 26.21).........................................................................................................6 Policy Statement (§ 26.23) ...................................................................................................................6 DBE Liaison Officer (DBELO) (§ 26.25) .............................................................................................6 DBE Financial Institutions (§ 26.27)....................................................................................................7 Prompt Payment Mechanisms (§ 26.29 (a)(b)) .................................................................................7 Prompt Payment §26.29(a)...................................................................................................................7 Retainage §26.29(b)..............................................................................................................................8 Monitoring and Enforcement §26.29(d) ...............................................................................................8 Directory (§ 26.31) .................................................................................................................................9 Overconcentration (§ 26.33).................................................................................................................9 Business Development Programs (§ 26.35) ......................................................................................9 Monitoring and Enforcement Mechanisms (§ 26.37)........................................................................9 Small Business Participation (§ 26.39).............................................................................................13 SUBPART C - GOALS, GOOD FAITH EFFORTS, AND COUNTING..............................14 Set-asides or Quotas (§ 26.43)..........................................................................................................14 Overall Goals (§ 26.45) .......................................................................................................................14 Goal Setting and Accountability (§ 26.47)........................................................................................15 Transit Vehicle Manufacturers Goals (§ 26.49)...............................................................................15 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 2 of 52 Breakout of Estimated Race-Neutral & Race-Conscious Participation (§ 26.51(a-c)) ..............16 Contract Goals (§ 26.51(d-g)) ............................................................................................................16 Good Faith Efforts Procedures (§ 26.53)..........................................................................................17 Demonstration of good faith efforts (§ 26.53(a) & (c)).......................................................................17 Information to be submitted (§ 26.53(b))...........................................................................................17 Administrative reconsideration (§ 26.53(d)).......................................................................................18 Good Faith Efforts when a DBE is replaced on a contract (§ 26.53(f))................................................18 Sample Bid Specification: ....................................................................................................................19 Counting DBE Participation (§ 26.55) .................................................................................................19 SUBPART D and E - CERTIFICATION STANDARDS and PROCEDURES ................20 DBE Certification Procedures (§ 26.61 - 26.91)..............................................................................20 SUBPART F - COMPLIANCE AND ENFORCEMENT ...........................................................20 Information, Confidentiality, Cooperation (§ 26.109)......................................................................20 Monitoring Payments to DBEs ...........................................................................................................20 ATTACHMENTS ..................................................................................................................................22 Attachment A – Organizational Chart................................................................................................23 Attachment B – Bidders List Form.....................................................................................................25 Attachment C – Statement of Compliance-Self Certification.........................................................28 Attachment D – DBE Utilization Attainment Report........................................................................30 Attachment E – Overall DBE Goal and Methodology.....................................................................32 Attachment F – Transit Vehicle Manufacturer’s Certification ........................................................46 Attachment G – Roster of Certifying Agencies................................................................................48 Attachment H – Code of Federal Regulations: Title 49 CFR Part 26...........................................52
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 3 of 52 City of Corona Transit Service
Disadvantaged Business Enterprise Objectives and Policy Statement The City of Corona, City of Corona Transit Service (CCTS) has established a Disadvantaged Business Enterprise (DBE) program in accordance with regulations of the U.S. Department of Transportation (DOT), 49 Code of Federal Regulation Part 26. The City of Corona Transit Service will receive Federal financial assistance from the Department of Transportation, and as a condition of receiving this assistance, the City of Corona will sign an assurance that it will comply with 49 CFR Part 26.
The City of Corona assures equal opportunity in the award and performance of any contract to all persons without regard to race, color, national origin or sex. The intent of the DBE Program is to eliminate discriminatory practices, ensure discrimination is not occurring, increase participation of DBEs in all contracting activities to the maximum extent feasible, and meet the overall annual DBE participation goal, in compliance with 49 CFR Part 26. Adhering to this policy will ensure a level playing field and foster equal opportunity to receive and participate in DOTassisted contracts. It is also our policy:
1. To ensure nondiscrimination in the award and administration of DOT - assisted contracts;
2. To create a level playing field on which DBEs can compete fairly for DOT-assisted contracts;
3. To ensure that the DBE Program is narrowly tailored in accordance with applicable law;
4. To ensure that only firms that fully meet 49 CFR Part 26 eligibility standards are permitted to participate as DBEs;
5. To help remove barriers to the participation of DBEs in DOT assisted contracts;
6. To assist the development of firms that can compete successfully in the market place outside the DBE Program.
7. Facilitate the implementation of the DBE Program using race-neutral measures to the maximum extent feasible.
This policy applies to all City of Corona employees in administering 49 CFR Part 26, and to contractors, bidders/offerors and subcontractors.
Jacob Ellis, City Manager Date
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 4 of 52 SUBPART A – GENERAL REQUIREMENTS
DBE Program Objectives/Policy Statement (§ 26.1, 26.23) The objectives are found in the policy statement on the first page of this program.
Applicability (§ 26.3)
The City of Corona, City of Corona Transit System (CCTS) is the recipient of Federal Transit Administration (FTA) funds authorized by Federal transit laws in Title 49, U.S. Code. Under Title 49 CFR Part 26 the City of Corona is required to establish a Disadvantaged Business Enterprise Program. This document sets forth the policies and procedures to be implemented by the City of Corona to ensure that DBEs have an equitable opportunity to participate in the City's U.S. DOTassisted contracting opportunities Definitions (§ 26.5)
The City of Corona will adopt the definitions contained in 49 CFR Section 26.5 for this program.
Non-discrimination Requirements (§ 26.7)
The City of Corona will never exclude any person from participation in, deny any person the benefits of, or otherwise discriminate against anyone in connection with the award and performance of any contract covered by 49 CFR part 26 on the basis of race, color, sex, or national origin.
In administering its DBE program, the City of Corona will not, directly or through contractual or other arrangements, use criteria or methods of administration that have the effect of defeating or substantially impairing accomplishment of the objectives of the DBE program with respect to individuals of a particular race, color, sex, or national origin.
Record Keeping, Reporting and Bidder’s List Requirements (§ 26.11 (b)(c)) Reporting § 26.11 (b)
The City of Corona will report DBE participation to DOT as follows:
Report DBE participation to the relevant operating administration at Federal Transit Administration using the Uniform Report of DBE Awards or Commitments and Payments, found in the DBE regulation. The report due June 1 will cover data from October 1 to March 31 and the report due December 1 will cover data from April 1 to September 30. All dollar amounts reported City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 5 of 52 will reflect the federal share of such contracts. The report will separate the dollar amount awarded to certified DBEs through the use of race conscious methods and race neutral methods.
Bidder’s List § 26.11 (c)
City of Corona will create a bidders list, consisting of information about all DBE and non-DBE firms that bid or quote on DOT-assisted contracts. The purpose of this requirement is to allow use of the bidders list approach to calculating overall goals. The bidder list will include the name, address, DBE non-DBE status, age, and annual gross receipts of firms.
We will collect this information in the following ways:
• City of Corona Transit Service will require all bidders and proposers to identify their DBE status and identify all DBE subcontractors. See Attachment B – Bidders List Form.
Federal Financial Assistance Agreement and Contract Assurance (§ 26.13 (a)(b))
Federal Financial Assistance Agreement Assurance § 26.13 (a) City of Corona will provide the following assurances statement verbatim on each federal finance assistance agreement it obtains:
City of Corona shall not discriminate on the basis of race, color, national origin, or sex in the award and performance of any DOT assisted contract or in the administration of its DBE Program or the requirements of 49 CFR part 26. The recipient shall take all necessary and reasonable steps under 49 CFR part 26 to ensure nondiscrimination in the award and administration of DOT assisted contracts. The recipient's DBE Program, as required by 49 CFR part 26 and as approved by DOT, is incorporated by reference in this agreement. Implementation of this program is a legal obligation and failure to carry out its terms shall be treated as a violation of this agreement. Upon notification to the City of Corona its failure to carry out its approved program, the Department may impose sanction as provided for under Part 26 and may, in appropriate cases, refer the matter for enforcement under 18 U.S.C. 1001 and/or the Program Fraud Civil Remedies Act of 1986 (31 U.S.C. 3801 et seq.).
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 6 of 52 Contract Assurance § 26.13 (b)
City of Corona will ensure that the following assurance clause is placed verbatim in every federally-assisted contracts and subcontract:
The contractor, sub-recipient, or subcontractor shall not discriminate on the basis of race, color, national origin, or sex in the performance of this contract. The contractor shall carry out applicable requirements of 49 CFR part 26 in the award and administration of DOT assisted contracts. Failure by the contractor to carry out these requirements is a material breach of this contract, which may result in the termination of this contract or such other remedy as the recipient deems appropriate, which may include, but not limited to, (1) withholding monthly progress payments, (2) assessing sanctions, (3) liquidated damages, and/or (4) disqualifying the contractor from future bidding as non-responsive.
SUBPART B - ADMINISTRATIVE REQUIREMENTS
DBE Program Updates (§ 26.21)
Since the City of Corona Transit Service expects to receive a grant of $250,000 or more in FTA planning capital, and or operating assistance in a federal fiscal year, City of Corona will carry out the program until all funds from DOT financial assistance have been expended. City of Corona will provide to DOT updates representing significant changes in the program.
Policy Statement (§ 26.23)
The Policy Statement is elaborated on the first page of this program.
DBE Liaison Officer (DBELO) (§ 26.25)
The City of Corona has designated the following individual as the DBE Liaison Officer:
Sudesh Paul, Transit Program Manager
[email protected] Phone: (951) 279-3763
In this capacity, the DBELO is responsible for implementing all aspects of the DBE program and ensuring that City of Corona Transit Service complies with all provision of 49 CFR Part 26. The DBELO reports to the Public Works Director concerning DBE program matters. An organization chart displaying the DBELO's position in the organization is found in Attachment A to this program.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 7 of 52 The DBELO is responsible for developing, implementing and monitoring the DBE program, in coordination with other appropriate officials. The DBELO has a staff of one (1) to assist in the administration of the program. The duties and responsibilities include the following:
1. Gathers and reports statistical data and other information as required by DOT.
2. Reviews third party contracts and purchase requisitions for compliance with this program.
3. Works with all departments to set overall annual goals.
4. Ensures that bid notices and requests for proposals are available to DBEs in a timely manner.
5. Identifies contracts and procurements so that DBE goals are included in solicitations (both race-neutral methods and contract specific goals attainment and identifies ways to improve progress.
6. Analyzes City of Corona Transit Service’s progress toward attainment and identifies ways to improve progress.
7. Participates in pre-bid meetings.
8. Advises the CEO\governing body on DBE matters and achievement.
9. Participates with the legal counsel and project director to determine contractor compliance with good faith efforts.
10. Provides DBEs with information and assistance in preparing bids, obtaining bonding and insurance.
11. Plans and participates in DBE training seminars.
12. Provides outreach to DBEs and community organizations to advise them of opportunities.
13. Maintains the City of Corona Transit Service's updated directory on certified DBEs.
DBE Financial Institutions (§ 26.27)
City of Corona will investigate the full extent of services offered by financial institutions owned and controlled by socially and economically disadvantaged individuals in the community, to make reasonable efforts to use these institutions, and to encourage prime contractors on DOT-assisted contract to make use of these institutions. We will make the following efforts to identify and use such institutions:
• The DBELO will periodically review the availability of such financial institutions from the US DOT, Office of Small and Disadvantaged Business Utilization website at:
https://www.state.gov/s/dmr/sdbu/index.htm
Prompt Payment Mechanisms (§ 26.29 (a)(b))
Prompt Payment §26.29(a)
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 8 of 52 The City of Corona will include the following clauses in each DOT-assisted prime contract:
The prime contractor agrees to pay each subcontractor under this prime contract for satisfactory performance of its contract no later than 30 days from the receipt of each payment the prime contract receives from the City of Corona. Any delay or postponement of payment from the above referenced time frame may occur only for good cause following written approval of City of Corona. This clause applies to both DBE and non-DBE subcontracts. For Public Works projects the payment shall occur no later than 7 days after payment to the prime contractor.
Retainage §26.29(b)
The prime contractor agrees further to return retainage payments to each subcontractor within 30 days after the subcontractors work is satisfactorily completed. Any delay or postponement of payment from the above referenced time frame may occur only for good cause following written approval of City of Corona.
This clause applies to both DBE and non-DBE subcontracts.
Monitoring and Enforcement §26.29(d)
City of Corona Transit Service may perform interim audits of contract payments to DBEs. The audit will review payments to DBEs to ensure that the actual amount paid to DBEs equals or exceeds the dollar amounts stated in the schedule of DBE participation.
Evidence of payment made to subcontractors must be provided to verify compliance. Credit toward overall or individual contract goals will only be given upon satisfactory evidence that payments were actually made to DBEs. Such evidence shall be provided by the prime contractor through the submission of a progress report on DBE utilization to the City of Corona Transit Service directed by the City of Corona Transit Service staff. The information collected includes:
1. Name of each DBE and Subcontractor.
2. Type of work assignment for each DBE or Subcontractor.
3. The dollars committed to each firm.
4. The dollars paid to each firm during the reporting period.
5. The dollars paid to the firm as a result of a change order or other cost modification.
6. Contractor signature under penalty of perjury that it has complied with all prompt payment requirements per State laws and 49 CFR 26.29.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 9 of 52 If City of Corona determines that the prime contractor has failed to comply with the prompt payment provisions set forth, City of Corona may give written notice to the prime contractor and the prime contractor’s surety that, if the default is not remedied within a specified period of time (at least 10 days), the contract may be terminated. The contract may be terminated for cause in accordance with the contract terms and conditions for failing to meet the prompt payment provisions.
Directory (§ 26.31)
City of Corona will utilize the California Unified Certification Program (CUCP) DBE Directory to identify certified DBEs eligible to participate as DBEs on federal assisted projects. City of Corona will make certain it identifies in the contract specification the availability of the CUCP DBE Directory for prime contractors to use in soliciting DBE subbids. The CUCP DBE Directory can be found at California Unified Certification Program (dbesystem.com). The CUCP directory lists the firm’s name, address, phone number, fax number, on-site visit date, North American Industry Classification System (NAICS) code, ethnicity and gender of ownership, and the type of work the firm has been certified to perform as a DBE under which the firm has been certified to perform as a DBE. A listing in the DBE directory does not in any way pre-qualify the identified DBE firms with respect to licensing, bondability, competence or financial responsibility.
Overconcentration (§ 26.33)
City of Corona will monitor and analyze the type of contracts/subcontracts awarded to DBE’s to determine if there is an overconcentration in particular fields. If overconcentration is found to exist, City of Corona will inform the FTA. The City will also take measures to encourage DBEs within the area of overconcentration to expand into other fields, and enhance its communication with its prime contractors and its outreach within the network of DBE vendors to address the overconcentration.
Business Development Programs (§ 26.35)
City of Corona has not established a business development program. However, if City of Corona identifies the need for such a program in the future, the rationale for adopting such a program and a comprehensive description of the program, will be submitted as a significant update to the DBE Program Plan.
Monitoring and Enforcement Mechanisms (§ 26.37)
City of Corona will implement appropriate mechanisms, including sanctions, suspension, debarment, and application of legal and contractual remedies available under Federal, state, and local laws, as deemed appropriate and necessary, to ensure compliance with the requirements City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 10 of 52 by all program participants. Specifically, City of Corona will take the following monitoring and enforcement steps to ensure compliance with 49 CFR Part 26:
• Bring to the attention of the Department of Transportation any false, fraudulent, or dishonest conduct in connection with the program, so that DOT can take the steps (e.g., referral to the Department of Justice for criminal prosecution, referral to the DOT Inspector General, action under suspension and debarment or Program Fraud and Civil Penalties rules) provided in 26.109. Consider similar action under our own legal authorities, including responsibility determinations in future contracts. • Implement enforcement and monitoring processes/procedures outlined in DBE Contract Provisions contained in all engineering design/professional services, construction, transit and DOT-assisted contracts and this DBE Program Plan. This includes processes for Good Faith Efforts review and approval, counting DBE participation, monitoring and enforcing prompt payment, review and approval of substitutions and termination of DBEs on projects, requiring payment certifications from DBEs and Prime contractors attesting to total amounts paid to DBE firms, and contract closeout procedures that evaluate whether DBE goals have been met on each contract.
• Implement procedures to verify that work committed to DBEs at contract award is actually performed by the DBEs. This will be accomplished by document reviews of contracting records, project onsite visits and interviews conducted by CCTS staff and construction inspectors, review of payroll records for public work activity and a thorough review of invoices provided for services, as applicable. This will occur for each contract/project on which DBE’s are participating.
• Compile and maintain a report of awards/commitments and attainment, which is reported semi-annually to FTA.
• Keep a running tally of DBE utilization/attainment, including race-neutral DBE participation, as well as payments to DBE firms for work committed to them at the time of contract award. See Attachment D – DBE Utilization Attainment Report. • Track and delineate state/federal funding split to ensure that only the federal share is reported on Uniform Reports to US. DOT. This information is tracked in Excel spreadsheet and compared to City of Corona’s OneSolution System.
• Compare DBE commitment submitted at the beginning of each project with Written Certification at the end of the project to determine if DBE goal was met.
Written Certification
The mechanism includes a written certification that City of Corona has reviewed contracting records and monitored work sites for DBE participation. The City of Corona Transit Staff will monitor every contract with DBE requirements, on paper and in the field and will include a City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 11 of 52 written certification that this compliance monitoring effort took place in accordance with the Contract Close-Out Report. Refer to Attachment C – Self Certification Statement of Compliance.
The mechanisms include comparing the DBE commitments to actual DBE attainments.
Procedures to Monitor Compliance
Monitoring will occur after contract award and will be assigned to the City of Corona Transit Staff to monitor actual DBE participation through contractor and subcontractor reports. After the contract award, City of Corona Transit Staff will review the award documents for the portion of work each DBE and/or subcontractor will be performing and the dollar value of that work. With these documents, City of Corona Transit Staff will be able to determine the work to be performed by the listed DBE’s or subcontractors.
Construction Contract On-Site Monitoring
City of Corona will ensure that City of Corona Transit Staff and inspectors know what items of work each DBE is responsible for performing. Inspectors will notify City of Corona Transit Staff immediately of apparent violations. When a firm other than the listed DBE subcontractor is found performing the work, the City of Corona Transit Staff will notify the Contractor of the apparent discrepancy and potential loss of payment. Based on the Contractor’s response, City of Corona will take appropriate action. If the Contractor fails to adequately explain why there is a discrepancy, payment for the work will be withheld and a letter will be sent to the contractor referencing the applicable specification violation and the required withholding of payment.
This monitoring effort is fully incorporated into DBE On-site Monitoring process. The observed work will be reconciled against the DBE commitment.
Record Keeping and Final Utilization Report of DBE
The Contractor shall maintain records showing each listed DBE and first-tier subcontractor. These records will be made available for inspection upon request by any authorized representative of City of Corona, or FTA. The records shall include:
1. Contract number, DBE goal commitment and brief description of the work.
2. Name and address of each DBE listed and certifications held.
3. The dollar amount of each subcontract, including supplies and services.
4. Reports from Contractor with an accounting of actual expenditures to DBEs and the progress to date in meeting the DBE participation commitment.
5. Evidence to support subcontractor substitution requests, where appropriate.
6. Evidence to support prompt payments made, with date of payment and total dollar figure paid to each DBE, subcontractor and suppliers.
7. The DBE prime contractor shall also show the date of work performed by their own forces along with the corresponding dollar value of the work claimed toward DBE goals.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 12 of 52 Contract Close-Out Report
When a contract has been completed, the Contractor will provide a summary of the records stated above. The DBE utilization information will be documented on the form "Final ReportUtilization of Disadvantaged Business Enterprises (DBE), First-Tier Subcontractors" will be submitted to City of Corona. City of Corona Transit Staff will compare the completed form to the contractor’s completed "Designation of Subcontractors". The DBE’s shown on the completed "Final Report-Utilization of Disadvantaged Business Enterprises (DBE), First-Tier Subcontractors" form should be the same as those originally listed unless an authorized substitution was allowed, or the contractor used more DBE’s and they were added. The dollar amount should reflect any changes made in planned work done by the DBE. The Contractor will be required to explain in writing why the names of the subcontractors, the work items or dollar figures are different from what was originally shown on the completed "Designation of Subcontractors" form when:
• There have been no changes made by the RE.
• The Contractor has not provided a sufficient explanation in the comments section of the completed "Final Report-Utilization of Disadvantaged Business Enterprises (DBE), FirstTier Subcontractors" form.
The explanation will be attached to the completed "Final Report-Utilization of Disadvantaged Business Enterprises (DBE), First-Tier Subcontractors" form for submittal. The City of Corona staff will file this report in the project records. The "Final Report-Utilization of Disadvantaged Business Enterprises (DBE), First-Tier Subcontractors" form is available on the California Department of Transportation, Local Agency Program Manual Forms, Chapter 17 website at Forms | Caltrans.
Administrative Remedies for Non-Compliance
A Contractor deemed to be in non-compliance shall be informed in writing, by certified mail, by the DBELO or designee, that administrative remedies shall be imposed for failure to meet DBE committed goal and/or submit evidence of good faith efforts to the satisfaction of the City of Corona. The Contractor shall be given five (5) working days from the date of the notice to file a written appeal to the DBELO. Failure to respond within the five (5) day period shall constitute a waiver of appeal. The notice shall state the specific administrative remedy to be imposed.
The City of Corona may schedule an informal hearing to gather additional facts and evidence and shall issue a final determination on the matter within five (5) working days of receipt of the written appeal. The written decision of the CITY OF CORONA TRANSIT SERVICE or designee is final and there is no further appeal.
The CITY OF CORONA TRANSIT SERVICE reserves the right to initiate Administrative Remedies, which may include but are not limited to:
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 13 of 52 • Withholding of payments due equivalent to the difference between the actual DBE attainment and the overall project and/or contract specific DBE goal. • Suspension of payment to the Contractor of any other monies held by the City of Corona; and
• Termination of the Contract in part or in whole.
The Administrative Remedies shall not apply if the Contractor is able to demonstrate to the satisfaction of the City of Corona that it exercised good faith efforts in an attempt to meet the contract-specific DBE goal, where applicable.
The City of Corona will bring to the attention of the FTA any false, fraudulent, or dishonest conduct in connection with the program, so that FTA can take the steps (e.g., referral to the U.S.
Department of Justice for criminal prosecution, referral to the USDOT Inspector General, action under suspension and debarment or Program Fraud and Civil Penalties rules) provided in §26.109.
The City of Corona will also consider similar action under its own legal authorities, including responsibility determinations in future contracts.
The requirements of this section equally apply to a DBE operating as a prime contractor.
Small Business Participation (§ 26.39)
City of Corona will incorporate the following non-discriminatory element to its DBE program, in order to facilitate competition on DOT-assisted public works projects by small business concerns (both DBEs and non-DBE small businesses):
• Breaking out procurements or unbundling procurement actions to provide greater opportunities for Disadvantaged Business Enterprises (DBEs), small and minority firms, and women’s business enterprises to participate.
• For procurements that require competition, City of Corona will seek out small businesses to compete for these procurement actions by actively including DBE and non-DBE small business firms on the solicitation lists.
• For micro purchases that do not require competition, seeking out DBE and non-DBE small business firms to satisfy these requirements.
For the purpose of this program, small businesses are as defined in the Code of Federal Regulations, Title 49, Part 26.65 (Attachment I) and the Small Business Act and Small Busines Administration regulations under Title 13, part 121
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 14 of 52
SUBPART C - GOALS, GOOD FAITH EFFORTS, AND COUNTING
Set-asides or Quotas (§ 26.43)
City of Corona does not use quotas in any way in the administration of this DBE program. City of Corona may consider establishing a Small Business set-aside program as allowed in §26.39 – Foster Small Business Participation. If City of Corona selects to implement a small business setaside program, it will follow the requirements under §26.21 - DBE Program Updates.
Overall Goals (§ 26.45)
A description of the methodology to calculate the overall goal and the goal calculations can be found in Attachment E – Overall DBE Goal and Methodology, to this program. In accordance with Section 26.45(f), City of Corona will submit its Triennial DBE overall goal by August 1 at three (3) year intervals, based on FTA schedule. City of Corona will express the overall contract goal as a percentage of the total amount of the federal assistance received.
The process generally used to establish overall DBE goal is as follows:
1. The City established a reasonable estimate of FTA funded contracting activities for the covered federal fiscal years.
2. The City categorized these contracting opportunities by NAICS Code.
3. The City reviewed its contracting database and established the Counties of Riverside, San Bernardino & Orange as its market area, where the majority of contracting occurs.
4. The City then developed an estimate of ready, willing, and able DBE’s based on the State of California Unified Contracting Database for the Market Area.
5. The City developed the number of overall firms ready, willing, and available, by NAICS Code, utilizing US Census Data.
6. When necessary, the City evaluated both DBE’s and Non-DBE’s to ensure the accuracy of the NAICS code area, and the firms ready, willing, and able, to satisfy the City’s requirements.
7. The City then multiplied the dollar value of the opportunities by the result of dividing the number of DBE firms by the number of total firms.
8. The City then totaled these amounts to arrive at the step one goal.
Before establishing the overall goal, City of Corona will consult with the various organizations in the market area, such as Chamber of Commerce, minority, women-owned and small business groups, to obtain information concerning the availability of disadvantaged and nondisadvantaged businesses, the effects of discrimination on opportunities for DBEs, and City of Corona’s efforts to establish a level playing field for the participation of DBEs.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 15 of 52 Following this consultation, City of Corona will publish a notice of the proposed overall goal, informing the public that the proposed goal and its rational are available for inspection for 30 days following the date of the notice. The notice will be posted on City’s official Internet Website.
If the proposed goal changes following review, the revised goal will be posted on the City’s official Internet Web site.
City of Corona’s overall goal submission to DOT will include: the goal (including the breakout of estimated race-neutral and race-conscious participation, as appropriate); a copy of the methodology, worksheets, etc., used to develop the goal; a summary of information and comments received during the consultation period and proof of publication of the goal on the City’s website.
City of Corona will begin using the overall goal on October 1 of each year, unless we have received other instructions from DOT. If a project based goal is established, then the goal will be utilized by the time of the first solicitation for a DOT-assisted contract for the project. The overall DBE goal will remain effective for the duration of the three-year period established and approved by the FTA.
Goal Setting and Accountability (§ 26.47)
If the awards and commitments shown on the City’s Uniform Report of Awards or Commitments and Payments at the end of any fiscal year are less than the overall applicable to that fiscal year, City of Corona staff will:
1. Analyze in detail the reason for the difference between the overall goal and the actual awards/commitments;
2. Establish specific steps and milestones to correct the problems identified in the analysis; and
3. Establish and implement a corrective action plan, and maintain information/records regarding the analysis and efforts made.
Transit Vehicle Manufacturers Goals (§ 26.49)
City of Corona will require each transit vehicle manufacturer, as a condition of being authorized to bid or propose on FTA-assisted transit vehicle procurements, to certify that it has complied with the requirements of this section. Alternatively, City of Corona may, at its discretion and with FTA approval, establish project-specific goals for DBE participation in the procurement of transit vehicles in lieu of the TVM complying with this element of the program.
CCTS will submit within 30 days of making an award, the name of the successful bidder, and the total dollar value of the contract.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 16 of 52 Attachment F: The TVM Certification is attached hereto
Breakout of Estimated Race-Neutral & Race-Conscious Participation (§
26.51(a-c))
City of Corona will make efforts to meet the maximum feasible portion of the overall goal by using race-neutral means of facilitating DBE participation. Race-neutral DBE participation includes any time a DBE wins a prime contract through customary competitive procurement procedures, is awarded a subcontract on a prime contract that does not carry a DBE goal, or even if there is a DBE goal, wins a subcontract from a prime contractor that did not consider its DBE status in making the award (e.g., a prime contractor that uses a strict low bid system to award subcontracts).
Race-neutral measures, as described in City of Corona’s Overall DBE Goal and Methodology states, “In conformance with Title 49 CFR Part 26; “Participation by Disadvantaged Business Enterprises in Department of Transportation Programs” and in further response to FTA Notices issued to Public Transportation Providers regarding DOT’s DBE Program and Race-Neutral Policy Implementation Guidance, City of Corona is required to submit and implement a strictly RaceNeutral Overall DBE Goal for FFY 2018-2020, due to the absence of readily available evidence of discrimination and its effects in its marketplace. (Refer to Attachment E - Overall DBE Goal and Methodology for FFY 2018-2020).
This section of the program will be updated annually when and if the goal calculation is updated.
Contract Goals (§ 26.51(d-g))
City of Corona will meet the maximum feasible portion of its overall goal using race-neutral means of facilitating DBE participation. In order to do so, City of Corona will participate in:
1. Arranging solicitations, times for the presentation of bids, quantities, specifications, and delivery schedules in ways that facilitate participation by DBEs and other small businesses and by making contracts more accessible to small businesses
2. Providing assistance in overcoming limitations such as inability to obtain bonding or financing (e.g., by such means as simplifying the bonding process, reducing bonding requirements, eliminating the impact of surety costs from bids, and providing services to help DBEs, and other small businesses, obtain bonding and financing);
3. Providing technical assistance and other services;
4. Carrying out information and communications programs on contracting procedures and specific contract opportunities (e.g., ensuring the inclusion of DBEs, and other small businesses, on recipient mailing lists for bidders; ensuring the dissemination to bidders City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 17 of 52 on prime contracts of lists of potential subcontractors; provision of information in languages other than English, where appropriate);
5. Implementing a supportive services program to develop and improve immediate and long-term business management, record keeping, and financial and accounting capability for DBEs and other small businesses;
6. Providing services to help DBEs, and other small businesses, improve long-term development, increase opportunities to participate in a variety of kinds of work, handle increasingly significant projects, and achieve eventual self-sufficiency;
7. Establishing a program to assist new, start-up firms, particularly in fields in which DBE participation has historically been low;
8. Ensuring distribution of your DBE directory, through print and electronic means, to the widest feasible universe of potential prime contractors; and
9. Assisting DBEs, and other small businesses, to develop their capability to utilize emerging technology and conduct business through electronic media.
Good Faith Efforts Procedures (§ 26.53)
Demonstration of good faith efforts (§ 26.53(a) & (c))
In the event the City of Corona Transit Service establishes an individual DBE contract goal, the City will not award the contract to a bidder who does not either: 1) meet the contract goal with verified, countable DBE participation; or 2) documents it has made adequate good faith efforts to meet the DBE contract goal. It is the obligation of the bidder/offeror to demonstrate it has made sufficient good faith efforts prior to submission of its bid. Examples of good faith efforts are found in Appendix A of 49 CFR Part 26 (Attachment H).
The Department Coordinator will be responsible for determining whether a bidder/offeror who has not met the contract goal has documented sufficient good faith efforts to be regarded as responsive.
City of Corona Transit Service staff will ensure that all information is complete and accurate and adequately documents the bidder/offer's good faith efforts before committing to the performance of the contract by the bidder/offeror.
Information to be submitted (§ 26.53(b))
City of Corona Transit Service treats bidder/offers' compliance with good faith efforts' requirements as a matter of responsiveness.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 18 of 52 Each solicitation for which a contract goal has been established will require the bidders/offerors to submit the following information by the time the bid or proposal is due:
1. The names and addresses of DBE firms that will participate in the contract;
2. A description of the work that each DBE will perform;
3. The dollar amount of the participation of each DBE firm participating;
4. Written and signed documentation of commitment to use a DBE subcontractor whose participation it submits to meet a contract goal;
5. Written and signed confirmation from the DBE that it is participating in the contract as provided in the prime contractor’s commitment; and
6. If the contract goal is not met, evidence of good faith efforts.
Administrative reconsideration (§ 26.53(d))
Within ten (10) days of being informed by City of Corona Transit Service that it is not responsive because it has not documented sufficient good faith efforts, a bidder/offeror may request administrative reconsideration. Bidder/offerors should make this request in writing to the following reconsideration official: Community Services Director, Community Services 400 S.
Vicentia Ave., Corona, CA 92882. The reconsideration official will not have played any role in the original determination that the bidder/offeror did not document sufficient good faith efforts.
As part of this reconsideration, the bidder/offeror will have the opportunity to provide written documentation or argument concerning the issue of whether it met the goal or made adequate good faith efforts to do so. The bidder/offeror will have the opportunity to meet in person with our reconsideration official to discuss the issue of whether it met the goal or made adequate good faith efforts to do. We will send the bidder/offeror a written decision on reconsideration, explaining the basis for finding that the bidder did or did not meet the goal or make adequate good faith efforts to do so. The result of the reconsideration process is not administratively appealable to the Department of Transportation.
Good Faith Efforts when a DBE is replaced on a contract (§ 26.53(f)) City of Corona Transit Service will require a contractor to make good faith efforts to replace a DBE that is terminated or has otherwise failed to complete its work on a contract with another certified DBE, to the extent needed to meet the contract goal. We will require the prime contractor to notify the DBE Liaison officer immediately of the DBE's inability or unwillingness to perform and provide reasonable documentation.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 19 of 52 In this situation, CCTS will require the prime contractor to obtain prior approval of the substitute DBE and to provide copies of new or amended subcontracts, or documentation of good faith efforts. If the contractor fails or refuses to comply in the time specified, our contracting office will issue an order stopping all or part of payment/work until satisfactory action has been taken.
If the contractor still fails to comply, the contracting officer may issue a termination for default proceeding.
Sample Bid Specification:
The requirements of 49 CFR Part 26, Regulations of the U.S. Department of Transportation, apply to this contract. It is the policy of the [Name of Recipient] to practice nondiscrimination based on race, color, sex, or national origin in the award or performance of this contract. All firms qualifying under this solicitation are encouraged to submit bids/proposals. Award of this contract will be conditioned upon satisfying the requirements of this bid specification. These requirements apply to all bidders/offerors, including those who qualify as a DBE. A DBE contract goal of ____ percent has been established for this contract. The bidder/offeror shall make good faith efforts, as defined in Appendix A, 49 CFR Part 26 (Attachment H), to meet the contract goal for DBE participation in the performance of this contract.
The bidder/offeror will be required to submit the following information: (1) the names and addresses of DBE firms that will participate in the contract; (2) a description of the work that each DBE firm will perform; (3) the dollar amount of the participation of each DBE firm participating; (4) Written documentation of the bidder/offeror's commitment to use a DBE subcontractor whose participation it submits to meet the contract goal; (5) Written confirmation from the DBE that it is participating in the contract as provided in the commitment made under (4); and (5) if the contract goal is not met, evidence of good faith efforts.
Counting DBE Participation (§ 26.55)
City of Corona Transit Service will count DBE participation toward overall and contract goals as provided in 49 CFR 26.55.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 20 of 52 SUBPART D and E - CERTIFICATION STANDARDS and
PROCEDURES
DBE Certification Procedures (§ 26.61 - 26.91)
In order to reduce administrative burden associated with determining the eligibility of firms to participate as DBEs in FTA-assisted contracts, City of Corona will rely on the California Unified Certification Program (CUCP) to perform the DBE certification determinations.
City of Corona is a non-certifying member of the CUCP; and will utilize the CUCP certification directory (Caltrans - Disadvantaged Business Enterprise System (dbesystem.com)) to determine the eligibility of DBEs, their work codes, etc., in order to participate as DBEs on City of Corona Transit Service projects. . Information about the DBE certification process can be obtained from the following websites:
Information: Disadvantaged Business Enterprises (DBE) | Caltrans To apply for certification: Caltrans - Disadvantaged Business Enterprise System (dbesystem.com) See Attachment G – Roster of Certifying Agencies.
SUBPART F - COMPLIANCE AND ENFORCEMENT
Information, Confidentiality, Cooperation (§ 26.109)
City of Corona will safeguard from disclosing to third parties, information that may reasonably be regarded as confidential business information, consistent with Federal, state, and local law.
California Government Code §6250 provides for the disclosure of certain public information.
Since the City of Corona is not a Certifying Entity, personal information is not routinely handled by the City.
Notwithstanding any contrary provisions of state or local law, City of Corona will not release personal financial information submitted in response to the personal net worth requirement to a third party (other than DOT) without the written consent of the submitter.
Monitoring Payments to DBEs
City of Corona will require prime contractors to maintain records and documents of payments to DBEs for three years following the performance of the contract. These records will be made City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 21 of 52 available for inspection upon request by any authorized representative of the City of Corona or DOT. This reporting requirement also extends to any certified DBE subcontractor.
City of Corona will perform interim audits of contract payments to DBEs. The audit will review payments to DBE subcontractors to ensure that the actual amount paid to DBE subcontractors equals or exceeds the dollar amounts states in the schedule of DBE participation.
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 22 of 52
ATTACHMENTS
Attachment A City of Corona Transit Service - Organizational Chart Attachment B Bidders List Form
Attachment C Statement of Compliance – Self Certification Attachment D DBE Utilization Attainment Report
Attachment E Overall DBE Goal and Methodology
Attachment F TVM Certification
Attachment G Roster of Certifying Agencies
Attachment H Regulations: 49 CFR part 26
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 23 of 52 Attachment A – Organizational Chart
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 24 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 25 of 52 Attachment B – Bidders List Form
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 26 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 27 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 28 of 52 Attachment C – Statement of Compliance-Self Certification City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 29 of 52 Disadvantaged Business Enterprise (DBE)
Self-Certification
STATEMENT OF COMPLIANCE
Project No: ____________
Project Name: ________________________
I, __________________________________, undersigned, have the authority to act for and on behalf of the CITY OF CORONA TRANSIT SERVICE, and certify under penalty of perjury that this federal-aided project has been monitored in conformance with Part 26 of Title 49 of the Code of Federal Regulations—DBE Regulations.
Date: _________________________ Signature: ___________________________________ Comments/Exceptions (Explanation):
Enclosures: Copies of the DBE Final Payment Record
Maintain in contract file.
(Name & Title)
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 30 of 52 Attachment D – DBE Utilization Attainment Report
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 31 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 32 of 52 Attachment E – Overall DBE Goal and Methodology
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 33 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 34 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 35 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 36 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 37 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 38 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 39 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 40 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 41 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 42 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 43 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 44 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 45 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 46 of 52 Attachment F – Transit Vehicle Manufacturer’s Certification City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 47 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 48 of 52 Attachment G – Roster of Certifying Agencies
City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 49 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 50 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 51 of 52 City of Corona Disadvantaged Business Enterprise Program FFY 2024-2026 Page 52 of 52 Attachment H – Code of Federal Regulations: Title 49 CFR Part 26