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Are you certified yet? Sorting through the various federal, state, local, and corporate socio-economic certification programs can be a daunting task. Who is eligible? What are the requirements? How does one become certified? What are the benefits? This panel will answer these questions and more. Representatives from four socio-economic certifying bodies will walk you through their programs and answer your questions. Attendees will gain a better understanding of the various programs and the opportunities that may be available from these organizations.
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Certification Panel
2013 Greater MN Resource and
Government Procurement Fair
October 9, 2013
Certification Programs
Federal Programs
Small Disadvantaged Business including 8(a) Business Development
HUBZone Targeted Vendor
State of Minnesota DBE Program
Federally Funded Transportation - MN/DoT, MET Council, MAC
CERT Program
City of Saint Paul, Ramsey County, Hennepin County Minnesota Minority Supplier Development Council (MMSDC)
Corporate Certification of MBE- Minority Business Enterprise.
Women’s Business Enterprise National Council (WBENC)
WBE Certification
What is Small Business Certification and
Why is it Required?
Government agencies have goals for using various
types of small businesses.
Large corporations have supplier diversity programs
driven by:
Contract requirements
Demands of the marketplace
Small businesses owned by women and minorities
are reviewed to insure that they meet all criteria.
Ownership
Control
Should You Become Certified?
Do you qualify?
Do the benefits justify the investment?
Who are you customers?
Are your customers asking for certification?
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
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
OTHER ELIGIBILITY REQUIREMENTS FOR TARGETED GROUP CERTIFICATION
Must be a for profit small business based in Minnesota
The majority owner must have the expertise to control the management and operation of the business
Construction
Prime
Contracts
Construction Subcontracts
Professional
Services
Other
Services*
Goods & Supplies
African American
X
X
X
American Indian
X
X
X
X
Asian American
X
X
X
Hispanic American
X
X
X
X
X
Nonminority Women
X
X
X
X
X
Disabled
X
X
X
X
X
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
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
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
ELIGIBILITY REQUIREMENTS FOR ECONOMICALLY DISADVANTAGED
CERTIFICATION
Must be a for profit small business based in Minnesota
Business must be located in one of the designated economically disadvantaged counties
Aitkin Hubbard Mille Lacs Rock
Becker Jackson Morrison Sibley
Big Stone Kanabec Murray Swift
Cass Kittson Norman Todd
Chippewa Koochiching Otter Tail Traverse
Clearwater Lac Qui Parle Pine Wadena
Cottonwood Lake of the Woods Pipestone Watonwan
Douglas Lincoln Pope Yellow Medicine
Faribault Mahnomen Red Lake
Fillmore Marshall Redwood
Grant Meeker Renville
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
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 verify eligibility through our program
Some major corporations with programs for women and minorities accept our certification
Can be used as a marketing tool
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.
APPLICATION PROCESS Register as a vendor using our online vendor registration
system at http://supplier.swift.state.mn.us
TG/ED Applications are available on our web
site at http://www.mmd.admin.state.mn.us/
mn02001.htm
APPLICATION PROCESS
Complete the online application and print it (Cannot be submitted electronically)
Submit the application to the Materials Management Division with all applicable supplemental information
Certification process takes approximately 4-6 weeks
CONTACT INFORMATION
For information regarding the Minnesota Small Business Procurement Program:
Call the MMD HELPLINE at 651.296.2600 or by e-mail at [email protected]
WELCOME
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)
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
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 individual
› Demonstrated daily management and control
DBE’s Must Demonstrate
› Socially Disadvantaged
• Racial or Ethnic Prejudice
• Cultural Bias
› Economic Disadvantaged
• Ability to compete impaired
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
DBE’s Must Demonstrate
› Personal Net Worth
• $1,3200,000 maximum – excluding value of primary residence
• Assets
• Liabilities
› Commercial Useful Function
• Provide services truly needed on projects
Certification Qualifications
› Meets social/economic disadvantage
› Demonstrates majority ownership, power to direct and day-to-day control
› Officer/status (highest position)
› Independent
› Disadvantaged owner must demonstrate a comprehensive understanding of all functions of the business
› Completion of business on-site
How to Apply
› MnUCP DBE Certification Application is available in 2 formats at www.mnucp.org
• Microsoft Word Document
Contact Information
MAC- Debra Johnson 612.726.8193 [email protected]
Metropolitan Council- Pat Calder 612.349.7463 [email protected]
Mn/DOT- Diane Clark 651.366-4290 [email protected] City of Minneapolis 612-673-2112 [email protected]
Questions and Answers
Vanessa Manning Certification Specialist
9th Annual Greater MN Resource and
Procurement Fair
October, 9th 2013
Expanding the Landscape of Possibilities
• Access to the MMSDC Corporate Directory
• Networking Events
• Referrals to Local, Regional and National Corporate Customers
• Exposure to Local and National Corporations – MBE Company Profile
• National Minority Supplier Development Council (NMSDC) database • MMSDC Local database
– Reciprocal Services with NMSDC Affiliated Councils – Showcase your business
• The MMSDC annual Minority Business Opportunity Fair • The National Conference and Business Opportunity Fair
• Educational and Development Programs
- Scholarships awards to CEOs - Professional Seminars, Workshops and Trainings - Discounted Marketing and HR Programs
• Business Mentoring - MBE Input Committee (MBEIC) Industry Groups
• Access to Working Capital Loans
Why become MBE Certified?
• For-Profit Enterprise • Ethnic Background
– African-American – Hispanic-American – Native-American – Asian and Pacific Islander American
• U.S. Citizen • Owns at least 51% • Operates and Controls an Independent Business • Headquarters located in the states of MN, ND, SD, NE and
western Iowa.
• Capable to provide Products or Services to Corporate America (B to B)
• No Limitation:
– Revenue – Years in business
MBE Certification Criteria
Steps for applying for MBE Certification through MMSDC:
• Submit the online MBE
Certification application at www.mmsdc.org
– Create a username and password – Complete all online application
sections: General Information, Ownership of Business, References, Special Business Operations, Declaration of Certification, and Documentation Instructions
• Pay the application fee by credit
card or send a check ($300.00)
• Submit all applicable required additional documentation
How to become Certified?
The Certification Process:
1. Application and supporting documents are reviewed for completeness
2. Conduct Site Visit and interview with the owner
3. Present files to Certification Committee (once a month)
4. MMSDC Board Approval
Vanessa Manning
Certification Specialist
MMSDC
612-465-8885
Thank you!
WBE Certification from WBENC
• Women’s Business Development Center (WBDC) – Chicago and MN
• Women’s Business Enterprise National Council (WBENC) – Washington, D.C.
WBE Certification from WBENC
• Largest third-party certifier of women-owned businesses in US
• National in Scope
• WBE Certification of Choice for Corporate America
• Accepted by thousands of corporations and a number of federal and government agencies
• Issued in partnership with WBDC
Benefits
• Increased Value to Existing Customer Base
• Access to Corporate America and Government
• Credibility
• Post-Certification Support – Training and Networking Opportunities
• Networks and Referrals – National Database of WBENCLink
– Other Databases
– Matchmakers
– Networking Events
– Trade Shows
Supplier Diversity Corporate Partners
WBE Certification
To Certify or Not to Certify?
• Process takes investment of time, energy,
and resources
• PAY OFF TAKES INVESTMENT OF TIME,
ENERGY, RESOURCES
• Can (not will) help to identify new markets
Eligibility Criteria
MAIN AREAS OF WBE CRITERIA
Ownership
– Real & substantial
– Shares in risks and profits
• Contribution of Capital and Expertise
• Operation & Control
– Managerial and Operational
• Independence
• Visit www.wbenc.org
for complete criteria
Certification Fees
• Certification Prices are based on
Gross Annual Revenues
Gross Annual
Sales
New
Applications
Annual Renewal
Applications
< $2M $350 $275
$2-8M $650 $575
>$8M $950 $875
Application Process
Apply for WBE Certification online at www.wbenc.org
Some tips to make certification easier:
• Submit completed application from the start
• Address each document that you believe does not apply to you
• Work with the Procurement Technical Assistance Center (PTAC) to review your documentation prior to submittal