ARE YOU READY FOR PRIMETIME II? & SBE/DBE CERTIFICATION BASICS

PHX Small Business Workshop SeriesApril 1, 2014

2PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

THE AVIATION DEPARTMENT’S COMMITMENT to OUTREACH

Valerie Churchwell, Small Business Outreach Manager (SBOM), Community Development and Government Relations Division

• Advocating on behalf of S/DBEs. • Providing contracting opportunity information to SBEs• Assisting prime contractors with identifying SBEs • Educating SBEs on “how to” access contracting opportunities• Hosting small business networking forums• Assisting with monitoring SBE utilization on contracts with

participation goals

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Christine Gonzales Senior Director of Community Relations and Outreach

ARIZONA SUPER BOWL HOST COMMITTEE

FEBRUARY 1, 2015University of Phoenix Stadium

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WHY ARE WE HEREPHX SBE Workshops

The City of Phoenix Aviation Department is a committed and proactive partner to the small business community.

PHX SBE Workshops are open to any small business firm interested in pursuing design and construction services and consultantopportunities. ***You do not have to be a certified firm to attend***

DISCLAIMER: Attendance at a PHX SBE workshop does not guarantee work with the City of Phoenix Aviation Department.

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WHY ARE WE HERE“Are you ready for PRIMETIME II?” + S/DBE Certification Basics

Have you ever wondered...• How do you approach a prime – and keep the conversation going – at

a networking event?• What is an elevator pitch?• How do you follow up with contacts

and set meetings?• What is your next step after meeting

with a prime?

And to HELP YOU PREPARE FOR UPCOMINGSTREETS CONSTRUCTIONNETWORKING EVENT

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WHY ARE WE HEREGoal

30 minute meeting3 minutes30 seconds

= The potential AWARD

PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

You are competing for a job just like everyone else -not only as a small business.

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WHY DO PRIME CONTRACTORSSUBCONTRACT?

Strategic advantage/alliance Enhance the capabilities of a Prime Facilitate entry into a closed market Spread financial risk More cost effective Greater “value” to the customer/owner Small business requirements

The overriding question the prime asks is "Will this company increase our chances of winning?"

HOW MANY OF THESE DOES YOUR COMPANY FULFILL?WHAT ADDED VALUE DO YOU BRING TO THE PRIME?

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YOUR RELATIONSHIP TO YOUR BUSINESS

1. Are YOU an Employee or a Business Manager?2. Can YOU afford NOT to Market?

You MUST be willing to put in the time, resources, and money to have a “successful” company.

If you don’t drive your business, you will be driven outof business. - B.C. Forbes

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INTRODUCING YOURCOMPANY

PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

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VALUE PROPOSITIONvs.

CAPABILITIES STATEMENT

They are DIFFERENT

PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

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VALUE PROPOSITION

A promise of value to be delivered and a belief from the customer that value will be

experienced.

Right messageRight customer

Right timeRight channels

Allow for effective, efficient dialogue

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CAPABILITIES STATEMENT

Three standard types of capabilities statements: A one page used to open doors and make introductions A brochure that could be a part of a Request For Proposal response A detailed presentation used for capabilities briefings

A promotional or marketing statement about a business or company and its capabilities and skills that advertises: Who the company is What the company does Why the company is the best company to complete the job in question

13PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

STATEMENT OF QUALIFICATIONS

SOQ can be incorporated into Capabilities Statement

• Summary statement• NAICS and services you perform• Projects and Client list (experience)• Licenses and Certifications• Contact information

Address, phone number(s), email, website, socialmedia (FB, LinkedIn, twitter, etc.)

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ADVERTISING BY CONTRACTORS

http://www.azroc.gov/AD_Guide.html

In any advertising for services performed by licensed contractors, the following guidelines may be useful to prevent false and misleading advertisements.

Any advertisement, including the name of the business, should not imply the name of a building trade or craft for which the contractor is not duly licensed.

Advertisement, including the name of the business, should not imply that the contractor can perform work outside the scope of work allowed under the contractor’s license.

PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

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http://www.azroc.gov/AD_Guide.html

Commercial and residential contracting are regulated separately, and therefore the license should be appropriate for the work you are promoting.

All advertising, including websites, letterheads, business cards, fixed signs, mobile signs, other business forms and documents and radio and television commercials used in the conduct of business under the contractor’s license should include the license number and the company name under which you are licensed.

Written forms of advertising should include "ROC" preceding any license number.

PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

ADVERTISING BY CONTRACTORS cont.

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BRANDINGCollateral

Collateral is your company’s first – and sometimes last –communication method

Your identity Your image Your story

Capabilities Statement, Statement of Qualifications, Business cards, Website, Referrals (word of mouth)

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INTERNAL RELATIONSHIPS

http://phoenix.gov/business/contract/vendor/purchase/index.html

CITY OF PHOENIX

COMMERCIAL BREAK

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Commodity and General Services VendorsOpen Vendor Hours: The Procurement Division offers open vendor hours from

1 to 3:30 p.m. every Wednesday (except holidays). The Procurement Division is located at 251 West Washington Street, 8th

Floor, Phoenix, AZ 85003

Professional/Consulting Services Vendors (and vendors wishing to participate in procurements under $1000)

The majority of these solicitations are handled on a department basis. Refer to the Business Liaison list for a listing of contacts for each

department. Visit the Solicitations Page to review the current solicitations in this category.

IT Qualified Vendor List Information Technology Services maintains a qualified vendor list for

information technology services. Call 602-262-4481 for more information.

Construction VendorsFor construction related solicitations and qualified vendor lists, etc., go to the

Street Transportation Department webpage or call 602-534-5786 for information.

http://phoenix.gov/business/contract/vendor/purchase/index.html

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WORKING WITH PRIMESWhat do they want from you?

ON TIME (Communication) ON or UNDER BUDGET (Reliable estimates) QUALITY PRODUCT (No re-work) LOW RISK (Safety; Bond-able; Able to pay suppliers;

Good recordkeeping)

Know Your Business

PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

GET TRAINING/MENTORING/COACHING!!!

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• Primes you have worked with - Communication is essential!• Professional Associations - SHOW UP! and Participate!• Networking and Lists – SHOW UP! and UPDATE!• Teaming – Enter new markets with new partners!

BUILD YOUR RELATIONSHIPS

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The Table Diver The Card Pusher The “Won’t Stop” Talker “Have to Pull It Out of You” Non-Talker iPad Note Taker

BE MEMORABLE!(For the RIGHT Reasons)

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REMEMBER

It ALL matters. EVERYTHING you do is noticed Your conversations Your emails Your dress

The first ??? seconds really do count!

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SBE goals are only set on construction contracts or construction phase of contracts No SBE goals on design contracts or design phases of contracts Historical over-representation of small businesses in professional servicesCity fosters SBE participation through on-call contracts reserved for pre-qualified SBEs (SBE Qualified Vendor Listing [QVL])

City counts SBE participation that meets the “commercially useful function” eligibility criteria in the specified certificationFor negotiated contracts (DB & CM@R), SBE participation during design phase will be counted towards the overall attainment of SBE participation

Small Business Enterprise (SBE) Construction Subcontracting Goal ProgramAuthorized by Chapter 18 of City Ordinance and A.R. 1.89Applicable to construction subcontracting business opportunities

EOD031014

HISTORY

Equal Opportunity Department

Overview:

1. Define eligibility for SBE and DBE Programs

2. Explain certification process

3. Find and grow SBE and DBE business opportunities

4. Answer any questions you might have

Small Business Enterprise Program (SBE)

• Local program

• Applicable to procurement and contracting using City funds

• Primary or principal location in Maricopa County and certified by City of Phoenix

Disadvantaged Business Enterprise Program (DBE)

• Federal program

• Applicable to USDOT-funded contracts administered by the City or its subrecipients (surrounding 15 cities, Valley Metro and state wide)

• U.S. firms certified by City, ADOT, or City of Tucson – Home state certification required for out-of-state firms.

Qualifying groups Firm with primary or principal location in Maricopa County(Gender and race neutral)

Personal Net Worth (PNW) Owners’ personal net worth cannot exceed $1,320,000 (excluding ownership interest in the applicant business and the primary residence)

Operational and For Profit Concern

Copies of 3 completed or in progress jobs, contracts, proposals or bids

Control and Expertise Owners must have the experience, expertise, and control of the day-to-day operations of the firm

SBA Guidelines Requirement

Business must qualify as a small business under the Small Business Administration guidelines

U.S Citizenship Owner(s) must be U.S. citizens or permanent legal resident(s)

Qualifying groups

Must hold at least 51% ownership of the firm

African American males & females Anglo femalesAsian males & females Hispanic males & femalesNative American males & females Pacific Islander males & females

Any U.S. firm that has been certified in Arizona. Home state DBE certification is required.

Personal Net Worth (PNW)

Owner’s personal net worth cannot exceed $1,320,000 (excluding ownership interest in the applicant business and the primary residence)

Operational for Profit Copies of 3 completed or in progress jobs, contracts, proposals or bids

Control and Expertise Owners must have the experience, expertise, and control of the day-to-day operations of the firm

SBA Guidelines Requirement

Business must qualify as a small business under the Small Business Administration guidelines

U.S Citizenship Owner(s) must be U.S. Citizen or lawfully admitted permanent resident(s).

• Eligibility criteria– SBE: Phoenix City Code Chapter 18 – DBE: 49 Code of Federal Regulations (CFR)

Part 23 (ACDBE) Part 26 (DBE)

• Certification eligibility requirements apply to the owner(s) of the business– SBE: All owners– DBE: Majority owner

• SBE/DBE certification is not transferable

• EOD staff verify applicant’s eligibility to participate in the SBE and/or DBE Programs

https://phoenix.diversitycompliance.com/

1. Applicant submits all required documentation through website.

2. EOD reviews documentation submitted for completeness.

3. Certification Specialist reviews documentation submitted for eligibility and conducts onsite interview/job site visit.

4. Certification Specialists issues determination to applicant. (Certification granted or denied. )

• FHWA funded contracts = DBE goals– City of Phoenix– ADOT– all ADOT subrecipients

• FAA & FTA funded contracts encourage primes to use small businesses…city has aspirational DBE goals

• Construction Contracts– Locally funded = SBE goals– SBE Goal Setting Committee

• Goal calculation based on registered SBEs in trade areas associated with each contract

• The more certified SBEs in those trade areas, the greater the goal

• EOD’s goal: Register more SBEs in the trade areas typically included in construction contracts

Non-Construction Contracts– Goods and Services (Professional & General)– SBE Reserve Contract Program

• Contracts under $50,000• Contract reserved for SBEs if at least 3 SBEs certified

for the scope/services are registered with the city’s Vendor Management System

• The more certified SBEs, the more contracts that can be reserved for SBEs

• EOD’s goal: Register more SBEs providing the goods and services the City buys on contracts less than $50,000

• Create a vendor account to access tutorials and webinars

• Call 602-262-6790

• Spanish-speaking staff available

Questions?

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22ND CONSTRUCTION NETWORKING EVENTsponsored by the City of Phoenix

Meet your localSBE/DBE Firms

Thursday, April 10th

Steele Indian School Park Memorial Hall

Sign-in Program 2:00 – 4:00pmImmediately followed by the SBE

Public Forum

RSVP to (602)262-6284by March 28, 2014

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CONTACTS

• Valerie Churchwell, Small Business Outreach Manager, Community Development and Government Relations Divisionvalerie.churchwell@phoenix.gov

• Mark Escobedo, Management Assistant II, Street Transportation Department, mark.escobedo@phoenix.gov

• Gretchen Wolfe, Management Assistant II, Equal Opportunity Department, gretchen.wolfe@phoenix.gov

• Ruby Dirks, Equal Opportunity Specialist, Equal Opportunity Department, ruby.dirks@phoenix.gov

PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?

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WHAT’s NEXT…

THIS PRESENTATION AND SIGN IN SHEET WILL BE POSTED ON SKYHARBOR.COM

Please continue to monitor Sky Harbor’s

Small Business website for future outreach sessions.

Gotowww.skyharbor.com/BUSINESS

select SMALL BUSINESS DEVELOPMENTto visit our page.

You will also receive anOnline survey.

We appreciate your feedback!

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Ask the Questions!

Get Involved!

REMINDER

PHX SBE WORKSHOP SERIES| Are You Ready for PRIMETime II?