MBE/WBE and DBE/ACDBE Certification Business Diversity ...

MBE/WBE and DBE/ACDBE Certification

Business Diversity Development

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BDD Programs Overview

St. Louis Lambert International Airport is committed to

increasing the opportunities to involve minority, women-owned

and disadvantage businesses (M\WBE and DBE) in all Airport

and City contracting and concession opportunities.

To this end, Business Diversity Development (BDD) is

responsible for administering the following programs:

• Certification

• DBE and ACDBE Program

• City of St. Louis MWBE Program

• Outreach and Technical Assistance

• City of St. Louis Living Wage Program

• Title VI

http://www.flystl.com/BusinessOpportunities/BusinessDiversity/Certification.aspx

http://www.flystl.com/BusinessOpportunities/BusinessDiversity/DBEandACDBEProgram.aspx

http://www.flystl.com/BusinessOpportunities/BusinessDiversity/CityofStLouisMWBEProgram.aspx

http://www.flystl.com/BusinessOpportunities/BusinessDiversity/OutreachandResources.aspx

http://www.flystl.com/BusinessOpportunities/BusinessDiversity/CityofStLouisLivingWageProgram.aspx

http://www.flystl.com/BusinessOpportunities/BusinessDiversity/TitleVI.aspx

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Objectives

Provide information regarding certification as a

local, City of St. Louis Minority Business

Enterprise (MBE) and/or Women’s Business

Enterprise (WBE) and/or federal Disadvantaged

Business Enterprise (DBE) or Airport

Concessions Disadvantaged Business

Enterprise (ACDBE)

Guidance through the certification supporting

documentation checklist

Instructions on how to apply On-line

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Federal DBE/ACDBE Program

U.S. Department of Transportation

Disadvantaged/Airport Concessions

Disadvantaged Business Enterprise Program

• Transportation projects including federal funds or

airport concessions – e.g.,

St. Louis Lambert Airport

MoDOT

Metro/Bi State

Kansas City Area Transit

City of Kansas City Airport

• Goals set on a contract-by-contract basis

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Local M/WBE Program

City of St. Louis Minority and Women-Owned

Business Enterprise Program

• Projects with City of St. Louis funds or financial

incentives

• Goals and incentives based on ordinance and rules

• Wide variety of construction, service and other contract

types

• Firms must be in the St. Louis Metropolitan Statistical

Area

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Programs Overview

Federal ACDBE Federal DBESt. Louis City

MBE/WBEType of Contract: Concession contracts at airports

that are recipients of federal

USDOT funds

Federal USDOT funded

contracts (e.g., airport,

highway, bridge, or other

transit construction)

Most City-funded

contracts and City

incentives

Ownership & Control: At least 51% owned and

controlled by one or more

socially and economically

disadvantaged individuals

At least 51% owned and


socially and economically

disadvantaged individuals

At least 51% owned and


minority individuals or women

Qualifying Owner’s Personal Net

WorthLimit:

Less than $1.32 million

(excluding equity in primary

residence, applicant business)

Less than $1.32 million

(excluding equity in primary

residence and applicant

business)

Not Applicable

Size Standards:

(Avg. of 3 years gross receipts,

including affiliates)

$75.23 M - Car Rental firms

$1B in assets – Banks/Fin.

350 employees – Auto dealers

1,500 employees – Pay phones

$56.42 M – All other ACDBEs

Small Business Administration Size

Standards specific to work type

($26.29 million USDOT cap)

Not Applicable

Type of Business: Any for-profit, independent

business pursuing concession

contract as prime, joint venture

partner, subtenant or providing

goods and services to concession

Any for-profit, independent

business pursuing work as a

subcontractor or prime

Any local for-profit,

independent business pursuing

work as a subcontractor or

prime

Participation Goals:ACDBE goal set on a per

concession contract basis

DBE goal set on a per contract

basis

Goals and incentives based on

ordinance and rules

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Purpose of Certification

To ensure that the programs benefit bona fide…

Local MBE/WBE Program

…local for-profit MBE and WBE firms that are

owned and controlled by Minority Group

Members and Women.

Federal DBE/ACDBE Program

…for-profit small businesses and concessions

owned and controlled by socially and

economically disadvantaged individuals.

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Definition of an MBE

Minority Business Enterprise (MBE)

A sole proprietorship, partnership, limited liability

company, or corporation owned, operated and

controlled by Minority Group Members who:

Have at least 51% ownership

Maintain daily operational & managerial control

Have interest in capital and earnings commensurate

with ownership percentage

A Local Firm

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Minority Group Members

African-American

Asian-American

Native-American

Hispanic-American

Native-American Tribes

Native-Hawaiian Organization

Alaska Native Corporation

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Definition of a WBE

Women’s Business Enterprise (WBE)

A sole proprietorship, partnership, limited liability

company, or corporation owned, operated and

controlled by Women who:

Have at least 51% ownership

Maintain daily operational & managerial control

Have interest in capital and earnings commensurate

with ownership percentage

A Local Firm

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MBE/WBE Certification

Local Firm

A business entity authorized to do business in the

State of Missouri that maintains a facility within the

St. Louis Metropolitan Statistical Area with

adequate personnel, equipment, materials and

facilities to perform its local work.

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Local M/WBE Program

Eligibility Criteria - LocalSt. Louis Metropolitan Statistical Area

Missouri Counties

City of St. Louis

City of Sullivan

St. Louis

Jefferson

Lincoln

St. Charles

Warren

Franklin

Illinois Counties

Bond

Calhoun

Clinton

Jersey

Macoupin

Madison

Monroe

St. Clair

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St. Louis Metropolitan Statistical Area

Ownership

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Eligibility Criteria

Majority ownership (at least 51% owned)

Real, Substantial and Continuing

Initial Capitalization

Control

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Eligibility Criteria

Independence

No formal or informal restrictions

Management authority/power

Expertise & competence

Other Factors

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Eligibility Criteria – Federal DBE/ACDBE

Small Business

Economically Disadvantaged Owner(s)

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Documentation OverviewDocument Ownership Control

Resumes √

Personal Net Worth

Personal Federal Tax Returns

Federal Tax Returns √

Proof of Contributions √

Loans & Bonding Forms √ √

Equipment and Vehicle List √

Documentation for Trucks √

Licenses √

Real Estate √

Transfers √ √

Certifications and Denials √ √

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Documentation Overview (continued)Document Ownership Control

Bank Signatory Cards √

Schedule of Salaries √

List of Employees √

Warehouse/Storage Facilities √

Partnership or JV Agreements √ √

Articles of Incorporation/Organization √

Stock Certificates and Ledger √

Shareholders’ Agreement(s) √ √

Meeting Minutes √ √

Corporate By-Laws √

Corporate Bank Resolution √

Operating Agreement √ √

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Control is Key

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Sample Firm – ABC Painting, LLC

ABC Painting, LLC is a limited liability company organized in Missouri in

March 2015. The firm provides internal and external painting services for

commercial and residential properties. The firm was organized by Sally

Jones, an African American female. According to the firm’s operating

agreement, Ms. Jones is the 51% owner of the business which she

capitalized with $3,000 cash and $2,100 in equipment. The remaining 49%

is owned by Robert Smith, a Caucasian male who invested $4,900 cash.

Ms. Jones completed an apprenticeship program and has ten years’

experience working as a painter. She is responsible for setting policies and

strategic direction for the firm, hiring and firing, estimating and bidding and

field supervision. She has delegated responsibility for marketing to Mr.

Smith.

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Sample Firm – XYZ Painting, LLC

XYZ Painting, LLC is a limited liability company organized in Missouri in

March 2015. The firm provides internal and external painting services for

commercial and residential properties. The firm was organized by Dana

Williams, an African American female. According to the firm’s operating

agreement, Ms. Williams is the 51% owner of the business which she

capitalized with $2,000 cash. The remaining 49% is owned by David

Allen, a Caucasian male who invested $10,000 cash. Ms. Williams has

15 years’ experience working in administrative roles at a variety of

construction companies. She is responsible for setting policies and

strategic direction for the firm, hiring and firing, and financial decisions.

Mr. Allen is responsible for all estimating and bidding and field

supervision.

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Eligibility Issues with XYZ Painting, LLC

Ownership

The capital investments of the two owners is not commensurate with the ownership percentages.

Control

The 51% owner does not have experience in the area of work. (Experience limited to administrative functions is not sufficient to demonstrate expertise necessary to control the firm.)

The 51% owner relies on a non-qualifying individual’s expertise in key areas of operations.

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Deciding if Certification Makes Sense for Your

Business

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Steps to Certification

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How to apply on-line

www.flystl.com/bdd

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Online Certification System

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Common Mistakes

Common Mistakes

• Not completing the application consistently

(including signatures and notarized, where applicable)

• Disregarding mandatory documents

• Not being familiar with the firm’s governing

documents

• Not responding to correspondence

• Confusion about capital contributions

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Steps to a Successful Application

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Business Diversity Development Contact Information

Carrie Bagwell

Program Manager – Certification & ACDBE

314-426-8111

or [email protected]

Certification Officers:

Floyd Munn 314-426-8106 [email protected]

Jacqueline Taylor 314-426-8198 [email protected]

Georgetta Vann 314-890-1306 [email protected]

Marie Yancey 314-426-8183 [email protected]

mailto:[email protected]





MBE/WBE and DBE/ACDBE Certification Business Diversity ...

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