There are great programs to encourage the participation of small businesses owned and managed by socially and economically disadvantaged individuals (DBE) in public work. It is important for a small business to take advantage of these programs, especially in the current state economy.
In most circumstances, small businesses owned by African Americans, Hispanics, Native Americans, Asian-Pacific Subcontinent Asian Americans, or women are considered to be DBEs.
Generally, there are two types of DBE programs:
• Some projects are only open to DBEs to be bid on, thus ensuring that such a project will be granted to a DBE.
• Other projects require a certain level of DBE participation in the project.
Currently many invitations to bid require submitting evidence of DBE participation, and failure to submit such evidence may result in a determination that the bid was unresponsive. Additionally, for state contracts let pursuant to competitive bidding, a contractor generally may not replace the subcontractors listed in the bid subsequent to the lists being made public at the bid opening, except upon showing good cause.
Florida statutes permit any county, municipality, community college, or district school board to set aside up to 10 percent or more (this is actually in the text of the statute) of the total amount of funds allocated for the procurement of personal property and services to be competitively solicited only among minority business enterprises.
In order to take advantage of these programs, a business owner must apply for certification with the pertinent governmental entity. There are programs that are run by the Department of Transportation, the Federal Government, as well as the local and state governmental entities. Most of these programs require a separate certification application, and have different criteria and requirements for eligibility. While the process of cutting through the bureaucracy may sound tedious, it is definitely worth the effort, as certification can be a pre-requisite to inclusion on certain vendor lists.
While it may be advantageous to receive DBE certification, falsely claiming to be a DBE has grave consequences; it may bar the business from working with the state government for a period of 36 months, may be permanently disqualified from doing business with state government as a DBE, and such violation can be a felony.
The take away is that small businesses should be able to take advantage of all the tools and programs, governmental or otherwise, available, and that DBE programs are a great way for small businesses to ensure their continued existence, especially during these tough economic times.
Disclaimer: We are not lawyers, as such any Legal Information provided is not Legal Advice. For legal advice we urge you to speak with a lawyer.
IN NO EVENT SHALL WE BE LIABLE FOR LOST PROFITS OR ANY SPECIAL, INCIDENTAL, OR CONSEQUENTIAL DAMAGES ARISING OUT OF OR IN CONNECTION WITH LEGAL INFORMATION.
Hello, my name is Jack Sparrow. I'm a 50 year old self-employed Pirate from the Caribbean.
No comments:
Post a Comment