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The purpose of the Minority Business Enterprise Program is to promote the economic welfare of the people of the City by encouraging the establishment and expansion of minority business enterprises, to stabilize the economy, to provide and preserve employment opportunities and to ensure the representative participation of minority business enterprises.
(Ord. 83-75. Passed 4-4-83.)
As used in this chapter:
(a) "Minority" means United States citizens who are black, Hispanic-American, Asian- American or American Indian.
(b) "Minority business enterprise" or "MBE" means a business at least fifty-one percent owned by one or more minorities who share in the capital invested to establish and maintain the business entity as well as in the profits and/or losses of the business. The contributions of capital or expertise of the minority owners to acquire their interest in the business shall be real and substantial. The owners must also maintain proportionate control over the day-to-day operations of the business, including, but not limited to, exercising the power to make policy decisions, planning how contracts will be fulfilled, being actively involved in day-to-day management decisions, organizing and controlling the finances of the business and supervising the employees who will be performing the necessary labor to fulfill the contract. The ownership and control by minority owners shall be real, substantial and continuing and shall enjoy the formal ownership of the entity as reflected in its ownership documents. The minority owners shall enjoy the customary incidents of ownership and the consideration of such shall focus on substance rather than on the form of arrangements. If a nonminority owner of the entity is disproportionately responsible for the operation of the organization, the business is not controlled by minorities and shall not be considered as a minority business enterprise. For the purposes of this chapter, where the actual management of the business is entrusted to an individual other than the owner, the person who exercises the power to hire and fire the managers or supervisors shall be considered as controlling the business.
(c) "Women's business enterprise" or "WBE" means a business at least fifty-one percent owned by one or more women who share in the capital invested to establish and maintain the business entity as well as the profits and/or losses of the business. The contributions of capital or expertise of the women owners to acquire their interest in the business shall be real and substantial. The owners must also maintain proportionate control over the day-to-day operations of the business, including, but not limited to, exercising the power to make policy decisions, planning how contracts will be fulfilled, being actively involved in day-to-day management decisions, organizing and controlling the finances of the business and supervising the employees who will be performing the necessary labor to fulfill the contract. The ownership and control by women owners shall be real, substantial and continuing and shall enjoy the formal ownership of the entity as reflected in its ownership documents. The women owners shall enjoy the customary incidents of ownership and the consideration of such shall focus on substance rather than on the form of arrangements. If a nonminority or nonfemale owner of the entity is disproportionately responsible for the operation of the organization, the business is not controlled by women and shall not be considered as a minority business enterprise. For the purposes of this chapter, where the actual management of the business is entrusted to an individual other than the owner, the person who exercises the power to hire and fire the managers or supervisors shall be considered as controlling the business.
(d) "Recipient" means any entity, public or private, to whom financial assistance is extended, directly or through another recipient for the program.
(e) "Lorain-Elyria SMSA" means the Lorain-Elyria Standard Metropolitan Statistical Area in Lorain County.
(f) "Contractor" means any person, partnership, corporation, association or joint venture who or which has been awarded a public contract, and includes every subcontractor on such contract.
(g) "Subcontractor" means any person, partnership, corporation, association or joint venture who or which has contracted with the contractor for the performance of all or part of the work or services which such contractor has contracted to perform. For purposes of this chapter, a subcontractor who provides goods, materials, equipment or supplies to a contractor shall only be given credit for one-half of the dollar amount of the subcontract The transportation cost of materials shall, for purposes of this subsection, be considered a supply contract.
(h) "Reasonable trade area" means:
(1) For construction purposes, the Lorain-Elyria SMSA and all other Ohio counties; and
(2) For supplies and professional services, the entire State.
(i) "Joint venture" means a venture where two or more separate entities form one legal entity for the purpose of competing for City contracts.
(j) "OEO" means the Office of Equal Opportunity.
(k) "Bidder" meaning any person, partnership, corporation, association or joint venture that responds to the City's invitation to bid on a City requirement. For these regulations, the terms "bidder, " "offerer" and "vendor" are considered synonymous.
(l) "Certified" means having been approved by the Office of Equal Opportunity as being a minority business enterprise qualified to participate in the MBE Program or as being a women's business enterprise qualified to participate in the WBE Program.
(Ord. 87-257. Passed 9-21-87.)
The MBE Program shall be comprised of the Minority Subcontractor Program, the Educational and Technical Assistance Program and the certification and registration of Minority Business Enterprises, as more fully set forth in the following sections of this chapter.
(Ord. 83-75. Passed 4-4-83.)
The purpose of the MBE Program is to ensure the representative participation of all segments of the population. It shall be administered by the Mayor, or his or her designee, who shall be charged with the responsibility of establishing and maintaining a strong MBE Program and developing such rules or guidelines necessary to implement such Program. The City shall, from time to time, re-evaluate the Program, assess its effectiveness and adjust and/or otherwise amend the Program to best achieve the objectives thereof. The City MBE Program shall apply to the expenditure of City funds, the sources of which funds are gifts, grants (except as stated in this section), user fees, service fees, taxes and assessments, as well as such other funds which are administered by the City without regard to their sources Whenever a grant is received from another governmental entity which has an established set of requirements, as expressed in rules, regulations or policy, concerning the participation of specific business groups, the City's specifications for contracts may contain MBE Program procedures in conformity with the granting agency's requirements, in lieu of the Program outlined in this chapter as the City's Program.
(Ord. 85-203. Passed 10-21-85.)
(a) The Mayor has the responsibility of administering the City's MBE Program. The implementation of the Program will be the responsibility of the Office of Equal Opportunity.
(b) Specific duties of the Office of Equal Opportunity are as follows:
(1) Technical assistance, including the following:
A. Assist in securing management and technical assistance for the establishment, expansion and overall development of MBE's;
B. Provide MBE's with information in sufficient time to prepare bids and quotations; and
C. Plan and participate in training seminars for the purpose of informing potential bidders of the MBE Program;
(2) Publicizing of business opportunities to MBE's;
(3) Attendance at pre-bid and pre-construction conferences to explain MBE requirements and respond to questions;
(4) Maintenance of accurate and up-to-date records demonstrating MBE efforts and accomplishments. Records will be kept for documentation of the MBE efforts in three categories, as follows:
A. Affirmative action, which includes MBE's technical assistance, communications, goals and specific rules;
B. Awards for all contracts, including types of work and dollar values; and
C. Specific efforts by contractors, mailing lists (MBE's identified), responses, advertising and conferences;
(5) Monitoring of contractors' and subcontractors' compliance with MBE commitments throughout the life of the contract;
(6) Service as a liaison with economic development organizations and agencies working in support of economic development in the minority community; and
(7) Monitoring and recommending revisions to the MBE Program as needed.
(Ord. 83-75. Passed 4-4-83.)
(a) The Office of Equal Opportunity will certify MBE's which meets the requirements of this chapter for participation in the various programs of the City.
(b) In considering each application for certification, the OEO will determine whether persons represented in the application are members of a minority by reviewing the application and accompanying documentation, the results of staff investigations and other relevant information. Other relevant information may include birth certificates, employment records, OEO and affirmative action records and other evidence of the minority status of persons named in the application.
(Ord. 83-75. Passed 4-4-83.)
(c) In determining whether an applicant meets the requirements for participation set forth in Section 168.02(b), the OEO will review the extent to which minority or women participants have actual rights of ownership and control of the business enterprise, including the proportion of ownership and control over decision making, day-to-day operations and profit and loss. The OEO will review all information relating to the operation, management, accounts and financing of the business enterprise.
(Ord. 83-232. Passed 11-7-83.)
(d) The OEO staff, will certify MBE's using a certification form to be prescribed. Upon acceptance of this form, the staff will conduct a full review and analysis of the form. This review may include interviews and discussions with the applicant or the applicant's representative, a request for the submission of additional documentation or information and an on-site inspection by the OEO staff.
(e) Additional information and documentation may be requested by the OEO in connection with a recertification, compliance review, investigation or other process undertaken as a result of the rules set forth in this chapter.
(f) Certification shall be valid for one year, January 1 to December 31, unless revoked by the OEO. Renewal of certification shall be in accordance with the recertification procedures set forth in Section 168.08.
(g) Minority business enterprises participating in joint ventures must be individually certified in accordance with this chapter.
(h) If an MBE has not been certified by the OEO prior to its participation in a joint venture, the applications for individual certification of the joint venture may be submitted to and reviewed by the OEO simultaneously.
(i) Minority business enterprises must apply for recertification each year and it must be approved by the OEO prior to bidding for any contract.
(Ord. 83-75. Passed 4-4-83.)
(a) All applications for certification must meet the following requirements in order to be accepted by the Office of Equal Opportunity for review:
(1) All applications must be completely filled out.
(2) All required documentation must be supplied.
(3) The application must be notarized.
(b) Any application which does not meet the requirements set forth in subsection (a) hereof will not be accepted.
(c) Upon receipt of an application, the OEO staff will conduct a preliminary review.
(1) If the application is complete, it will be accepted for Division review.
(2) If the application is incomplete, it will be returned to the applicant with a notice indicating the need for additional action or material in order for the application to be accepted for review.
(d) The OEO staff may hold interviews or discussions with an applicant or an applicant's representative as part of the preliminary review process in order to assist the applicant in fulfilling the application requirements of this section.
(e) The staff review may include a financial review of the books and records of the applicant. Each applicant shall be required to grant permission for such a financial review on the application form submitted to the office.
(f) Upon completion of the staff review, the OEO staff shall prepare a report setting forth its findings and recommendations. The report and application shall be submitted for consideration by the staff in making its determination.
(Ord. 83-75 . Passed 4-4-83.)
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