A. A certified and otherwise eligible SBE achieving gross receipts that exceed the small business administration size standards in its respective industry or whose personal net worth exceeds seven hundred fifty thousand dollars, shall be presumed to have reached a competitive status in the marketplace. Upon achievement of such status, said firms shall be deemed to have graduated from the program and shall thereafter be ineligible for utilization to fulfill enforceable SBE participation goals.
B. Graduation criteria which reflects local market conditions shall be established according to methodology developed and recommended by the procurement director.
C. If an SBE has an affiliate in a different standard industry code (SIC) major group, the annual receipt level which shall be used as the graduation criteria shall be the highest annual receipt level applicable to the SBE affiliate. If an SBE or any affiliate performs work in more than one SIC major group, the annual receipt level which shall be used as the graduation criteria shall be the highest annual receipt level applicable to the SBE affiliate.
D. Graduation of an SBE shall not affect the contribution made by the SBE toward satisfaction of a project goal if the work was bid or proposed to be performed by the SBE prior to the date of graduation.
E. The graduation criteria shall be deemed to apply to the small business owners upon whom eligibility for certification is based and all affiliates. No business enterprise shall be certified based upon one or more small business owners who owned or who was an affiliate of an SBE which has become ineligible for renewed certification due to achievement of graduation criteria.
F. A graduated SBE may not subsequently reenter the program unless, after the expiration of two calendar years, the firm demonstrates:
1. That its annual gross receipts have declined to levels below those as set forth by specific graduation criteria; and
2. That during said two calendar years, it was unable to meaningfully participate in Pima County contracting or procurement, or in the public and private sectors of the larger local economy despite its good faith efforts to do so.
(Ord. 2011-15 § 1 (part), 2011: Ord. 2009-47 § 1 (part), 2009: Ord. 1997-44, 1997)