HomeMy WebLinkAboutReso 2017-109 - ACDBE RESOLUTION NO. 2017-109
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
APPROVING THE CITY OF REDDING AIRPORTS DIVISION
AIRPORTS CONCESSION DISADVANTAGED BUSINESS ENTERPRISE
PROGRAM AS IT PERTAINS TO FEDERAL AVIATION
ADMINISTRATION FUNDING
WHEREAS, as a condition of receiving Federal funds, local agencies are required to
adopt a program for the inclusion of those firms qualifying as an Airports Concession
Disadvantaged Business Enterprise (ACDBE); and
WHEREAS, ACDBE requirements are set forth in Title 49, Part 23 of the Code of
Federal Regulations; and
WHEREAS, the Airports Division has the responsibility of reviewing and updating the
ACDBE Program to maintain compliance with current Regulations and has the responsibility of
implementing the ACDBE Program;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Redding approves the attached Airport Concession Disadvantaged Business Enterprise Program
as it relates to Federal Aviation Administration Funding for the City of Redding's Airports
Division.
I HEREBY CERTIFY that the foregoing resolution was introduced and adopted at a
regular meeting of the Redding City Council on the 5th day of December, 2017, by the following
vote:
AYES: COUNCIL MEMBERS: McElvain, Sullivan,Weaver, Winter, & Schreder
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
STEN 1;1F141-111-4—REDER, Mayor
ATTEST: FORM APPROVED:
aT • , p`y,—V
PAMELA MIZE, City clerk BARRY E. DeWALT, City Attorney
CITY OF REDDING, AIRPORTS DIVISION
AIRPORT CONCESSION DISADVANTAGED BUSINESS ENTERPRISE (ACDBE)
PROGRAM
Section 23.1, 23.23 Objectives/Policy Statement
The City of Redding — Airports Division (hereinafter referred to as AIRPORT) has
established an Airport Concession Disadvantaged Business Enterprise (ACDBE)
program for the Redding Municipal Airport (RDD) in accordance with regulations of the
U.S. Department of Transportation (DOT), 49 CFR, Part 23 (Part 23). The AIRPORT is
a primary airport and has received federal funds authorized for airport development
after January 1988 (authorized under Title 49 of the United States Code). The
AIRPORT has signed airport grant assurances that it will comply with Part 23.
It is the policy of the AIRPORT to ensure that ACDBEs, as defined in Part 23, have an
equal opportunity to receive and participate in concession opportunities. It is also our
policy:
1. To ensure nondiscrimination in the award and administration of opportunities for
concessions by airports receiving DOT financial assistance;
2. To create a level playing field on which ACDBEs can compete fairly for
opportunities for concessions;
3. To ensure that our ACDBE program is narrowly tailored in accordance with
applicable law;
4. To ensure that only firms that fully meet this part's eligibility standards are
permitted to participate as ACDBEs at our airport;
5. To help remove barriers to the participation of ACDBEs in opportunities for
concessions at our airport; and
6. To provide appropriate flexibility to our airport in establishing and providing
opportunities for ACDBEs.
The Airports Manager has been designated as the ACDBE Liaison Officer (ACDBELO).
In that capacity, the Airports Manager is responsible for implementing all aspects of the
ACDBE program. Implementation of the ACDBE program is afforded the same priority
as compliance with all other legal obligations incurred by the AIRPORT in its financial
assistance agreements with the Department of Transportation.
The AIRPORT has disseminated this policy statement to the City Council of the City of
Redding and all of the components of our organization. We have made this statement
available to ACDBE and non-ACDBE concessionaire communities in our area by
posting a copy of this statement and our ACDBE Program on the AIRPORT'S Website:
w .reddingairport.net.
•
/2/1 20 r
BRI • N CRANE, Director of Public Works Date
1
SUBPART A — GENERAL REQUIREMENTS
Section 23.1 Objectives
The objectives of the ACDBE Program are set forth in the policy statement on the first
page of this program.
Section 23.3 Definitions
The AIRPORT will use terms in this program that have the meaning defined in 49 CFR
Subpart A— Section 23.3.
Section 23.5 Applicability
The AIRPORT is a primary airport and recipient of federal airport funds authorized for
airport development after January 1988 that was authorized under 49 U.S.C. 471010, et
seq.
Section 23.9 Non-discrimination Requirements
The AIRPORT will not exclude any person from participation in, deny any person the
benefits of, or otherwise discriminate against anyone in connection with the award and
performance of any concession agreement, management contract, or subcontract,
purchase, or lease agreement or other agreement covered by Part 23 on the basis of
race, color, sex, or national origin.
In administering its ACDBE program, the AIRPORT will not, directly or through
contractual or other arrangements, use criteria or methods of administration that have
the effect of defeating or substantially impairing accomplishment of the objectives of the
ACDBE program with respect to individuals of a particular race, color, sex, or national
origin.
The AIRPORT acknowledges these representations are also in accordance with
obligations contained in its Civil Rights, DBE and ACDBE Airport grant assurances.
The AIRPORT will include the following assurances in all concession agreements and
management contracts it executes with any firm:
(1) "This agreement is subject to the requirements of the U.S. Department of
Transportation's regulations, Part 23. The concessionaire or contractor agrees that it
will not discriminate against any business owner because of the owner's race, color,
national origin, or sex in connection with the award or performance of any concession
agreement, management contract, or subcontract, purchase or lease agreement, or
other agreement covered by Part 23.
(2) "The concessionaire or contractor agrees to include the above statements in
any subsequent concession agreement or contract covered by Part 23, that it enters
and cause those businesses to similarly include the statements in further agreements."
2
Section 23.11 Compliance and Enforcement
The AIRPORT will comply with and is subject to the provisions of Part 23 (§23.11) and 2
CFR, Parts 180 and 1200.
The AIRPORT will comply with this part or be subject to formal enforcement action
under §23.11 or appropriate program sanctions, such as the suspension or termination
of Federal funds, or refusal to approve projects, grants or contracts until deficiencies are
remedied. Program sanctions may include actions consistent with 49 U.S.C. §§
47106(d), 47111(d), and 47122.
The AIRPORT'S compliance with all requirements of these provisions is enforced
through the procedures of Title 49 of the United States Code, including 49 U.S.C.
47106(d), 47111(d), and 47122, and regulations implementing them.
The following enforcement actions apply to firms participating in the AIRPORT'S
ACDBE program:
(a) For a firm that does not meet the eligibility criteria of subpart D of this part and
that attempts to participate as an ACDBE on the basis of false, fraudulent, or
deceitful statements or representations or under circumstances indicating a
serious lack of business integrity or honesty, the Department of Transportation
(DOT) or the Federal Aviation Administration (FAA) may initiate suspension or
debarment proceedings against the firm under 2 CFR, Parts 180 and 1200.
(b) For a firm that, in order to meet ACDBE goals or other AC/DBE program
requirements, uses or attempts to use, on the basis of false, fraudulent or
deceitful statements or representations or under circumstances indicating a
serious lack of business integrity or honesty, another firm that does not meet the
eligibility criteria of subpart D of this part, DOT or FAA may initiate suspension or
debarment proceedings against the firm under 2 CFR, Parts 180 and 1200.
(c) DOT may take enforcement action under 49 CFR, Part 31, Program Fraud and
Civil Remedies, against any participant in the ACDBE program whose conduct is
subject to such action under 49 CFR, Part 31.
(d) DOT may refer to the Department of Justice, for prosecution under 18 U.S.C.§§
1001 or other applicable provisions of law, any person who makes a false or
fraudulent statement in connection with participation of an ACDBE in the
AIRPORT'S ACDBE program or otherwise violates applicable Federal statutes.
Compliance reviews: The FAA may review the AIRPORT'S compliance with this part at
any time, including but not limited to, reviews of paperwork, on-site reviews, and review
of the airport sponsor's monitoring and enforcement mechanism, as appropriate. The
FAA Office of Civil Rights may initiate a compliance review based on complaints
received. Any person who knows of a violation of this part by the AIRPORT may file a
complaint under 14 CFR, Part 16 with the Federal Aviation Administration Office of
Chief Counsel.
3
SUBPART B —ACDBE PROGRAMS
Section 23.21 ACDBE Program Updates
The AIRPORT is a non-hub primary airport, required to have an ACDBE program.
As a condition of eligibility for FAA financial assistance, the AIRPORT will submit its
ACDBE program and overall goals to FAA according to Section 23.45 of this program.
Until the AIRPORT'S new ACDBE program is submitted and approved, we will continue
to implement our ACDBE program that was in effect previously, except with respect to
any provision that is contrary to Part 23.
This ACDBE program will be implemented at REDDING MUNICIPAL AIRPORT (RDD).
When the AIRPORT makes significant changes to its ACDBE program, we will provide
the amended program to the FAA for approval prior to implementing the changes.
Section 23.23 Administrative Provisions
Policy Statement: The AIRPORT is committed to operating its ACDBE program in a
nondiscriminatory manner.
The AIRPORT'S Policy Statement is elaborated on the first page of this program.
ACDBE Liaison Officer (ACDBELO): We have designated the following individual as
our ACDBELO:
AIRPORTS MANAGER
Bryant W. Garrett
City of Redding Airports Division
6751 Woodrum Circle, Suite 200
Redding, CA 96002
In that capacity, the ACDBELO is responsible for implementing all aspects of the
ACDBE program and ensuring that the AIRPORT complies with all provision of Part 23.
An organizational chart displaying the ACDBELO's position in the organization is found
in Attachment 1 to this program.
The ACDBELO is responsible for developing, implementing and monitoring the ACDBE
program, in coordination with staff. The ACDBELO has a staff of one (1) to assist in
the administration of the program.
4
The duties and responsibilities include the following:
1. Gathers and reports statistical data and other information as required by FAA
and / or DOT.
2. Sets overall annual goals.
3. Ensures that bid notices and requests for proposals are available to ACDBEs
in a timely manner.
4. Identifies contracts and procurements so that ACDBE goals are included in
solicitations.
5. Analyzes AIRPORTS progress toward attainment and identifies ways to
improve progress.
6. Participates in pre-bid meetings.
7. Advises the Director of Public Works on ACDBE matters and achievement.
8. Participates in ACDBE training seminars.
9. Provides outreach to ACDBEs and community organizations via the
AIRPORT'S website.
10.Queries the CalTrans ACDBE directory annually to determine availability of
ACDBEs in our Market Area.
Directory: The AIRPORT, utilizes the California Department of Transportation's
(CalTrans) directory identifying all firms eligible to participate as DBEs and ACDBEs.
The Directory lists the firm's name, address, phone number, date of the most recent
certification, and the type of work the firm has been certified to perform as an ACDBE.
The Directory is available online at www.dot.ca.gov on the Disadvantaged Business
Enterprise Programs page of the Business tab.
Section 23.25 Ensuring Nondiscriminatory Participation of ACDBEs
The AIRPORT will take the following measures to ensure nondiscriminatory
participation of ACDBEs in concessions, and other covered activities (23.25(a)).
AIRPORT will structure contracting requirements to facilitate competition by ACDBE's
by taking reasonable steps to eliminate obstacles to participation, including
unnecessary and unjustified bundling of contracts, or contract requirements that may
preclude ACDBE participation in procurements. The AIRPORT will arrange solicitations,
times for the presentation of bids, quantities, specifications, and delivery schedules in
ways that facilitate participation by ACDBEs and other small businesses and by making
contracts more accessible to small businesses, by means such as those provided under
§23.25 of this part. The AIRPORT will widely advertise opportunities for concession
agreements when they become available on the AIRPORT's website, and will publish
bid solicitations in general circulation.
The AIRPORT will seek ACDBE participation in all types of concession activities, rather
than concentrating participation in one category or a few categories to the exclusion of
others. (23.25(c)).
5
The AIRPORT'S overall goal methodology and a description of the race-neutral
measures it will use to meet the goals are described in Attachment 4 (non-rental car
concessions) and Attachment 5 (rental car concessions) of this plan. The goals are set
consistent with the requirements of Subpart D. (23.25(b)(d))
The AIRPORT will require businesses subject to ACDBE goals at the airport (except
car rental companies) to make good faith efforts to explore all available options to meet
goals, to the maximum extent practicable, through direct ownership arrangements with
ACDBEs. (23.25(f))
The AIRPORT will not use set-asides or quotas as a means of obtaining ACDBE
participation. (23.25(g)).
Section 23.27 Reporting
We will retain sufficient basic information about our ACDBE program implementation,
ACDBE certification and the award and performance of agreements and contracts to
enable the FAA to determine our compliance with Part 23. This data will be retained for
a minimum of 3 years following the end of the concession agreement or other covered
contract.
Beginning March 1, 2006, we will submit to the FAA Regional Civil Rights Office, an
annual ACDBE participation report on the form in Appendix A of Part 23.
Section 23.29 Compliance and Enforcement Procedures
The AIRPORT will take the following monitoring and enforcement mechanisms to
ensure compliance with Part 23.
1. AIRPORT will bring to the attention of the Department of Transportation any false,
fraudulent, or dishonest conduct in connection with the program, so that DOT can
take the steps (e.g., referral to the Department of Justice for criminal prosecution,
referral to the DOT Inspector General, action under suspension and debarment or
Program Fraud and Civil Penalties rules) provided in 23.11.
2. AIRPORT will consider similar action under our own legal authorities. We have
listed the regulations, provisions, and contract remedies available to us in the event
of non-compliance with the ACDBE regulation by a participant in our procurement
activities (See Attachment 3).
6
SUBPART C — CERTIFICATION AND ELIGIBILITY
Section 23.31 The AIRPORT will use the procedures and standards of 49 CFR, Part 26
(Part 26), except as provided in 49 CFR, Part 23.31, for certification of ACDBEs to
participate in our concessions program and such standards are incorporated herein.
CalTrans is a member of the California Unified Certification Program (UCP). The
CalTrans directory of eligible DBEs specifies whether a firm is certified as a DBE for
purposes of Part 26, or ACDBE for purposes of Part 23, or both. The AIRPORT will use
the CalTrans database to determine whether a firm is certified as an ACDBE.
Prior to entering into a new contract, extension, or option with a current ACDBE, we will
verify the contractor's eligibility using the CalTrans database. Our schedule for this
review process will be 90 calendar days prior to contract extension. The AIRPORT will
presume that a firm that is certified as a DBE under Part 26 is eligible to participate as
an ACDBE.
In instances when the eligibility of a concessionaire is removed after the concessionaire
has entered into a concession agreement, because the firm exceeded the size standard
or the owner has exceeded the Personal Net Worth (PNW) standard, and the firm in all
other respects remains an eligible DBE, we may continue to count the concessionaire's
participation toward ACDBE goals during the remainder of the current concession
agreement. We will not count the concessionaire's participation toward ACDBE goals
beyond the termination date for the concession agreement in effect at the time of the
decertification. (23.39(e)) We will use the Uniform Application Form found in
Attachment 7, with additional instruction as stated in 23.39(g).
SUBPART D — GOALS, GOOD FAITH EFFORTS, AND COUNTING
Section 23.41 Basic Overall Goal Requirement
The AIRPORT will establish two separate overall ACDBE goals; one for car rentals and
another for concessions other than car rentals. The overall goals will cover a three year
period and the sponsor will review the goals annually on October 1st, to ascertain that
the goal continues to fit the sponsor's circumstances. We will report any significant
overall goal adjustments to the FAA.
If the average annual concession revenues for car rentals, over the preceding 3 years
do not exceed $200,000, the AIRPORT need not submit an overall goal for car rentals.
Likewise, if the average annual concession revenues for concessions, other than car
rentals over the preceding 3 years, do not exceed $200,000, we need not submit an
overall goal for concessions other than car rentals. We understand that "revenue"
means total revenue generated by concessions, not the fees received by the airport
from concessionaires.
7
The Recipient's overall goals will provide for participation by all certified ACDBEs and
will not be subdivided into group-specific goals, other than car rental and non-car rental.
Section 23.43 Consultation in Goal Setting
The AIRPORT will query the CalTrans Database 90 calendar days prior to the Goal Due
Date as identified in the schedule below. If any new ACDBE's have been certified in our
Market Area, the AIRPORT will consult with the ACDBE on the goal setting process to
identify potential hurdles for ACDBE's bidding on AIRPORT concessions.
Section 23.45 Overall Goals
The sponsor is a non-hub primary airport. As a condition of eligibility for FAA financial
assistance, the sponsor will submit its overall goals according to the following schedule:
Primary Region Date Due Period Next Goal Due
Airport Size Covered
Non-Hubs All regions October 1, 2016 2017/2018/2019 October 1, 2019
(2020/2021/2022)
If a new concession opportunity arises at a time that falls between the normal
submission dates above and the estimated average of annual gross revenues are
anticipated to be $200,000 or greater, the sponsor will submit an appropriate adjustment
to our overall goal to FAA for approval no later than 90 days before issuing the
solicitation for the new concession opportunity. (23.45(i))
The AIRPORT will establish overall goals in accordance with the 2-Step process as
specified in section 23.51. After determining the total gross receipts for the concession
activity, the first step is to determine the relative availability of ACDBEs in the market
area, "base figure". The second step is to examine all relevant evidence reasonably
available in the sponsor's jurisdiction to determine if an adjustment to the Step 1 "base
figure" is necessary so that the goal reflects as accurately as possible the ACDBE
participation the sponsor would expect in the absence of discrimination. Evidence will
be based on past participation.
The AIRPORT will arrange solicitations, times for the presentation of bids, quantities,
specifications, and delivery schedules in ways that facilitate participation by ACDBEs
and other small businesses and by making contracts more accessible to small
businesses, by means such as those provided under §26.39 of this part.
A description of the methodology to calculate the overall goal for concessions other than
car rentals, the goal calculations, and the data we relied on can be found in Attachment
4 to this program.
8
A description of the methodology to calculate the overall goal for car rentals, the goal
calculations, and the data we relied on can be found in Attachment 5 to this program.
Projection of Estimated Race-Neutral & Race-Conscious Participation (23.45(f) &
23.25(d)(e))
The AIRPORT does not utilize race-conscious methods for goal setting.
Concession Specific Goals (23.25 (c)(e)(1)(iv)
AIRPORT will establish concession specific goals only on those concessions that have
direct ownership arrangements (except car rentals), sublease, or subcontracting
possibilities. We will require businesses subject to ACDBE goals at the airport (except
car rental companies) to make good faith efforts to explore all available options to meet
goals, to the maximum extent practicable, through direct ownership arrangements with
DBEs (23.25 (f)). Car rental firms are not required to change their corporate structure to
provide for direct ownership arrangements.
AIRPORT need not establish a concession specific goal on every such concession, and
the size of concession specific goals will be adapted to the circumstances of each such
concession (e.g., type and location of concession, availability of ACDBEs.)
If the objective of a concession specific goal is to obtain ACDBE participation through
direct ownership with an ACDBE, the AIRPORT will calculate the goal as a percentage
of the total estimated annual gross receipts from the concession. (23.25(e)(1)(i))
If the concession specific goal applies to purchases and/or leases of goods and
services, the AIRPORT will calculate the goal by dividing the estimated dollar value of
such purchases and/or leases from ACDBEs by the total estimated dollar value of all
purchases to be made by the concessionaire. (23.25(e)(1)(ii))
Good Faith Efforts - Concession Specific Goals (23.25(e)(1)(iii) & (23.25(e)(1) (iv))
To be eligible to be awarded a concession that has a concession specific goal;
bidders/offerors must make good faith efforts to meet the goal. A bidder/offeror may do
so either by obtaining enough ACDBE participation to meet the goal or by documenting
that it made sufficient good faith efforts to do so. (23.25(e)(1)(iv)). Examples of good
faith efforts are found in Appendix A to 49 CFR Part 26. The procedures applicable to
49 CFR Sections 26.51 and 26.53, regarding contract goals apply to the AIRPORT'S
concession specific goals. Specifically, Demonstration of good faith efforts (26.53(a) &
(c))
9
The ACDBELO is responsible for determining whether a concessionaire who has not
met the concession specific goal has documented sufficient good faith efforts to be
regarded as responsive.
AIRPORT will ensure that all information is complete and accurate and adequately
documents the bidder/offeror's good faith efforts before we commit to the concession
agreement with the bidder/offeror. Information to be submitted (26.53(b))
The AIRPORT treats bidder/offeror's compliance with good faith effort requirements as
a matter of responsiveness.
Each solicitation for which a concession specific goal has been established will require
the concessionaires to submit the following information:
1. The names and addresses of ACDBE firms or ACDBE suppliers of goods and
services that will participate in the concession;
2. A description of the work that each ACDBE will perform;
3. The dollar amount of the participation of each ACDBE firm/supplier
participating;
4. Written and signed documentation of commitment to use a ACDBE whose
participation it submits to meet a contract goal;
5. Written and signed confirmation from the ACDBE that it is participating in the
concession as provided in the prime concessionaire's commitment and
6. If the contract goal is not met, evidence of good faith efforts
Administrative Reconsideration (26.53(d))
Within ten days of being informed by the AIRPORT that it is not responsive because it
has not documented sufficient good faith efforts, a concessionaire may request
administrative reconsideration. Concessionaire should make this request in writing to
the following reconsideration official: Airports Manager, City of Redding — Airports
Division, 6751 Woodrum Circle, Redding, CA 96001. The reconsideration official will
not have played any role in the original determination that the concessionaire did not
document sufficient good faith efforts.
As part of this reconsideration, the concessionaire will have the opportunity to provide
written documentation or argument concerning the issue of whether it met the goal or
made adequate good faith efforts to do so. The concessionaire will have the
opportunity to meet in person with the reconsideration official to discuss the issue of
whether it met the goal or made adequate good faith efforts to do. AIRPORT will send
the concessionaire a written decision on reconsideration, explaining the basis for finding
that the concessionaire did or did not meet the goal or make adequate good faith efforts
to do so. The result of the reconsideration process is not administratively appealable to
the Department of Transportation.
10
Good Faith Efforts when an ACDBE is replaced on a concession (26.53(f))
The AIRPORT will require a concessionaire to make good faith efforts to replace an
ACDBE that is terminated or has otherwise failed to complete its concession
agreement, lease, or subcontract with another certified ACDBE, to the extent needed to
meet the concession specific goal. We will require the concessionaire to notify the
ACDBELO immediately of the ACDBEs inability or unwillingness to perform and provide
reasonable documentation.
In this situation, AIRPORT will require the concessionaire to obtain our prior approval of
the substitute ACDBE and to provide copies of new or amended subcontracts, or
documentation of good faith efforts.
Sample Proposal/Bid Specification:
The requirements of 49 CFR, Part 23, regulations of the U.S. Department of
Transportation, applies to this concession. It is the policy of the AIRPORT to practice
nondiscrimination based on race, color, sex, or national origin in the award or
performance of this contract. All firms qualifying under this solicitation are encouraged
to submit bids/proposals. Award of this concession will be conditioned upon satisfying
the requirements of this proposal/bid specification. These requirements apply to all
concessions firms and suppliers, including those who qualify as an ACDBE. An ACDBE
concession specific goal of percent of (annual gross receipts; value of leases
and/or purchases of goods and services) has been established for this concession. The
concession firm shall make good faith efforts, as defined in Appendix A, 49 CFR, Part
26 (Attachment 6), to meet the concession specific goal for ACDBE participation in the
performance of this concession.
The concession firm will be required to submit the following information: (1) the names
and addresses of ACDBE firms and suppliers that will participate in the concession, (2)
A description of the work that each ACDBE will perform; (3) The dollar amount of the
participation of each ACDBE firm participating; (4) Written and signed documentation of
commitment to use a ACDBE whose participation it submits to meet a contract goal; (5)
Written and signed confirmation from the ACDBE that it is participating in the
concession as provided in the prime concessionaire's commitment; and (6) If the
contract goal is not met, evidence of good faith efforts.
Section 23.53 Counting ACDBE Participation for Car Rental Goals
We will count ACDBE participation toward overall goals other than car rental as
provided in 49 CFR 23.53.
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Section 23.55 Counting ACDBE Participation for Concessions Other than Car
Rentals
AIRPORT will count ACDBE participation toward overall goals other than car rental as
provided in 49 CFR 23.55.
Section 23.57 (b) Goal shortfall accountability.
If the awards and commitments on our Uniform Report of ACDBE Participation (found in
Appendix A to this Part) at the end of any fiscal year are less than the overall goal
applicable to that fiscal year, we will:
(1) Analyze in detail the reasons for the difference between the overall goal
and our awards and commitments in that fiscal year;
(2) Establish specific steps and milestones to correct the problems we have
identified in our analysis to enable us to fully meet our goal for the new
fiscal year;
Section 23.61 Quotas or Set-asides
AIRPORT will not use quotas or set-asides as a means of obtaining ACDBE
participation.
SUBPART E — OTHER PROVISIONS
Section 23.71 Existing Agreements
AIRPORT will assess potential for ACDBE participation when an extension or option to
renew an existing agreement is exercised, or when a material amendment is made.
Section 23.75 Long-Term Exclusive Agreements
We will not enter into long-term and exclusive agreements for concessions without prior
approval of the FAA Regional Civil Rights Office. We understand that a "long-term"
agreement is one having a term of longer than 5 years. We understand that an
"exclusive" agreement is one in which an entire category of a particular business
opportunity is limited to a single business entity. If special, local circumstances exist
that make it important to enter into a long-term and exclusive agreement, we will submit
detailed information to the FAA Regional Civil Rights Office for review and approval.
Section 23.79 Geographic Preferences
We will not use a "local geographic preference", (i.e., any requirement that gives an
ACDBE located in one place an advantage over ACDBEs from other places in obtaining
business as, or with, a concession at our airport.)
12
ATTACHMENTS
Attachment 1 Organizational Chart
Attachment 2 DBE/ACDBE Directory (or website link)
Attachment 3 Monitoring and Enforcement Mechanisms
Attachment 4 Overall Goal for Concessions other than Car Rental Calculation,
Consultation
Attachment 5 Overall Goals for Car Rentals Calculation, Consultation
Attachment 6 Form 1 & 2 for Demonstration of Good Faith Efforts
Attachment 7 Certification Application Forms
Attachment 8 Procedures for Removal of ACDBEs Eligibility
Attachment 9 State's UCP Agreement
Attachment 10 Regulations: 49 CFR, Part 23
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Attachment 1
Organizational Chart
City of Redding
City Council
1
City Manager
I
Public Works Director
1
Assistant Public Works
Director
1
Airport Manager
ACDBE Liaison Officer
Assistant Airport Manager Management Analyst Executive Assistant
I_____ J
Maintenance Supervisor Contract Security Account Clerk I
I
Building Maintenance
I
Janitors
14
Attachment 2
DBE/ACDBE DIRECTORY
http://www.dot.ca.gov/obeo/
15
Attachment 3
Monitoring and Enforcement Mechanisms
The AIRPORT has several remedies available to enforce the ACDBE requirements
contained in its contracts, including, but not limited to, the following:
1. Breach of contract action, pursuant to the terms of the contract;
In addition, the federal government has available several enforcement mechanisms that
it may apply to firms participating in the ACDBE problem, including, but not limited to,
the following:
1. Suspension or debarment proceedings pursuant to 49 CFR, Part 23 and
2 CFR, Parts 180 and 1200
2. Enforcement action pursuant to 49 CFR, Part 31; and
3. Prosecution pursuant to 18 USC 1001.
The AIRPORT will implement various mechanisms to monitor program participants to
ensure they comply with 49 CFR, Part 23, including, but not limited to the following:
1. We will insert the following provisions into concessions agreements and
management contracts:
(a) This agreement is subject to the requirements of the U.S. Department of
Transportation's regulations, 49 CFR, Part 23. The concessionaire or
contractor agrees that it will not discriminate against any business owner
because of the owner's race, color, national origin, or sex in connection with
the award or performance of any concession agreement, management
contract, or subcontract, purchase or lease agreement, or other agreement
covered by 49 CFR, Part 23.
(b) The concessionaire or contractor agrees to include the above statements in
any subsequent concession agreement or contract covered by 49 CFR, Part
23, that it enters and cause both businesses to similarly include the
statements in further agreements.
16
Attachment 4
Section 23.45: Overall Goal Calculation for Concessions Other Than Car Rentals
Amount of Goal: $0
Name of Recipient:
City of Redding — Redding Municipal Airport
Goal Period: FY-2017-2018-2019 — October 1, 2016 through September 30, 2019
Overall Three-Year Goal:
0 %, to be accomplished through Race Neutral Measures.
AIRPORT has determined that its market area is: Shasta County, CalTrans District 2.
Market Area for Non-Car Rental Concessionaires
The Redding Airport has the following non-car rental concessions available to the
traveling public at the terminal building:
Type of
Company Concession City State Nationwide
Republic Parking Parking xx
Peter Chu's Restaurant Food Service Redding CA
Pepsi Cola Vending Machine xx
Coca Cola Vending Machine xx
Shasta Healthy Options Vending Machine Mt. Shasta CA
Cornucopia/EI A Apparel Advertising Redding CA
Base of Goal
To calculate the base of the goal AIRPORT considered the previous 3 years of gross
concession receipts and the projected potential concession revenue (gross receipts)
three years into the future including upcoming new opportunities.
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Gross Receipts for Previous 3 Years - Non-Car Rental Concessions
Fiscal Concessions Revenue
Year (Excluding Car Rental)
2013 $670,767
2014 $1,053,285
2015 $1,126,216
Total $2,850,268
Average $ 950,089
The AIRPORT estimates that revenues to existing concessions will increase by 2
percent over the next 3 years due to the completion of the terminal project and an
increase in passenger traffic, which yields a Base of Goal of $969,090.
The concession opportunities anticipated during this goal period are:
Parking Concession (Nov. 2018) — estimated gross receipts for 3 years of $630,000.
The following are not included in the total gross receipts for concessions: (a) the gross
receipts of car rental operations, (b) the dollar amount of a management contract or
subcontract with a non-ACDBE, (c) the gross receipts of business activities to which a
management contract or subcontract with a non-ACDBE pertains, and (d) any portion of
a firm's estimated gross receipts that will not be generated from a concession.
If a new concession opportunity arises prior to the end of this goal period and the
estimated average of annual gross revenues are anticipated to be $200,000 or greater,
the AIRPORT will submit to the FAA an appropriate adjustment to the overall goal. This
will be submitted to FAA for approval no later than 90 days before issuing the
solicitation for the new concession opportunity. (23.45(i)).
Methodology used to Calculate Overall Goal
Goods and Services
The goal may potentially be reached by including the purchase from ACDBEs of goods
and services used in businesses conducted at the airport. We, and the businesses at
the airport, shall make good faith efforts to explore all available options to achieve, to
the maximum extent practicable, compliance with the goal through direct ownership
arrangements, including joint ventures and franchises.
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Management Contract or Subcontract
The goal may potentially be reached by including any business operated through a
management contract or subcontract with an ACDBE. We, and the businesses at the
airport, will add the dollar amount of a management contract or subcontract with an
ACDBE to the total participation by ACDBEs in airport concessions (both the
numerator AND the denominator) and to the base from which the airport's percentage
goal is calculated. However, the dollar amount of a management contract or
subcontract with a non-ACDBE and the gross revenue of business activities to which
the management contract or subcontract pertains will not be added to this base in
either the numerator or denominator.
Step 1: 23.51 (c)
The base figure for the relative availability of ACDBEs other than car rentals.
The base figure was calculated as follows:
Numerator: Ready, willing, and able non-car rental ACDBEs located in the Market
Area of CalTrans District 2, Shasta County
0 divided by 775
Denominator: All ready, willing and able non-car rental firms in the Market Area of
CalTrans District 2, Shasta County.
NAICS Type of Concession Total ACDBE's Total All Firms
Management of enterprises
55 _ (Parking) 0 14
Accomodations and food
72 services (Restaurant and 0 366
vending machines)
Other Services (except public
81 administration) 0 395
Step 1 = 0 775
The data source or demonstrable evidence used to derive the numerator was:
The CalTrans ACDBE Database as described in Attachment 2.
The data source or demonstrable evidence used to derive the denominator was:
The United States Census Bureau County Business Pattern Data Tables for
Shasta County.
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When we divided the numerator by the denominator we arrived at the Step 1 base
figure for our overall goal for non-car rental concessions of: 0 %
There is no historical ACDBE data to reference to make an adjustment to the Step 1
base figure therefore the AIRPORT is adopting its Step 1 base figure as its overall goal
for this 3-year goal period.
PUBLIC PARTICIPATION
Consultation: Section 23.43.
According to the CalTrans ACDBE Database, there are no certified DBE's in our Market
Area. The AIRPORT has very limited opportunities for concessionaires. However, the
AIRPORT believes that the sole restaurant located in the terminal building may qualify
as an ACDBE based on minority ownership. The AIRPORT has met with and consulted
with the restaurant owner and has provided resources to assist with the certification
process.
Breakout of Estimated Race-Neutral & Race Conscious Participation
Section 23.51
The AIRPORT will meet the maximum feasible portion of its overall goal by using race-
neutral means of facilitating ACDBE participation. The AIRPORT uses the following
race-neutral measures.
1. Advertising concession opportunities on our Website and encouraging them to
compete, if ACDBE's are available in the Market Area.
2. Ensuring that competitors for concession opportunities are informed during pre-
solicitation meetings about how the sponsor's ACDBE program will affect the
procurement process;
3. Providing information concerning the availability of ACDBE firms to competitors
to assist them in obtaining ACDBE participation; and
4. Providing assistance and resources to get qualifying ACDBE firms certified.
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Attachment 5
Section 23.45: Overall Goal Calculation for Car Rentals
Amount of Goal - $0
Name of Recipient:
REDDING MUNICIPAL AIRPORT
Goal Period: FY-2017-2018-2019 — October 1, 2016 through September 30, 2019
Overall Three-Year Goal:
0 %, to be accomplished through Race Neutral means.
The AIRPORT has determined that its market area is Shasta County.
Base of Car Rental Goal
To calculate the base of the goal AIRPORT considered the previous 3 years of gross
concession receipts and the projected potential concession revenue (gross receipts)
three years into the future including upcoming new opportunities.
Gross Receipts (Revenue) for Previous 3 Years - Car Rental Concessions
Fiscal Concessions Revenue
Year (Excluding Car Rental)
2013 670,767 _
2014 1,696,398
2015 2,007,878
Total 4,375,043
Average 1,458,348
The AIRPORT estimates that revenues to existing concessions will grow by 2% over the
next three years due to increased passenger traffic, yielding a base of goal of
$1,487,514.
If a new concession opportunity arises prior to the end of this goal period and the
estimated average of annual gross revenues are anticipated to be $200,000 or greater,
the AIRPORT will submit to the FAA an appropriate adjustment to the overall goal. This
will be submitted to FAA for approval no later than 90 days before issuing the
solicitation for the new concession opportunity. (23.45(i)).
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Methodology used to Calculate Overall Goal
Goods and Services
The AIRPORT could potentially meet the percentage goal by including the purchase
from ACDBEs of goods and services used car rental concessions at the airport. The
dollar value from purchases of goods and services from ACDBEs may be added to the
numerator, and the dollar value from purchases of goods and services from all firms
(ACDBEs and non-ACDBEs) may be added to the denominator.
Step 1: 23.51(c)
We determined the Step 1 base figure for the relative availability of ACDBEs other than
car rentals. The base figure was calculated as follows:
Numerator: Ready, willing, and able non-car rental ACDBEs who may potentially
provide services or goods to the Rental Car Agencies in the market area.
0 divided by 1,430 = 0
Denominator: All ready, willing and able non-car rental concession firms in the market
area that may potentially provide services or goods to the Rental Car agencies in the
market area.
NAICS Type of Concession Total ACDBE's Total All Firms
42 Wholesale Trade 0 168
44-45 Retail Trade 0 635
52 Finance and insurance 0 232
81 Other Services 0 395
Total 0 1,430
The data source or demonstrable evidence used to derive the numerator was:
The CalTrans California Unified Certification Program DBE Database
The data source or demonstrable evidence used to derive the denominator was:
The United States Census Bureau
County Business Patterns Database for Shasta County, California.
When we divided the numerator by the denominator we arrived at the Step 1 base
figure for our overall goal for rental car concessions of: 0 %
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There is no historical ACDBE data to reference to make an adjustment to the Step 1
base figure, because there are no registered ACDBE's in the AIRPORT Market Area.
There are no applicable disparity studies for the local market area or recent legal case
information available to show any evidence of barriers to entry or competitiveness of
ACDBEs.
PUBLIC PARTICIPATION
Consultation: Section 23.43.
The absence of registered ACDBE's in the Market Area, combined with the very limited
concession opportunities at the AIRPORT make a productive consultation difficult to
accomplish.
The current Rental Car Concession Agreements were established in 2014, prior to the
adoption of the ACDBE Program. The Agreements terminate in 2019, and each has a
2-year option to extend. The AIRPORT will require inclusion of the ACDBE contract
clause if it chooses to exercise the option to extend the agreements.
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Breakout of Estimated Race-Neutral & Race Conscious Participation
Section 23.51
The AIRPORT will meet the maximum feasible portion of its overall goal by using race-
neutral means of facilitating ACDBE participation.
The AIRPORT uses the following race-neutral measures:
1. Providing technical assistance to ACDBEs in overcoming limitations, such as
obtaining certification.
2. Ensuring that competitors for concession opportunities are informed during
pre-solicitation meetings about how the sponsor's ACDBE program will affect
the procurement process;
3. Providing information concerning the availability of ACDBE firms to
competitors to assist them in obtaining ACDBE participation; and
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Attachment 6
Forms 1 & 2 for Demonstration of Good Faith Efforts
[Forms 1 and 2 should be provided as part of the solicitation documents.]
FORM 1: AIRPORT CONCESSION DISADVANTAGED BUSINESS ENTERPRISE
(ACDBE) UTILIZATION
The undersigned bidder/offeror has satisfied the requirements of the bid/proposal
specification in the following manner (please check the appropriate space):
The bidder/offeror is committed to a minimum of % ACDBE
utilization on this contract.
The bidder/offeror (if unable to meet the ACDBE goal of %) is
committed to a minimum of % ACDBE utilization on this contract and
submitted documentation demonstrating good faith efforts.
Name of bidder/offeror's firm:
State Registration No.
By:
(Signature) Title
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FORM 2: LETTER OF INTENT
Name of bidder/offeror's firm:
Address:
City: State: Zip:
Name of ACDBE firm:
Address:
City: State: Zip:
Telephone:
Description of work to be performed by ACDBE firm:
The bidder/offeror is committed to utilizing the above-named ACDBE firm for the work
described above. The estimated dollar value of this work is $
Affirmation
The above-named ACDBE firm affirms that it will perform the portion of the contract for
the estimated dollar value as stated above.
By
(Signature) (Title)
If the bidder/offeror does not receive award of the prime contract, any and all
representations in this Letter of Intent and Affirmation shall be null and void.
(Submit this page for each ACDBE subcontractor.)
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Attachment 7
ACDBE Certification Application Form
http://www.dot.ca.gov/hq/bep/downloads/pdf/ACDBE UCP Application Rev 12-
2009.pdf
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Attachment 8
Procedures for Removal of ACDBEs Eligibility
The AIRPORT will query the CalTrans ACDBE Database Annually on October 1st. If a
previously certified ACDBE has been removed from the database, the AIRPORT will
discontinue counting participation of that firm towards the ACDBE goal at the end of the
contract term.
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ATTACHMENT 9
State's UCP Agreement
The California Unified Certification Program is administered by the California
Department of Transportation. Information about the UCP can be found at
http://www.dot.ca.gov/hq/bep/ucp.htm
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Attachment 10
Regulations: 49 CFR Part 23
The regulation can be found at:
https://www.ecfr.gov/cgi-bin/text-
idx?c=ecfr&SID=28ecddal f691 b7384756be15d36f2bec&rgn=div5&view=text&node
=49:1.0.1.1.17&idno=49
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