HomeMy WebLinkAbout10/1/2014 - STAFF REPORTS - 2.L. PALM$A
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CITY COUNCIL STAFF REPORT
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DATE: October 1, 2014 CONSENT AGENDA
SUBJECT: DISADVANTAGED BUSINESS ENTERPRISE PROGRAM UPDATE FOR
PALM SPRINGS INTERNATIONAL AIRPORT
FROM: David H. Ready, City Manager
BY: AIRPORT
SUMMARY
The overall goal for the Palm Springs International Airport Disadvantaged Business
Enterprise (DBE) Program for federally assisted projects is established at three-year
intervals. The goal period for the three-year interval covered in this report will begin on
October 1, 2014 and end on September 30, 2017.
RECOMMENDATION:
Receive and file the DBE goal for the Palm Springs International Airport at 6.9% for the
period of October 1, 2014 through September 30, 2017 for compliance with the airport
improvement grant program.
STAFF ANALYSIS:
The Federal Aviation Administration mandates that all airports produce a plan with a
goal for Disadvantaged Business Enterprise (DBE). To comply, Airport Concession
Consultants, specializing in this expertise, was hired to conduct the analysis and create
a plan using FAA acceptable methodology.
Based on this plan development, the overall DBE goal for the three-year period has
been set at 6.9% for federal financial assistance to be expended in Department of
Transportation (DOT) assisted contracts during the time period covered. Federal
funding for projects are anticipated to be approximately $22.8 million during the period.
The details of the Federal Aviation Administration (FAA) DBE goal methodology are
attached.
The overall goal is to be based on demonstrable evidence of the availability of ready,
willing and able DBEs to participate on DOT assisted contracts. The Airport goals are
based on FAA methodology and the expanded geographic area market for contractors
ITEM NO.
City Council Staff Report
October 1, 2014— Page 2
Disadvantage Business Enterprise Goals
for Palm Springs International Airport projects has been defined as the counties of
Riverside, Los Angeles, Orange, San Bernardino and San Diego because more than
80% of the companies performing projects at the airport over the last eight years are
based in one of these areas.
FISCAL IMPACT:
The Airport Improvement Program provides grant funding for all eligible projects at
90.66 percent (90.66%). With the DBE requirement associated with federal projects,
there is no fiscal impact to the Airport budget.
Thomas Nolan
Executive Director, Airport
David H. Ready, City F
Attachments: DBE Goals and Methodology
03
City Council Staff Report
October 1, 2014— Page 2
Disadvantage Business Enterprise Goals
for Palm Springs International Airport projects has been defined as the counties of
Riverside, Los Angeles, Orange, San Bernardino and San Diego because more than
80% of the companies performing projects at the airport over the last eight years are
based in one of these areas.
FISCAL IMPACT:
The Airport Improvement Program provides grant funding for all eligible projects at
90.66 percent (90.66%). With the DBE requirement associated with federal projects,
there is no fiscal impact to the Airport budget.
Thomas Nolan
Executive Director, Airport
David H. Ready, City I\Ge F
Attachments: DBE Goals and Methodology
02
PALM SPRINGS INTERNATIONAL AIRPORT
PROPOSED DBE OVERALL GOALS
FY 2015 — FY 2017
Airport Sponsor. Palm Springs International Airport
Goal Period: From: October 1, 2014
Thru: September 30, 2017
Overall DBE Goal for FAA-Assisted Projects: 6.3%
Race-Neutral Goal: 6.3%
Race-Conscious Goal: 0.0%
04
PALM SPRINGS INTERNATIONAL AIRPORT
PROPOSED DBE OVERALL GOALS
FY 2015 — FY 2017
Airport Sponsor. Palm Springs Intemational Airport
Goal Period: From: October 1, 2014
Thru: September 30, 2017
Overall DBE Goal for FAA-Assisted Projects: 6.3%
Race-Neutral Goal: 6.3%
Race-Conscious Goal: 0.0%
03
DBE GOAL METHODOLOGY
Overall goals for the Palm Springs International Airport Disadvantaged Business Enterprise
Program for federally assisted projects is established at three-year intervals for a period of
three years. The goal period for the three-year interval covered in this report will begin on
October 1, 2014 and end on September 30, 2017. The overall DBE goal for the three-year
period has been set at 6.9% of the Federal financial assistance to be expended in DOT-
assisted contracts during the time period covered. Federal funding for projects is
anticipated to be approximately $22.8 million during the period.
The relevant geographic market for contractors for Palm Springs International Airport
projects has been defined as Los Angeles, Orange, Riverside, San Bernardino and San
Diego counties because more than 80% of the companies performing projects at the
Airport over the last eight years are based in one of these areas.
49 CFR Part 26, Section 26.45(b) states as follows:
Your overall goal must be based on demonstrable evidence of the availability of ready,
willing and able DBEs relative to all businesses ready, willing and able to participate on
your DOT-assisted contracts(hereafter, the "relative availability of DBEs'). The goal must
reflect your determination of the level of DBE participation you would expect absent the
effects of discrimination. You cannot simply rely on either the 10 percent national goal,
your previous overall goal or past DBE participation rates in your program without
reference to the relative availability of DBEs in your market.
49 CFR Part 26, Section 26.45 further provides for a two-step process, consisting of:
Step 1 - Determine a Base Figure representing the Relative Availability
of DBEs
and
Step 2 - Examine data to determine what adjustment, if any, is
needed to the Base Figure
05
DBE GOAL METHODOLOGY
Overall goals forthe Palm Springs International Airport Disadvantaged Business Enterprise
Program forfederally assisted projects is established at three-year intervals fora period of
three years. The goal period for the three-year interval covered in this report will begin on
October 1, 2014 and end on September 30, 2017. The overall DBE goal for the three-year
period has been set at 6.9% of the Federal financial assistance to be expended in DOT-
assisted contracts during the time period covered. Federal funding for projects is
anticipated to be approximately $22.8 million during the period.
The relevant geographic market for contractors for Palm Springs International Airport
projects has been defined as Los Angeles, Orange, Riverside, San Bernardino and San
Diego counties because more than 80% of the companies performing projects at the
Airport over the last eight years are based in one of these areas.
49 CFR Part 26, Section 26.45(b) states as follows:
Your overall goal must be based on demonstrable evidence of the availability of ready,
willing and able DBEs relative to all businesses ready, willing and able to participate on
your DOT-assisted contracts(hereafter, the "relative availability of DBEs'). The goal must
reflect your determination of the level of DBE participation you would expect absent the
effects of discrimination. You cannot simply rely on either the 10 percent national goal,
your previous overall goal or past DBE participation rates in your program without
reference to the relative availability of DBEs in your market.
49 CFR Part 26, Section 26.45 further provides for a two-step process, consisting of:
Step 1 - Determine a Base Figure representing the Relative Availability
of DBEs
and
Step 2 - Examine data to determine what adjustment, if any, is
needed to the Base Figure
04
The regulation provides the following examples of potential approaches for
accomplishing Step 1, determining the base figure, as follows:
1) Use DBE Directories and Census Bureau Data. Determine the number of
ready, willing and able DBEs in your market from your DBE directory.
Using the Census Bureau's County Business Pattern (CBP) database,
determine the number of all ready, willing and able businesses available
in your market that perform work in the same NAICS codes.
2) Use a bidders list. Determine the number of DBEs that have bid or
quoted on your DOT-assisted prime contracts or subcontracts in the
previous year. Determine the number of all businesses that have bid or
quoted on prime or subcontracts in the same time period. Divide the
number of DBE bidders and quoters by the number for all businesses to
derive a base figure for the relative availability of DBEs in your market.
3) Use data from a disparity study. Use a percentage figure derived from
data in a valid, applicable disparity study.
4) Use the goal of another DOT recipient. If another DOT recipient in the
same, or substantially similar, market has set an overall goal in
compliance with this rule, you may use that goal as a base figure for your
goal.
5) Alternative methods. Subject to the approval of the DOT operating
administration, you may use other methods to determine a base figure for
your overall goal. Any methodology you choose must be based on
demonstrable evidence of local market conditions and be designed to
ultimately attain a goal that is rationally related to the relative availability of
DBEs in your market.
We have examined each of the alternatives. We have elected to use the combined
approach of DBE directories/Census Bureau data and data from a disparity study. The
methodology for establishing the FY 2015 — FY 2017 DBE Goal is described on the
following pages.
3 06
The regulation provides the following examples of potential approaches for
accomplishing Step 1, determining the base figure, as follows:
1) Use DBE Directories and Census Bureau Data. Determine the number of
ready, willing and able DBEs in your market from your DBE directory.
Using the Census Bureau's County Business Pattern (CBP) database,
determine the number of all ready, willing and able businesses available
in your market that perform work in the same NAICS codes.
2) Use a bidders list. Determine the number of DBEs that have bid or
quoted on your DOT-assisted prime contracts or subcontracts in the
previous year. Determine the number of all businesses that have bid or
quoted on prime or subcontracts in the same time period. Divide the
number of DBE bidders and quoters by the number for all businesses to
derive a base figure for the relative availability of DBEs in your market.
3) Use data from a disparity study. Use a percentage figure derived from
data in a valid, applicable disparity study.
4) Use the goal of another DOT recipient. If another DOT recipient in the
same, or substantially similar, market has set an overall goal in
compliance with this rule, you may use that goal as a base figure for your
goal.
5) Alternative methods. Subject to the approval of the DOT operating
administration, you may use other methods to determine a base figure for
your overall goal. Any methodology you choose must be based on
demonstrable evidence of local market conditions and be designed to
ultimately attain a goal that is rationally related to the relative availability of
DBEs in your market.
We have examined each of the alternatives. We have elected to use the combined
approach of DBE directories/Census Bureau data and data from a disparity study. The
methodology for establishing the FY 2015 — FY 2017 DBE Goal is described on the
following pages.
3 05
Step 1 - Determine a Base Figure representing the Relative Availability of DBEs
Projects planned for award during FY 2015 - 2017 are as follows:
FY 2015
• Runway Rehabilitation
• Access Control Equipment
• Flight Information Display (FIDS) and Paging System
FY 2016
• Building Projects
FY 2017
• Expand Terminal Building/Baggage Claim
The trade classifications expected to be utilized for these projects are as follows:
Table 1: Trade Breakdown for 2015-2017 AIP,Projects
Project Trade NAILS Trade $
Highway, Street and Bridge 237310 $5,787,000
Construction
Demolition, Excavation 238910 $720,000
RW Rehabilitation Electrical 238210 $1,530,000
Trucking 484220 $1,080,000
Fencing 238990 $225,000
Total Project $9,342,000
Securing Access Control Electrical 238210 $1,980,000
Equipment Equipment 423610 $1,350,000
Total Project $3,330,000
FIDS and Paging System Electrical 238210 $1,170,000
Equipment specialty $1,050,000
Total Project $2,220,000
Total Projects-2015 $14,892,000
Design, Construction 541310 $1,170,000
Management
Electrical 238210 $135,000
Carpenter 238350 $810,000
Building Projects Painting 238320 $90,000
Carpet 238330 $135,000
Drywall 238310 $72,000
Materials 423990 $828,000
4 07
Step 1 - Determine a Base Figure representing the Relative Availability of DBEs
Projects planned for award during FY 2015 - 2017 are as follows:
FY 2015
• Runway Rehabilitation
• Access Control Equipment
• Flight Information Display (FIDS) and Paging System
FY 2016
• Building Projects
FY 2017
• Expand Terminal Building/Baggage Claim
The trade classifications expected to be utilized for these projects are as follows:
Table 1: Trade Breakdown for 2015 -2017 AlP Projects
Project Trade NAICS Trade$
Highway, Street and Bridge 237310 $5,787,000
Construction
Demolition, Excavation 238910 $720,000
RW Rehabilitation Electrical 238210 $1,530,000
Trucking 484220 $1,080,000
Fencing 238990 $225,000
Total Project $9,342,000
Securing Access Control Electrical 238210 $1,980,000
Equipment Equipment 423610 $1,350,000
Total Project $3,330,900
FIDS and Paging System Electrical 238210 $1,170,000
Equipment specialty $1,050,000
Total Project $2,220,000'
Total Projects- 2015 $14,892,000
Design, Construction 541310 $1,170,000
Management
Electrical 238210 $135,000
Carpenter 238350 $810,000
Building Projects Painting 238320 $90,000
Carpet 238330 $135,000
Drywall 238310 $72,000
Materials 423990 $828,000
4 06
Table 1: Trade Breakdown for 2015 -2017 AIP Projects
Project Trade NAICS Trade $
Equipment 238290 $360,000
Total Project $3,600,000
Total Projects-2016 $3,600,000
Design, Construction 541310 $810,000
Management
Electrical 238910 $135,000
Carpenter 238210 $630,000
Building Projects Painting 238320 $90,000
Carpet 238330 $225,000
Drywall 238310 $162,000
Materials 423990 $468,000
Equipment 238290 $1,080,000
Total Project $3,600,000
ARFF Vehicle Vehicle Purchase 336120 $720,000
Total Project $720,000
Total Projects-2017 $4,320,000
Total Projects 2015-2017 $22,812,000
In August 2012, the California Department of Transportation (Caltrans) Availability and
Disparity Study was published. The study developed a base goal of 12.5% for Caltrans
projects. The study considers only trades typically utilized in Caltrans projects.
Caltrans projects were broken down between construction and engineering.
Construction projects account for 97% of the projects undertaken by Caltrans. Trades
included in the construction category are: highway and street construction, electrical
work, asphalt and concrete supply, rebar and reinforcing steel, fencing, guardrails and
signs, land site prep, landscape services, wrecking and demolition, painting and
striping, water, sewer and utility lines, excavation and drilling, trucking, flagging
services, heavy construction equipment rental, construction sand and gravel, other
construction and other construction supplies.
Given the above, we believe that only the Runway Rehabilitation Project is comparable
to Caltrans projects. Therefore, we have utilized the Caltrans base goal of 12.5% for
the Runway Rehabilitation Project and an alternative methodology for the remaining
projects.
5 08
Table 1: Trade Breakdown for 2015- 2017 AIP Projects
Project Trade NAICS Trade$
Equipment 238290 $360,000
Total Project $3,600,000
Total Projects-2016 $3,600,000
Design, Construction 541310 $810,000
Management
Electrical 238910 $135,000
Carpenter 238210 $630,000
Building Projects Painting 238320 $90,000
Carpet 238330 $225,000
Drywall 238310 $162,000
Materials 423990 $468,000
Equipment 238290 $1,080,000
Total Project $3,600,000
ARFF Vehicle Vehicle Purchase 336120 $720,000
Total Project $720,000
Total Projects-2017 $4,320,000
Total Projects 2015-2017 $22,812,000
In August 2012, the California Department of Transportation (Caltrans) Availability and
Disparity Study was published. The study developed a base goal of 12.5% for Caltrans
projects. The study considers only trades typically utilized in Caltrans projects.
Caltrans projects were broken down between construction and engineering.
Construction projects account for 97% of the projects undertaken by Caltrans. Trades
included in the construction category are: highway and street construction, electrical
work, asphalt and concrete supply, rebar and reinforcing steel, fencing, guardrails and
signs, land site prep, landscape services, wrecking and demolition, painting and
striping, water, sewer and utility lines, excavation and drilling, trucking, flagging
services, heavy construction equipment rental, construction sand and gravel, other
construction and other construction supplies.
Given the above, we believe that only the Runway Rehabilitation Project is comparable
to Caltrans projects. Therefore, we have utilized the Caltrans base goal of 12.5% for
the Runway Rehabilitation Project and an alternative methodology for the remaining
projects.
5 07 .
DBE availability for trades used in the projects to be undertaken during the three-year
goal period, excluding the Runway Rehabilitation Project, have been determined by
utilizing the California Unified Certification Program DBE Directory and Census Bureau
Data. Census and Directory information was extracted for the relevant trades listed
above. The geographic areas represented include Los Angeles, Orange, Riverside, San
Bernardino and San Diego counties. In addition, DBE availability from the Caltrans
Disparity Study has been included for those trades that are included in the study. The
availability calculations are as follows:
Table 2: DBE Availability Percentages
TRADE NAICS Description NAICS Census Directory DBE %
Electrical Electrical Contractors 238210 3911 108 2.8%
Equipment Other Building Equipment 238290 336 10 3.0%
Contractors
Drywall Drywall and Insulation 238310 936 14 1.5%
Contractors
Painting Painting and Wall Covering 238320 1568 25 1.6%
Contractors
Carpet Flooring Contractors 238330 788 12 1.5%
Carpenter Carpenters (except framing) 238350 1070 20 1.9%
Demolition, Site Preparation Contractors 238910 1091 87 8.0%
Excavation
Fencing All Other Specialty Trade 238990 1487 102 6.9%
Contractors
Baggage Conveying Conveyor and Conveying 333922 26 0 0.0%
Equipment Equipment Manufacturing
Electrical Apparatus and
Equipment Equipment, Wiring Supplies, and 423610 1246 35 2.8%
Related Equipment Merchant
Wholesalers
Materials Other Miscellaneous Durable 423990 1191 13 1.1%
Goods Merchant Wholesalers
Trucking Trucking 484220 898 187 20.8%
Design, Construction Design, Construction 541310 1640 68 4.1%
Management Management
* The%was obtained by dividing the DBE directory#of firms by the census#of firms.
The availability calculations from the above chart have been weighted by the
anticipated expenditures for each trade classification for all projects excluding the
Runway Rehabilitation Project. For the Runway Rehabilitation Project, the Caltrans
base goal has been used.
6 09
DBE availability for trades used in the projects to be undertaken during the three-year
goal period, excluding the Runway Rehabilitation Project, have been determined by
utilizing the California Unified Certification Program DBE Directory and Census Bureau
Data. Census and Directory information was extracted for the relevant trades listed
above. The geographic areas represented include Los Angeles, Orange, Riverside, San
Bernardino and San Diego counties. In addition, DBE availability from the Caltrans
Disparity Study has been included for those trades that are included in the study. The
availability calculations are as follows:
Table 2: DBE Availability Percentages
TRADE NAICS Description NAICS Census Directory DBE
Electrical Electrical Contractors 238210 3911 108 2.8%
Equipment Other Building Equipment 238290 336 10 3.0%
Contractors
Drywall Drywall and Insulation 238310 936 14 1.5%
Contractors
Painting Painting and Wall Covering 238320 1568 25 1.6%
Contractors
Carpet Flooring Contractors 238330 788 12 1.5%
Carpenter Carpenters (except framing) 238350 1070 20 1.9 0
Demolition, Site Preparation Contractors 238910 1091 87 8.0%
Excavation
Fencing All Other Specialty Trade 238990 1487 102 6.9%
Contractors
Baggage Conveying Conveyor and Conveying 333922 26 0 0.0%
Equipment Equipment Manufacturin
Electrical Apparatus and
Equipment Equipment, Wiring Supplies, and 423610 1246 35 2.8%
Related Equipment Merchant
Wholesalers
Materials Other Miscellaneous Durable 423990 1191 13 1.1%
Goods Merchant Wholesalers
Trucking Trucking 484220 898 9::t
7 20.8%
Design, Construction Design, Construction 541310 1640 4.1%
Management Mana ement
*The%was obtained by dividing the DBE directory#of firms by the census#of firms.
The availability calculations from the above chart have been weighted by the
anticipated expenditures for each trade classification for all projects excluding the
Runway Rehabilitation Project. For the Runway Rehabilitation Project, the Caltrans
base goal has been used.
6 08
Table3: Weighted DBE Availability
Project Trade NAICS Trade$ DBE % DBE $
Highway, Street and Bridge Const 237310 $5,787,000 *12.5% $723,375
Demolition, Excavation 238910 $720,000 *12.5% $90,000
RW Rehabilitation Electrical 238210 $1,530,000 *12.5% $191,250
Trucking 484220 $1.080,000 *12.5% $135.000
Fencing 238990 $225,000 *12.5% $28,125
Total Project $9,342,000 *12.5% $1,167,750
Access Control Electrical 238210 $1,980,000 2.8% $55,440
Equipment Equipment 423610 $1,350,000 2.8% $37,800
Total Project $3,330,000 2.8% $93,240
FIDS and Paging System Electrical 238210 $1,170,000 2.8% $32,760
Equipment specialty $1,050,000 0.0% $0
Total Project 1 $2,220,000 r, 1.5% 1 $32,760
Total Projects-2015 $14,892,000 8.7% $1,293,750
Design, Construction Management 541310 $1,170,000 4.1% $47,970
Electrical 238210 $135,000 2.8% $3,780
Carpenter 238350 $810,000 1.9% $15,390
Building Projects Painting 238320 $90,000 1.6% $1,440
Carpet 238330 $135,000 1.5% $2,025
Drywall 238310 $72,000 1.5% $1,080
Materials 423990 $828,000 1.1% $9,108
Equipment 238290 $360,000 3.0% $10,800
TotaLProject $3,600,000 2.5% $91,593
Total Projects-2016 $3,600,000 2.5% $91.593
Design, Construction Management 541310 $810,000 4.1% $33,210
Electrical 238910 $135,000 2.8% $3,780
Carpenter 238210 $630,000 1.9% $11,970
Terminal Baggage Painting 238320 $90,000 1.6% $1,440
Improvements Carpet 238330 $225,000 1.5% $3,375
Drywall 238310 $162,000 1.5% $2,430
Materials 423990 $468,000 1.1% $5,148
Equipment 333922 $1,080,000 0.0% $0
Total Project $3,600,000 1.7% $61,353
ARFF Vehicle Vehicle Purchase specialty $720,000 0.0% $0
Total Project 1 $720,000 0.0% $0
Total Projects-2017 $4,320,000 1.4% $61,353
Total Projects 2015-2017 $22,812,000 6.3% $1,446,696
Based on Caltrans Base goal
10
Table3: Weighted DBE Availability
Project Trade NAICS Trade$ DBE% DBE$
Highway, Street and Bridge Const 237310 $5,787,000 *12.5% $723,375
Demolition, Excavation 238910 $720,000 *12.5% $90,000
RW Rehabilitation Electrical 238210 $1,530,000 *12.5% $191,250
Trucking 484220 $1,080,000 -12.5% $135,000
Fencing 238990 $225,000 *12.5% $28,125
Total Project $9,342,000 *12.5% $1,167,750
Access Control Electrical 238210 $1,980,000 2.8% $55,440
Equipment Equipment 423610 $1,350,000 2.8% $37,800
Total Project $3,330,000 2.8% $93,240
FIDS and Paging System Electrical 238210 $1,170,000 2.8% $32,760
Equipment specialty $1,050,000 0.0% $0
Total Project $2,220,000 1.5% $32,760
Total Projects- 2015 $14,892,000 8.7% $1,293,750
Design, Construction Management 541310 $1,170,000 4.1% $47,970
Electrical 238210 $135.000 2.8% $3,780
Carpenter 238350 $810,000 1.9% $15,390
Building Projects Painting 238320 $90,000 1.6% $1,440
Carpet 238330 $135,000 1.5% $2,025
Drywall 238310 $72,000 1.5% $1,080
Materials 423990 $828,000 1.1% $9,108
Equipment 238290 $360,000 3.0% $10,800
Total Project $3,600,000 1 2.5% 1 $91593
Total Projects-2016 $3,600,000 2.5% $91,593
Design, Construction Management 541310 $810,000 4.1% $33,210
Electrical 238910 $135,000 2.8% $3,780
Carpenter 238210 $630,000 1.9% $11,970
Terminal Baggage Painting 238320 $90,000 1.6% $1,440
Improvements Carpet 238330 $225,000 1.5% $3,375
Drywall 238310 $162,000 1.5% $2,430
Materials 423990 $468,000 1.1% $5,148
Equipment 333922 $1,080,000 0.0% $0
Total Project $3,600,000 1.7% $61,353
ARFF Vehicle Vehicle Purchase specialty $720.000 0.0% $0
Total Project - $720,000 0.0% $0
Total Projects-2017 $4,320,000 1.4% $61,353
Total Projects 2015-2017 $22,812,000 6.3% $1,446,696
Based on Caltrans Base goal
09
Note:The dollars to be spent for each trade(Table 1) have been multiplied by the DBE calculated Caltrans
availability if available,the Directory/Census availability if Caltrans is not available(Table 2). The total is the dollar
amount of DBE participation expected to be awarded to DBE firms given the availability of DBE firms and dollar
amount to be expended on each trade.
The result of the above calculations yields a base goal of 6.3%.
Step 2 - Examine data to determine what adjustment, if any, is needed to the Base
Figure.
Section 26.45(d) provides many examples of the types of data to examine in order to
adjust the base figure. The Caltrans Availability and Disparity Study determined that
there are various reasons for both upward and downward adjustments that tend to
cancel each other out. Therefore, we have elected not to make a Step 2 Adjustment
based on the Caltrans Study.
In addition to considering the information provided in the Caltrans Study, we have
examined past history of DBE participation at Palm Springs International Airport.
Because DBE goals have been race neutral for the past 5 years, DBE goals have not
been met. We do not believe that this is indicative of availability, therefore we have
elected not to adjust the goal for past history.
Given the above, we propose a DBE goal of 6.3% for the three-year period
beginning October 1. 2014 and ending September 30, 2017.
Race-Neutral Vs Race-Conscious Goal
In light of the Ninth Circuit Court of Appeals decision regarding Western States Paving
v. Washington State Department of Transportation and the fact that the Caltrans
Availability and Disparity Study does not include specific contracting practices for Palm
Springs International Airport, the DBE goal for Palm Springs International Airport will be
set as race neutral. We do not have sufficient evidence of discrimination or its effects to
support a race-conscious goal at this time. It should be noted that the City has
developed a Small Business Enterprise program that provides a means to set goals for
small business utilization in federally-funded projects. The program will be
implemented during this goal period and it is projected that the program will assist the
airport in meeting its DBE goals.
The following methods will be employed to implement race-neutral goals:
1) Provide information on the Palm Springs International Airport
organization, functions and its full range of contractual needs.
8 11
Note: The dollars to be spent for each trade(Table 1)have been multiplied by the DBE calculated Caltrans
availability if available,the Directory/Census availability if Caltrans is not available(Table 2). The total is the dollar
amount of DBE participation expected to be awarded to DBE firms given the availability of DBE firms and dollar
amount to be expended on each trade.
The result of the above calculations yields a base goal of 6.3%.
Step 2 - Examine data to determine what adjustment, if any, is needed to the Base
Figure.
Section 26.45(d) provides many examples of the types of data to examine in order to
adjust the base figure. The Caltrans Availability and Disparity Study determined that
there are various reasons for both upward and downward adjustments that tend to
cancel each other out. Therefore, we have elected not to make a Step 2 Adjustment
based on the Caltrans Study.
In addition to considering the information provided in the Caltrans Study, we have
examined past history of DBE participation at Palm Springs International Airport.
Because DBE goals have been race neutral for the past 5 years, DBE goals have not
been met. We do not believe that this is indicative of availability, therefore we have
elected not to adjust the goal for past history.
Given the above, we propose a DBE goal of 6.3% for the three-year period
beginning October 1. 2014 and ending September 30, 2017.
Race-Neutral Vs Race-Conscious Goal
In light of the Ninth Circuit Court of Appeals decision regarding Western States Paving
v. Washington State Department of Transportation and the fact that the Caltrans
Availability and Disparity Study does not include specific contracting practices for Palm
Springs International Airport, the DBE goal for Palm Springs International Airport will be
set as race neutral. We do not have sufficient evidence of discrimination or its effects to
support a race-conscious goal at this time. It should be noted that the City has
developed a Small Business Enterprise program that provides a means to set goals for
small business utilization in federally-funded projects. The program will be
implemented during this goal period and it is projected that the program will assist the
airport in meeting its DBE goals.
The following methods will be employed to implement race-neutral goals:
1) Provide information on the Palm Springs International Airport
organization, functions and its full range of contractual needs.
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2) Offer instructions and clarification on bid specifications, procurement
policy, procedures, and general bidding requirements.
3) Maintain a file of successful bid documents from past procurement and
permit potential participants to review and evaluate such documents.
4) Conduct debriefing sessions on each awarded contract to explain why
certain bids were unsuccessful.
5) Routinely issue projected procurement information.
6) Provide instructions and clarification on job performance requirements.
7) Provide information and assistance on certification procedures, sub-
contracting practices, bonding requirements.
8) Provide assistance in obtaining bonding and financing and provide
technical assistance.
9) Arrange solicitations, time for presentation of bids, quantities,
specifications and delivery schedules to facilitate the participation of
DBEs.
10) Implement small business goals where practicable.
The recruiting area for the projects will consist of San Bernardino, San Diego,
Riverside, Orange, and Los Angeles counties.
A published notice announcing our proposed overall goal, informing the public that the
proposed goal and its rationale are available for inspection during normal business
hours at the our principal office for 30 days following the date of the notice, and
informing the public that we will accept comments on the goals for 45 days from the
date of the notice will be published in The Desert Sun.
Notices will also be sent to the following organizations:
• Association of General Contractors — Riverside/San Bernardino District
• Black Chamber of Commerce of Orange County
• Coachella Valley Mexican American Chamber of Commerce
• National Association of Minority Contractors — Mid California
• National Association of Women in Construction — NAWC #111
• Palm Springs Chamber of Commerce
Copies of the notice and responses will be forwarded to the FAA Regional Civil Rights
Office.
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2) Offer instructions and clarification on bid specifications, procurement
policy, procedures, and general bidding requirements.
3) Maintain a file of successful bid documents from past procurement and
permit potential participants to review and evaluate such documents.
4) Conduct debriefing sessions on each awarded contract to explain why
certain bids were unsuccessful.
5) Routinely issue projected procurement information.
6) Provide instructions and clarification on job performance requirements.
7) Provide information and assistance on certification procedures, sub-
contracting practices, bonding requirements.
8) Provide assistance in obtaining bonding and financing and provide
technical assistance.
9) Arrange solicitations, time for presentation of bids, quantities,
specifications and delivery schedules to facilitate the participation of
DBEs.
10) Implement small business goals where practicable.
The recruiting area for the projects will consist of San Bernardino, San Diego,
Riverside, Orange, and Los Angeles counties.
A published notice announcing our proposed overall goal, informing the public that the
proposed goal and its rationale are available for inspection during normal business
hours at the our principal office for 30 days following the date of the notice, and
informing the public that we will accept comments on the goals for 45 days from the
date of the notice will be published in The Desert Sun.
Notices will also be sent to the following organizations:
• Association of General Contractors — Riverside/San Bernardino District
• Black Chamber of Commerce of Orange County
• Coachella Valley Mexican American Chamber of Commerce
• National Association of Minority Contractors — Mid California
• National Association of Women in Construction — NAWC #111
• Palm Springs Chamber of Commerce
Copies of the notice and responses will be forwarded to the FAA Regional Civil Rights
Office.
9 11