HomeMy WebLinkAboutMINUTES - 09162008 - C.6 C,
TO: BOARD OF SUPERVISORS .;•- ,, �_ Contra
� s
FROM: JULIA R. BUEREN PUBLIC WORKS DIRECTOR 0,
Costa
DATE: September 16, 2008 co '
SUBJECT: ACKNOWLEDGE receipt of Annual Anticipated DBE Partici "lion Level AADPL
p P p (AADPL)
Methodology Report for Federal Highway Administration(FHWA) Funded Contracts for FFY
08/09, Countywide. (100% Federal Highway Funds) (All Districts)
DATE: September 16, 2008
PAGE: 2 of 2
FISCAL IMPACT:
There is no impact on the General Fund. Submittal of the AADPL to Caltrans is prerequisite to maintaining
eligibility for Federal funding for County road and bridge projects.
REASONS FOR RECOMMENDATIONS AND BACKGROUND:
On March 6, 2007,the Board of Supervisors approved an amended Disadvantaged Business Enterprises (DBE)—
Race Neutral Implementation Agreement with Caltrans. In accordance with this agreement,the County is required
to submit the County's AADPL for the upcoming Federal fiscal year in order to receive any Federal funding for
County road and bridge projects.
CONSEQUENCES OF NEGATIVE ACTION:
If the Board does not take the recommended action, Caltrans will not authorize any Federal funds earmarked for
County road and bridge projects in 2008/2009 Federal fiscal year.
COUNTY OF CONTRA COSTA
ANNUAL ANTICIPATED DISADVANTAGES BUSINESS ENTERPREISE
PARTICIPATION LEVEL (AADPL) AND METHODOLOGY REPORT FOR FHWA
FUNDED CONTRACTS
JUNE 2008
In consideration of all the evidence described in this report as well as our knowledge of
our contracting market, we have determined that the appropriate overall Annual
Anticipated Disadvantaged Business Enterprise (DBE) Participation Level (AADPL) for
Federal Highway Administration assisted County.projects for Federal Fiscal Year (FFY)
2008/09 is 10.71%.
1. FHWA-ASSISTED CONTRACTING PROGRAM FOR FFY 2008/09
The following represents County of Contra Costa's (County) projected FHWA-assisted
(USDOT funded) contracts and expenditures by work category for FY 2008/09:
Work Item # Work Category Estimated Federal
(NAICS CODE #) Dollars
Consulting Services:
(See Attach.1)
1 Engineering/Construction $2,503,750
Management/Soils Consultant
(NAICS # 541330)
2 Right of Way Consultant $0
(NAICS # 531390)
3 Environmental Consultant $130,000
(NAICS # 541620)
Construction:
(See Attach. 2)
4 Contractors $12,738,550
(NAICS # 237310,237990)
5 Trucking $670,450
(NAICS #484220)
TOTAL $16,042,750
(See Attachments 1 and 2 for details upon which the above summary is based.)
2. GOAL— METHODOLOGY
Step 1: Determination of a Base Figure (49 CFR Section 26.45 (c))
The County utilized the following methodology in establishing the County's base figure of
relative DBE availability for FFY 2008/09;
• For the numerator — Certified DBE firms under the California Unified Certification
Program '(CUCP) as listed on the Caltrans-maintained CUCP DBE directory website
http://www.dot.ca.gov/hq/bep/dbeguery.htm with NAICS` Codes that include the types
of work anticipated and who reside in Contra Costa County and surrounding counties
that would bid work in Contra Costa County
Page 1 of 5
• For the denominator — All firms on Census Bureau website
http://www.census.gov/epcd/cbp/view/cbpview.htm with NAICS Codes that includes the
types of work anticipated who reside in Contra Costa County and surrounding counties
that would bid work in Contra Costa County
*NAICS is the North American Industry Classification System and has replaced the U.S.
Standard Industrial Classification (SIC) system. This classification system was developed
jointly by the U.S., Canada, and Mexico to provide new comparability in statistics about
business activity across North America
The County calculated the Base Figure for ready, willing, and able certified DBEs as follows:
1. DBE % by Work Category = #of DBEs on Caltrans website by applicable NAICS
of all Firms on Census Bureau website by applicable NAICS]
2. DBE $ by applicable NAICS = DBE % by applicable NAICS X $ by applicable NAICS
3. Total DBE $ = Sum of DBE $ by applicable NAICS
4. Overall Base Figure = Total DBE $ /Total Contract $
Using the above described calculations, the overall base figure is calculated to be 10.71%
using this formula. The table below tabulates the 10.71% Base Figure calculation.
Calculation of Base Figure:
WORK WORK EST. # OF DBEs TOTAL # DBE % BY TOTAL
ITEM # CATEGORY FED. BY WORK OF FIRMS WORK DBE $
DOLLARS CAT. BY WORK CAT. Sum(Col.
(Col. C) (Col. E) CAT. Col. D=Col. D x Col. C)
(Col. F) E/Col. F
Consulting Services:
1 Engineering/Const. $2,503,750 101 2211 4.57% $114,421
Management/Soils
2 Right of Way $0 4 590 0.67% $0
3- Environmental $130,000 43 319 13.48% $17,524
Construction:
4 Contractors $12,738,550 36 293 12.29% $1,565,568
5 Trucking $670,450 17 531 3.20% $21,454
Total Fed.: $16,042,750 Total DBE : $1,718,967
TOTAL BASE FIGURE: [($1,718,967/$16,042,750) * 100%=] 10.71%
Step 2: Adjustment of Base Figure (49 CFR Section 26.45 (d))
After completing Step 1 of the process, we then examined all of the available evidence in
our, jurisdiction to determine what adjustment, if any, was needed to the Base Figure. As
explained below, this process resulted in no adjustment in the Base Figure for an AADPL of
10.71%. Available evidence considered by us included the following:
Page 2 of 5
(1) Current Capacity of DBEs Measured by Actual Utilization:
One potential indicator of the availability and capacity to perform of DBEs is the
volume of work actually performed by DBEs on the County's FHWA-funded projects in
recent years. The figures for Fiscal Years 2003/04, 2004/05, 2005/06, 2006/07 and
year-to-date 2007/08 based on total dollars (both local and federal $) paid to DBEs are
set forth in the following tables:
FISCAL YEAR
2003/04
Work Category $ Paid to $ Paid to DBE Firms % Paid to
Contractors/ DBE Firms
Consultants
Consulting Services $77,900 $11,939 15.3%
Construction $486,074 $9,473 2.0%
FISCAL YEAR
2004/05
Work Category $ Paid to $ Paid to DBE Firms % Paid to
Contractors/ DBE Firms
Consultants
Consulting Services $7,028 $0 0%
Construction $100,173 $10,765 10.7%
FISCAL YEAR
2005/06
Work Category $ Paid to $ Paid to DBE Firms % Paid to
Contractors/ DBE Firms
Consultants
Consulting Services $115,518 $4,522 3.9%
Construction $76,794 $5,361 7%
FISCAL YEAR
2006/07
Work Category $ Paid to $ Paid to DBE Firms % Paid to
Contractors/ DBE Firms
Consultants
Consulting Services $89,033 $10,300 11.6%
Construction $212,000 $47,100 22.2%
FISCALYEAR
2007/08 (year-to-date)
Work Category $ Paid to $ Paid to DBE Firms % Paid to
Contractors/ DBE Firms
Consultants
Consulting Services $225,600 $10,000 4.40%
Construction $365,395 $19,500 5.3%
Totals $1,755,515 $128,960 7.35% Avg.
Page 3 of 5
Since Fiscal Year 2003/04, the average DBE utilization (measured by the percentage of
dollars paid to DBEs) was 7.35%. While DBE consultants have performed a significant
percentage of our professional services needs (primarily in construction management
services), the DBE contractors, suppliers and truckers have not performed the amount of
work in proportion to their representation. Prime contractors continue to utilize DBE
subcontractors, suppliers and truckers below their representation in the workplace. In
reviewing the prime contractors documentation prior to the implementation of the mandated
race-neutral program in May 2006 and review of the DBE database there does not appear to
be a lack of DBEs to solicit subbids and quotes. Therefore, setting anticipated participation
level for FFY 08/09 at the base figure of 10.71%, which is higher than past utilization, is
appropriate.
(2) Disparity Studies:
The California State Department of Transportation had a disparity study prepared by
BBC Research and Consulting. This detailed (539+ page) report researched and analyzed
DBE's involvement in the design and construction of roads and freeways in California. The
types of businesses studied in this report are the same types of businesses that Contra
Costa County would utilize to design and construct federally funded construction projects.
Based upon our review of this study, there is no compelling reason to adjust our AADPL
base figure of 10.71%.
Step 3: Overall AADPL (49 CFR Section 26.45(e))
In consideration of all the evidence described above, as well as our knowledge of our
contracting market, we have determined that the appropriate overall Annual Anticipated DBE
Participation Level (AADPL) for FHWA-assisted County projects in fiscal year 2008/09 is
10.71%.
FINAL SUMMARY
Project Items: Fed. $ Amount Fed. $ DBE % DBE
I. Consulting Services $2,633,750 $131,945 5.01%
IL Construction $13,409,000 $1,587,022 12.00%
Total $16,042,750 $1,718,967 10.71%
I. Consulting Services
Item Description Fed. $ Amount Fed. $ DBE % DBE
Engineering/CM $2;503,750 $114,421 4.57%
Environmental $130,000 $17,524 13.48%
Ri-ght of Wav $00 $_0 0%
Total $2,633,750 $131,945 5.01%
Page 4 of 5
II. Construction Contracts
Item Description Fed. $ Amount Fed. $ DBE % DBE
Contractor $12,738,550 $1,565,568 12.29%
Trucking $670,450 $21,454 3.20%
Total $13,409,000 $1,587,022 12.00%
Julia R. eren
�' Public Works Director
MS:MLH:BF:kg
G:\Design\CT DBE Forms_Exhibits\FFY08-09\FHWA\AADPL FHWA Methodologyffy08-09.doc
Attachments
C: E.Kuevor,DBELO
A.Duffy,Caltrans
Page 5 of 5
CONSULTANTS Attachment 1
PARTICIPATION
IFFY 2008/09 FHWA PROJECTS*
CONST.
MANAGEMENT/ RIGHT OF
SOILS WAY EVIRON.
PROJECT CONSULTANT CONSULTANT CONSULTANT TOTALS
Bethel Island Bridge $1,500,000 0 0 $1,500,000
Marsh Creek Bridge $500,000 $0 $80,000 $580,000
San Pablo Bridge $50,000 0 $50,000 $100,000
Ironhorse Trail Ped.
Bridge $453,750 $0 $0 $453,750
TOTAL $2,503,750 $0 $130,000 $2,633,750
NAICS DBE °/a (see
report pg. 2) 4.57% 0.67% 13.48% NA
Est. DBE $ Participation
Consultant Services $114,421 $0 $17,524 $131,945
Final Est. Total DBE%
Participation (DBE participation/Total) ` 100= %DBE
($131,945/$2,633,750)*100= 5.01%
*Amounts Shown Are In Federal Project Dollars
(08-09)DBEreportFH W Aatt1/thwaconsult
Contractor/Truckers Participation Attachment 2
FFY 2008-09 FHWA Projects
PROJECT Contractors I Trucking I Totals
Iron horse Trail O.C. $2,873,750 $151,250 $3,025,000
Bethel Island Bridge $9,500,000 $500,000 $10,000,000
Willow Lake Road Sidewalk $126,350 $6,650 $133,000
Delta De Anza Gap Closure $238,450 $12,550 $251,000
Total $12,738,550 $670,450 $13,409,000
NAICS DBE % (see report pg.
2) 12.29% 3.20%
Est. DBE Participation in
Construction $1,565,568 $21,454 $1,587,022
Final Est. Total DBE%
Participation (DBE participation/Total) * 100%= %DBE
($1,565,568/13,049,000) "100= 12.00%
*Amounts Shown Are In Federal Project Dollars
(08-09)DBEreportFHWAatt2/FHWA Summary Sheet
TO: CALTRANS DISTRICT 4
District Local Assistance Engineer
The amount of the Annual Anticipated DBE Participation Level (AADPL) and methodology are
presented herein in accordance with Title 49 of the Code of Federal Regulations, Part 26, and the
State of California Department of Transportation Disadvantaged Business Enterprise (DBE)
Program Plan.
The County of Contra Costa submits our AADPL information. We have established an AADPL
of 10.71% for the Federal Fiscal Year 08/09, beginning on October 1, 2008 and ending on
September 30, 2009.
Methodology
See attached Annual Anticipated DBE Participation Level Methodology Report, dated June
2008.
Disadvantaged Business Enterprise Liaison Officer (DBELO)
County Administrators Office
Emma Kuevor, Affirmative Action Officer
651 Pine Street, 10`I' Floor
Martinez, CA 94553
Phone: (925) 335-1045
Fax: (925) 646-1353
Email: ekuev@cao.cccounty.us
Prompt Pay
Federal regulation (49 CFR 26.29) requires one of three methods be used in federal-aid contracts
to ensure prompt and full payment of any retainage, kept by the prime contractor or
subcontractor, to a subcontractor. (Attached is a listing of the three methods. On the attachment,
please designate which prompt payment provision the local agency will use.)
Submitted by: �� Date: SEPTEMBER 16, 2008
David Twa, County Administrator
Phone Number: (925) 335-1080
Reviewed by Caltrans: Date:
(Signature of Caltrans District Local Assistance Engineer [DLAE])
Distribution:(1)Original—DLAE DDE Annual Submittal Form(05/01/06)
(2)Copy-local agency after signing by DLAE
(Attachment)
Prompt Payment of Withheld Funds to Subcontractors
Federal regulation (49 CFR 26.29) requires one of the following three methods be used in federal-aid
contracts to ensure prompt and full payment of any retainage kept by the prime contractor or
subcontractor to a subcontractor.
Please check the box of the method chosen by the local agency to ensure prompt and full payment of any
retainage.
❑ No retainage will be held by the agency from progress payments due to the prime contractor.
Prime contractors and subcontractors are prohibited from holding retainage from subcontractors.
Any delay or postponement of payment may take place only for good cause and with the agency's
prior written approval. Any violation of these provisions shall subject the violating contractor or
subcontractor to the penalties, sanctions, and other remedies specified in Section 7108.5 of the
California Business and Professions Code. This requirement shall not be construed to limit or
impair any contractual, administrative, or judicial remedies, otherwise available to the contractor or
subcontractor in the event of a dispute involving late payment or nonpayment by the contractor,
deficient subcontractor performance, and/or noncompliance by a subcontractor. This clause applies
to both DBE and non-DBE subcontractors
❑ No retainage will be held by the agency from progress payments due the prime contractor. Any
retainage kept by the prime contractor or by a subcontractor must be paid in full to the earning
subcontractor in 30-days after the subcontractor's work is satisfactorily completed. Any delay or
postponement of payment may take place only for good cause and with the agency's prior written
approval. Any violation of these provisions shall subject the violating contractor or subcontractor
to the penalties, sanctions, and remedies specified in Section 7108.5 of the California Business and
Professions Code. This requirement shall not be construed to limit or impair any contractual,
administrative, or judicial remedies, otherwise available to the contractor or subcontractor•in the
event of a dispute involving late payment or nonpayment by the contractor, deficient subcontractor
performance, and/or noncompliance by a subcontractor. This clause applies to both DBE and non-
DBE subcontractors.
® The agency shall hold retainage from the prime contractor and shall make prompt and regular
incremental acceptances of portions, as determined by the agency of the contract work and pay
retainage to the prime contractor based on these acceptances. The prime contractor or
subcontractor shall return all monies withheld in retention from all subcontractors within 30 days
after receiving payment for work satisfactorily completed and accepted including incremental
acceptances of portions of the contract work by the agency. Any delay or postponement of
payment may take place only for good cause and with the agency's prior written approval. Any
violation of these provisions shall subject the violating prime contractor to the penalties, sanctions,
and other remedies specified in Section 7108.5 of the California Business Professions Code.This
requirement shall not be construed to limit or impair any contractual, administrative, or judicial
remedies otherwise available to the contractor or subcontractor in the event of: a dispute involving
late payment or nonpayment by the contractor; deficient subcontractor performance and/or
noncompliance by a subcontractor. This clause applies to both DBE and non-DBE subcontractors.
G:\Design\CT DBE Forms_Exhibits\FFY08-09\FHWA\AADPL submittal Form for FFY 08-09.doc
1