40E-7.670. Competitive Solicitation Preferences  


Effective on Thursday, August 29, 2013
  • 1The Small Business Enterprise Contracting Rule in this part provides for three types of Competitive Solicitation Preferences designed to assist small businesses. The Bid Equalization, Sheltered Market and Subcontracting Requirements are outlined below.

    34(1) Bid Equalization. 37This process enables the District to award a contract to an SBE Prime even though the SBE Prime was not the low bidder as long as the SBE Prime’s bid was within a predetermined percentage of the lowest Non-SBE Prime’s responsive, and responsible bid. Bid Equalization preferences are used only in construction solicitations.

    90Prior to solicitation, the District must determine whether to use the Bid Equalization preference. Should the District choose to use this preference, the District must first obtain the District engineer's estimate for the construction work being contemplated in the solicitation. Based on the estimate, the District will establish the percentage preference to apply in the solicitation.

    146The percentages will be applied as follows:

    153(a) For contracts with an estimated value of $2,000,000 or more, the District shall implement a maximum bid adjustment of one percent (1%).

    178(b) For contracts with an estimated value of more than $500,001 but less than $2,000,000, the District shall implement a maximum bid adjustment of five percent (5%).

    208(c) For contracts valued at $500,000 or less, the District shall implement a maximum bid adjustment of ten percent (10%).

    229(d) The solicitation language shall clearly state that based on the District’s estimate, a certain percentage preference will be applied to an SBE Prime, if the SBE Prime meets all of the requirements for the preference. For example, if the District engineer’s estimate for a construction project is $100,000, the District shall establish a 10% preference for an SBE Prime. If a Non-SBE Prime is the lowest responsive and responsible bidder at $100,000 and the next lowest responsive and responsible bid is by an SBE Prime at $103,000, the SBE would be provided the ten percent preference and be awarded the contract at $103,000. The SBE Prime’s bid was only $3,000 greater than the Non-SBE Prime. Therefore the SBE Prime was 3% over and well within 10% of the lowest Non-SBE Prime’s responsive and responsible bid and able to take advantage of the preference to obtain the contract award.

    383(e) The Bid Equalization does not apply to bids let under the Sheltered Market Program or when all bids received are from SBE Primes.

    407(2) Sheltered Market Program. The District may provide for sheltered markets to allow only SBE’s to bid on designated solicitations. In order to designate a sheltered market the District must identify at least 3 SBEs available to perform work within the industry identified in the solicitation.

    453(3) Subcontracting Requirements.

    456(a) Bids – The District shall set subcontracting goals for all bids based on availability of vendors registered with the District, including SBE firms able to perform work within specific commodity codes. The goals shall be applied as a percentage of the total contract value to be assigned to SBE firms.

    507The maximum goal that will be applied to any solicitation will be 25%. When an SBE goal is set bidders shall provide work to one or more SBEs in order to meet the goal. 541At the time of submittal of its bid, the bidder shall identify all SBE firms which will be utilized as subcontractors, by using Form No. 0956, “Small Business Enterprise Subcontractor Participation Schedule” effective (August 29, 2013) (578http://www.flrules.org/Gateway/reference.asp?No=Ref-03065580). All bids submitted where SBE participation is required, shall include Form No. 0957, “Statement of Intent to Perform as a Small Business Enterprise Subcontractor” effective (August 29, 2013) (610http://www.flrules.org/Gateway/reference.asp?No=Ref-03066612). This form shall be signed by the SBE subcontractor, Form Nos. 0956 and 0957, together called the SBE Subcontractor Utilization Plan, must reflect the parties’ intent to establish a business relationship as well as the type of work and percentage of work that the SBE subcontractor will perform. Failure to submit any of the information as required herein shall lead to the bid being deemed non-responsive. 679Form Nos. 0956 and 0957 are incorporated by reference herein and are available at no cost by contacting the South Florida Water Management District Clerk’s Office, South Florida Water Management District, 3301 Gun Club Road, West Palm Beach, FL 33406, 1(800) 432-2045, ext. 6436, or (561) 682-6436.

    726Any bidder failing to meet the established goal shall be deemed nonresponsive. 738If an SBE Prime intends to subcontract work to an SBE subcontractor, the SBE Prime must submit the aforementioned forms at the time of submitting its bid or be deemed non-responsive. If the SBE Prime intends to perform 100% of the work, the SBE Prime does not have to submit the aforementioned forms.

    791(b) Standard Proposals – For solicitations where a contract is awarded based on an evaluation criteria, and where the scope of work is clearly defined the District shall 819determine subcontracting goals for each solicitation based on availability of SBE firms as stated above in Section 3(a). The maximum goal that will be applied to any solicitation will be 25%. 850The goals shall be applied as a percentage of the total contract value to be assigned to SBE firms. 869At the time the proposal is submitted the proposer shall identify all SBE firms (if any) which will be utilized as subcontractors, by using Form No. 0956, “Small Business Enterprise Subcontractor Participation Schedule,” incorporated by reference in paragraph (3)(a) herein. All proposals with SBE subcontractor participation shall include Form No. 0957, “Statement of Intent to Perform as an Small Business Enterprise Subcontractor, also incorporated by reference in paragraph (3)(a) herein. This form shall be signed by the SBE subcontractor949. 950Form Nos. 0956 and 0957 together called the SBE Subcontractor Utilization Plan must reflect the parties’ intent to establish a business relationship as well as the type of work and percentage of work that the SBE subcontractor will perform. 989If an SBE Prime intends to subcontract work to an SBE subcontractor, the SBE Prime must submit the aforementioned forms at the time of submitting its proposal. 1016Any non SBE Prime contractor who fails to meet the established goal shall be deemed non-responsive.

    1032(c) Work Order Proposals – For solicitations where a contract is awarded based on evaluation criteria and where the scope of work is not clearly defined resulting in work order contracts, will not contain a goal, but shall require proposers to commit to goals assigned to individual work orders issued throughout the term of the contract. The goal for individual work orders will be based on availability of SBE firms as stated above in paragraph (3)(a). The maximum goal that will be applied to any work order will be 25%. 1122At the time the proposal is submitted, the proposer shall identify all proposed SBE firms that will be utilized as subcontractors.

    1143At the time a work order with an SBE goal is assigned, the Prime Contractor shall submit a cost proposal, and identify all SBE subcontractors and the percentage of work that the SBE subcontractor(s) will perform by using Form No. 0956, “Small Business Enterprise Subcontractor Participation Schedule,” incorporated by reference in paragraph (3)(a) herein. All cost proposals shall also include Form No. 0957, “Statement of Intent to Perform as a Small Business Enterprise Subcontractor,” also incorporated by reference in paragraph (3)(a) herein. This form shall be signed by the SBE subcontractor. A work order will not be executed with a Prime Contractor whose cost proposal does not meet the established goal for that work order. In addition, failure to meet the goal set by the District for an executed work order will result in a breach of contract by the Prime Contractor.

    1287Rulemaking Authority 1289373.044, 1290373.113 FS. 1292Law Implemented 1294373.1135 FS. 1296History–New 8-3-06, Amended 8-29-07, 8-29-13.

     

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