Table of Contents DBE PROGRAM AUTHORITY........................................................................ 4 FUNDING SOURCES OF THE MDOT DBE PROGRAM ................................................................................. 4 DBE PROGRAM OVERVIEW ................................................................................................................. 5 A. DBE PROGRAM GOALS ................................................................................. 6 METHODOLOGY................................................................................................................................. 7 PROJECTING RACE-NEUTRAL/RACE-CONSCIOUS PORTIONS OF THE GOAL ..................................................... 9 THE CST AND DBE PARTICIPATION GOALS ON MDOT-LET HIGHWAY PROJECTS ......................................... 10 SETTING GOALS ON INDIVIDUAL PROJECTS ............................................................................................ 12 DBE PARTICIPATION DESIGNATIONS ON DESIGN-BUILD PROJECTS ............................................................ 13 COMPOSITION OF THE CONTRACT SELECTION TEAM (CST) ...................................................................... 13 DBE GOAL MONITORING AND REPORTING ........................................................................................... 13 B. MICHIGAN UNIFIED CERTIFICATION PROGRAM (MUCP)(UPDATED) ............ 15 MUCP-CERTIFYING AGENCY REQUIREMENTS ....................................................................................... 16 ANNUAL AFFIDAVIT REQUIREMENT ..................................................................................................... 16 DBE DIRECTORY .............................................................................................................................. 16 C. CERTIFICATION STANDARDS FOR DBE APPLICANTS .................................... 18 SMALL BUSINESS SIZE ....................................................................................................................... 18 SOCIAL AND ECONOMIC DISADVANTAGE STATUS (UPDATED) .................................................................... 18 REBUTTAL OF PRESUMPTION OF DISADVANTAGE .................................................................................... 19 OWNERSHIP ................................................................................................................................... 20 CONTROL AND INDEPENDENCE ........................................................................................................... 20 WORK CLASSIFICATIONS .................................................................................................................... 24 OTHER RULES AFFECTING CERTIFICATION ............................................................................................. 24 D. MDOT DBE CERTIFICATION PROCEDURES ................................................... 26 PROCESSING OF APPLICATIONS (UPDATED) ........................................................................................... 26 INTERSTATE CERTIFICATION ................................................................................................................ 26 INTAKE OF APPLICATIONS .................................................................................................................. 27 ON-SITE VISITS AND FIELD MONITORING ............................................................................................. 28 COMPLETION OF APPLICATION PROCESS ............................................................................................... 29 ANNUAL AFFIDAVIT REQUIRED TO MAINTAIN CERTIFICATION (UPDATED).................................................... 29 MDOT DENIAL PROCESS .................................................................................................................. 31 APPEALS TO THE US DOT ................................................................................................................. 31 SUMMARY SUSPENSION OF CERTIFICATION ........................................................................................... 31 DBE CERTIFICATION ELIGIBILITY REMOVAL AND APPEAL PROCESS ............................................................. 32 INTENT TO REMOVE ELIGIBILITY HEARING ............................................................................................. 34 APPEALS TO THE US DOT ................................................................................................................. 34 i | P a g e E. PUBLIC INFORMATION AND COMPLAINTS .................................................. 36 MDOT FRAUD AND ABUSE HOTLINE ................................................................................................... 37 US DOT DIRECTIVE TO REMOVE A FIRM’S ELIGIBILITY ............................................................................ 37 FREEDOM OF INFORMATION ACT (FOIA) REQUESTS ............................................................................... 38 F. COMMERCIALLY USEFUL FUNCTION (CUF) .................................................. 39 CUF REVIEWS AND OUTCOMES .......................................................................................................... 41 COUNTING DBE PARTICIPATION TOWARD CONTRACT GOALS ................................................................... 43 DBE CREDIT AND CUF ..................................................................................................................... 44 DBE TRUCKERS ............................................................................................................................... 44 DBE SUPPLIERS ............................................................................................................................... 45 GUIDANCE FOR DBE PARTICIPATION AS SUPPLIERS ................................................................................. 47 USE OF JOINT CHECKS TO GUARANTEE PAYMENT FOR MATERIALS AND SUPPLIES ......................................... 50 G. GOOD FAITH EFFORT (GFE) PROCESS .......................................................... 51 GFE APPLICATIONS .......................................................................................................................... 51 EFFORTS TO OBTAIN DBE PARTICIPATION ............................................................................................ 51 PRE-AWARD GFE ............................................................................................................................ 54 TIMELINE OF GFE PROCESS ............................................................................................................... 55 POST-AWARD GFE AND DBE SUBSTITUTION REQUESTS ......................................................................... 56 COMPOSITION OF THE GFE COMMITTEE .............................................................................................. 59 GFE APPEALS ................................................................................................................................. 59 FEDERALLY REQUIRED POTENTIAL SANCTIONS ....................................................................................... 60 H. MDOT’S SMALL BUSINESS PROGRAM (SBP) ................................................ 62 ELIGIBILITY CRITERIA ......................................................................................................................... 62 ANNUAL AFFIDAVIT REQUIRED TO MAINTAIN SBP CERTIFICATION ............................................................ 63 PROJECT SELECTION FOR MDOT-LET PROJECTS .................................................................................... 63 PROJECT SELECTION CRITERIA FOR NON-MDOT-LET SUB-RECIPIENT GRANTEE PROJECTS ............................. 64 MDOT ASSURANCES ....................................................................................................................... 65 I. FEDERAL EQUAL OPPORTUNITY (EO) REQUIREMENTS FOR CONTRACTORS 67 J. CONSTRUCTION CONTRACTOR RESOURCES ................................................ 69 CONSTRUCTION PREQUALIFICATION .................................................................................................... 69 VENDOR AVAILABILITY QUESTIONNAIRE ............................................................................................... 69 BID LETTINGS AND BIDDING PROCESS .................................................................................................. 70 CONSTRUCTION SUBCONTRACTING PROCESS ......................................................................................... 70 PREVAILING WAGE........................................................................................................................... 70 PROMPT PAYMENT REQUIREMENTS .................................................................................................... 71 FORMS FOR CONSTRUCTION CONTRACTORS .......................................................................................... 72 COUNTING AND CUF OF DBE FIRMS ON CONSTRUCTION PROJECTS .......................................................... 72 COUNTING DBE CONSTRUCTION CONTRACTOR JOINT VENTURES .............................................................. 72 ii | P a g e K. CONSULTANT RESOURCES .......................................................................... 73 DBE PARTICIPATION ON PROJECTS WITH DBE GOALS ............................................................................. 73 PREQUALIFIED DBE CONSULTANT ......................................................................................................