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Home My WebLink About97-04 RESOLUTIONNAME OF FILE: CROSS REFERENCE: Item # Date Resolution No. 97-04 Document • 1 05/25/04 memo to City Council 2 draft resolution 3 copy of Overall Goal & Methodology 4 Staff Review Form 5 copy of email from James Nicholson to cpearman 6 copy of fax to James Nicholson 7 copy of memo to James Nicholson 8 9 10 11 12 13 14 15 16 17 NOTES. -FAYETTEVPLLE THE CITY OF FAYETTEVILLE, ARKANSAS DAN COODY, MAYOR AVIATION AND ECONOMIC DEVELOPMENT RAY M. BOUDREAUX, DIRECTOR TO: THRU: FROM: DATE: SUBJECT: Fayetteville City Coun Ray M. Boudreaux, Staff Review Comm James L. Nicholson, Financial Co May 25, 2004 Disadvantaged Business Enterprise (DBE) Program Goal Update br FY2004 irector • DB rdinator / DBE Liaison^ %fit --5 I 7'-o'/ Prosrcln G= a /fY24 4500 School Ave., Suite F Fayetteville, AR 72701 479.718.7642 Recommendation: Review & Approval of a Resolution to accept the Fayetteville Municipal Airport Disadvantaged Business Enterprise (DBE) Program Goal Update for FY2004. Background: On October 14, 2000, the Fayetteville City Council approved the Fayetteville Municipal Airport's revised Disadvantaged Business Enterprise Program. The Airport's DBE Program is federally mandated under 49 CFR Part 26 for all Department of Transportation (DOT/FAA) grant recipients which anticipate receiving more than $250,000 in federal funds in the fiscal year. Drake Field anticipates receiving approximately $818,530, (Taxiway "A" Extension Phase II -USDA Forestry Service firebase project) from the DOT/FAA in FY 2004. The DBE Program assures that Minority & Women -owned businesses, and other economically disadvantaged small businesses have an equal opportunity, or "level playing field," in competing for Airport procurement contracts. 49 CFR Part 26 requires that our DBE Program Goal be updated annually. The Updated Goal describes the overall DBE participation percentage and value of procurement contracts targeted for award to DBE contractors in the fiscal year. The regulation provides the methodology to be used to set contract DBE participation goals. Discussion: The purpose of this item is a new resolution amending Fayetteville City Council Resolution No. 150-01-00. Resolution No. 150-01 approves the Revised Disadvantaged Business Enterprise Program to be implemented for all DOT/FAA grant assisted contracts entered into by the City of Fayetteville Municipal Airport. The new resolution will accept and approve the airport's updated DBE participation goal for FY 2004. Budget Considerations: No budget effect. Action Requested: A motion to accept and approve the updated DBE participation Goal for FY 2004, and forward to the Fayetteville City Council. /,jn Attachment: FY 2004 Goal Update & Methodology Resolution 150-01 • • RESOLUTION NO. A RESOLUTION TO ACCEPT AND APPROVE THE UPDATED FAYETTEVILLE MUNICIPAL AIRPORT DISADVANTAGED BUSINESS ENTERPRISE (DBE) PROGRAM PARTICIPATION GOALS FOR FY2004. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkans'is hereby accepts and approves the updated Fayetteville Muni pal< p ort Disadvantaged Business Enterprise (DBE) Program participatipr"'i�'go:Is for FY2004. II�J PASSED and APPROVED this 6th day of July 2004. r4TTEST: By A e6ODY, Mayor SONDRA:.1MITI3!City Clerk • • Airport Sponsor: Name of Preparer: • • Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update City of Fayetteville James Nicholson, Financial Coordinator Fayetteville Municipal Airport/Drake Field 4500 S School Ave., Suite F, Fayetteville, AR 72701 Goal Period- Project Based — AIP Grant No. 3-05-0020-0032-2004 Overall DBE Goal: For review 1.18% Introduction to 2004 DBE Goal update. The City of Fayetteville / Fayetteville Municipal Airport DBE Goal update for Fiscal Year (FY) 2004 and extending through the completion of the Airport Improvement Project (AIP), is provided to describe the Airport Projects which are funded in part with Department of Transportation (DOT) / Federal Aviation Administration (FAA) funds, and to determine by the federally prescribed methodology the portion or percentage of those funds targeted for contract award to Disadvantaged Business Enterprises (DBE's) in accordance with Federal Regulations 49 CFR Part 26. The Goal Update is a prerequisite for AIP grant funding for airports which anticipate receiving more than $250,000 in federal funding from the DOT / FAA in the 2004 fiscal year. The 2004 DBE Goal Update revises the DBE participation goal in federally funded airport contracts anticipated for the 2004 fiscal year, from that originally described in the airport's previously published DBE Program Plan and successive annual goal updates. The FY 2004 Goal Update is effective October l", 2003 through completion of the grant funded project. Public Participation and Consultation in the DBE Goal Update process is a requirement under federal regulations at §26.45(g). The updated Goal and Methodology is published for 30 days prior to submittal to the FAA for approval. Comments on the Goal Update are accepted for 45 days after the date of public notification of its availability for public review. A number of interested private and public entities were selected to review and comment on the Goal Update, (see attachment #1 - list of consulting agencies). Public comments on the updated goal and methodology are incorporated with the submission to the FAA. Public comments on the proposed FY 2004 Goal were received as of **/**/04, (see attachment #2 — comments) Comments on the FY 2004 DBE Goal Update may be submitted to the Fayetteville Municipal Airport's DBE Liaison Officer by phone, writing, fax, or e-mail to the following: James Nicholson, DBE Liaison Officer Fayetteville Municipal Airport / Drake Field 4500 South School Ave., Suite F Fayetteville, AR 72701 479-718-7643 479-718-7646 fax in icholson@ci.favetteville.ar.us Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update OVERALL GOALS (§26.45) Amount of Goal Fayetteville Municipal Airport's overall goal for FY 2004 is: 1.18% Fayetteville Municipal Airport anticipates one ALP (federally funded) project in FY 2004. The estimated project cost is $818,530 for Construction of an Extension to Taxiway "A". Thus, the projected dollar amount of DBE participation in the project is: $ 9,659 Determination of Market Area Step 1 of the methodology for determining DBE percentage goal requires an assessment of the relative availability of DBE's in the local market area. The local market area is the area which provides, or is most likely to provide, the firms considered qualified to perform the needed work. We used the most recent Census data available (2001) for Washington County, Arkansas and the four surrounding Arkansas counties, Benton, Crawford, Franklin, and Madison counties. Effectively all contractors for airport improvement work of the nature described in the first section have historically come from the local area, specifically, Washington, Crawford, and Benton County. Except that occasionally a contractor performing ancillary tasks may be recruited from a further distance. However, for the sake of including contractors within a reasonable, feasible range, two other counties bordering Washington County are included in this assessment: Franklin and Madison counties. A primary condition of concrete pavement work is the distance from the concrete material producer's location to the worksite. Concrete is time limited in its workability before spoilage due to the material's short cunng time. Thus, local producers are most apt to provide material for this project. Also, local concrete finishing contractors performing this type work have long established relationships with the local concrete producers. Our Washington County, Arkansas location, situated in a central valley of the Boston Mountains, also contributes to the insulated climate for this type of construction work. Accessibility to distant concrete producers by trans -state highway is limited by mountain terrain and distances of surrounding rural area. The available DBE Contractors in the Local Market Area are those listed as being certified DBE by the Arkansas State Highway & Transportation Department (AHTD), and listed in AHTD's "Disadvantaged Business Enterprise Directory," published March 15, 2004. • • Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update Methodology - Step 1 The Fayetteville Municipal Airport / Drake field anticipates awarding one AIP funded project contract in FY 2004. The project consists of: Phase II Extend Taxiway "A" approximately 950 ft. South of the Phase I portion currently under construction, on the east side and parallel to Runway 16/34, connecting the Phase I portion of the project to Taxiway "E". This project is identified in the most recent draft of the Drake Field Airport Layout Plan. Project No. 1 - Taxiway Extension 2002 NAICS Code Work Item DBE's in Local Market Area All Available Firms 237310 Highway, Street & Bridge Construction 0 15 238110 Concrete Contractor 2 44 327320 Ready Mix Concrete Mfg 0 12 238210 Electrical Contractors 0 104 237310 Striping (Hwy, St, & Bridge Construction) 0 36 238910 Site Preparation Contractors 2 57 484220 Dump Trucking, local specialized 1 53 Totals for this Construction Contract 5 321 Calculation of Base Figure The base figure is calculated as: the number of available DBE contractors as a percentage of all available contractors in the Local Market Area. Base Figure = DBE contractors / all contractors Base Figure = 5 / 321 =1.55% • • • Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update Methodology - Step 2 Step 2 is an adjustment to the base figure percentage from Step 1 so that the updated goal accurately reflects the actual attainable DBE participation in FY 2004 airport contracts. Past years DBE accomplishment results data for similar projects are examined and averaged with the base figure to determine the adjusted percentage goal. Only projects comprising like work are used for comparison. DBE Goal Accomplishments - Historical Information Year Goal % Accomplishment % Project Type 2000 1.74 0 Access Road Construction 2001 .93 .42 Taxiway / Runway Rehabilitation 2003 .73 1.99 Taxiway Construction (committed) Average % 1.33 .80 Calculation of adjustment to DBE Base Figure The calculation of the adjusted figure is determined by averaging the base figure and the historical average for like projects. Base Figure + Historical Avg. / 2 = Adjusted Figure (1.55+.80)/2=1.18 Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update Other Factors Research was conducted to determine if any DBE / small business disparity studies for the region were available. No disparity studies could be located for the region or state. Research was conducted to determine the number of, and the services provided by, DBE -owned financial institutions in the state. A list of all minority owned banks in the U S., sorted by state, indicates that there are no minority-owned banks in the state of Arkansas. The latest U.S. Census Data for Hispanic population in the Northwest Arkansas Regional area indicates an increase of 815% from 1990 US Census in 2000. This is indicative of the recent influx of Hispanic emigrants to the area. Market research was conducted to determine the number of Hispanic -owned businesses in the State. Two Hispanic -issue, business-related organizations were contacted for their input. No applicable statistics were available from these groups. We anticipate that there will eventually be an increase of DBE's corresponding to the increase of local minority population as the new emigrants settle and become established. No other factors regarding.the local DBE environment could be determined to be an influence on the adjusted DBE goal figure. Breakout of Estimated Race -Neutral and Race -Conscious Participation In determmmg what percentage of the 2004 adjusted goal could be met through race -neutral means, we again reviewed historical DBE accomplishments for Fayetteville / Drake Field. FYV has not met its DBE goal in any year since 1997. Therefore, we estimate that in meeting our overall 2004 adjusted goal of 1.18%, we will obtain 0% from race -neutral participation and 1.18% from race -conscious measures (e.g. setting contract goals). • • • • Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update Attachment #1 - List of Consulting Agencies ARKANSAS STATE HIGHWAY & TRANSPORTATION DEPARTMENT MR JAMES MOORE, DBE COODINATOR PO BOX 2261 LITTLE ROCK AR 72203-2261 larnes.moore@ahtd.state.ar.us ARKANSAS SBDC COLLEGE OF BUSINESS ADMINISTRATION 100 SOUTH MAIN SUITE 401 LITTLE ROCK AR 72201 SMALL BUSINESS ADVANCEMENT NATIONAL CENTER UNIVERSITY OF CENTRAL ARKANSAS COLLEGE OF BUSINESS ADMINISTRATION UCA BOX 5018201 DONAGHEY AVENUE CONWAY AR 72035-0001 SMALL BUSINESS ASSOCIATION (SBA) ARKANSAS DISTRICT OFFICE CAROL J SILVERSTROM 2120 RIVERFRONT DRIVE SUITE 100 LITTLE ROCK AR 72202-1794 Fax: (501) 324-5199 or (501) 324-5491 carol.silverstrom@sba.gov patncia walker@sba.Qov ARKANSAS STATE CHAMBER OF COMMERCE 410 S CROSS PO BOX 3645 LITTLE ROCK AR 72203-3645 VETERANS BUSINESS DEVELOPMENT OFFICE ANDY LAMONICA • ARKANSAS DISTRICT OFFICE 2120 RIVER FRONT DRIVE ROOM 100 LITTLE ROCK AR 72202 • • Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update ARKANSAS DEPARTMENT OF ECONOMIC DEVELOPMENT DBE OFFICER ONE CAPITOL MALL LITTLE ROCK AR 72201 FAYETTEVILLE CHAMBER OF COMMERCE PO BOX 4216 FAYETTEVILLE AR 72702-4216 AIRPORT MINORITY ADVISORY COUNCIL SHIRLINGTON GATEWAY 2800 SHIRLINGTON RD SUITE 940 ARLINGTON VA 22206 PHONE (703) 379-5701 FAX (703) 379-5703 MINORITY BUSINESS DEVELOPMENT AGENCY TO CONTACT US BY EMAIL: HELP@MBDA.GOV TO CONTACT US BY PHONE (888) 324-1551 AMERICAN ASSOC OF AIRPORT EXECUTIVES DBE OFFICER 601 MADISON STREET ALEXANDRA VA 22314 703-824-0500 PHONE 703-820-1395 FAX AIRPORTS COUNCIL INTERNATIONAL -NORTH AMERICA DBE OFFICER 1775 K STREET NW SUITE 500 WASHINGTON DC 20006 PHONE: 202 293-8500 FAX: 202 331-1362 HISPANIC WOMEN'S ORGANIZATION OF ARKANSAS DBE OFFICER PO BOX 6132 SPRINGDALE AR 72766 479-751-9494 hwoa@a jc£jonesnet.org • • Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update ARKANSAS WOMEN'S BUSINESS DEVELOPMENT CENTER SOUTHERN FINANCIAL PARTNERS 605 MAIN STREET SUITE 203 ARKADELPHIA AR 71923 info@,southemfinancialpartners.org ARK MINORITY SUPPLIER DEVEL COUNCIL ARMSDC/TEAM 300 SPRING BLDG SUITE 415 LITTLE ROCK, AR 72201 Tel (501) 374-7026 • Fax (501) 371-04 info@armsdc.org • • Overall Goal and Methodology Fayetteville Municipal Airport / Drake Field (FYV) FY 2004 Update Attachment #2 — Comments ** comments on the 2004 Goal update were received as of **/**/04. STAFF REVIEW FORM - NON-FINANCIAL OBLIGATION X AGENDA REQUEST For the Fayetteville City Council Meeting of: July 6, 2004 FROM: James Nicholson Name Aviation & Economic Development General Government Division Department ACTION REQUIRED: A Resolution to accept and approve the updated Fayetteville Municipal Airport Disadvantaged Business Enterprise (DBE) Program Participation Goal in 2004 for Airport Improvement Grant Project 3-05-0020-0032-2004, Extend Taxiway "A" Phase II. SUMMARY EXPLANATION: The City of Fayetteville / Fayetteville Municipal Airport DBE Goal update for Fiscal Year (FY) 2004 is provided to describe the Airport Projects which are funded in part with Department of Transportation (DOT) / Federal Aviation Administration (FAA) funds, and to determine by the federally prescribed methodology the portion or percentage of those funds targeted for contract award to Disadvantaged Business Enterprises (DBE's) in accordance with Federal Regulations 49 CFR Part 26. The Goal Update is a prerequisite for Airport Improvement Project (AIP) grant funding for airports which anticipate receiving more than $250,000 in federal funding from the DOT / FAA. The 2004 DBE Goal Update revises the DBE participation goal in federally funded airport contracts anticipated for the 2004 fiscal year, from that originally described in the airport's previously published DBE Program Plan and successive annual goal updates. STAFF RECOMMENDATION: Review and approve Division Head MD City Finance 4 Internal Services Dir. nistrat'e Officer Received in Mayor's Office Cross Reference: 147-00, Previous Ord/Res#: 150-01, 81-03 Orig. Contract Date: NA Orig. Contract Number: NA New Item: Yes No X Clarice Pearman - DBE Resolution From: James Nicholson To: Clarice Pearman Date: 7/7/04 8:57AM Subject: DBE Resolution Good Morning Clarice, At your early convenience, would you send to me by fax or e-mail, a copy of the cover page for the approved Resolution from the Council meeting last night: 3. DBE Program Participation Goals for FY2004: A resolution to accept and approve the updated Fayetteville Municipal Airport Disadvantaged Business Enterprise (DBE) Program Participation Goals for FY2004. Thanks for your help! JN James Nicholson, Financial Coordinator Fayetteville Municipal Airport / Drake Field 479-718-7643 office 479-718-7646 fax jnicholson@cilayetteville.arus Page 1 j • • Fayetteville, Arkansas City Clerk's Division 113 West Mountain Fayetteville, AR 72701 479-575-8323 fax: 479-718-7695 ®Per Your Request ❑Reply Total pages, including cover: 2 Comments: ❑Please comment ❑Please review ❑FYI James, Attached is Res. No. 97-04. A hard copy of your agenda item will be sent later today via your interoffice mail. Thanks, have a good day. Clarice Send to: Airport From: Clarice Buffalohead-Pearman Attention: James Nicholson Date: 7/9/04 Office location: Office location: 113 West Mountain Fax number: 646 Phone number: 479-575-8309 ®Per Your Request ❑Reply Total pages, including cover: 2 Comments: ❑Please comment ❑Please review ❑FYI James, Attached is Res. No. 97-04. A hard copy of your agenda item will be sent later today via your interoffice mail. Thanks, have a good day. Clarice RESOLUTION NO, 9 7 - 0 4 A RESOLUTION TO ACCEPT AND APPROVE THE UPDATED FAYETTEVILLE MUNICIPAL AIRPORT DISADVANTAGED BUSINESS ENTERPRISE (DBE) PROGRAM PARTICIPATION GOALS FOR FY2004. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby accepts and approves the updated Fayetteville Municipal Airport Disadvantaged Business Enterprise (DBE) Program participation goals for FY2004. PASSED and APPROVED this 6th day of July 2004. ATTEST: APPROVED: By: DAN COODY, May, 11p By:_)rn vJ �f = ' :FAYEITEVILLE' 9 %9474KANSP. J2 �ii''y;�'G TO$ SONDRA SMITH, City Clerk FAYETTEALE THE CITY OF FAYETTEVILLE, ARKANSAS City Clerk Division DEPARTMENTAL CORRESPONDENCE 113 West Mountain Fayetteville, AR 72701 Telephone: (479) 575-8323 To: James Nicholson Aviation & Economic Development Division From: Clarice Buffalohead-Pearman City Clerk Division Date: July 9, 2004 Re: Resolution No. 97-04 The City Council passed a resolution, July 6, 2004, accepting and approving the Disadvantaged Business Enterprise Program goals for 2004. I have attached a copy of the resolution. The resolution with attachments will be recorded in the city clerk's office and microfilmed. If anything else is needed please let the clerk's office know. /cbp attachments cc: Nancy Smith, Internal Auditor