Pennsylvania Code › Title 4 - ADMINISTRATION › Part III - DEPARTMENT OF GENERAL SERVICES › Subpart C - CONSTRUCTION AND PROCUREMENT › Article I - GENERAL › Chapter 58 - CONTRACT COMPLIANCE › Subchapter E - SMALL BUSINESS, SMALL › DIVERSE BUSINESS AND VETERAN BUSINESS ENTERPRISE PROGRAMS-STATEMENT OF POLICY › Section 58.402 - Definitions

Current through Register Vol. 54, No. 28, July 13, 2024
The following words and terms, when used in this
							 subchapter, have the following meanings, unless the context clearly indicates
							 otherwise:
Agency liaison
-An agency employee
							 reporting directly to a Secretary, Deputy Secretary, agency head or equivalent
							 responsible for assisting the Department on issues related to the SB
							 programs.
Aspirational target
-An annual target
							 set by the Secretary for SB, SDB and VBE participation in Commonwealth
							 contracting opportunities which shall be posted on the Department's web
							 site.
BDISBO
-The Department of General
							 Services' Bureau of Diversity, Inclusion and Small Business
							 Opportunities.
Bid or proposal
-The documents and
							 information submitted in response to a solicitation, including but not limited
							 to a bid, proposal, quote or application.
Bidder
,
offeror
or
applicant
-The person submitting documents and information in
							 response to a solicitation, including but not limited to a bidder, offeror or
							 applicant.
Commercially useful function
-The
							 performance of a distinct element of work required for the contract, with the
							 requisite skill and expertise.
Contract-specific goal
-A goal
							 established by the Department in collaboration with the purchasing agency for
							 use of SDBs or VBEs on a specific procurement.
Contractor
-A person that has entered
							 into a contract with a Commonwealth agency. This term includes but is not
							 limited to a design professional.
DOBE-disability-owned business
							 enterprise
-An SB which is at least 51% owned and controlled by one or
							 more persons with disabilities. In the case of a corporation, at least 51% of
							 the stock shall be owned by one or more persons with disabilities.
Department
-The Department of General
							 Services of the Commonwealth.
Disability
-Physical or mental
							 impairment, or both, that substantially limits one or more major life activity
							 and can be demonstrated by appropriate documentation from a licensed vocational
							 rehabilitation specialist, an agency that issues disability benefits or a
							 licensed medical professional.
Disparity study
-A study completed by
							 a third-party vendor to determine whether there is a disparity between the
							 availability of SDBs and VBEs and the Commonwealth's utilization of SDBs and
							 VBEs.
Good faith efforts waiver
							 request
-Documentation submitted by a bidder or offeror requesting a
							 full or partial waiver of the SDB or VBE contract-specific goals demonstrating
							 the good faith efforts taken by the bidder or offeror to achieve the
							 contract-specific goals.
LGBTQBE-LGBTQ business enterprise
-An
							 SB which is at least 51% owned and controlled by one or more lesbian, gay,
							 bisexual, transgender or queer (LGBTQ) persons. In the case of a corporation,
							 at least 51% of the stock must be owned by one or more LGBTQ person.
Letter of Commitment
-A document
							 signed by both a bidder or offeror and SDB or VBE subcontractor, supplier or
							 manufacturer acknowledging an understanding that the bidder or offeror, if
							 awarded the contract, will utilize the SDB or VBE in the percentage and for the
							 work set forth within the document. Unless otherwise specified within the
							 solicitation, a Letter of Commitment must identify, at a minimum, all of the
							 following:
(i) The fixed numerical
						  percentage of the commitment made to the SDB or VBE subcontractor, manufacturer
						  or supplier based upon the Commonwealth spend or the total dollar value of the
						  contract revenue received by the prime; or if specified by the solicitation,
						  the total dollar value of the commitment made to the SDB or VBE subcontractor,
						  manufacturer or supplier.
(ii) A
						  description of the services or supplies the SDB or VBE will provide that are
						  consistent with services or supplies the SDB or VBE is certified to
						  provide.
(iii) The time frame
						  during the original contract duration or the initial contract term and any
						  extensions, options and renewals the SDB or VBE will perform or provide the
						  services or supplies.
(iv) The name
						  and telephone number of the bidder or offeror's point of contact for the SDB or
						  VBE participation.
(v) The name and
						  telephone number of the primary contact person for the SDB or VBE.
MBE-minority business enterprise
-An
							 SB which is at least 51% owned and controlled by one or more minorities. In the
							 case of a corporation, at least 51% of the stock must be owned by one or more
							 minorities.
Manufacturer
-A firm that operates or
							 maintains a factory or establishment that produces, on the premises, the
							 materials, supplies, articles or equipment required under the contract and of
							 the general character described by the specifications.
Nonstocking supplier
-A firm that
							 does not carry inventory but orders materials from a manufacturer,
							 manufacturer's representative or a stocking supplier. For a nonstocking
							 supplier to receive credit, the nonstocking supplier shall perform a useful
							 business function by engaging in meaningful work (that is, negotiating price,
							 determining quality and quantity, ordering materials and paying for the
							 materials). Industry practices and other relevant factors will be
							 considered.
Participation submittal
-A submittal
							 that must be submitted by bidders or offerors for procurements with a
							 contract-specific goal indicating whether the bidder or offeror intends to meet
							 the contract-specific goal or is requesting a good faith efforts waiver, in
							 whole or in part, of the contract-specific goal. A procurement may require an
							 SDB participation submittal or a VBE participation submittal, or both.
Permanent caregiver
-The spouse, or
							 an individual who is at least 18 years of age, who is legally designated, in
							 writing, to undertake responsibility for managing the well-being of the
							 service-disabled veteran with permanent and severe disability.
Race-neutral and gender-neutral
							 measures
-Methodologies that are or can be used to assist all
							 businesses, notwithstanding the social, economic, racial or gender composition
							 of those who own or control the business. Race-neutral and gender-neutral
							 measures include but are not limited to the following:
(i) Outreach efforts to advise SBs of
						  contracting opportunities within the Commonwealth in accordance with
						  subdivisons (ii)-(iv) of the definition of race-neutral and gender-neutral
						  measures.
(ii) Agencies
						  periodically conducting meetings with SBs, as appropriate, to advise of
						  upcoming agency procurement opportunities, which shall be coordinated with
						  BDISBO and other agencies that make similar procurements.
(iii) BDISBO periodically convening seminars
						  that include SBs and appropriate personnel of the various agencies, which shall
						  include topics of interest to prospective or current SBs such as Commonwealth
						  procurement procedures, SB self-certification and SDB and VBE verification,
						  anticipated Commonwealth procurements and technical assistance to SBs relating
						  to the procurement process.
(iv)
						  Technical assistance and business development programs available to
						  SBs.
(v) Contract-specific goals
						  for use of VBEs.
(vi) SBR
						  procurements, which shall be made in accordance with §
													58.411 (relating to small business
						  reserve program) and do not require contract-specific goals.
(vii) An evaluation of each potential
						  contract to determine and, if practicable, abate any impediments to full and
						  open competition with an emphasis on removing impediments that affect SDBs.
SB-small business
-A for-profit
							 business in the United States which is independently owned, is not dominant in
							 its field of operation, employs no more than the maximum number of employees
							 established by the definition of small business in
							 62 Pa.C.S. §
															2102
							 (relating to definitions) and earns less than the revenue limit posted on
www.dgs.pa.gov
. The Secretary shall utilize
							 the United States Small Business Administration's methodology to inform the
							 Commonwealth's definition of a small business as it relates to the highest
							 revenue limit, as established in §
														1.922(b) (relating
							 to responsibilities). The Department reserves the right to alter the revenue
							 thresholds which can be viewed at
www.dgs.pa.gov
.
SBR-small business reserve
-A
							 race-neutral and gender-neutral measure program that enables SBs to compete
							 among other SBs for designated or reserved government contract opportunities as
							 prime contractors.
SDB-small diverse business
-This
							 designation includes MBEs, WBEs, DOBEs, LGBTQBEs, SDVBEs and other
							 disadvantaged businesses that have been so certified by one of the Department's
							 approved third-party certifying entities.
SDB program-small diverse business
							 program
-The Commonwealth's Small Diverse Business Program that enables
							 small diverse businesses to participate in Commonwealth procurement
							 opportunities.
SDVBE-service-disabled veteran business
							 enterprise or total service-disabled veteran-owned
-An SB which is at
							 least 51% owned and controlled by one or more service-disabled veterans or, in
							 the case of a veteran with permanent and severe disability, the spouse or
							 permanent caregiver of a veteran.
Secretary
-The Secretary of the
							 Department.
Stocking supplier
-A firm that owns,
							 operates or maintains a store, warehouse or other establishment in which the
							 materials, supplies, articles or equipment of the general character described
							 by the specifications and required under the contract are bought, kept in stock
							 and regularly sold or leased to the public in the usual course of
							 business.
Utilization schedule
-A document,
							 submitted by a bidder or offeror as part of a bid or proposal, in which a
							 bidder or offeror commits to a level of SDB or VBE participation for a
							 contract, identifies the associated responsibilities and scope of work, and
							 identifies the dollar value or percentages, or both, of the work to be
							 performed.
VBE-veteran business enterprise
-This
							 designation includes veteran-owned small business enterprises and
							 service-disabled veteran-owned small business enterprises.
VBE program
-The Commonwealth's
							 veteran business enterprise program.
Veteran-owned small business
							 enterprise
-An SB which is at least 51% owned and controlled by one or
							 more veterans. In the case of a corporation, at least 51% of the stock must be
							 owned by one or more veterans.
Veteran
-One of the following:
(i) An individual who served in the United
						  States Armed Forces, including a reserve component or the National Guard, and
						  who was discharged or released from service under conditions other than
						  dishonorable.
(ii) A reservist or
						  member of the National Guard who completed an initial term of enlistment or
						  qualifying period of service.
(iii)
						  A reservist or member of the National Guard who was disabled in the line of
						  duty during training.
WBE-woman-owned business
							 enterprise
-An SB which is at least 51% owned and controlled by one or
							 more women. In the case of a corporation, at least 51% of the stock must be
							 owned by one or more women.