UCR

UCR Policies and Procedures

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Campus Policy Number: 750-78
Policy Topic: Business Affirmative Action
Policy Owner: Campus Purchasing
Effective Date: 02/02/2010
 
 
A.       POLICY
 
University Policy - It is the policy of the University of California that race, religion, sex, color, ethnicity, and national origin will not be used as criteria in its business contracting practices.
 
Public Funding - Nothing in the above policy shall prohibit any action which is necessary to comply with State or Federal law, or to maintain eligibility for any State or Federal program where ineligibility would result in a loss of funds. 
 
It is the policy of the University of California, Riverside, as required by the funding source and consistent with State and Federal law, to take affirmative action to optimize opportunities for business contracting with small business enterprises, particularly small disadvantaged, woman-owned, and disabled veteran-owned business enterprises in providing goods and services to the University, and to ensure the placement of a fair proportion of business contracts with such enterprises as required by the funding source.
 
Campus Purchasing actively seeks-out and is strongly committed to the continued development and utilization of small business enterprises (SBE). Campus Purchasing undertakes all reasonable and appropriate actions to promote such businesses and ensure they are given every opportunity to compete for and receive University business. 
 
 
B.       DEFINITIONS
 
Small Business Enterprise (SBE) - an independently owned and operated enterprise certified, or certifiable, as a small business by the Federal Small Business Administration (SBA). (A general rule of thumb is that a concern with not more than 500 employees may be considered a small business. Size standards by Standard Industrial Classification code may be found in the Federal Acquisition Regulations, Section 19.102. The University may rely on written representation by Vendors regarding their status.)
 
Disadvantaged Business Enterprise (DBE) - a business enterprise which is at least fifty-one percent (51%) owned by one or more socially and economically disadvantaged individuals* or, in the case of any publicly owned business, at least fifty-one percent (51%) of the stock of which is owned by such individuals; and whose management and daily business operations are controlled by one or more of such individuals.
 
Socially Disadvantaged Individuals* - those who have been subjected to racial or ethnic prejudice or cultural bias because of their identity as members of a group without regard to their individual qualities.
 
Economically Disadvantaged Individuals* - those socially disadvantaged individuals whose ability to compete in the free private enterprise system has been impaired due to diminished capital and credit opportunities as compared to others in the same business area who are not socially disadvantaged.
 
Women-Owned Business Enterprise (WBE) - a business enterprise that is at least fifty-one percent (51%) owned by a woman or women who also control and operate it. "Control" in this context means exercising the power to make policy decisions. "Operate" in this context means being actively involved in the day-to-day management.
 
Subcontinent Asian Americans - United States citizens whose origins are in India, Pakistan, Bangladesh, Sri Lanka, Bhutan, the Maldives Islands, or Nepal.
 
Asian-Pacific Americans - United States citizens whose origins are in Japan, China, the Philippines, Vietnam, Korea, Samoa, Guam, the U.S. Trust Territory of the Pacific Islands (Republic of Palau), the Northern Mariana Islands, Laos, Kampuchea (Cambodia), Taiwan, Burma, Thailand, Malaysia, Indonesia, Singapore, Brunei, Republic of the Marshall Islands, the Federated States of Micronesia, Macao, Hong Kong, Fiji, Tonga, Kiribati, Tuvalu, or Nauru.
 
Native Americans - American Indians, Eskimos, Aleuts, and native Hawaiians.
 
Veteran-Owned Business Enterprise (VOBE) – a business enterprise that is at least fifty-one percent (51%) owned by one or more veterans or, in the case of any publicly owned business, at least fifty-one percent (51%) of the stock of which is owned by veterans; and whose management and daily business operations are controlled by one or more veterans.
 
Veteran - A person who served in the active military, naval, or air service of the United States, and who was discharged or released therefrom under conditions other than dishonorable.
 
Service Disabled Veteran (SDV) - a veteran with a service connected disability (disability incurred or aggravated, in line of duty in the active military, naval, or air service of the United States). To qualify as a veteran with a service connected disability, the person must be currently declared by the United States Veterans Administration to be 10 percent (10%) or more disabled as a result of service in the armed forces. (California Military and Veterans Code, Article 6, Section 999 et seq). California SDV’s must be current residents of the State of California.
 
* Business owners who certify that they are members of named groups (Black Americans, Hispanic Americans, Native Americans, Asian-Pacific Americans, Subcontinent-Asian Americans) are to be considered socially and economically disadvantaged.
 
 
C.        ADMINISTRATIVE GUIDELINES FOR AFFIRMATIVE ACTION IN BUSINESS CONTRACTING TO FULFILL REQUIREMENTS OF PUBLIC FUNDING SOURCES:
 
1.       Outreach - It is the responsibility of the campus to actively seek out small, small disadvantaged, women-owned and veteran-owned business enterprises with the goal of establishing them as viable suppliers for goods and services. This will be accomplished by:
 
a.        Participating in trade shows for small, small disadvantaged, women-owned and veteran-owned business enterprises.
 
b.       Participating in meetings of small, small disadvantaged, women-owned and veteran-owned business professional associations.
 
c.        Advertising in publications of small, small disadvantaged, women-owned and veteran-owned business associations.
 
d.       Participating in meetings with other University of California campuses for the purpose of exchanging information and ideas relative to the development of effective programs for Affirmative Action in business contracting.
 
e.       Utilizing national, state and local directories of small, small disadvantaged, women-owned and veteran-owned business enterprises for sources of specific goods and services.
 
f.         Identifying small, small disadvantaged, women-owned and veteran-owned business enterprises by mailing self-declaration forms to existing University suppliers and new suppliers that express interest in establishing a business relationship with the University.
 
g.        Developing and maintaining a vendor database which identifies small, small disadvantaged, women-owned and veteran-owned business enterprises for utilization by all University employees responsible for purchasing goods and services.
 
h.       Developing and maintaining a brochure that acquaints vendors with the types of goods and services the University buys, the buyer commodity assignments and contact information.
 
i.         Hosting on-campus seminars specifically geared toward instructing vendors how the University, and specifically this campus, purchases goods and services. Printed material will be available to familiarize vendors with the campus, the Purchasing staff and current buying assignments.
 
2.       Purchase Records - In order for campus departments to monitor performance and develop reports for sponsoring agencies relative to their utilization of small, small disadvantaged, women-owned and veteran-owned business enterprises under specific sponsored awards, records will be maintained. These records are contained in a purchase order database which includes an electronic copy of every purchase order (both PO and DAPO). This database may be searched and sorted by fund source, date range, vendor type and other relevant factors necessary to respond to sponsor’s reporting requirements.
 
3.       Small Business Coordinator – Most of the outreach tasks described above are attended or coordinated by the campus small business coordinator. Participation at small business trade shows, professional associations, and meetings with other University of California campuses are attended by the coordinator. Maintenance of vendor types and other small business aspects of the vendor database, including mailing of self-declaration forms, is provided by the coordinator. Development of brochures and advertising as well hosting of on-campus seminars and other vendor events are also coordinated. Assistance in the development of subcontracting plans is provided by the small business coordinator. Small business activity reports for Systemwide administration are also the responsibility of the coordinator. 
 
4.       Campus Responsibility –Business Affirmative Action as required by Publicly Funded sponsors is a responsibility of the entire campus including, but not limited to, Campus Purchasing. All departments with delegated purchasing authority must incorporate the concepts of outreach, identification of targeted vendors, trial purchases, etc., to optimize opportunities for contracting with small business enterprises when funded by such publicly funded sponsors.
 
5.       The extent to which affirmative actions are employed with targeted business concerns, however, must be evaluated in terms of the following principles:
 
a.        Recognition that the basic purpose of materiel management is to support the teaching, research, and public service missions of the University in a cost-effective manner which best serves the interests of the people of the State of California.
 
b.       Actions must include full compliance with obligations undertaken by the University as set forth in the specific terms, conditions, and provisions of Federal contracts and grants, and other similar extramural sponsor agreements.
 
 
D.       FEDERAL CONTRACTS AND GRANTS
 
Federal agencies are required by statute, Executive Order, or regulation to implement certain public policies through their procurement process. Current policies require the utilization of small, small disadvantaged, women-owned and veteran-owned business enterprises to the maximum extent practicable. The University is, therefore, obligated to carry out these Federal policies to the fullest extent, consistent with university policy and the efficient performance of any contract and grant obligations undertaken by the University.
 
E.        SUBCONTRACTING PLANS
 
Public law 95-507 requires the University to develop a subcontracting plan when it receives a Federal contract or contract modification that exceeds $500,000 for non-construction activity. The subcontracting plan is directed toward the inclusion of small and small disadvantaged business enterprises into the overall contract. Campus Purchasing and the Small Business Coordinator will assist in the development of these subcontracting plans in conjunction with Principal Investigators. Typically, until an acceptable plan is developed, the contracting agency will make no payments to the University.
 
Often, reports of small business subcontracting accomplishments are required by sponsoring agencies. The department which received the sponsored award is responsible for submitting these reports to the agency. The Small Business Coordinator will assist campus departments in learning how to obtain information from the purchase order database for use in completing these reports.
 
F.        REFERENCES
 
 
G.       FEEDBACK – For questions regarding this policy or procedure, please contact the Small Business Coordinator or Director of Materiel Management.
 
 
H.       FREQUENTLY ASKED QUESTIONS (FAQs) – to be added in a future update