1. Certification Panel
2012 SADBOC Government
Procurement Fair
April 25, 2012

2. Certification Programs
 Federal Programs
 Small Disadvantaged Business including 8(a) Business
Development
 HUBZone
 Targeted Vendor
 State of Minnesota
 DBE Program
 Federally Funded Transportation - MN/DoT, MET Council,
MAC
 CERT Program
 City/County
 Minnesota Minority Supplier Development Council (MMSDC)
 Corporate Certification of MBE- Minority Business
Enterprise.
 Women’s Business Enterprise National Council (WBENC)
 WBE Certification

3. What is Small Business Certification and
Why is it Required?
 Government agencies have goals for using various
types of small businesses.
 Large corporations have supplier diversity programs
driven by:
 Contract requirements
 Demands of the marketplace
 Small businesses owned by women and minorities
are reviewed to insure that they meet all criteria.
 Ownership
 Control

4. Should You Become Certified?
 Do you qualify?
 Do the benefits justify the investment?
 Who are you customers?
 Are your customers asking for certification?

5. Federal Prime Contracting
Small Business Goals
 Small Business 23% (self certify).
 Small Disadvantaged Business 5%
 8(a) Business Development Program (SBA
certified)
 HUBZone Small Business 3% (SBA
certified).
 Woman Owned Small Business 5% (self
certify – with documentation or certification
from SBA approved certifier)
 Service Disabled Veteran Owned Small
Business 3% (self certify – except for VA).

6. Subcontracting Plans
 Large Businesses Receiving Contracts
Exceeding $650K ($1.5 M construction) must
provide written plan with specific goals for:
 Small Business.
 Small Disadvantaged Business (SDB).
 HUBZone Small Business
 Women Owned Small Business.
 Service Disabled Veteran Owned Small
Business.
 Veteran Owned Small Business.

7. Small Disadvantaged Business (SDB)
(Includes 8(a) BD Participants)
 Federal Prime Contract Goal: 5%.
 Business must be owned and controlled by
socially and economically disadvantaged
individuals.
 Economically Disadvantaged ($750K net
worth).
 Size – must be small based on SBA size
standards.

8. 8(a) Business Development Program
 Nine Year Business Development Program.
 Participants work with District SBA office.
 Federal Government contracting support.
 Application on-line at www.sba.gov/8abd.
 Workshop at 1:00 in Harvest A.

9. 8(a) Business Development - Eligibility
 Social Disadvantage.
 Designated groups.
 Non-designated groups.
 Economic Disadvantage: net worth,
income, and assets.
 Potential for success – Two years in
business.

10. HUBZone Program
 Place based program.
 Designed to increase investment and employment in
distressed areas.
 Must meet all four requirements
 Principal Office must be in HUBZone
 35% of employees must reside in HUBZone
 Must be small by SBA size standards
 Business must be 51% owned by U.S. Citizens.
 Prospective businesses apply for certification on line.
 www.sba.gov/hubzone.

11. HUBZone Program
 Federal Goal 3%
 HUBZone Set-asides
 Sole source if only one qualified
HUBZone firm identified.
 Competition Limited to only certified
HUBZone firms.
 HUBZone price preference on full and
open competition
 Workshop 11:00 Harvest Room A

12. Women-Owned Small Business Program
 Set-asides for WOSB and EDWOSB based
on eligible NAICs codes.
 Under each eligible NAICs Code women
are either:
 Underrepresented
 Substantially underrepresented
 Requirements for underrepresented
NAICS = EDWOSB
 Requirements for Substantially
underrepresented NAICS = WOSB

13. Women-Owned Small Business Program
 Self Certification with documentation or
certification from an SBA approved
certifier.
 WBENC (WOSB only).
 U.S. Women Chamber of Commerce
 National Women Business Owners
Corporation
 El Paso Hispanic Chamber of Commerce
 WOSB Workshop 10:00 Harvest A

14. Service-Disabled Veteran Owned Small
Business
 Federal prime contracting goal 3%.
 51% owned by one or more service-disabled
veterans.
 Management and daily operations controlled by
one or more service-disabled veterans (38 U.S.C.
101(16))or spouse or permanent care giver.
 Service-disabled veteran Self certification.
 Certification required with CVE for VA P.L 109
 Contracts can be set aside for SDVOSB.

16. MINNESOTA SMALL BUSINESS
PROCUREMENT PROGRAM
 WHAT IS IT?
 A statewide purchasing program for certified
socially and economically disadvantaged
small businesses
 The size of a business is determined using the
State of Minnesota size standards available on our
website at
http://www.mmd.admin.state.mn.us/sicsize.asp

17. TARGETED GROUPS (TG)
 Small businesses that are 51% owned, operated
and controlled by:
 Non-minority women
 Ethnic minorities
 Persons with a substantial physical disability

18. STATE OF MINNESOTA
DEPARTMENT OF ADMINISTRATION
TABLE OF GROUPS EXPERIENCING DISPARITY
IN STATE OF MINNESOTA PURCHASING & CONTRACTING
CONDUCTED UNDER MINN. STAT. CHAPTER 16C
(Based on the 2009 Disparity Study)
Construction Construction Professional Other Goods &
Prime Subcontracts Services Services* Supplies
Contracts
African American X X X
American Indian X X X X
Asian American X X X
Hispanic American X X X X X
Nonminority Women X X X X X
Disabled X X X X X
March 16, 2010

19. For purposes of applying preferences, other
services include the following categories:
 Janitorial and maintenance services
 Uniformed guard services
 Computer services (such as repairs)
 Certain job shop services
 Printing
 Graphics, photographic services
 Landscaping (except for large construction projects such
as boulevards and highways)
 Other nontechnical or unlicensed services

20. ELIGIBILITY REQUIREMENTS FOR TARGETED
GROUP CERTIFICATION
 Must be a for profit small business based in
Minnesota
 Minimum of 51% ownership by non-minority
women, ethnic minorities, or persons with a
substantial physical disability
 The majority owner must have the expertise to
control the management and operation of the
business

21. ECONOMICALLY DISADVANTAGED (ED)
 Small business located in Economically
Disadvantaged Counties:
 LABOR SURPLUS COUNTIES – counties designated
as labor surplus by the US Dept. of Labor
 MEDIAN INCOME COUNTIES – counties in which
the median income for married couples is less than
70 percent of the state median income for married
couples
 REHABILITATION FACILITIES

22. ELIGIBILITY REQUIREMENTS FOR
ECONOMICALLY DISADVANTAGED
CERTIFICATION
 Must be a for profit small business based in
Minnesota
 Business must be located in one of the designated
economically disadvantaged counties

23. Aitkin Hubbard Marshall Redwood
Becker Itasca Meeker Renville
Big Stone Jackson Mille Lacs Rock
Cass Kanabec Morrison Sibley
Chippewa Kittson Murray Swift
Clearwater Koochiching Norman Todd
Cottonwood Lac Qui Parle Otter Tail Traverse
Douglas Lake of the Woods Pine Wadena
Faribault Le Sueur Pipestone Watonwan
Fillmore Lincoln Pope Yellow Medicine
Grant Mahnomen Red Lake

24. BENEFITS OF CERTIFICATION
 A price preference when submitting bids to the
State for goods, services and construction
 Up to a 6% preference for TG vendors
 Up to a 6% preference for ED vendors for goods
and services
 Up to a 4% preference for ED vendors for construction
 Opportunities for sub-contracting on
construction and professional/technical
services contract

25. BENEFITS OF CERTIFICATION
 TG/ED certification may be used by Mn/DOT, the
Metropolitan Council, and the Metropolitan Airports
Commission for their state funded purchases.
 Other states verify eligibility through our program.
 Some major corporations with programs for women
and minorities accept our certification
 Can be used as a marketing tool

26. BENEFITS OF CERTIFICATION
 Business listing in the Materials Management website
directory at
http://www.mmd.admin.state.mn.us/process/search/
 Designation as TG or ED in the state’s internal statewide
purchasing system
 Both are updated immediately upon certification.

27. APPLICATION PROCESS
 Register as a vendor using our online vendor registration
system at https://www.mmd.admin.state.mn.us/webven/
 TG/ED Applications are available on our web
site at http://www.mmd.admin.state.mn.us/
mn02001.htm
 Using your vendor number and password, log in to
http://www.mmd.admin.state.mn.us/tg_ed_app/
TG_ED_Login.asp

28. APPLICATION PROCESS
 Complete the online application and print it (Cannot be
submitted electronically)
 Submit the application to the Materials Management
Division with all applicable supplemental information
 Certification process takes approximately 4-6 weeks

29. CONTACT INFORMATION
 For information regarding the Minnesota
Small Business Procurement Program:
 Call the MMD HELPLINE at 651.296.2600 or by
e-mail at www.mmdhelp.line@state.mn.us

30. Minnesota Unified
Certification Program
WELCOME

31. Certification Program Mn/UCP Objectives
•
Minnesota Unified
Provide a one-stop shop for DBE certification
• Standardized process
• One centralized directory
• Unifies all recipients of USDOT funds
• Less paperwork
• Comply with federal regulation 49CFR Part 26
• Interstate certification (must be certified in
home state first and can then apply to other
locations)

32. Certification Program Who are certifying members of the MnUCP?
Minnesota Unified
• Federal Aviation Administration (FAA) fund recipients
(Metropolitan Airports Commission).
• Federal Highway Administration (FHWA) fund recipients
(Minnesota Department of Transportation).
• Federal Transit Authority (FTA) fund recipients (Metropolitan
Council/Metro Transit). (NOTE: DBE also used on EPA-funded
work with the Metropolitan Council Environmental Services
division)
• City of Minneapolis

33. Certification Program Which Businesses are Eligible?
Minnesota Unified
• For Profit
• Small Business as defined by NAICS
Codes
• Minimum of 51% ownership by one
or more socially and economically
disadvantaged individual
• Demonstrated daily management and
control

34. DBE’s Must Demonstrate…
Certification Program
• Socially Disadvantaged
Minnesota Unified
– Racial or Ethnic Prejudice
– Cultural Bias
• Economically Disadvantaged
– Ability to compete impaired

35. Socially & Economically Disadvantaged
Individuals (SED)
Certification Program
Minnesota Unified
• Must be a citizen or permanent U.S. resident
• Groups rebuttably presumed to be SED:
– Black Americans
– Hispanics
– Native Americans
– Asian Pacific
– Asian American
– Women

36. DBE’s Must Demonstrate…
Certification Program
• Personal Net Worth
Minnesota Unified
($1,320,000 maximum –
excluding value of primary
residence)
– Assets -- Liabilities
• Commercially Useful Function
– Provide services truly
needed on projects

37. Certification Qualifications
Certification Program
Minnesota Unified
• Meets social/economic disadvantage
• Demonstrates majority ownership, power to direct
and day-to-day control
• Officer/status (highest position)
• Independent
• Disadvantaged owner must demonstrate a
comprehensive understanding of all functions of
the business
• Completion of business on-site

38. Certification Program
HOW TO APPLY
Minnesota Unified
• MnUCP DBE Certification Application
is available in word or adobe format
from website at:
http://www.dot.state.mn.us/civilrights/
dbedirectory.html

39. Contact Information
Certification Program • MAC- Debra Johnson
612.726.8193
Minnesota Unified
 Debra.Johnson@mspmac.org
• Metropolitan Council- Pat Calder
612.349.7463
 Pat.calder@metc.state.mn.us
• Mn/DOT- Diane Clark
651.366-4290
 Diane.clark@state.mn.us
• City of Minneapolis
612-673-2112

Roxanne.crossland@minneapoli
smn.gov

40. Minnesota Unified
Certification Program
Questions & Answers

41. What is the CERT Program?
• A central certification program
sponsored collaboratively by:
– City of Saint Paul
– Hennepin County
– Ramsey County

42. Certification Benefits
• One-stop certification
• One place for information on
– the three programs
– contracting opportunities
• Publication in directories on the web

43. Certification Benefits
• Referrals to contractors, developers,
private companies, and other
organizations
• Participation goals set on projects
• Recruitment of certified businesses for
specific projects
– fax or email notices
– open house events

44. Certification Categories
• Small Business Enterprise (SBE)
• Minority-owned Business Enterprise (MBE)
• Woman-owned Business Enterprise (WBE)

45. Eligibility Criteria
Small Business Enterprise
– Independent operation
– For profit
– Annual revenues below size limit
• State of MN Size Standards

46. Eligibility Criteria
Small Business Enterprise
– Located in 15 County Marketplace

47. Eligibility Criteria
• Minority-owned Business Enterprise
– Small Business Enterprise
– at least 51% owned by minorities
– day-to-day operational control
• Woman-owned Business Enterprise
– Small Business Enterprise
– at least 51% owned by women
– day-to-day operational control

48. Eligibility Criteria
Operational Control
– More than ownership
– Day to day operations
– Industry knowledge, expertise

49. Eligibility Criteria
• http://cert.smwbe.com
• Full directory of all companies
• Construction directory
– Subdirectory of construction related
companies
• Alphabetical Name Listing
– Quick reference containing cert
categories

50. CERT Applications
• available:
– download from http://cert.smwbe.com
– email cert@ci.stpaul.mn.us to request a
form
– call 651-266-8900 to request a form

51. Other Certifications
The CERT Program may accept certifications from other
certifying entities such as:
 Mn/UCP (DBE)
 State of MN (TGB)
 Women’s Business Dev. Center (WBENC)
 Midwest Minority Supplier Dev. Council (MMSDC)
CERT eligibility criteria must be met. Review process is
expedited with minimal paperwork. Acceptance is not
guaranteed. Full application review may be requested.

52. Contact Information
• Charles Gbadebo, Certification Specialist
651-266-8914
charles.gbadebo@ci.stpaul.mn.us
• Email: cert@ci.stpaul.mn.us
• Web: http://cert.smwbe.com
• Michael Johnson, Program Coordinator
651-266-8900
michael.johnson@stpaul.gov

53. Expanding the Landscape of Possibilities

54. What we do
Who we are
Mission: To provide business
development services to • Non-profit organization
corporate members and established in 1975
certified MBEs to enhance
relationships and maximize • Affiliated with the National
business opportunities. Minority Supplier Development
Council (NMSDC)
• Our region: the states of
How we do it Minnesota, North Dakota, South
Dakota, Nebraska and western
Iowa.
The MMSDC serves as a
conduit between the
corporate world and
minority-owned businesses

55. Why become MBE Certified?
• Validation of MBE Status
– Market your business with MMSDC endorsement
– Register as a minority vendor with corporate members
• Access to the MMSDC Corporate Directory
• Networking Events
• Referrals to Local, Regional and National Corporate Customers
• Exposure to Local and National Corporations
– MBE Company Profile
• National Minority Supplier Development Council (NMSDC) database
• MMSDC Local database
– Reciprocal Services with NMSDC Affiliated Councils
– Showcase your business
• The MMSDC annual Minority Business Opportunity Fair
• The National Conference and Business Opportunity Fair
• Educational and Development Programs
- Scholarships awards to CEOs
- Professional Seminars, Workshops and Trainings
- Discounted Marketing and HR Programs
• Business Mentoring
- MBE Input Committee (MBEIC) Industry Groups
• Access to Working Capital Loans

56. MBE Certification Criteria
• For-Profit Enterprise
• Ethnic Background (25%)
– African-American
– Hispanic-American
– Native-American
– Asian and Pacific Islander American
• U.S. Citizen
• Owns at least 51%
• Operates and Controls an Independent Business
• Headquarters located in the states of MN, ND, SD, NE and
western Iowa.
• Capable to provide Products or Services to Corporate
America (B to B)
• No Limitation:
– Revenue
– Years in business

57. How to become Certified?
Steps for applying for MBE
Certification through MMSDC: The Certification Process:
• Submit the online MBE 1. Application and supporting
Certification application at
documents are reviewed for
www.mmsdc.org
– Create a username and password completeness
– Complete all online application
sections: General Information, 2. Conduct Site Visit and
Ownership of Business, References,
interview with the owner
Special Business Operations,
Declaration of Certification, and
Documentation Instructions 3. Present files to Certification
Committee (once a month)
• Pay the application fee by credit
card or send a check ($300.00)
4. MMSDC Board Approval
• Submit all applicable required
additional documentation

58. MBE Certification FAQS
1. How long does the MBE Certification process take? Time frame
usually 30-90 days. The time it takes to be certified is dependent on:
• The firm’s legal structure
• The complexity of its ownership structure
• The completeness of the file
2. What happens if my firm does not get certified?
The applicant can file for an appeal within thirty (30) days of denial
notice, or it can re-apply for MBE certification one year after denial.
3. What is the renewal process?
Certifications are renewed on a yearly basis for $200.00. The
applicant submits an online application (3 pages), most recent
business tax returns, and signature page of application signed and
dated by owner.
Complete list of FAQS at www.mmsdc.org under “MBE CERTIFICATION”

59. Preparing for MBE Certification
The following is a list of items you should consider before you
apply for MBE certification:
• Start well-structured (by-laws, operational agreements, finances, etc. in
order)
• Research and target the specific corporation(s) or sector you would like to do
business with
• Research the industry you are targeting to determine trends and opportunities
• Consolidate your services and products to fit TARGETED market
• Determine how you will create value for your potential corporate customers
• Select all suitable NAICS (The North American Industry Classification System)
codes
• Research the company's business and develop a strategic approach
• Research your opportunities for growth (be open and ready for partnering) –
Tactical Alliance or Strategic Alliance

60. Thank you
MMSDC
111 Third Avenue South, Suite 240
Minneapolis, MN 55401
612-465-8881
www.mmsdc.org

61. WBE Certification from WBENC
• Women’s Business Development Center
(WBDC) – Chicago and MN
• Women’s Business Enterprise National
Council (WBENC) – Washington, D.C.

62. WBE Certification from WBENC
• Largest third-party certifier of women-owned
businesses in US
• National in Scope
• WBE Certification of Choice for Corporate
America
• Accepted by thousands of corporations and a
number of federal and government agencies
• Issued in partnership with WBDC

63. Benefits
• Increased Value to Existing Customer Base
• Access to Corporate America and Government
• Credibility
• Post-Certification Support
– Training and Networking Opportunities
• Networks and Referrals
– National Database of WBENCLink
– Other Databases
– Matchmakers
– Networking Events
– Trade Shows

64. Supplier Diversity Corporate Partners

65. WBE Certification
To Certify or Not to Certify?
• Process takes investment of time, energy,
and resources
• PAY OFF TAKES INVESTMENT OF TIME,
ENERGY, RESOURCES
• Can (not will) help to identify new markets

66. Eligibility Criteria
MAIN AREAS OF WBE CRITERIA
Ownership
– Real & substantial
– Shares in risks and profits
• Contribution of Capital and Expertise
• Operation & Control
– Managerial and Operational
• Independence
• Visit www.wbenc.org
for complete criteria

67. Certification Fees
• Certification Prices are based on
Gross Annual Revenues
Gross Annual New Annual Renewal
Sales Applications Applications
< $2M $350 $275
$2-8M $650 $575
>$8M $950 $875

68. Application Process
Apply for WBE Certification online at
www.wbenc.org
Some tips to make certification easier:
• Submit completed application from the start
• Address each document that you believe does not
apply to you
• Work with the Procurement Technical Assistance
Center (PTAC) to review your documentation prior
to submittal

69. Contact Info
Natasha Fedorova
Women’s Business Development Center-MN
612-259-6584
nfedorova@wbdc.org