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Regional Transportation Authority Disadvantaged Business Enterprise FFY 2020-2022 Triennial Goals

This public comment meeting presented by Cha Advisors Inc. discusses the DBE program regulatory standards and the goal-setting process for FTA contracts. It includes the determination of base figures, adjustment for DBE program effects, and race-neutral measures for achieving the goals.

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Regional Transportation Authority Disadvantaged Business Enterprise FFY 2020-2022 Triennial Goals

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  1. Regional Transportation AuthorityDisadvantaged Business EnterpriseFFY 2020-2022Triennial Goal SettingPublic Comment MeetingPresented by:Cha advisors inc.May 8, 2019

  2. DBE Program Regulatory Standards • DBE Goal Applies to Federal Transit Administration (“FTA”) Contracts for the upcoming three federal fiscal years • Two Step Goal Setting Process • Step 1: Determine the “base figure” of ready, willing & able minority- and women-owned businesses as a percentage of all businesses in the agency’s geographic & product markets • Step 2: Examine all relevant evidence to determine any adjustment to account for the effects of the DBE program & “but for” discrimination

  3. Step 1 Base figure • Determine product market by expected FTA-assisted spending by NAICS codes for FFYs 2020-2022 $995,000 total • Interagency Signage Expansion = $275,000 • Engineering Activities (541330) = 25% • Highway, Street & Bridge Construction = 75% • Transit Oriented Development Projects = $720,000 • Engineering Activities (541330) = 70% • Other Activities Related to Real Estate = 20% • Public Relations Agencies = 10% • Determine geographic market by RTA’s Disparity study

  4. Step Ste1 Base Figure 1 Base Figure Step 1 One Base Figure Determine Availability Used Study Methodology applied to new Codes. 1 Step 1 Base FigureBase Figure

  5. Step 1 Base Figures • Determine weighted availability • DBE availability x NAICS dollar amount ÷ total project dollars • Step I base figure is 14.3% ($143,680) • 541330: 14.2 x $504,000 = $71,568 • 531390: 19.1 x 144,000 = $27,504 • 541820: 18.7 x $72,000 = $13,464 • 237310: 14.1 x $68, 750 = $96,347 • 339950: 10.4 x $206, 250 = $21,450

  6. Step 2 Base Figure • Effects of DBE Program Measured By Past DBE Utilization • Median for FFYs 2016-2018 = 18.1% • Average with the Step 1 base figure • 14.3% + 18.1% = 32.4%/2 =16.2% • ”But For” Impact Not Permitted under 7th Circuit Case law • Results: Triennial Goal of 16.2% • Expected race-conscious participation is 16.2%

  7. Race-Neutral Measures • Extensive Outreach Activities • Annual Chicago Business Opportunity Fair/Chicago Minority Supplier Development Council • Annual Entrepreneurial Woman’s Conference/Women’s Business Development Center • Annual Illinois Hispanic Chamber of Commerce Conference • Annual Conference of Minority Transportation Officials • Metra’s Annual Vendor Fair • Illinois Department of Transportation Annual DBE Conference

  8. Race-Neutral Measures • Individual Technical Assistance to DBEs • Outreach for Individual Solicitations • Attendance at Pre-Bid Conferences

  9. Send inquires and comments to: LaToya Redd Regulatory Compliance Officer Regional Transportation Authority 175 West Jackson Blvd.,Suite 1650 Chicago, Illinois 60604 reddl@rtachicago.org 312-913-3212

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