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The City of Cleveland’s Cleveland Small Business, Minority Business Enterprise, and
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contract, and may subject the contractor to criminal prosecution, decertification, and other
sanctions.
Credit towards the CSB subcontractor participation goals is not available for participation under
any contract in a calendar year by any CSB subcontractor that has contracted more than a
maximum annual dollar amount per CSB fixed by the Director in the Regulations from time to
time, except that the Director may apply credit toward the goals upon written request of a bidder
or contractor attesting that no other certified CSBs are available to perform the work or supply
the materials required for the contract, or in an emergency, or for such other reasons that the
Director determines require use of that CSB. 324
b. MBE/FBE Goals of Contracting Departments
Each Contracting Department is to use its best efforts to utilize certified MBEs and FBEs as
contractors or subcontractors for all contracts in excess of $10,000, where applicable. The
Director may determine the appropriate annual City-wide goal for MBE and FBE participation
for each type of Contract, including, but not limited to, construction, non-professional and
professional services, supplies, and concessions, and for each type of work to be performed
under a particular contract, based on the availability of certified MBEs and FBEs as to which
past or present discrimination has been demonstrated.
The 2007 Disparity Study found sufficient evidence of discrimination to support goals for MBEs
and FBEs in vertical construction. The current goals are 15 percent for MBEs, 7 percent for
FBEs and 8 percent for CSBs.
The Director fixes the goals for MBE and FBE participation in a particular contract in
consultation with the Contracting Department, based upon the annual City-wide goals for each
type of contract and for each type of work to be performed in the contract and the availability of
certified MBEs and FBEs. The Director may fix the goals for a particular contract at a level
exceeding the annual City-wide goals to assist a Contracting Department in meeting the annual
City-wide goal for the particular type of contract to be awarded.
Contracting Departments consider use of certified MBEs and FBEs when recommending a
lowest and best or lowest responsible bid to meet the specified annual goals and may apply a Bid
Discount. However, these goals are not quotas.
MBE and FBE participation will be counted towards meeting the goals as follows:
• 100 percent of expenditures to MBEs and FBEs that perform Commercially Useful
Functions in implementation or performance of a Contract;
324 C.O. 187.04 (e).
NERA Economic Consulting 294