There has been an increased number of projects with specified DBE goals. Due to that fact, one of the main items discussed during the DBE portion of the webinar was the Good Faith Effort (GFE) requirements.
Good Faith Effort (GFE) is defined as: “Efforts to achieve a DBE goal which; by their scope, intensity, and appropriateness to the objective; can reasonably be expected to meet the objective of the Department’s DBE program pursuant to 49 CFR 26.1.”
DBE Special Provision (provisions can be found below) gives more detailed information. Below is the basic information and important reminders.
All prime contractors who do not meet or exceed the DBE goal are required to submit GFE documents within two days following notification from the Bid Letting Engineer. Typically, this is two days following the letting. Below are the required documents to include when submitting the GFE Package:
1.) Submit a contact log of all solicitation efforts (see Contact Log Template below):
Timeframe for contacting DBEs
DBEs on the plan holders list:
At least 7 calendar days prior to letting
Contacting by mail:
At least 6 calendar days prior to letting
Contacting by email, phone, fax
At least 5 calendar days prior to letting
If there is no positive contact, a second solicitation must be made by phone, fax, or email at least 2 business days prior to letting.
2.) Submit documentation that shows GFE
Select work items to encourage DBE participation.
Solicit all DBEs listed in the work classification and geographic area.
Solicit all DBEs on the plan holders list in a timely manner.
Follow up with all DBEs if there was no positive contact.
Answer any questions that DBEs have about the project.
If you reject a DBEs quote, include a detailed explanation.
3.) Consider qualified DBEs whose quotes are reasonably competitive.
Include all quotes received.
Provide quote comparison document typically a spreadsheet format with each quote broken down by bid items. (See example of a quote comparison below).
4.) Explain why goal couldn't be met.
5.) Note additional efforts made to secure DBE participation.
Some other key points to remember:
Be sure to reach out to all sub-contractors to see if any subcontractors are utilizing DBEs. It’s important to list those DBEs that subcontractors may be using on the DBE commitment form when submitting your bid. DBEs that subcontractors may use need to be contacted per the requirements in A.
Must solicit all eligible DBEs even if normally the supplier would be supplying a subcontractor.
Solicit for the entire project for all eligible work groups and appropriate geographic area.
Be detailed in your narrative to explain why the goal couldn’t be met and what extra efforts were made.
It’s important to submit all the required GFE documents when requested. The DBE GFE committee can only consider what is submitted.
Continued solicitation of DBEs following the letting is encouraged but any DBE participation that is not on the DBE Commitment form or obtained “after-the-fact” does not count towards a GFE effort determination.
DBEs who may be considered competitors are still required to be solicited and consideration is to be given to any quotes received.
Forms and Documents:
Contact Log Template.xlsx
Quote Comparison.pdf
If you have additional questions, please contact Kyle Watkins, DBE Coordinator below.
