Subchapter B. CONTRACT COMPLIANCE—
CONSTRUCTION CONTRACTS


Sec.


68.101.    Contract compliance—construction contracts—statement of policy.

§ 68.101. Contract compliance—construction contracts—statement of policy.

 (a)  The Department of General Services (DGS) is strongly committed to establishing, maintaining and insuring that open and equitable contracting practices are utilized in construction activities. Under Chapter 1 Subchapter LL (relating to minority and women business enterprise) a bidder may not discriminate against a Minority Business Enterprise (MBE) or Women Business Enterprise (WBE) in the solicitation and utilization of subcontractors, manufacturers or suppliers. Bidders are required to submit documentation showing MBE/WBE participation levels. The Commonwealth will presume that discrimination has not occurred if a bidder has achieved the Commonwealth’s prescribed levels of MBE/WBE participation on the specific job being bid, and no further review will be undertaken.

 (b)  The general MBE/WBE participation objectives on a district-by-district basis are as follows:


MBE
WBE
DGS Construction District # 115-25%5-10%
DGS Construction District # 210-20%2-5 %
DGS Construction District # 310-20%2-5 %
DGS Construction District # 415-25%5-10%

 (c)  The specific minimum levels of MBE/WBE participation will be stated for each contract in the bid documents. The specific levels set will be based on factors such as geographical location, contract size, contract type and availability of MBE/WBE firms.

 (d)  DGS will perform an initial review of construction contract bid submittals to insure that required MBE/WBE documentation has been submitted. Failure to submit the required information on MBE/WBE participation will result in rejection of the bid as being nonresponsive.

 (e)  Upon receipt of bids for a construction contract, the submittal of each bidder will be subject to review by DGS to determine whether the bidder has discriminated in the selection of manufacturers, subcontractors and suppliers. If a bidder has met the prescribed minimum levels for MBE/WBE participation, the contractor will be presumed not to have discriminated in its selections. If the minimum levels are not met, DGS will determine whether discrimination has occurred. If, after review, the Department finds that discrimination has occurred, the bidder will be deemed not responsible and its bid will be rejected.

 (f)  A bidder will be credited for MBE/WBE participation in accordance with the following chart. The MBE/WBE firms shall be certified by DGS or certifiable for the specific subcontractor, manufacturer and supplier categories for the bidder to receive the following credits:


MBE/WBE Category% of
Credit

Subcontractors100%
Manufacturers100%
Stocking Suppliers
(additional supporting documentation may be required)		100%
Nonstocking Suppliers
—if the suppliers are commonly and ordinarily the custom in the industry and a part of the industry’s trade practice		100%
—if the suppliers are not commonly and ordinarily the custom in the industry nor a part of the industry’s trade practice  0%

Source

   The provisions of this §  68.101 adopted October 28, 1988, effective immediately and applies retroactively to February 16, 1988, 18 Pa.B. 4870.

Cross References

   This section cited in 4 Pa. Code §  68.201 (relating to policy).


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