Most public works agencies, both federal and state, require a specific participation project goal percentage to be met on Federal funded projects. The goal is to allow equal opportunities for certified subcontractors or supplier such as Disadvantaged and minority group companies (DBEs, DVBEs, MBEs, WBEs, or others). In a case where the required percentage is not met, the prime bidder (contractor) must provide adequate efforts in meeting the given goal percentage; this is called the “Good Faith Effort”.
The Good Faith Effort process can be a very time consuming process for any contractor. It involves posting project web advertisements, phone calling, faxing, emailing, communicating with different parties, and documenting all the above and much more. Per state and federal law, the contractor must show and present adequate good faith efforts documentations to meet the required project contract percentage for DBE contractors/suppliers and other minority group companies.
Even as the lowest bidder, contractors may be disqualified and considered nonresponsive for insignificant amount of effort or lack of proof of the good faith efforts. To avoid being disqualified, contractors must submit all documentations by the given due date per contract. Documents should provide the awarding agency adequate indications of efforts to meet the project percentage goal per the federal contract requirements. General guidelines
DBEsOutreach Inc. helps contractors with the process of good faith effort so contractors can focus on other bidding processes. DBEsOutreach solution.
Understand the DBE concept, DBE certification, and process explained by the Department of Transportation.