Administrative Policies and Procedures Manual - Policy 4305: Small, Disadvantaged, and Women Owned Business Program

Date Originally Issued: 03-03-1993
Revised: 07-01-2004
Subject to Change Without Notice

1. General

The University of New Mexico has developed a Small, Disadvantaged and Women Owned Business Program, hereafter called the Small Business Program. The University desires to provide optimal opportunity for small, disadvantaged and women owned business concerns to participate in contracts for goods or services provided to the University. In addition, whenever possible, departments are encouraged to purchase from small, disadvantaged and women owned business concerns. The University Purchasing Department publishes and distributes a vendor directory which identifies small, disadvantaged and women owned business concerns.

This policy applies to all funds expended by the University. The Small Business Program supports the University's mission of community action and public service, enhances the University's ability to compete for federal and state-sponsored programs and research funds, and ensures compliance with Federal and State law.

The Purchasing Department is responsible for administration of this Program. This responsibility includes; setting procurement goals for the University, determining purchasing procedures, tracking and reporting program statistics, interfacing with other affirmative action programs at the University, and complying with all applicable laws and regulations, including Public Law 95-507 and Executive Order 12138.

2. Objectives

2.1. University Awareness

The Purchasing Department will maintain a high level of awareness within the University community of the needs and capabilities of small, disadvantaged and women owned business concerns and the importance of a strong Small Business Program.

• The Purchasing Department offers training on the purpose and goals of the Small Business Program. Departments are encouraged to purchase from small, disadvantaged and women owned business concerns.
• The Purchasing newsletter will feature articles relevant to the Small Business Program and will highlight specific disadvantaged and women owned businesses.
• Buyers will receive training on the needs and capabilities of small, disadvantaged and women owned businesses.

 2.2. Community Involvement

The Purchasing Department will provide training on procurement opportunities to the small, disadvantaged and women owned businesses in our community and assist them in attaining and maintaining a competitive position. The Purchasing Department will play an active role in the Rio Grande Minority Purchasing Council and participate in its trade fair and other trade fairs, meetings, and seminars sponsored by community or state organizations.

The Purchasing Department will identify new small, disadvantaged and women owned business concerns using various means such as contacting community groups, educational institutions, associated organizations, and national directories. The Purchasing Department will periodically review its purchases by groups and commodities to identify areas of opportunities for small, disadvantaged and women owned business concerns. Potential opportunities will be shared with community groups and small, disadvantaged and women owned business concerns.

2.3. Increase Participation

2.3.1. Non Competitive Procurement

When procurement does not require competitive solicitations, University departments are encouraged to purchase goods and services from small, disadvantaged and women owned business concerns where reasonably possible.

2.3.2. Competitive Procurement

The Purchasing Department will actively review competitive solicitations and work to identify small, disadvantaged and women owned business concerns that can provide goods and services at competitive prices. The New Mexico State Procurement Code requires that all purchasing transactions over $10,000 (over $20,000 for professional services), with the exception of sole source procurement, be awarded via competitive bids or proposals. The Code requires that the award be made to the lowest responsible bidder meeting specifications.

2.3.3. Multiple Awards

It is sound business practice to maintain multiple sources of supply for goods and services. Frequently, the basis for selection of secondary suppliers is based on service capabilities and availability rather than strictly on price. When appropriate and allowed under the New Mexico State Procurement Code, the University will make multiple awards to increase business between the University and small, disadvantaged and women owned business concerns on specific portions of large University contracts.  

2.3.4. Construction Subcontracting

All construction contracts of $250,000 or more shall require the general contractor to meet the University's small, disadvantaged and women owned business subcontracting goals or provide evidence of "good faith effort" to do so. Contractors are required to report their payments to small, disadvantaged and women owned business concerns quarterly.

3. Vendor Eligibility

3.1. Small Business Concern

The University hereby adopts the Small Business Administration (SBA) criteria used to define a business concern that qualifies as a small business concern. The criteria used is specific to the industry in question and includes criteria such as number of employees, total sales, and/or production capacity. A general guideline used by some organizations is a business concern with less than five-hundred (500) employees. However for a business concern to qualify they must meet all required SBA criteria.

3.2. Disadvantaged (minority) Business

A disadvantaged (minority) business is a small business concern that is at least fifty-one percent (51%) unconditionally owned by one (1) or more individuals defined by Federal law as disadvantaged, or a publicly owned business that has at least fifty-one percent (51%) of its stock unconditionally owned by one (1) or more individuals defined by Federal law as disadvantaged and that has its management and daily business controlled by one (1) or more such individuals. Individuals who certify that they are members of the following groups are defined by Federal law as disadvantaged (minority).

• African-Americans; Hispanic-Americans; Native-Americans, including American Indians, Eskimos, Aleuts, and native Hawaiians; Asian-Pacific Islanders, including individuals whose origins are in Japan, China, The Philippines, Vietnam, Korea, Samoa, Guam, the U.S. Trust Territory of the Pacific Islands, the Northern Marian Islands, Laos, Kampuchea (Cambodia), Taiwan, Burma, Thailand, Malaysia, Indonesia, Singapore, Brunei, Republic of the Marshall Islands or the Federated State of Micronesia; and Subcontinent Asian-Pacific Islanders including those individuals whose origins are in India, Pakistan, Bangladesh, Sri Lanka, Bhutan or Nepal.

3.3. Women Owned Business

A women owned business is a small business concern that is at least fifty-one percent (51%) unconditionally owned by one (1) or more women or a publicly owned business that has at least fifty-one percent (51%) of its stock unconditionally owned by one (1) or more women and that has its management and daily business controlled by one (1) or more such individuals.  

3.4. Vendor Identification

University departments are not expected to determine which vendors meet the definition of small, disadvantaged and women owned business concerns. The Purchasing Department will make such determinations and identify business concerns that satisfy the above definitions in the Directory of Registered Vendors. Departments are asked only to direct their procurement towards these business concerns, as encouraged in this policy statement.