Transcript This would be the title of the first slide.

Mississippi State Port Authority
Port of Gulfport Restoration Program
Section 3/DBE Business Concern Workshop
March 26, 2015
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The MSPA is an Equal Employment
Opportunity Employer and gives
preference to Section 3 residents and
Section 3 business concerns when
new hiring and contracting
opportunities arise.
More information about Section 3 can
be found at www.hud.gov.
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Purpose of Today’s Workshop
• The purpose of the workshop is to educate
businesses about Section 3, how to become a
Section 3 business and upcoming contracting
opportunities under the PGRP.
• To focus on providing information and
resources for business entities who may be
interested in the Port of Gulfport Restoration
procurement opportunities.
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Agenda
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Introductions, Housekeeping
Port of Gulfport Restoration Project Overview
Section 3 Overview
Resources for businesses
Questions
Networking
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What is the Port of Gulfport Restoration Program?
The Mississippi State Port Authority at Gulfport
(MSPA) is in the process of restoring and rebuilding
its facilities that were damaged by Hurricane
Katrina.
This project, called the Port of Gulfport Restoration
Program (PGRP), received $570 million in
Community Development Block Grant Funds from
the U.S. Department of Housing and Urban
Development (HUD).
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PGRP Objectives
Some objectives of the PGRP are:
– Create new jobs, generating wages and state and local
tax dollars
– Enhance future growth opportunities/economic
catalyst for Mississippi
– Rebuild and restore the Port of Gulfport to its
previously permitted footprint
– Offer protection from future storm damage
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Mississippi State Port Authority at Gulfport
– Mississippi’s State Port
– Enterprise Agency (self supporting, not state
funded)
– 295 acres - 6,000 linear feet of berths
– Mobile harbor cranes; roll-on, roll-off; and self
unloading capability
– Bulk, break-bulk and container cargo
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Mississippi State Port Authority at Gulfport
- Two million tons of cargo per year
- 209,665 TEUs per year (TEU = twentyfoot equivalent unit)
- 3rd busiest container port on U.S. Gulf
of Mexico
- One of largest importers of green fruit
in U.S.
- Current tenants include: Crowley,
Dole, DuPont, Gulf Coast Shipyard
Group, EN Bisso, Ports America and
the Island View Casino Resort
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Conceptual Illustration of Port of Gulfport after Restoration
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Aerial View of the Port of Gulfport
5M tons of fill
1,000 miles
PVD
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Section 3 Background
• HUD funds are one of the largest sources of
federal investments in distressed
communities.
• These funds typically result in new
employment, training and contract
opportunities.
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What is Section 3?
HUD’s Section 3 program requires that
recipients of certain HUD financial assistance
to the greatest extent feasible provide job
training, employment, and contract
opportunities for low or very-low income
residents in connection with projects and
activities in their neighborhoods.
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Section 3 Covered Projects
• The construction or rehabilitation of housing
(including reduction of lead-based paint hazards).
• Other public construction such as the PGRP.
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Applicability
• Section 3 requirements apply to the entire
project or activity, regardless of whether it is
partially or fully funded.
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Section 3
- Section 3 applies to the PGRP because of the
expenditure of HUD funds on public construction
- Section 3 differs from Minority Business Enterprise/
Women Owned Business Enterprise
- Section 3 preferences focus on household income and
location
- Section 3 preferences are race and gender neutral
Reference:
www.hud.gov/offices/fheo/section3/FAQ08.pdf
12 U.S.C. §1701 and 24 CFR Part 135.5
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PGRP Section 3 Goals
• 10% of the value of construction contracts
awarded to Section 3 contractors or subcontractors.
• 3% of the value of non-construction contracts
awarded to Section 3 contractors or subcontractors.
• 30% of New Full-time hires(FTE’s) are Section
3 individuals.
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Section 3 Opportunities
What Section 3 opportunities are available
through the PGRP?
- Contracts
- Employment
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PGRP MSA/Project Area
- PGRP must make
available to low and very
low income “Section 3
Residents” jobs and
contracting opportunities
- MSA/Project Area:
Harrison, Hancock
and Jackson counties
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What is a Section 3 Business?
Ways to qualify as a Section 3 Business Concern:
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Contractor’s firm is 51 percent or more owned by Section 3
residents.
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Contractor’s permanent, full-time employees include persons, at
least 30 percent of whom are currently Section 3 residents, or within
three years of the date of their first employment with the business
were Section 3 residents.
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Contractor commits to subcontract in excess of 25 percent of the
dollar amount of all subcontracts to be awarded by the business
under the proposed contract to Section 3 businesses that meet ONE
of the above criteria.
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HUD Section 3 Business Concern – Certification Process
Steps of the Section 3 Certification Process:
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Complete Section 3 Business Concern Certification form
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Complete necessary documentation to support status* as a
Section 3 business (i.e. necessary number of Section 3 Resident
Certifications; necessary corporate documentation, etc.
* Note: the documentation necessary to support Section 3 status is
dependent upon on how specifically a business certifies as a Section 3
business ( i.e. % Section 3 residents employed, corporate ownership, etc.
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Submit all completed documentation to MSPA Director of
Compliance Officer and Corporate Responsibility for evaluation.
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HUD Section 3 Business Concern – Certification Process
Refer to your handouts
- Complete Section 3
Business Concern
Certification form
- Submit original to MSPA
Compliance Officer for
assessment, or submit as
part of procurement
proposal/bid package
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HUD Section 3 Business Concern – Certification Process
- Even if you submit documents to the MSPA
Director of Compliance and Corporate
Responsibility for review, you must still submit all
required forms and supporting documentation as
part of your procurement proposal/bid package
- Each procurement is independent, so you will
need to submit all required forms and supporting
documentation every time you submit a
procurement proposal/bid package
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An example from our bid packages:
Demonstrate commitment to the achievement of the
PGRP Section 3 goals
All bidders are required to demonstrate commitment to the achievement of the PGRP
Section 3 goals in one of the following two ways:
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(1) A bidder must certify as a Section 3 business concern; OR
(2) A bidder must provide a Section 3 plan detailing how the bidder will meet the
required Section 3 subcontracting goal of providing subcontracting opportunities
to Section 3 business concerns in an amount not less than 10% of the total
contract amount. In the subcontracting plan, the bidder should include the
necessary number of Section 3 business subcontractors to meet or exceed the goal
for this contract. The plan should also clearly state the total dollar value that will
be self-performed and the total dollar value which will be subcontracted to Section
3 Business Concerns; providing for each listed Section 3 Business Concern a fully
completed Section 3 Business Certification form including the company name,
address, contact person, telephone number, and e- mail address; the amount to be
performed/subcontracted; the scope of work to be performed; and the anticipated
timeframe for performance of the work.
If a bid is submitted without satisfying one of the two requirements set forth
above, then that bid will be deemed non-responsive and rejected.
Section 3 Resident Certification Process
• Refer to handouts for 2015 Section 3 Resident
Certification forms
– Individual completes form for the county where
they reside and gives it to business
– Can qualify if “low income” or ”very low income”
currently or was within the first three years of
employment with business.
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HUD Section 3 – Hiring Information
- Section 3 Residents are considered first in hiring processes (for
equally qualified)
- All PGRP contractors and subcontractors post new positions with the
Mississippi Department of Employment Security Commission’s WIN
Job Centers
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Bid Preferences- Section 3
•
This project is covered by the requirements of Section 3 of the Housing
and Urban Development Act of 1968 (12 U.S.C. § 1701u) (“Section 3”).
•
Section 3 requires that when employment or contracting opportunities
are generated by HUD-funded projects, preference is given to low-income
persons and businesses residing in the community where the project is
located.
• Therefore, Section 3 businesses are encouraged to submit a bid as
preference will be given for Section 3 businesses if all other requirements
are met. A bidder selected for this Project will be responsible for ensuring
compliance with Section 3 requirements including, but not limited to, the
hiring and contracting decisions made on the Project.
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Section 3 Preference at Work
How does Section Preference 3 work? Here’s an example:
- XYZ Construction, a qualified, responsible bidder,
submitted a $15 million construction proposal (within
budget)
- XYZ Construction has 50 employees, 25 of whom are
Section 3 residents (their annual household income is
considered low or very low under HUD guidelines)
- XYZ Construction is certified as a Section 3 business
- XYZ Construction will receive a preference
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HUD Section 3 Business Concern – Requirements
Requirements for a Businesses working on the
PGRP:
- Record-keeping
- Reporting
- Section 3 plans
- Community outreach
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HUD Section 3 Business Concern – Requirements
Record-keeping:
- Employee rosters with date of hire
- Section 3 resident certification forms
- Maintain an interview log through hiring processes
- Community outreach efforts to connect with Section 3
residents and businesses
- Company documentation
Note: It is the Policy of the Port of Gulfport Restoration Program that records with personal
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information shall remain in a secured, locked location.
HUD Section 3 Business Concern – Requirements
Reporting – monthly reports of:
- All hiring
- All subcontracting opportunities
- All outreach activity
- If you are unable to hire or contract with Section 3
residents or businesses, then provide a written
explanation as to why you could not do so.
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Section 3 – Community Outreach
As a Section 3 Business Concern, what are ways that I can
reach out to the community for new hires and contracts?
- The PGRP will offer contractor events and job fairs at
which Section 3 Business Concerns can participate
- Contact organizations such as community centers,
employment agencies, churches, non profits and housing
developments
- Place ads in local newspapers
- Post signs and distribute flyers in the community
- See your handouts for comprehensive list of outreach
effort ideas
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Consequences of Non-Compliance with
Section 3 Requirements
• Noncompliance with Section 3 requirements
may result in:
• Delay in payments
• Sanctions
• Termination of contract for default
• Debarment, and
• Suspension from future HUD
contracts
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HUD Section 3 Business Concerns
- The MSPA is building a database of companies who are
likely to qualify and/or have previously qualified as Section
3 Business Concerns
- The MSPA Director of Compliance and Corporate
Responsibility will distribute these lists to current Port
contractors
- The MSPA will also distribute these lists to companies that
have requested procurement packages/bid solicitations
- Additionally, the MSPA will distribute this information to the
SMCPC, Small Business Administration and entities subject
to HUD Section 3 requirements in this region
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Licensing
• You business must hold a current Mississippi
State Contractor’s License at the time of your
bid submission.
• To get licensed in Mississippi contact:
– [email protected]
– or call 601-354-6161 or (800)880-6161.
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What is the Pathways to the Port Jobs Program?
Pathways to the Port Jobs Program is the PGRP’s centralized
process for job placement and workforce training geared
toward long-term workforce employment.
- NOW: Pathways is being used to connect the local
workforce with job opportunities generated as a direct
result of current expenditures of Section 3 covered funds.
- IN THE FUTURE: Pathways will be used to connect the local
workforce with training and job opportunities that will be
created as the Port finishes various stages or restoration.
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What happens if I am successful in winning a contract?
If you are a successful contractor or sub-contractor:
– We will meet with you to do an orientation to get
you started off the right foot with hiring, recordkeeping, etc.
– We will provide on-going technical assistance
regarding Section 3, etc.
– We will be doing periodic monitoring and
providing feedback as to how you are meeting
your goals and recordkeeping requirements.
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Future PGPR Construction Projects
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Water Tank
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Security Gate
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Port Landscaping
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Port Operations Building
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West Pier Site Work and Infrastructure, Phase 2
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West Pier Site Work and Infrastructure, Phase 3
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Questions
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Future Outreach Workshops
Next Section 3 Business Outreach workshop:
June 2015 - Gulfport, MS
Date, location - TBD
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How can I keep informed about the Port and Restoration work?
South Mississippi Contract
Procurement Center distributes
Legal notices/ads in the Sun
Herald
PortoftheFuture.com Home and
Procurement web pages
PortoftheFuture.com email/e-blast
Facebook
Twitter
Construction plan rooms
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HUD Section 3 Business Concern Certification
Questions?
For more information, or for one-on-one
assistance, please contact:
Mel Arsenault, Director of Compliance
and Corporate Responsibility Officer
Mississippi State Port Authority
[email protected]
228-865-4300
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