What is the Small Business Reserve Program?
The Small Business Reserve (SBR) Program sets aside procurement contracts in construction valued less than $250,000 and procurement contracts in professional services or other services valued more than $10,000 for bid and award only to certified Small Business Enterprises (SBEs). Exceptions may be applicable in certain situations.
The intention of this Small Business Reserve program is to increase opportunities for SBEs to perform as prime contractors on City projects/contracts, growing capacity and gaining valuable experience. Accordingly, to obtain a small business reserve program contract, the bidding SBE must self-perform a significant percentage of the contracted work (a minimum of 50 percent), limiting its ability to subcontract the work.
Who is Eligible for the SBR Program?
Any certified SBE can be eligible to participate in procurement contracts as part of SBR. In order to qualify as a certified SBE, a business must submit:
- a letter or other documentation from the United States Small Business Administration that establishes that the firm qualifies as an 8(a) firm or HUBZone firm with the United States Small Business Administration OR
- a letter or other documentation from the State of Maryland or United States Department of Transportation that establishes that the firm qualifies as a Disadvantaged Business Enterprise (DBE) OR
- evidence on a form prescribed by the Purchasing Department affirming under penalty of perjury that the business qualifies as an SBE as defined by the SBA.
SBEs must also meet the size eligibility standard which excludes businesses that have achieved a size standard that exceeds twenty-five percent (25%) of the applicable size standards established by the Small Business Administration.
Where Do I Find Procurement Opportunities within the SBR Program?
Any procurement opportunities set aside for the Small Business Reserve Program will be listed in the City supplier portal. All businesses that wish to work with the City of Frederick must complete an online Supplier Registration Form. Once complete, registered vendors will have the ability to submit bid packages for any open solicitations.
Check out this recently recorded information session on our MWBE and SBR programs.