Meeting_Body
EXECUTIVE MANAGEMENT COMMITTEE
NOVEMBER 15, 2018
Subject
SUBJECT: STREAMLINING AUDITS FOR SMALL AND DISADVANTAGED BUSINESSES
Action
ACTION: RECEIVE AND FILE
Heading
RECOMMENDATION
Title
RECEIVE AND FILE report on streamlining audits for small and disadvantaged businesses (SBE/DBE).
Issue
ISSUE
Metro recognizes that the SBE/DBE firms may have challenges including limited knowledge and resources to comply with the requirements of Federal Acquisition Regulations (FAR) Part 31, Contract Cost Principles and Procedures which are included in all Metro contracts. This report provides details on the ongoing streamlining efforts that were reported to the Board in May 2018 to assist the SBEs/DBEs in resolving these challenges.
Background
BACKGROUND
At the September 2017 Board meeting Director Dupont-Walker requested that staff report back on efforts for streamlining audits for small businesses. Specifically, she requested recommendations and/or results on A) simplifying indirect cost rates; B) reducing the number of multiple audits annually; C) implementing a centralized database; D) list of metrics to measure improvements; and E) toolbox for SBE/DBE to provide feedback.
In May 2018, the Board received an update on Metro's efforts for streamlining the audit process for the SBE/DBE community. In addition, the Board approved Vendor / Contract Management's (VCM) establishment of an Indirect Cost Rate Pilot Program for SBE/DBEs on eligible contracts.
Discussion
DISCUSSION
Metro's objective is to provide a level playing field to all vendors. V/CM and Management Audit Services (MAS) have partnered to assist, educate and train the SBE/DBE community on all Metro contract requirements, including audit requirements.
A. Simplifying Indirect Cost Rates and Flow-Downs
V/CM Updates
As part of V/CM's procurement streamlining initiative, V/CM has improved its RFP contract templates and instructions in the following identified areas specific to a...
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