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The American Recovery and Reinvestment Act PARTNERSHIPS FOR LINKAGES TO PROCUREMENT OPPORTUNITY December 4, 2009 Presented by: Patricia Hanes, Regional Director U. S. Department of Commerce/ Minority Business Development Agency Atlanta, GA
Agenda The Minority Business Development Agency (MBDA) Why is MBDA Important? Today…why are we here? Facts About “ARRA”(Stimulus) & MBEs Next Steps Q&A
Quote “What I need from all of you is unprecedented responsibility and accountability…The American people are watching”. President Barack Obama February 20, 2009
The Agency The Minority Business Development Agency (MBDA) is tasked with promoting the growth and competitiveness of minority-owned businesses nationwide. By Executive Order 11625, MBDA conducts the following: Coordinate the plans, programs and operations of Federal agencies to strengthen minority business enterprises (MBEs). Promote the mobilization of activities and resources of State and local governments, businesses and trade associations, universities, foundations, professional organizations towards the growth of MBEs. Establish a center for the development, collection, summarization and dissemination of information for and about minority businesses. Provide financial assistance to public and private organizations so they may render business consulting services to MBEs.
The Agency Our Vision MBDA’s vision is economic prosperity for all American business enterprises. Our Mission To foster the growth and global competitiveness of U. S. businesses that are minority-owned.
Why is MBDA Important? The U. S. needs strong minority-owned firms to achieve maximum economic growth. Minority businesses are twice as likely to generate sales through exports compared to non-minority firms. Minority-owned firms create job opportunities for all Americans. In 2050, the minority community will represent 54% of total U. S. population. MBDA is a catalyst to build minority-owned firms of size, scale and capacity.
MBDA Statistics Summary of Business Statistics by Group - 2002 Group African American Number of Firms Total Gross Receipts Average Gross Receipts Paid Employees 1, 198, 000 $88. 8 billion $74, 000 757, 000 201, 000 $26. 9 billion $133, 000 191, 000 Asian 1, 104, 000 $326. 4 billion $296, 000 2, 213, 000 Hispanic 1, 574, 000 $222. 0 billion $141, 000 1, 538, 000 29, 000 $4. 3 billion $148, 000 29, 000 All Minority 3, 958, 000 $661. 1 billion $167, 000 4, 675, 000 All U. S. Firms (excludes publiclyheld and other non-classifiable firms) 22, 480, 000 $8. 8 trillion $391, 000 55, 368, 000 American Indian & Alaska Native Hawaiian and Other Pacific Islander Source: U. S. Census Bureau, 2002 Survey of Business Owners, August 2006, and 2007 Special Tabulation on total minority firms for 2002.
Our Clients Native Americans Pacific Islanders Hasidic Jewish Americans Hispanic Americans Native Hawaiians Asian Americans Alaska Natives African Americans
Our Clients The core MBDA client is a firm that generates $500, 000 in annual revenue. These firms have the following characteristics: − Represent only 5% of all minority firms − Generate 75% of all minority-owned firms gross receipts − Provide 73% of all paid employees Source: U. S. Census Bureau, 2007 Special Tabulation for Minority Firms in 2002, “ 2002 Survey of Business Owners. ”
MBDA Structure MBDA provides nationwide reach through five regional offices. New Orleans REC
Services Based upon result of systems-integrated review, MBDA provides the following services: Business Consulting Procurement Matching Private Equity and Venture Capital Sourcing Bonding Assistance and Loan Packaging Strategic Partnering (e. g, Business-to Business, Teaming, Joint Ventures, etc. ) Market Promotion of Clients to Prime Contractors and Other Buyers
ARRA Facts The American Recovery and Reinvestment Act (ARRA) provides a historic opportunity to stimulate economy, create jobs and drives economic activity. It also boosts quality of life and economic growth. State and local governments will spend twice as much as federal agencies on stimulus-funded contracts. MBDA is authorized to prescribe additional arrangements for developing and coordinating a national program for minority business enterprises. The American Recovery and Reinvestment Act of 2009 is viewed as a nationwide effort to create jobs, jumpstart growth and transform the economy for the 21 st century.
Who? Southeast Region Minority Business Enterprises (MBEs) MBDA ATLANTA NATIONAL ENTERPRISE CENTER Funded Centers Local and state chief procurement officers, government contracting officers, and all other procurement decision makers in municipalities including schools.
How Involvement at the front end of the stimulus procurements to identify and assist in the procurement strategy prior to the release of the solicitation. Pool Knowledge - work collaboratively to create the most effective solicitations for MBE inclusion. Compile items in a spreadsheet and develop a procurement strategy for commodity or services needed. Match identified vetted “shovel ready” minority businesses to ARRA opportunities.
MBDA LOCATIONS IN FLORIDA • Florida MBOC Orlando, FL 407 -245 -6495 www. floridamboc. org • Miami/Ft. Lauderdale MBEC Miami, FL 768 -316 -0888