ABOUT THE ESBD PROGRAM

On February 9, 1999, the City of Sacramento adopted the Emerging and Small Business Development (ESBD) Program; a race- and gender-neutral business assistance program designed to foster economic development within the city. As with the former M/WBE Program, the ESBD Program is designed to provide all business owners equal opportunities in the City's contracting and procurement activities. The program is aimed at achieving the City's priorities of inclusiveness, diversity, and economic development.

Small Business Participation Goals . . .

City Council established a minimum program participation goal of 20% in all City contracting and procurement activities.

Firms that exceed the economic or size standards of a Small Business Enterprise (SBE) are required by the Program to subcontract a percentage of any contract awarded to a certified Emerging Business Enterprise (EBE) or SBE firm (minimum 20% unless adjusted by the City). City Departments are encouraged to select certified EBE or SBE firms over non-certified firms when offering certain contracting opportunities.

To be considered a responsive bidder for all formally bid construction and purchasing awards, the contract's minimum EBE/SBE participation must be met at the time of the bid.  Good faith efforts do not apply.

Small Business Enterprise (SBE) Definition . . .

The City of Sacramento utilizes the State of California, Department of General Services (DGS), Office of Small Business and DVBE Certification (OSDC) definition of a Small Business Enterprise, which provides, in part, that a Small Business Enterprise:

• is independently owned and operated
• is not dominant in its field of operations
• has its principal office located in California
• has its owners and officers domiciled in California, and
• together with its affiliates, is either:
  a service, construction, or non-manufacturer that has 100 or fewer Employees, with average annual gross receipts not exceeding twelve million dollars ($12,000,000) over the previous three (3) tax years
  - OR -
  a manufacturer that has 100 or fewer employees.

Emerging Business Enterprise (EBE) Definition . . .

In addition to meeting the eligibility requirements for a small business, an Emerging Business Enterprise (EBE) classification is based on the firm's "Total Gross Receipts" over a three (3) year period. These are industry specific thresholds listed on the City of Sacramento web page www.cityofsacramento.org/esbd.

Disadvantaged Business Enterprise . . .

The City of Sacramento ensures that only Disadvantaged Business Enterprise (DBE) firms currently certified under the California State Department of Transportation (CalTrans) Program will participate as DBEs in federally assisted City projects.

For more information, contact the
Office of Small Business Development at
(916) 808-6747