A. 
The Board of Supervisors finds and declares that the purpose of the Procurement Opportunities Program ("Program") is to enhance economic growth in Sacramento County and its surrounding Regional Market Area by increasing the use of local and small business enterprises in the County's procurement and contracting activities. The Program also provides contracting and procurement information or assistance to any business enterprise desiring to do business with the County of Sacramento. Through the Program, the County offers economic price preferences on supply and non-professional service contracts, issued through the Department of General Services, Contract and Purchasing Services Division. In order to be eligible for a Local Business Preference the bidder must be located within Sacramento County. In order to be eligible for the small business preference, the bidder must be a certified micro-business enterprise located within the Sacramento Regional Market Area, and the lowest responsive bid must be less than $1,000,000.
B. 
The Program provides information designed for any business enterprise wishing to gain knowledge about doing business with Sacramento County. This information focuses primarily on advertising contracting opportunities and addressing ways to overcome procedural barriers encountered in the procurement process. By providing this information to as many businesses as possible, it should increase the number of potential bidders and thus increase competition.
C. 
The Program includes education and training for any interested business enterprise, as well as economic assistance for business enterprises that meet certain standards.
(SCC 1439 § 2, 2009; SCC 1515 § 1, 2012)
A. 
"Certification"
means that certain accreditation granted to a business enterprise that has formally met the size and ownership standards of the small business program pursuant to the State of California, the Office of Small Business ("OSB"), and Disabled Veteran Business Enterprises Services for Small Business certification. The County will also accept certifications from any governmental agency that has a reciprocal agreement with the State of California OSB, such as the City of Sacramento.
B. 
"Delegated Purchase Order ("DPO") Program"
means the purchasing program utilized by County Departments under the delegation of the County Purchasing Agent for goods and/or services in an amount not exceeding ten thousand dollars ($10,000.00).
C. 
"Fixed office"
means a physical office or workspace within the County, which is staffed and where business activities are conducted at least twenty (20) hours per week by employees of the business seeking a local preference. A home office may qualify as a "fixed office" if the home office may be claimed as a business deduction on the business owner's income tax return. None of the following constitutes a "fixed office" under this section: a post office box, a temporary location established only to oversee a specific project, or a moveable or mobile property such as a trailer, recreational vehicle, or tent.
D. 
"Local business enterprise"
means a business that meets all of the following criteria:
1. 
The business maintains its principal place of business within the geographic boundaries of the County of Sacramento. Suppliers and professional truck drivers are not required to maintain their principal place of business within the County, but must maintain a fixed office within the County. Suppliers must also maintain a continuously stocked inventory within the County consistent with the type of goods for which the business is seeking a local preference. Professional truck drivers must also park their registered vehicles and trailers within the County when not under contract for use. The business may be required to submit to the County a copy of its rental or lease agreement evidencing its fixed office location.
2. 
The business must provide fifty (50) percent or more of the contracted product from its own local inventory.
3. 
The business must possess a current County of Sacramento business license or a business license from a City within the County. If the business's fixed office is located in a City that does not issue business licenses, the business must be current with the City's business operations taxes or other business regulations.
4. 
The business has been established and conducting business activities in the County for at least six months preceding the due date of the bid/proposal for which a local preference is being sought. The business may be required to submit to the County evidence of its business activities within the Sacramento area during the preceding six months.
5. 
The business must have paid sales tax to either a City located within the County or to the County of Sacramento. The business may be required to submit to the County copies of its State of California Board of Equalization sales and use tax returns.
E. 
"Manufacturer"
means a business that is primarily engaged in the chemical or mechanical transformation of raw materials or that processes substances into new products, as codified in Sections 2000 to 3999, inclusive, of the Standard Industrial Classification Manual published by the United States Office of Management and Budget, 1987 Edition.
F. 
"Micro-business enterprise"
has the same meaning as in Section 14837(d)(2) of the California Government Code, except that the business has its principal place of business located in the Sacramento Regional Market Area.
G. 
"Principal place of business"
means the location where the business is headquartered and where the owner directs, controls, and coordinates the business's activities on a regular basis.
H. 
"Sacramento Regional Market Area"
is defined as Sacramento, El Dorado, Placer, Sutter, Yolo and Yuba Counties.
I. 
"Self-declared certification"
means a business that wishes to participate in the Procurement Opportunities Program, but has chosen to not formally certify that it meets the size and ownership standards of the small business program by becoming certified by with the State of California OSB or reciprocal agency, but instead self-declares that it meets the County's definition of a small or micro-business. A self-declared small or micro-business cannot participate in the economic preference benefits provided for certified micro-businesses.
J. 
"Small business enterprise"
has the same meaning as in Section 14837(d)(2) of the California Government Code, except that the business has its principal place of business located in the Sacramento Regional Market Area.
(SCC 1439 § 2, 2009; SCC 1531 § 1, 2013; SCC 1570 § 1, 2014; SCC 1657 § 1, 2020; SCC 1735, 7/23/2024)
A. 
For all invitations for bid, quotes, or proposals issued through the Department of General Services or the Delegated Purchase Order Program, one-third or more of the invitations shall be to certified or self-declared small business enterprises when available. If staff is not able to find sufficient small business enterprises to achieve the one-third standard, staff will search available vendor databases in an attempt to find additional small business enterprises.
B. 
Under the Delegated Purchase Order Program County departments are not required to solicit multiple quotes for purchases under ten thousand dollars ($10,000.00) if the delegated purchase order is issued to a certified micro-business enterprise.
(SCC 1439 § 2, 2009; SCC 1515 § 2, 2012; SCC 1531 § 2, 2013; SCC 1735, 7/23/2024)
The Procurement Opportunities Program shall provide economic assistance by offering preferences in procurement and contracting on contracts issued by the Department of General Services, Contract and Purchasing Services Division or through the Delegated Purchase Order Program. Preferences will not be applicable to procurement card transactions, contracts issued by County departments under their delegated contracting authority, or contracts that departments take directly to the Board of Supervisors for approval that are not executed by the Purchasing Agent. Contracts excluded from such preferences include construction contracts, professional service contracts, and architectural and engineering professional service contracts. The business may not submit a proposal made in the interest of or on behalf of another business to obtain the preference.
A. 
Micro-Business Enterprises. The Procurement Opportunities Program shall provide for a two percent price or point preference to small business enterprises that qualify as a certified micro-business enterprise for supply and nonprofessional service contracts of less than $1,000,000 issued by the Department of General Services, Contract and Purchasing Services Division or through the Delegated Purchase Order Program.
B. 
Local Business Enterprises.
1. 
The Procurement Opportunities Program shall provide for a five percent price or point preference to local business enterprises on supply and nonprofessional service contracts of less than $1,000,000 issued by the Department of General Services, Contract and Purchasing Services Division or through the Delegated Purchase Order program to business enterprises located within Sacramento County. Where applicable, the two percent preference to certified micro-business enterprises shall be combined with the five percent preference to local business enterprises, for a total price preference of seven percent.
2. 
This preference shall also be provided to Sacramento Regional Market Area businesses that meet the criteria of a local business enterprise for the County in which they are located, provided that:
a. 
Those criteria are at least as stringent as Section 2.56.420(D); and
b. 
The County in which such businesses are located also provides pricing preferences to businesses located within Sacramento County.
(SCC 1439 § 2, 2009; SCC 1515 § 3, 2012; SCC 1531 § 3, 2013)
The example below demonstrates the method used to determine the successful bidder on supply and non-professional service contracts of less than $1,000,000 issued by the Department of General Services, Contract and Purchasing Services Division. For request for proposals (RFP) where pricing is not the key deciding factor in selecting the awarding vendor, applicable preferences are applied to the pricing portion of the evaluation criteria.
Bidders
2% Micro
5% Local
Bid Amount
Adjusted Amount
Bidder A (Formally Certified Micro-Business Enterprise—Sacramento County)
Yes
Yes
$22,179.00
$20,626.47
Bidder B (Formally Certified Micro-Business Enterprise—Davis)
Yes
No
$21,983.00
$21,543.34
Bidder C (Uncertified Business, Large or Small, Self-Declared Micro-Business Enterprise—Davis)
No
No
$21,400.00
$21,400.00
Bidder D (Uncertified Business, Large or Small, Self-Declared Micro-Business Enterprise—Sacramento County)
No
Yes
$22,000.00
$20,900.00
 
In this example,
•
Bidder A is a formally certified micro-business enterprise located within Sacramento County and is eligible for both the two percent micro-business and five percent local business enterprise price preference.
•
Bidder B is a formally certified micro-business enterprise located within the Sacramento Regional Market Area (but not in Sacramento County) and is eligible for the two percent micro-business enterprise preference.
•
Bidder C, an uncertified business enterprise or self-declared micro-business enterprise, located within the Sacramento Regional Market Area (but not in Sacramento County) is the lowest responsive bidder.
•
Bidder D, an uncertified business enterprise or self-declared micro-business enterprise located within Sacramento County is eligible for the five percent local business enterprise price preference.
 
The preference is calculated as follows:
 
Formula:
 
Bid Amount = (Bid Amount – Combined Preference Percentages); (5% for Local Business Enterprise; 2% for certified Micro-Business Enterprise within the Sacramento Regional Market Area).
•
Bidder A: $22,179 - $1,552.23 (7% of $22,179) = $20,626.47. Bidder A, with the 2% micro-business enterprise and 5% local business enterprise preferences becomes the lowest responsive bidder, but the bid award amount is $22,179.
•
Bidder B: $21,983 - $439.66 (2% of $21,983) = $21,543.34.
•
Bidder C: $21,400. The amount is not adjusted since the vendor is ineligible for either preference.
•
Bidder D: $22,000 - $1,100 (5% of $22,000) = $20,900.
The combined micro-business enterprise and local business enterprise price or point preference (seven percent) is used as a calculation for determining the lowest bidder, and does not affect the actual amount paid to the vendor. In this example, the award would go to Bidder A (the formally certified micro-business enterprise located in Sacramento) for $22,179. Although the "preference" applied to the winning bidder is $1,552.23, the net costs to the County in this example is $779 (the difference between Bidder A and Bidder C's actual bids).
The preference amount is the additional amount the County is willing to pay to do business with certified micro-business enterprises located in Sacramento County. Because the price preference is applicable to bids of less than $1,000,000, the micro-business enterprise preference will not exceed $50,000 and the local business enterprise preference will not exceed $20,000 on any one bid. When both preferences are applied, the total preference shall not exceed $50,000 per vendor on any single solicitation.
(SCC 1439 § 2, 2009; SCC 1515 § 4, 2012; SCC 1531 § 4, 2013)