SB_DVBE Best Practices for State Departments

This webpage provides resources and best practices for buyers and SB/DVBE advocates throughout the state of California to support the inclusion of Small Businesses (SB) and Disabled Veteran Business Enterprises (DVBE) in state procurement.

Reference Guide – Assist Small Businesses (SB) & Disabled Veteran Business Enterprises (DVBE) with state contracting

Guía de Referencia –Asista a las Pequeñas Empresas (SB) y a las Empresas de Veteranos Discapacitados (DVBE) con la contratación estatal (Folleto en español)

A resource for state buyers, advocates, and DGS' strategic partners and reciprocity partners to support your knowledge of the SB and DVBE programs and help SBs, DVBEs, and potential certified firms navigate the state certification and procurement process.

2023 SB/DVBE Contracting Best Practices

2023 SB/DVBE Contracting Best Practices for Small Departments

These best practices slides were compiled by DGS and CalVet subject matter experts and serve to support state departments in meeting their SB and DVBE contracting goals. Please use the links and contact information to connect with DGS and CalVet to maximize your participation efforts.

Statewide SB/DVBE Procurement Data Dashboard

Use this dashboard to support your efforts to contract with SBs and DVBEs. You can see your departments total spend for certified versus non-certified firms as well as products and services your department most commonly purchases from non-certified firms. You can also review a list of certified firms who have previously provided those same products and services to the state and certified suppliers who list those product and service UNSPSC codes on their certification profiles. This tool is intended to help you shift spend from non-certified firms to certified firms in future procurements. Also, use the dashboard to sort by UNSPSC code to look at your department’s common acquisition methods for goods and services. This may help you identify opportunities to utilize the SB/DVBE Option in future procurements.

SB/DVBE First Policy

Departments can adopt a SB/DVBE First policy to support procurement with SBs and DVBEs. A SB/DVBE First policy helps departments streamline the procurement processes for buyers, such as using the SB/DVBE Option. Each policy varies from one department to the next, but all have a common theme. The policies strongly require procurement opportunities be fulfilled by a SB/DVBE.

To request a copy of any of the policies listed below, email advocate@dgs.ca.gov.

Departments with a SB/DVBE First Policy

California Air Resources Board
California Coastal Commission
Department of Community Services & Development
Department of Consumer Affairs
California Department of Education
Fair Political Practices Commission
First 5 California
Franchise Tax Board
California Gambling Control Commission
Department of General Services
Department of Health Care Services
California Highway Patrol
Office of the Inspector General
Department of Insurance
California Military Department
California Natural Resources Agency
Department of Public Health
California Public Utilities Commission
Department of Resources Recycling and Recovery (CalRecycle)
California Science Center
California State Controller’s Office
California Student Aid Commission
Department of Technology
State Water Resources Control Board
Department of Veterans Affairs

Government Codes and Directives

Below are directives that support state agencies in their advocacy, outreach, and contract participation with certified small businesses and disabled veteran business enterprises.

Advocacy

Government Code Chapter 6.5. Small Business Procurement and Contract Act [14835 - 14847]

This chapter shall be known and may be cited as the Small Business Procurement and Contract Act.

Government Code 14836. (a) The Legislature hereby declares that it serves a public purpose, and it is of benefit to the state, to promote and facilitate the fullest possible participation by all citizens in the affairs of the State of California in every possible way. It is also essential that opportunity is provided for full participation in our free enterprise system by small business enterprises.

Government Code ARTICLE 2. Small Business Advocacy [14845 - 14847] Provides the state authority to conduct outreach and education to assist certified Small Businesses and Disabled Veteran Business Enterprise suppliers.

Government Code 14846 (3) Agencies shall identify a Small Business Advocate and encourage them to develop and share innovative procurement and contracting practices to increase opportunities for small businesses who have expenditures exceed $100,000.

Assembly Bill 657 Small Business Liaison Clarifies actions for state agencies that are required to designate at least one person as a small business liaison.

Outreach

Government Code 14836 (a) (1) Using existing resources, each state agency shall consolidate its existing staff functions that relate to contract opportunities for small business into a single point of contact for small businesses and designate a small business advocate as a liaison to small business suppliers.

Small Business Contract Participation

Executive Order S-02-06 Establishes a 25 percent small business participation goal in state contracts

Disabled Veteran Business Enterprise Contract Participation

Executive Order D-43-01 and Military and Veteran Code (MVC) 999-999.13 Article 6 (a) Mandates a 3% goal award to certified Disabled Veteran Business Enterprise firms in all state contracts (where permissible) Military and Veteran Code Div. 4 Chapter 6 990-999.80

Permissible Diversity Outreach

Senate Bill 1045 (Polanco) Public Employment and Contracting was signed into law in 2001 and updated by Senate Bill 1442 (Liu) in 2016. The bill authorizes focused outreach activities in addition to general outreach for the purposes of increasing diversity in the state’s contracting and procurement activities in a post Proposition 209 environment.

Specifically, Senate Bill 1045, while granting that existing provisions of the California Constitution prohibit discrimination or preferential treatment based on race, ethnicity, and gender in the operation of public employment, public education, and public contracting, declares the intent of the Legislature to reaffirm diversity as a public policy goal in public employment and public contracting.

Small Business (SB)/Disabled Veteran Business Enterprise (DVBE) Best Practices for State Departments