Finding Federal contract opportunities is a challenge of its own, to say nothing of the bidding process and the complexities involved in performing and administering contracts.
FedBizOpps (http://www.fbo.gov) is the starting point, but by no means the be all and end all. Indeed, it's fair to say that many postings on FedBizOpps are not going to be realistic for most local small businesses to bid.
Some ideas for using FedBizOpps:
1) Jump right into the Advanced Search, because that's where you can narrow things down by Classification Codes or NAICS Codes.
One quick tip: in the listing of Classification Codes, you will see the Federal Supply Groups first (ranging from 10 to 99), but if you scroll all the way past 99, that's where the A to Z listing of Product Service Codes begins. It's all in one menu.
However, FSGs are mostly applicable to manufacturers and distributors. PSCs are largely applicable to service and construction contractors. Sometimes contracting offices throw service contract opportunities into FSG 99 - Miscellaneous, simply because there is no such leftover category on the PSC (alphabetical) side.
2) Use it as a telephone directory of contracting officers and contract specialists. Even if that particular opportunity is not geared toward you, ask the Point of Contact (POC) for that solicitation for the names of both their Small Business Specialist and their Small Purchase coordinators.
3) Look for sources sought notices. These are not immediate bidding opportunities, but instead a formal way in which Federal agencies might do market research. They are looking to see how many vendors, and in particular how many small business vendors, are out there that can complete the job as required.
4) Realize that many opportunities will only have a brief synopsis on FedBizOpps. The detailed solicitation packages may require accessing or even registering on another separate website, such as the Defense Logistics Agency (DLA) Internet Bid Board System (DIBBS), or Army Single Face to Industry (ASFI).
For more information on using FedBizOpps, please contact MO PTAC.
Tuesday, June 3, 2008
Monday, May 5, 2008
Small Business Week St. Louis Starts Today!
Small Business Week St. Louis officially kicked-off this morning with a breakfast event at the Sheraton Chalet Westport.
Right now there's a panel on "The State of Small Business in St. Louis" underway at Justine Petersen Housing & Reinvestment Corp.
And tomorrow is our usual MO PTAC seminar on Government Marketing Fundamentals, also part of the week's events. We are also participating in the U.S. Army Corps of Engineers St. Louis District outreach event to service-disabled veteran-owned small businesses on Wednesday at the Robert A. Young Federal Building, 1222 Spruce downtown.
Check out the full calendar of events, and sign up for some or all of them!
Right now there's a panel on "The State of Small Business in St. Louis" underway at Justine Petersen Housing & Reinvestment Corp.
And tomorrow is our usual MO PTAC seminar on Government Marketing Fundamentals, also part of the week's events. We are also participating in the U.S. Army Corps of Engineers St. Louis District outreach event to service-disabled veteran-owned small businesses on Wednesday at the Robert A. Young Federal Building, 1222 Spruce downtown.
Check out the full calendar of events, and sign up for some or all of them!
Tuesday, April 22, 2008
Getting Certified
Here at MO PTAC, we often get questions about getting certified as a minority-owned business or as a woman-owned business.
These can be difficult questions to answer. First, certification is no panacea. It should not be the primary motivation for starting a business. You have to show government buyers that you have the capability to get the job done -- that is first and foremost. That said, in some cases certain certifications may provide extra leverage in obtaining a contract or a subcontract.
All Federal agencies have goals for contracting with small businesses and with specified categories of small businesses, including Small Disadvantaged Businesses (SDBs), 8(a)-certified firms, Woman-owned, HUBZone-certified, Veteran-owned, and Service-disabled veteran-owned small business firms.
State agencies in Missouri, as well as the City of St. Louis, also have goals for utilization of Minority-Owned Business Enterprises (MBEs) and Woman-Owned Business Enterprises (WBEs). And transportation-related agencies such as the Missouri Department of Transportation, Lambert Airport, and Metro (Bi-State), have goals for utilization of Disadvantaged Business Enterprises (DBEs).
But you must be certified to "count" toward any agency's goals. These are not "quotas" nor are they (except in limited circumstances) "set-asides." Indeed, the largest set-aside program has nothing to do with minority nor woman nor veteran status.
That is the Federal small business set-aside provision, which requires that any Federal contract with an anticipated dollar value under the Simplified Acquisition Threshold ($100,000) but above the Micro-Purchase Threshold ($3,000), must be set-aside for competition only among small business.
However, that is no guarantee that your small business will get the contract!
The certification process itself typically takes months, requires pretty extensive digging into the financial background and position of the firm and of its owners, and may involve a site visit by certifying agency staff. Government certifications are for the most part free of charge, but commercial certifiers may charge a fee.
All in all, certification can be one effective tool for your business, but is not a guarantee of obtaining government contracts.
If you have questions about certification, please contact MO PTAC!
These can be difficult questions to answer. First, certification is no panacea. It should not be the primary motivation for starting a business. You have to show government buyers that you have the capability to get the job done -- that is first and foremost. That said, in some cases certain certifications may provide extra leverage in obtaining a contract or a subcontract.
All Federal agencies have goals for contracting with small businesses and with specified categories of small businesses, including Small Disadvantaged Businesses (SDBs), 8(a)-certified firms, Woman-owned, HUBZone-certified, Veteran-owned, and Service-disabled veteran-owned small business firms.
State agencies in Missouri, as well as the City of St. Louis, also have goals for utilization of Minority-Owned Business Enterprises (MBEs) and Woman-Owned Business Enterprises (WBEs). And transportation-related agencies such as the Missouri Department of Transportation, Lambert Airport, and Metro (Bi-State), have goals for utilization of Disadvantaged Business Enterprises (DBEs).
But you must be certified to "count" toward any agency's goals. These are not "quotas" nor are they (except in limited circumstances) "set-asides." Indeed, the largest set-aside program has nothing to do with minority nor woman nor veteran status.
That is the Federal small business set-aside provision, which requires that any Federal contract with an anticipated dollar value under the Simplified Acquisition Threshold ($100,000) but above the Micro-Purchase Threshold ($3,000), must be set-aside for competition only among small business.
However, that is no guarantee that your small business will get the contract!
The certification process itself typically takes months, requires pretty extensive digging into the financial background and position of the firm and of its owners, and may involve a site visit by certifying agency staff. Government certifications are for the most part free of charge, but commercial certifiers may charge a fee.
All in all, certification can be one effective tool for your business, but is not a guarantee of obtaining government contracts.
If you have questions about certification, please contact MO PTAC!
Friday, February 29, 2008
Networking Tools and Events
If you have a small business in the St. Louis area and you are interested in pursuing government contracts... well of course, you can become a MO PTAC client!
But you may also want to consider attending some networking events where government agencies and prime contractors have a presence, such as:
St. Louis Business Networking Breakfast
1st Thursday of each month
7:15 AM
JMRJ Catering
2800 Olive St. (Heritage House Apartments cafeteria)
Cost: $10
This is one of the premier networking events for small, women owned, and minority businesses in St. Louis: A great environment to network, ask questions, and conduct one-to-one meetings before and after informative presentations.
Contact Andrea Johnson (andrea.johnson@techguardsecurity.com) by noon the Wednesday before the luncheon to sign up to introduce your business with a 2-minute presentation to the group.
AFCEA (Air Force Communications and Electronics Association) Scott-St. Louis Chapter Small Business Committee
AFCEA Scott-St. Louis Chapter is the local affiliate of AFCEA International, which describes itself as "a non-profit membership association serving the military, government, industry, and academia as an ethical forum for advancing professional knowledge and relationships in the fields of communications, IT, intelligence, and global security."
The local chapter holds a monthly luncheon, usually on-base at the Scott Club at Scott AFB, IL, attended by prime contractors, military officers and enlisted, civilian government officials, and of course, small business!
The small business committee usually meets in a room off the side of the banquet hall, immediately after the luncheon. If you are interested in the Federal/Defense IT market, it is the place to be.
But you may also want to consider attending some networking events where government agencies and prime contractors have a presence, such as:
St. Louis Business Networking Breakfast
1st Thursday of each month
7:15 AM
JMRJ Catering
2800 Olive St. (Heritage House Apartments cafeteria)
Cost: $10
This is one of the premier networking events for small, women owned, and minority businesses in St. Louis: A great environment to network, ask questions, and conduct one-to-one meetings before and after informative presentations.
Contact Andrea Johnson (andrea.johnson@techguardsecurity.com) by noon the Wednesday before the luncheon to sign up to introduce your business with a 2-minute presentation to the group.
AFCEA (Air Force Communications and Electronics Association) Scott-St. Louis Chapter Small Business Committee
AFCEA Scott-St. Louis Chapter is the local affiliate of AFCEA International, which describes itself as "a non-profit membership association serving the military, government, industry, and academia as an ethical forum for advancing professional knowledge and relationships in the fields of communications, IT, intelligence, and global security."
The local chapter holds a monthly luncheon, usually on-base at the Scott Club at Scott AFB, IL, attended by prime contractors, military officers and enlisted, civilian government officials, and of course, small business!
The small business committee usually meets in a room off the side of the banquet hall, immediately after the luncheon. If you are interested in the Federal/Defense IT market, it is the place to be.
Friday, January 25, 2008
What is a HUBZone?
The U.S. Small Business Administration manages a number of programs intended to assist small businesses in accessing Federal contracts.
One such program is the HUBZone program, established by legislation authored by Missouri Senator Kit Bond, among others, in 1997-98.
H = Historically
U = Underutilized
B = Business
Zones....
Are urban, rural, and tribal communities that have high unemployment rates and high poverty rates. In urban areas, they are defined by qualified Census tracts. In rural areas, they are typically defined by entire counties.
HUBZone areas in Metropolitan St. Louis:
(Source: http://www.sba.gov/hubzone/)
Please note: the HUBZone mapping application functions well in Microsoft Internet Explorer, but not consistently in Mozilla Firefox. So, use IE to check addresses to determine HUBZone location.
There is a two-part test to determine small business eligibility for HUBZone certification.
1) Principal Office must be located in HUBZone
Principal Office = Location where largest number of employees report to work
2) At least 35% of employees must reside in a HUBZone
You must apply online for HUBZone certification. Simply being located in a HUBZone is insufficient; you must be certified by SBA as a HUBZone firm in order to be eligible for HUBZone set-aside contracts, or to qualify toward contracting agency and prime contractor HUBZone goals.
Of course, before you can do this, you must have a currently valid profile on Central Contractor Registration (CCR).
Questions about HUBZone? Contact MO PTAC.
One such program is the HUBZone program, established by legislation authored by Missouri Senator Kit Bond, among others, in 1997-98.
H = Historically
U = Underutilized
B = Business
Zones....
Are urban, rural, and tribal communities that have high unemployment rates and high poverty rates. In urban areas, they are defined by qualified Census tracts. In rural areas, they are typically defined by entire counties.
HUBZone areas in Metropolitan St. Louis:
(Source: http://www.sba.gov/hubzone/)
Please note: the HUBZone mapping application functions well in Microsoft Internet Explorer, but not consistently in Mozilla Firefox. So, use IE to check addresses to determine HUBZone location.
There is a two-part test to determine small business eligibility for HUBZone certification.
1) Principal Office must be located in HUBZone
Principal Office = Location where largest number of employees report to work
2) At least 35% of employees must reside in a HUBZone
You must apply online for HUBZone certification. Simply being located in a HUBZone is insufficient; you must be certified by SBA as a HUBZone firm in order to be eligible for HUBZone set-aside contracts, or to qualify toward contracting agency and prime contractor HUBZone goals.
Of course, before you can do this, you must have a currently valid profile on Central Contractor Registration (CCR).
Questions about HUBZone? Contact MO PTAC.
Thursday, January 3, 2008
Getting Started with Government Contracting
It is important to have realistic expectations when starting to pursue government contracts for your business.
Some factors to consider:
*Is the government buying what I sell?
*How much of my product is the government buying?
While it is true government buys just about everything, it may not be in sufficient quantities to make it a significant portion of your business. Or, it may be such large scale that it would be difficult for you, as a small business, to complete the order/task.
*How long have I been in this business?
Past performance is a crucial component in evaluation of government contracts, especially at the Federal level. You need to be in business at least two years for most government contracts, and your company's past performance needs to be closely related to the industry in which you are submitting a bid. While there are always exceptions to the rule, if you are currently selling automotive spare parts, it is unlikely you will get a contract for selling computer software to the government.
*How much time am I willing to devote to pursuing government business?
Ideally, you could employ a full-time staffer for government sales. This is not always possible, and is unrealistic in a firm of five or fewer employees. So, often you will end up doing a lot of the legwork yourself, as the business owner. Also, even if you are not the one making all the marketing contacts, you will be the one signing off on the bids, so you want to make sure whatever you propose is something you can really do. After all, if you win a bid but fail to perform on the contract, you will probably lose not only that contract, but any future possibilities to get contracts from that agency and quite possibly from any Federal agency.
*Am I willing to provide information about my business to the government?
Depending on the size and type of contract, various Federal labor laws apply to Federal contractors that may not apply to other businesses. Sometimes this requires you to submit detailed information about who works for you and how much they are paid. Also, if you pursue a Federal certification such as 8(a)/SDB, the Small Business Administration may ask you for detailed information about the financial status of your business. State and local Minority-Business Enterprise and Women-Business Enterprise certifications typically require a site visit to ensure the business is legitimately owned and operated by a minority individual or by a woman.
*Am I current on my tax obligations to the government?
If you fall behind on payments to the IRS, those payments can be garnished from your contract. Similarly, if you fall behind on State tax payments such as unemployment insurance, State contracts may pay you less as a result of similar garnishment structures. It is especially important for government contractors to keep a close watch on your accounting practices and timely payment of taxes and other government obligations.
If you have further questions about these and other government contracting related issues, please contact us.
Some factors to consider:
*Is the government buying what I sell?
*How much of my product is the government buying?
While it is true government buys just about everything, it may not be in sufficient quantities to make it a significant portion of your business. Or, it may be such large scale that it would be difficult for you, as a small business, to complete the order/task.
*How long have I been in this business?
Past performance is a crucial component in evaluation of government contracts, especially at the Federal level. You need to be in business at least two years for most government contracts, and your company's past performance needs to be closely related to the industry in which you are submitting a bid. While there are always exceptions to the rule, if you are currently selling automotive spare parts, it is unlikely you will get a contract for selling computer software to the government.
*How much time am I willing to devote to pursuing government business?
Ideally, you could employ a full-time staffer for government sales. This is not always possible, and is unrealistic in a firm of five or fewer employees. So, often you will end up doing a lot of the legwork yourself, as the business owner. Also, even if you are not the one making all the marketing contacts, you will be the one signing off on the bids, so you want to make sure whatever you propose is something you can really do. After all, if you win a bid but fail to perform on the contract, you will probably lose not only that contract, but any future possibilities to get contracts from that agency and quite possibly from any Federal agency.
*Am I willing to provide information about my business to the government?
Depending on the size and type of contract, various Federal labor laws apply to Federal contractors that may not apply to other businesses. Sometimes this requires you to submit detailed information about who works for you and how much they are paid. Also, if you pursue a Federal certification such as 8(a)/SDB, the Small Business Administration may ask you for detailed information about the financial status of your business. State and local Minority-Business Enterprise and Women-Business Enterprise certifications typically require a site visit to ensure the business is legitimately owned and operated by a minority individual or by a woman.
*Am I current on my tax obligations to the government?
If you fall behind on payments to the IRS, those payments can be garnished from your contract. Similarly, if you fall behind on State tax payments such as unemployment insurance, State contracts may pay you less as a result of similar garnishment structures. It is especially important for government contractors to keep a close watch on your accounting practices and timely payment of taxes and other government obligations.
If you have further questions about these and other government contracting related issues, please contact us.
Thursday, September 27, 2007
Condolences to Lynette Oliver
Lynette Oliver, receptionist / clerical support staffer in the Small Business Empowerment Center office -- she is our face to the world, so to speak -- lost her husband Jeffrey Oliver in a motorcycle accident last night (9/26/07) on State Street in East St. Louis, IL.
Our hearts and thoughts are with Lynette and her family and friends. Arrangements pending.
Our hearts and thoughts are with Lynette and her family and friends. Arrangements pending.
Tuesday, September 25, 2007
Contacts for Contracts is Tuesday October 2nd!
MO PTAC Eastern Region and the St. Louis Small Business Monthly are co-sponsoring:
Contacts for Contracts
part of the
St. Louis Small Business Expo
Tuesday October 2 2007
11 am - 6 pm
St. Charles Convention Center
I-70 WEST
Exit 229A (5th Street South)
Right on Veterans Memorial
Left into Convention Center (attached to Embassy Suites Hotel)
(map)
>> REGISTER NOW!
This is a free event, and a great opportunity to interact with a variety of Federal and State agencies and Prime contractors. Scheduled to appear are speakers from the following agencies:
MO PTAC (that would be me, of course)
US Department of Housing and Urban Development (HUD)
Small Business Administration (SBA) Procurement Center Representative (PCR)
Air Mobility Command, Scott Air Force Base
General Services Administration (GSA)
US Army Corps of Engineers (USACE)
DRS Technologies
The Boeing Company
State of Missouri Office of Administration (OA)
Not to mention the ever-growing list of exhibitors.
This will be a tremendous networking opportunity for all kinds of small businesses... and it's completely FREE of charge!
Contacts for Contracts
part of the
St. Louis Small Business Expo
Tuesday October 2 2007
11 am - 6 pm
St. Charles Convention Center
I-70 WEST
Exit 229A (5th Street South)
Right on Veterans Memorial
Left into Convention Center (attached to Embassy Suites Hotel)
(map)
>> REGISTER NOW!
This is a free event, and a great opportunity to interact with a variety of Federal and State agencies and Prime contractors. Scheduled to appear are speakers from the following agencies:
MO PTAC (that would be me, of course)
US Department of Housing and Urban Development (HUD)
Small Business Administration (SBA) Procurement Center Representative (PCR)
Air Mobility Command, Scott Air Force Base
General Services Administration (GSA)
US Army Corps of Engineers (USACE)
DRS Technologies
The Boeing Company
State of Missouri Office of Administration (OA)
Not to mention the ever-growing list of exhibitors.
This will be a tremendous networking opportunity for all kinds of small businesses... and it's completely FREE of charge!
Wednesday, August 15, 2007
Small Business Empowerment Center
The Small Business Empowerment Center is located at:
100 N. Tucker Blvd.
Ste. 530
St. Louis, MO 63101
It is home to the offices of several partner organizations:
Missouri Procurement Technical Assistance Centers (MO PTAC) Eastern Region
Missouri Small Business Development Centers (MO SBDC) Empowerment Zone Office
Greater St. Louis Regional Empowerment Zone
Advantage Capital Partners, Biz Capital Division
We are here to help small businesses in a variety of ways, from seminars to one-on-one counseling to (in the case of the latter two organizations only) some limited financing tools.
To find upcoming seminars at this location, just go to the Statewide Calendar, then search for "100 N".
100 N. Tucker Blvd.
Ste. 530
St. Louis, MO 63101
It is home to the offices of several partner organizations:
We are here to help small businesses in a variety of ways, from seminars to one-on-one counseling to (in the case of the latter two organizations only) some limited financing tools.
To find upcoming seminars at this location, just go to the Statewide Calendar, then search for "100 N".
Tuesday, August 14, 2007
What is MO PTAC?
MO PTAC stands for:
MO = Missouri
P = Procurement
T = Technical
A = Assistance
C = Centers
The mission of MO PTAC is to help Missouri businesses sell to the government. We work with all kinds of Federal, State and Local agencies, but with a particular emphasis on the US Department of Defense and its many divisions.
MO PTAC is one of 93 PTACs nationwide funded by the PTAP (Procurement Technical Assistance Program) of the Defense Logistics Agency (DLA).
DLA listing of PTAP recipients.
Association of Procurement Technical Assistance Centers (APTAC) Members.
Some PTACs are regional, so there are several within a state; some, like MO PTAC, are Statewide. There is also a PTAC based in Joplin MO called Heartland PTAC, originally a regional PTAC for southwest MO but which now serves the entire state of Kansas as well.
MO PTAC is part of University of Missouri Extension Business Development Programs.
MO PTAC is headquartered in Columbia MO on the UM-Columbia campus.
MO PTAC field staff are located in Columbia, St. Louis, Kansas City, West Plains, and Rolla MO.
MO PTAC Eastern Region...
is the local office where I work. We serve the entire St. Louis metropolitan area, plus several dozen counties in southeast MO.
MO = Missouri
P = Procurement
T = Technical
A = Assistance
C = Centers
The mission of MO PTAC is to help Missouri businesses sell to the government. We work with all kinds of Federal, State and Local agencies, but with a particular emphasis on the US Department of Defense and its many divisions.
MO PTAC is one of 93 PTACs nationwide funded by the PTAP (Procurement Technical Assistance Program) of the Defense Logistics Agency (DLA).
Some PTACs are regional, so there are several within a state; some, like MO PTAC, are Statewide. There is also a PTAC based in Joplin MO called Heartland PTAC, originally a regional PTAC for southwest MO but which now serves the entire state of Kansas as well.
MO PTAC is part of University of Missouri Extension Business Development Programs.
MO PTAC is headquartered in Columbia MO on the UM-Columbia campus.
MO PTAC field staff are located in Columbia, St. Louis, Kansas City, West Plains, and Rolla MO.
MO PTAC Eastern Region...
is the local office where I work. We serve the entire St. Louis metropolitan area, plus several dozen counties in southeast MO.
What is a Sheltered Workshop?
This article reprinted from my personal blog.
Have you ever looked at your tax bill and wondered "what's that 'sheltered workshop' tax all about?"
Recently I've learned a little more about sheltered workshops in Missouri, and their important role in employing individuals that probably would not be able to get jobs anywhere else. They also provide a valuable service to government and industry in the form of contracts for manufactured goods and certain services like janitorial work.
In short, a sheltered workshop is a small factory where people with mental retardation and developmental disabilities (and in some cases, physical disabilities) work. They do get paid, but have special waivers from the US Department of Labor Wage & Hour Division to pay less than minimum wage; typically, they pay 50% of the prevailing wage for the job.
The Extended Employment Sheltered Workshops program of the Missouri Department of Elementary and Secondary Education, Division of Special Education, funds about 20% of workshop budgets in Missouri. The legislation was passed back in the late 1960s, thanks to the efforts of numerous concerned parents of children with mental retardation who were becoming adults.
According to the Missouri Association of Sheltered Workshop Managers, the Missouri sheltered workshops operate primarily on an industrial model, where they generate most of their revenues from contracts for manufacturing work and some service contracts. In many other states, the per diem reimbursement rates from state government are much higher, because the program is more of a residential treatment and recreation center, with the work being secondary.
But back to that tax bill: Another 10-15% of most sheltered workshops' budgets comes from local taxes authorized by the voters and administered by county SB 40 boards, called that because of the Missouri state legislature bill number that authorized them in 1968. Over the years, these boards have begun to provide funding for other organizations that provide services to individuals with developmental disabilities; but they started out primarily as a funding vehicle for sheltered workshops. About half of these boards are members of the Missouri Association of County Developmental Disabilities Boards. Each board is an independent body with its own tax rate, and allocates its funds independently.
The local SB 40 boards are as follows:
City of St. Louis -- St. Louis Office for Mental Retardation and/or Developmental Disability Resources (MR/&DD Office)
St. Louis County -- Productive Living Board for St. Louis County Citizens with Developmental Disabilities (PLB)
St. Charles County -- Developmental Disabilities Resource Board (DDRB)
Jefferson County -- Developmental Disabilities Resource Board (JCDDRB)
Franklin County -- Developmental Services of Franklin County
These days, most of the agencies funded by these boards are not sheltered workshops, but community-support organizations. There has been some concern this diminishes the focus on sheltered workshops as a tax-supported employment initiative for the most severely disabled persons who need the programs.
Nevertheless, we still have a large number of workshops in and around the St. Louis area; and several are good examples of regional cooperation in funding.
In the City of St. Louis, there's:
Industrial Aid at 4417 Oleatha Ave. in Tower Grove South;
MERS Goodwill, one of the biggest ones, at 4140 Forest Park Pky. in the Central West End. Of course, MERS Goodwill is jointly funded by the St. Louis City, St. Louis County, and St. Charles County boards.
Project Inc. at 6301 Manchester Ave. in Dogtown (Clayton-Tamm); and
Worth Industries at 4124 N. Broadway on the North Riverfront.
In St. Louis County, there's:
Canterbury Enterprises at 7228 Weil Ave. in Shrewsbury. Canterbury is also jointly funded by the City and County boards.
Lafayette Industries with two locations, the original at 179 Gaywood Dr. in Manchester; and
Lafayette Industries North (formerly ITE Inc.) at 4621 World Parkway Circle in Berkeley.
Valley Industries at 143 B McDonnell Blvd. in Hazelwood; and
W.A.C. Industries at 8520 Mackenzie Rd. in Affton, another very large operation, also jointly funded by City and County.
In St. Charles County, there's Boone Center, Inc. at 200 Trade Center Drive in St. Peters. In addition to Boone and MERS Goodwill, the St. Charles board also funds TEMCO, Inc., a division of Emmaus Homes located on their Marthasville campus at 2245 Highway D in Warren County.
The Franklin County and Warren County boards don't have websites, but they appear to support the TEMCO facility to some extent as well. Warren County also has another workshop, called Warren County Sheltered Workshop (no website?), located in Warrenton at 1760 HGP Ave.
In Jefferson County, there's Jeffco Subcontracting at 2065 Pomme Rd. in Arnold. JSI is the only workshop in the county, and the only workshop funded by the Jefferson County board.
In Franklin County, there's:
Sheltered Workshop, Inc. at 1600 West Main in Washington; and
Sheltered Industries of Meramec Valley located in Sullivan.
The Franklin County board also seems to help fund River Bluff Industries located in Hermann (Gasconade County), and already mentioned TEMCO in Marthasville (Warren County).
Also in St. Louis County you'll find a workshop for individuals who are blind, called Lighthouse for the Blind, Inc. which has two locations:
10440 Trenton Ave. in Overland; and
8833 Fleischer in Berkeley.
LHB is not a DESE Sheltered Workshop, so it does not get State or Local funding. What it DOES get, as do some of the sheltered workshops, is Federal contracts.
Under legislation dating to the late 1930s, workshops for the blind (and since the 1970s, those sheltered workshops for the severely handicapped) are eligible for special preference in Federal government contracting. (They also qualify for five points extra consideration in State of Missouri contracting, which is why you'll see that Warren County Sheltered Workshop has the maintenance contract for the I-70 rest areas near Wright City, and indeed most rest areas are maintained by workshops in Missouri.)
The Federal program for workshop contracts has long been called JWOD in honor of the sponsors of the legislation, all from New York: Senator Jacob Javits in 1971, and House members Wagner and O'Day in 1938. The name is changing to AbilityOne. The program is administered by a group ominously called "The Committee," a group of top Federal bureaucrats appointed by the President. (Its full title is a mouthful: The Committee for Purchase from People Who Are Blind or Severely Disabled.)
Like Federal Prison Industries (aka Unicor), JWOD/AbilityOne is what is known as a "required source of supply" for Federal agencies. This means that if Unicor or a JWOD workshop offers the item for sale, Federal agencies must buy it from them. Unicor often issues waivers to this rule.... but The Committee does not do so as often.
To get on the JWOD Procurement List, workshops must become affiliates of either National Industries for the Blind (NIB) (which happens to have its national technical center in Earth City) or National Industries for the Severely Handicapped (NISH). While there is no fee for affiliation, once a workshop gets a contract, they must pay back 4% of that contract to NIB or NISH.
LHB, of course, is a NIB affiliate -- and they got over $8 million in Federal contracts just in Fiscal Year 2006. Most of the local Sheltered Workshops are NISH affiliates, but only one has the capacity to offer JWOD products/services: MERS Goodwill, DBA MGI Services. In FY '06, MGI Services got about $400k in JWOD contracts, mostly cleaning Federal buildings. JWOD products are marketed to Federal buyers under the brand name Skilcraft.
The world of sheltered workshops is a little-known aspect of the government; arguably, it's not really part of the government at all, but given that these dozens of independent non-profits receive state and local tax dollars, as well as state and federal contracts in some cases, it is surprising how little attention they get. Most seem to be doing a great job in employing individuals who probably would have a great deal of difficulty getting and keeping jobs in traditional settings.
Have you ever looked at your tax bill and wondered "what's that 'sheltered workshop' tax all about?"
Recently I've learned a little more about sheltered workshops in Missouri, and their important role in employing individuals that probably would not be able to get jobs anywhere else. They also provide a valuable service to government and industry in the form of contracts for manufactured goods and certain services like janitorial work.
In short, a sheltered workshop is a small factory where people with mental retardation and developmental disabilities (and in some cases, physical disabilities) work. They do get paid, but have special waivers from the US Department of Labor Wage & Hour Division to pay less than minimum wage; typically, they pay 50% of the prevailing wage for the job.
The Extended Employment Sheltered Workshops program of the Missouri Department of Elementary and Secondary Education, Division of Special Education, funds about 20% of workshop budgets in Missouri. The legislation was passed back in the late 1960s, thanks to the efforts of numerous concerned parents of children with mental retardation who were becoming adults.
According to the Missouri Association of Sheltered Workshop Managers, the Missouri sheltered workshops operate primarily on an industrial model, where they generate most of their revenues from contracts for manufacturing work and some service contracts. In many other states, the per diem reimbursement rates from state government are much higher, because the program is more of a residential treatment and recreation center, with the work being secondary.
But back to that tax bill: Another 10-15% of most sheltered workshops' budgets comes from local taxes authorized by the voters and administered by county SB 40 boards, called that because of the Missouri state legislature bill number that authorized them in 1968. Over the years, these boards have begun to provide funding for other organizations that provide services to individuals with developmental disabilities; but they started out primarily as a funding vehicle for sheltered workshops. About half of these boards are members of the Missouri Association of County Developmental Disabilities Boards. Each board is an independent body with its own tax rate, and allocates its funds independently.
The local SB 40 boards are as follows:
City of St. Louis -- St. Louis Office for Mental Retardation and/or Developmental Disability Resources (MR/&DD Office)
St. Louis County -- Productive Living Board for St. Louis County Citizens with Developmental Disabilities (PLB)
St. Charles County -- Developmental Disabilities Resource Board (DDRB)
Jefferson County -- Developmental Disabilities Resource Board (JCDDRB)
Franklin County -- Developmental Services of Franklin County
These days, most of the agencies funded by these boards are not sheltered workshops, but community-support organizations. There has been some concern this diminishes the focus on sheltered workshops as a tax-supported employment initiative for the most severely disabled persons who need the programs.
Nevertheless, we still have a large number of workshops in and around the St. Louis area; and several are good examples of regional cooperation in funding.
In the City of St. Louis, there's:
Industrial Aid at 4417 Oleatha Ave. in Tower Grove South;
MERS Goodwill, one of the biggest ones, at 4140 Forest Park Pky. in the Central West End. Of course, MERS Goodwill is jointly funded by the St. Louis City, St. Louis County, and St. Charles County boards.
Project Inc. at 6301 Manchester Ave. in Dogtown (Clayton-Tamm); and
Worth Industries at 4124 N. Broadway on the North Riverfront.
In St. Louis County, there's:
Canterbury Enterprises at 7228 Weil Ave. in Shrewsbury. Canterbury is also jointly funded by the City and County boards.
Lafayette Industries with two locations, the original at 179 Gaywood Dr. in Manchester; and
Lafayette Industries North (formerly ITE Inc.) at 4621 World Parkway Circle in Berkeley.
Valley Industries at 143 B McDonnell Blvd. in Hazelwood; and
W.A.C. Industries at 8520 Mackenzie Rd. in Affton, another very large operation, also jointly funded by City and County.
In St. Charles County, there's Boone Center, Inc. at 200 Trade Center Drive in St. Peters. In addition to Boone and MERS Goodwill, the St. Charles board also funds TEMCO, Inc., a division of Emmaus Homes located on their Marthasville campus at 2245 Highway D in Warren County.
The Franklin County and Warren County boards don't have websites, but they appear to support the TEMCO facility to some extent as well. Warren County also has another workshop, called Warren County Sheltered Workshop (no website?), located in Warrenton at 1760 HGP Ave.
In Jefferson County, there's Jeffco Subcontracting at 2065 Pomme Rd. in Arnold. JSI is the only workshop in the county, and the only workshop funded by the Jefferson County board.
In Franklin County, there's:
Sheltered Workshop, Inc. at 1600 West Main in Washington; and
Sheltered Industries of Meramec Valley located in Sullivan.
The Franklin County board also seems to help fund River Bluff Industries located in Hermann (Gasconade County), and already mentioned TEMCO in Marthasville (Warren County).
Also in St. Louis County you'll find a workshop for individuals who are blind, called Lighthouse for the Blind, Inc. which has two locations:
10440 Trenton Ave. in Overland; and
8833 Fleischer in Berkeley.
LHB is not a DESE Sheltered Workshop, so it does not get State or Local funding. What it DOES get, as do some of the sheltered workshops, is Federal contracts.
Under legislation dating to the late 1930s, workshops for the blind (and since the 1970s, those sheltered workshops for the severely handicapped) are eligible for special preference in Federal government contracting. (They also qualify for five points extra consideration in State of Missouri contracting, which is why you'll see that Warren County Sheltered Workshop has the maintenance contract for the I-70 rest areas near Wright City, and indeed most rest areas are maintained by workshops in Missouri.)
The Federal program for workshop contracts has long been called JWOD in honor of the sponsors of the legislation, all from New York: Senator Jacob Javits in 1971, and House members Wagner and O'Day in 1938. The name is changing to AbilityOne. The program is administered by a group ominously called "The Committee," a group of top Federal bureaucrats appointed by the President. (Its full title is a mouthful: The Committee for Purchase from People Who Are Blind or Severely Disabled.)
Like Federal Prison Industries (aka Unicor), JWOD/AbilityOne is what is known as a "required source of supply" for Federal agencies. This means that if Unicor or a JWOD workshop offers the item for sale, Federal agencies must buy it from them. Unicor often issues waivers to this rule.... but The Committee does not do so as often.
To get on the JWOD Procurement List, workshops must become affiliates of either National Industries for the Blind (NIB) (which happens to have its national technical center in Earth City) or National Industries for the Severely Handicapped (NISH). While there is no fee for affiliation, once a workshop gets a contract, they must pay back 4% of that contract to NIB or NISH.
LHB, of course, is a NIB affiliate -- and they got over $8 million in Federal contracts just in Fiscal Year 2006. Most of the local Sheltered Workshops are NISH affiliates, but only one has the capacity to offer JWOD products/services: MERS Goodwill, DBA MGI Services. In FY '06, MGI Services got about $400k in JWOD contracts, mostly cleaning Federal buildings. JWOD products are marketed to Federal buyers under the brand name Skilcraft.
The world of sheltered workshops is a little-known aspect of the government; arguably, it's not really part of the government at all, but given that these dozens of independent non-profits receive state and local tax dollars, as well as state and federal contracts in some cases, it is surprising how little attention they get. Most seem to be doing a great job in employing individuals who probably would have a great deal of difficulty getting and keeping jobs in traditional settings.
Welcome!
This is my first post in a new blog, appropriately entitled Government Contracting St. Louis.
This will be an unofficial repository for my commentaries and observations on the nature of contracting with Federal, State and Local government.
I will also use this forum to periodically promote events sponsored by my organization, the Missouri Procurement Technical Assistance Centers (MO PTAC), and partner agencies including the Missouri Small Business Development Centers (SBDC) and the US Small Business Administration (SBA) St. Louis District Office.
I have been blogging since 2003 on various local public policy issues in the St. Louis area. This forum will be something of an extension of my other efforts, but focused on providing concrete, helpful advice to small business owners interested in government contracting.
This will be an unofficial repository for my commentaries and observations on the nature of contracting with Federal, State and Local government.
I will also use this forum to periodically promote events sponsored by my organization, the Missouri Procurement Technical Assistance Centers (MO PTAC), and partner agencies including the Missouri Small Business Development Centers (SBDC) and the US Small Business Administration (SBA) St. Louis District Office.
I have been blogging since 2003 on various local public policy issues in the St. Louis area. This forum will be something of an extension of my other efforts, but focused on providing concrete, helpful advice to small business owners interested in government contracting.
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