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DBEs will only be allowed to perform work in the categories of work for <br />which they are certified. <br />d. Only DBE firms certified at the time of execution of a <br />contract/subcontract/purchase order, are eligible for DBE goal participation. <br />5. Determination of DBE Participation. When a DBE participates in a contract, <br />only the values of the work actually performed by the DBE, as referenced below, <br />shall be counted by the prime contractor toward DBE goals: <br />a. The total amount paid to the DBE for work performed with his/her own forces <br />is counted toward the DBE goal. When a DBE subcontracts part of the work <br />of its contract to another firm, the value of the subcontracted work may be <br />counted toward DBE goals only if the subcontractor is itself a DBE. Work <br />that a DBE subcontracts to a non-DBE firm does not count toward DBE goals. <br />b. A Contractor may count toward its DBE goal a portion of the total value of <br />the contract amount paid to a DBE joint venture equal to the distinct, clearly <br />defined portion of the work of the contract performed by the DBE. <br />(I) A Contractor may count toward its DBE goal only expenditures to DBEs <br />that perform a commercially useful function (CUF) in the work of a <br />contract or purchase order. A DBE is considered to perform a CUF <br />when it is responsible for execution of the work of the contract and is <br />carrying out its responsibilities by actually performing, managing, and <br />supervising the work involved. To perform a CUF, the DBE must also <br />be responsible, with respect to materials and supplies used on the <br />contract, for negotiating price, determining quality and quantity, <br />ordering the material, and installing (where applicable) and paying for <br />the material itself. <br />In accordance with 49 CFR Part 26, Appendix A, guidance concerning <br />Good Faith Efforts, contractors may make efforts to assist interested <br />DBEs in obtaining necessary equipment, supplies, materials, or related <br />assistance or services. Contractors may not however, negotiate the price <br />of materials or supplies used on the contract by the DBE, nor may they <br />determine quality and quantity, order the materials themselves, nor <br />install the materials (where applicable), or pay for the material <br />themselves. Contractors however, may share the quotations they receive <br />from the material supplier with the DBE firm, so that the DBE firm may <br />negotiate a reasonable price with the material supplier. <br />In all cases, prime or other subcontractor assistance will not be <br />credited toward the DBE goal. <br />(2) A DBE does not perform a CUF if its role is limited to that of an extra <br />participant in a transaction, contract, or project through which funds are <br />passed in order to obtain the appearance of DBE participation. <br />6-11 000---461 <br />02-06 <br />~~ea~,e~s-8 <br />