EXT-012: Supplier Diversity Program

Date: 10/21/2016 Status: Final
Policy Type: University
Oversight Executive: Vice President for Finance
Applies To: Academic Division and the College at Wise.
Reason for Policy:

The University is committed to: (1) enhancing successful business relationships between small, minority-owned, women-owned, and otherwise disadvantaged business enterprises (S/M/W/DBEs) and through the implementation of programs that will require a consistent and high level of participation from all University schools and departments; and (2) actively seeking goods and services from small, minority-owned, and women-owned businesses in support of the Commonwealth’s small, minority-owned, and women-owned (SWaM) program.

Supplier diversity provides the University with a significant position of strength in which to support students and contribute to the sustainability of our communities and our organization. We are committed to providing meaningful opportunities for qualified diverse vendors to compete for our business.

The SWaM program is intended to build an awareness of the University’s supplier diversity efforts and to provide opportunities for small, minority-owned, and women-owned business enterprises. This program is developed, not as a response to outside regulatory agencies or mandatory requirements, but as an effort to recognize and support programs which can enhance our community.

Definition of Terms in Statement:
  • Certification:

    The process by which (i) a business is determined to be a small, women-owned, or minority-owned business or (ii) an employment services organization, for the purpose of reporting small, women-owned, and minority-owned business and employment services organization participation in state contracts and purchases pursuant to §§ 2.2-1608 and 2.2-1610.

  • Department:

    The Department of Small Business and Supplier Diversity or any division of the Department to which the Director has delegated or assigned duties and responsibilities.

  • Employment Services Organization:

    An organization that provides community-based employment services to individuals with disabilities that is an approved Commission on Accreditation of Rehabilitation Facilities (CARF) accredited vendor of the Department for Aging and Rehabilitative Services.

  • Historically Black College or University (HCBU):

    Includes any college or university established prior to 1964 whose principal mission was, and is, the education of black Americans; accredited by a nationally recognized accrediting agency or association determined by the Secretary of Education.

  • Micro Business:

    Certified small business that has no more than 25 employees and no more than $3 million in average annual revenue over the three-year period prior to their certification.

  • Minority Individual:

    An individual who is a citizen of the United States or a legal resident alien and who satisfies one or more of the following definitions:

    • African American:

      A person having origins in any of the original peoples of Africa and who is regarded as such by the community of which this person claims to be a part.

    • Asian American:

      A person having origins in any of the original peoples of the Far East, Southeast Asia, the Indian subcontinent, or the Pacific Islands, including but not limited to Japan, China, Vietnam, Samoa, Laos, Cambodia, Taiwan, Northern Mariana Islands, the Philippines, a U.S. territory of the Pacific, India, Pakistan, Bangladesh, or Sri Lanka, and who is regarded as such by the community of which this person claims to be a part.

    • Hispanic American:

      A person having origins in any of the Spanish-speaking peoples of Mexico, South or Central America, or the Caribbean Islands or other Spanish or Portuguese cultures and who is regarded as such by the community of which this person claims to be a part.

    • Native American:

      A person having origins in any of the original peoples of North America and who is regarded as such by the community of which this person claims to be a part or who is recognized by a tribal organization.

  • Minority-owned Business Enterprise:

    A business that is at least 51 percent owned by one or more minority individuals who are U.S. citizens or legal resident aliens, or in the case of a corporation, partnership, or limited liability company or other entity, at least 51 percent of the equity ownership interest in the corporation, partnership, or limited liability company or other entity is owned by one or more minority individuals who are U.S. citizens or legal resident aliens, and both the management and daily business operations are controlled by one or more minority individuals, or any historically black college or university, regardless of the percentage ownership by minority individuals or, in the case of a corporation, partnership, or limited liability company or other entity, the equity ownership interest in the corporation, partnership, or limited liability company or other entity.

  • Small Business Enterprise:

    A business that is at least 51 percent independently owned and controlled by one or more individuals who are U.S. citizens or legal resident aliens and, together with affiliates, has 250 or fewer employees or average annual gross receipts of $10 million or less averaged over the previous three years. One or more of the individual owners shall control both the management and daily business operations of the small business.

  • State Agency:

    Any authority, board, department, instrumentality, institution, agency, or other unit of state government. "State agency" does not include any county, city, or town.

  • Women-owned Business Enterprise:

    A business that is at least 51 percent owned by one or more women who are U.S. citizens or legal resident aliens, or in the case of a corporation, partnership, or limited liability company or other entity, at least 51 percent of the equity ownership interest is owned by one or more women who are U.S. citizens or legal resident aliens, and both the management and daily business operations are controlled by one or more women.

Policy Statement:

The University of Virginia increases business opportunities for small, minority-owned, and women-owned business enterprises (S/M/WBE’s) through its Supplier Diversity Program. The University’s commitment is to maximize S/M/WBE participation through the development of mutually beneficial business relationships with such firms. The effort is University-wide (excludes the Medical Center, UVA Bookstores, and University-related Foundations), and includes traditional procurement, contracted services, and subcontracting activities. All schools and departments are responsible for seeking out diverse businesses and taking the steps necessary to assure these businesses receive fair consideration in the economic opportunities available. While the University does not practice set-asides (also known as procurement preferences) as stated in the Supplier Diversity Initiatives below, it makes every effort to provide opportunities and offer assistance to S/M/WBE suppliers who want to do business with the University.

The Procurement and Supplier Diversity Services’ Director of Supplier Diversity shall coordinate the University’s supplier diversity efforts, and be responsible for developing the University’s Annual SWaM Plan.

  1. Supplier Diversity Initiatives:
    The Director of Procurement and Supplier Diversity Services, or designee, will assign the Procurement Services staff responsibilities for implementing the small, women-owned, and minority-owned business participation program.  In support of this policy, the University will:
  • Increase departmental awareness of University supplier diversity objectives and opportunities;

  • Implement techniques to ensure that small, women-owned, and minority-owned businesses have reasonable opportunity to pursue procurements and participate as suppliers, contractors, and subcontractors for the University;

  • Foster, develop and promote business in under-represented sectors;

  • Encourage the registration of small, women-owned, and minority-owned businesses with the Commonwealth’s Department of Small Business and Supplier Diversity;

  • Encourage small, women-owned, and minority-owned businesses to participate in supplier diversity trade shows and organizations;

  • Monitor small, women-owned, and minority-owned business participation program for consistency with the requirements of the Virginia Public Procurement Act (VPPA) and state regulations;

  • Educate suppliers on how to foster relationships and provide goods and services to University schools and departments;

  • Provide business resources to schools/departments, and encourage them to purchase from small, women-owned, and minority-owned businesses in support of their operational and research needs;

  • Work with the Office of Special Programs/Principal Investigators, especially those who are being awarded federal funded research grants, contracts, or subcontracts, to ensure timely reporting of small business subcontracting plans (which enable them to achieve specific federal small business utilization goals as directed under the FAR Part 19 and Part 52.219-9) is maintained;

  • Report small business enterprise (SBE), minority business enterprise (MBE), and women business enterprise (WBE) activities every quarter;

  • Collaborate with diverse and disadvantaged business development programs to promote business interests at UVA;

  • Collect statistics and other documentation required to prepare reports relating to supplier diversity efforts;

  • Work with state regulatory agencies and other providers, as necessary, to obtain supplier diversity training for its employees, particularly the procurement supplier diversity staff; and

  • Ensure the SWaM Champion monitors and assesses the objectives and strategies in the University’s Annual SWaM Plan for program and participation effectiveness.

Related Information:
  1. National Certification Organizations for MBEs and WBEs:
    Virginia’s formal SWaM certification program is administered by the Virginia Department of Small Business and Supplier Diversity (§2.2 1604). The following national organizations can assist businesses with the certification process:

  2. Government:
    The following government organization links are provided to help individual businesses learn more about resources that may help them be certified as an SBE, MBE, or WBE. The Small Business Administration within our local area or appropriate state agency may also be used for certification purposes.
  3. Documents:
Major Category: External Relations
Category Cross Reference: Finance and Business Operations
Next Scheduled Review: 10/28/2019
Approved by, Date: Policy Review Committee, 10/21/2016
Supersedes (previous policy):
VII.C.4, Minority Procurement Programs