DBE Substitutions. A. Do not substitute a listed DBE Subcontractor, supplier or, if applicable, a trucking company, without the prior written approval of Caltrans Contract Manager. Failure to obtain approval of substitute Subcontractors before work is performed, supplies are delivered, or services are rendered may result in payment being denied by Caltrans.
B. Submit requests for substitution to Caltrans Contract Manager. Authorization to use other Subcontractors or suppliers may be requested for the following reasons:
(1) Listed DBE, after having had a reasonable opportunity to do so, fails or refuses to execute a written Agreement, when such written Agreement, based upon the terms and conditions for this Agreement or on the terms of such Subcontractor’s or supplier’s written bid, is presented by Contractor.
(2) Listed DBE becomes bankrupt or insolvent.
(3) Listed DBE fails or refuses to perform subcontract or furnish listed materials.
(4) Contractor stipulated that a bond was a condition of executing subcontract and listed DBE Subcontractor failed or refuses to meet the bond requirements of Contractor.
(5) Work performed by listed Subcontractor is substantially unsatisfactory and is not in substantial conformance with scope of work to be performed, or Subcontractor is substantially delaying or disrupting the progress of work.
(6) When it would be in the best interest of the State.
C. At a minimum, Contractor’s substitution request to Caltrans Contract Manager must include a:
(1) Written explanation of the substitution reason; and if applicable, include the reason a non- DBE Subcontractor is proposed for use.
(2) Written description of the substitute business enterprise, include its business status, DBE certification number, and status as a sole proprietorship, partnership, corporation, or other entity.
(3) Written notice detailing a clearly defined portion of the work identified both as a task and as a percentage share/dollar amount of the overall Agreement that the substitute firm will perform.
D. Prior to the approval of Contractor’s substitution request, the Caltrans Contract Manager must give written notice to the Subcontractor being substituted by Contractor. A copy of the notice sent by the Caltrans Contract Manager must be sent to the Division of Procurement and Contracts (DPAC). The notice must do all of the following:
(1) Give the reason Contractor is requesting substitution of the listed Subcontractor;
(2) Give the listed Subcontractor five (5) working days to su...
DBE Substitutions. A. Arbitrary changes by the concessionaire of the commitments earlier certified in the Schedule D are prohibited. Further, after once entering into each approved DBE sub- agreement, the concessionaire must thereafter neither terminate the sub-agreement, nor reduce fee scope of the work to be performed by the DBE, nor decrease the price to or the level of participation of the DBE, without in each instance receiving the prior written approval of the City. In some cases, however, it may become necessary to substitute a new DBE in order actually to fulfill the DBE requirements. In such cases, the City must be given reasons justifying the release by the City of prior specific DBE commitments established in the concessionaire’s DBE proposal, and will need to review the eligibility of the DBE presented as a substitute. The substitution procedure will be as follows:
DBE Substitutions. 1. CMR must not make arbitrary changes to the commitments earlier certified in any of the DBE and Non-DBE subcontractor Monthly Participation Reports or Proposed Credit Forms. Further, after once entering into each DBE subcontract or other agreement, CMR may neither terminate the DBE nor reduce the scope of the work to be performed by the DBE, nor decrease the payment to the DBE, without in each instance (i) having just cause, including situations where your contract with the DBE includes termination for convenience; (ii) making Good-Faith Efforts to find another DBE subcontractor to substitute for the original DBE (these Good-Faith Efforts must be directed at finding another DBE to perform at least the same amount of Work under the Contract as the DBE that was terminated, to the extent needed to meet the Contract DBE Participation Goal); and (iii) receiving the prior written approval of the Airport Authority in all instances.
