Common use of Effect of Loss of DBE Eligibility Clause in Contracts

Effect of Loss of DBE Eligibility. For On-Call Task Order contracts/procurements, if a DBE is deemed ineligible (decertified) or suspended by ADOT or one of its UCP Partner Agencies in accordance with 49 CFR 26.87 and 26.88, the DBE may not be considered to meet the contract/Task Order goal on a new Task Order, but may be considered to meet the contract/Task Order goal if a subcontract or contract modification for the work to be completed on the Task Order was executed before the DBE suspension or decertification is effective. A subcontract or contract modification for work on the task order means, any subcontract or agreement for the task order, which includes a specific ADOT TRACS/Project Number, defined scope, duration and budget for the work to be completed under the Task Order that is duly signed by the contractor/consultant and subcontractor/subconsultant. When the contractor/consultant makes a commitment to use an ineligible DBE firm or ADOT made a commitment to use an ineligible DBE prime contractor/consultant, but a subcontract or Contract Modification for the work to be completed on the Task Order has not been executed before a decertification notice is issued to the DBE firm by its certifying agency, the ineligible firm does not count toward the contract goal. The contractor/consultant must meet the Task Order/contract goal with an eligible DBE firm or demonstrate good faith efforts. When a subcontract or contract modification is executed with the DBE firm for the work to be completed on the Task Order before ADOT notified the firm of its ineligibility, the DBE’s work on the Task Order may continue to be credited toward the DBE contract goal for the firm’s work.

Effect of Loss of DBE Eligibility. For On-Call Task Order contracts/procurements, if a DBE is deemed ineligible (decertified) or suspended by ADOT or one of its UCP Partner Agencies in accordance with 49 CFR 26.87 and 26.88, the DBE may not be considered to meet the contract/Task Order goal count toward DBE participation on a new Task Order, but may be considered to meet for the contract/Task Order goal DBE participation if a subcontract or contract modification for the work to be completed on the Task Order was executed before the DBE suspension or decertification is effective. A subcontract or contract modification for work on the task order means, any subcontract or agreement for the task order, which includes a specific ADOT TRACS/Project Number, defined scope, duration and budget for the work to be completed under the Task Order that is duly signed by the contractor/consultant and subcontractor/subconsultant. When the contractor/consultant makes a commitment intents to use an ineligible DBE firm or ADOT made a commitment to use an ineligible DBE prime contractor/consultant, but a subcontract or Contract Modification for the work to be completed on the Task Order has not been executed before a decertification notice is issued to the DBE firm by its certifying agency, the ineligible firm does not count toward the contract goal. The contractor/consultant must meet the Task Order/contract goal with an eligible DBE firm or demonstrate good faith effortsparticipation. When a subcontract or contract modification is executed with the DBE firm for the work to be completed on the Task Order before ADOT notified the firm of its ineligibility, the DBE’s work on the Task Order may continue to be credited toward the DBE contract goal participation for the firm’s work.