The Sheltered Market Program (SMP) is designed to improve opportunities and build capacity of state certified Minority-Owned Businesses (MBE), Woman-Owned Businesses (WBE), and Emerging Small Businesses (ESB), (collectively "M/W/ESB’s") in the regional construction industry to compete in the open market at a prime contracting level.  Firms participating in the SMP must have prior contracting experience.  This is not a program for start up businesses.

 

The SMP allows up to one-half of all new formal construction projects from $100,000 to $200,000 to be bid to program participants.  Five city bureaus place projects into the program the Water Bureau, Bureau of Transportation, Bureau of Environmental Services, Office of Management & Finance (Facilities Services) and Parks Bureau.  Program participants compete amongst themselves for contracts as the lowest bidder.  Construction projects that meet the dollar threshold are directed into the program, if it appears that sufficient SMP contractors will be available to provide competitive bids.  In addition, SMP firms are the first source for City informal contracts with a dollar value of $5,000 to $100,000.  The first project bid through the SMP occurred in 1998.