Metro News Release

For immediate release: May 8, 2003

Metro’s Board Operations Committee approves Small Business and Local Preference program

The Washington Metropolitan Area Transit Authority (Metro) Board Operations Committee recently approved a two-year demonstration program to implement a Small Business and Local Preference Program. Pending final approval of Metro’s Board of Directors later this month, the program will begin in August 2003. The Small Business and Local Preference Program is designed to assist small business owners and employers of these businesses from benefitting through an infusion of funds from Metro. The program calls for a preference program for simplified acquisitions. Simplified acquisitions are those procurements for which Metro pays $100,000 or less. Under Metro’s procurement procedures, simplified acquisitions are not subject to the same requirements of larger procurements, so therefore, Metro can make them more accessible to small businesses in the Washington metropolitan region. " On an annual basis, Metro awards up to $800 million in contracts, and about $80 million of that is for requirements that cost less than $100,000," said James Zingale, Metro’s Managing Director of Procurement and Materiels. In fiscal year 2002, simplified acquisitions with non-federal funds amounted to $76 million. Of the $76 million that Metro spends using the simplified acquisition procedures, roughly 60 percent, or $46 million, can be made subject to a local preference. " This is truly meaningful program that will support small businesses in the greater Washington metropolitan region," said Jim Graham, Chairman of Metro’s Board of Directors. " How many opportunities do you get to pour $46 million into local businesses" Although we cannot legally direct federal dollars in this manner, we can do it with local funds, by using those local dollars to help grow small businesses within our transit zone. Once again, it would be a means for Metro to stimulate economic activity that would enhance the tax base and employment opportunities throughout the region, something which I am in favor of."

News release issued on May 8, 2003.