| (a) For the purposes of this section:
(1) a DBE manufacturer is a firm that operates or maintains
a factory or establishment that produces, on the premises, the materials
or supplies that are required under the contract and are of the general
character described by the specifications; and
(2) subject to subsections (b) and (c) of this section,
a DBE regular dealer is an established, regular firm that:
(A) engages, as its principal business and under its
own name, in the purchase and sale or lease of the materials or supplies
described by paragraph (1) of this subsection; and
(B) owns, operates, or maintains a store, warehouse,
or other establishment in which those materials or supplies are bought,
kept in stock, and regularly sold or leased to the public in the usual
course of business.
(b) For the purposes of this section, a person may
be a regular dealer in bulk items such as petroleum products, steel,
cement, gravel, stone, or asphalt without owning, operating, or maintaining
a place of business as provided by subsection (a)(2)(B) of this section
if the person both owns and operates distribution equipment for the
products or materials. Any supplementing of a regular dealer's own
distribution equipment must be by a long-term lease and not on an
ad hoc or contract-by-contract basis.
(c) For the purposes of this section, a packager, broker,
manufacturer's representative, or other person who arranges or expedites
transactions is not a regular dealer.
(d) The total cost of the materials and supplies purchased
from a DBE manufacturer may be counted toward the DBE goals.
(e) Sixty percent of the total cost of the materials
and supplies purchased from a DBE regular dealer may be counted toward
the DBE goals.
(f) The following may be counted toward the DBE goals
to the extent the amounts are determined to be reasonable and not
excessive as compared with fees customarily allowed for similar services
and subject to subsection (g) of this section:
(1) the total amount of fees or commissions charged
for assistance in the procurement of the materials and supplies provided
by a DBE that is neither a DBE manufacturer nor a DBE regular dealer;
and
(2) the total amount of fees or transportation charges
for the delivery to the job site of those materials or supplies required
on a job site.
(g) None of the cost of the materials or supplies may
be counted toward DBE goals under subsection (f) of this section.
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