INSIGHTS TO OPPORTUNITY September / October 2020 | Vol 21 | Issue 2
News & Events from Houston OBO | houstontx.gov/obo
Building Relationships Key to Subcontracting Success By: Angel Rodriguez
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n 2017, an unprecedented expansion project began at the Northeast Water Purification Plant (NEWPP) to increase the output of freshwater from 80 million gallons per day (mgd) to 400 mgd. This project, slated to be completed by 2025, has a projected budget of $1.765 billion, and is considered one of the largest of its kind in the United States. The overarching goals of the NEWPP project are two-fold: the first, to meet the demand for clean drinking water for the growing Harris County population; the second, flood mitigation by reducing the dependency on groundwater usage. As of October 2020, the NEWPP expansion has utilized the services of more than 95 certified Minority, Women and Small Business Enterprise (MWSBE) subcontractors working on 196 contracts. To date, these MWSBE firms have been awarded approximately $71,716,012 for their work. With MWSBE participation integral to building city projects, including the NEWPP expansion, the Office of Business Opportunity encourages contractors and vendors to enroll in the
FROM THE DIRECTOR Greetings! Welcome to the fall edition of Insights to Opportunity! Several months into OBO Director the COVID-19 Marsha E. Murray pandemic, small businesses continue to be challenged to make the necessary changes to survive, recover and bolster longterm resilience. Of course, the Office of Business Opportunity remains a
INTEGRAL TO CITY PROJECTS: Mbroh Engineering provides SCADA services for the NEWPP expansion project. Of the approximately $512,428,811 awarded to companies working on the project, 14 percent has been awarded to MWSBE-certified firms.
NEWPP database to be considered for bidding opportunities. More information can be found at www.newppexpansion.com/. Among the Tier 2 subcontractors working on the NEWPP expansion project is Mbroh Engineering, Inc.,
resource for the business community. While we are just a phone call away, our website can also serve as a valuable tool for you. Most of our services can be accessed virtually, including our certification workshops, live webinars, tutorials on contract compliance and the Pay or Play Program, to name a few. In addition, we have a series of business development webinars that are accessible on our OBO Solutions Center page. Through the City’s Small Business Economic Relief Program, we have been able to assist well over 600 Go to DIRECTOR, page 5
an engineering consulting firm and certified Minority Business Enterprise (MBE) founded by Anthony Mbroh in 2006. The company performs a wide range of services including electrical engineering, instrumentation controls and supervisory control data acquisiGo to Mbroh, page 6
WHAT’S INSIDE
Become Certified in the City of Houston Learn about the City’s certification process and OBO’s Certifications & Designations Division. Page 2
Best Practices for Global Trade & Export To increase sales and profitability, businesses can export products and services to expand their market. Page 3
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DIVISION HIGHLIGHT CERTIFICATIONS & DESIGNATIONS
Team offers guidance for applicants By: Enzo Mungu
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he Certifications and Designations Division of the City of Houston’s Office of Business Opportunity serves Houston’s business community by building a supplier diversity pipeline for City contracts. COH certifications allow small businesses to thrive and position themselves to take maximum advantage of various opportunities in doing business with the City and other public and private contracting entities in the Greater Houston area. The certification team processes four (4) City of Houston certifications, which include Minority Business Enterprise (MBE), Women Business Enterprise (WBE), Small Business Enterprise (SBE), and Persons with Disabilities Business Enterprise (PDBE). Additionally, the team processes two federal certifications on behalf of the U.S. Department of Transportation: Disadvantaged Business Enterprise (DBE) and Airport Concessionaire Disadvantaged Business Enterprise (ACDBE). Currently, the entire certification application process is web-based. This allows for those applying to do so at their convenience, while also affording applicants the ability to save their application to complete
GET CERTIFIED: Visit houstontx.gov/obo and click on the Certifications link to access information about the certfication process, pre-certification workshops, and applications and forms.
later. With the COVID-19 pandemic, one of the first priorities for OBO leadership was to work with the certification team to also move application-related support fully online. While held in person before the pandemic, the Pre-Certification Workshop, a recommended first step when applying for certification, is now held virtually at 2 p.m. every first and third Tuesday of each month. In this live workshop, a member of the Certification team walks prospective applicants through the process and attendees can ask questions during the Q&A segment after the workshop. Outside business hours, OBO’s on-demand Pre-Certification Workshops in English and Spanish are available on-demand 24/7 via YouTube. This workshop delivery method has been met with great response from local business owners and OBO has been able to serve double the number of prospective certification applicants, based
BEST PRACTICES - CERTIFICATION To ensure timely processing of certification applications, Senior Business Development Coordinator Vanessa Aplon-Letson suggests the following: Attend the Pre-Certification Workshop for general knowledge of the program Gather all documents (in digital form) on the checklist for certification business type (SP, LLC, LP, or Corp) Choose the correct business type (SP, LP, LLC, or Corp) so the application may draw the correct checklist
Make sure your contact email address listed will receive notifications from the application system Section 3 of the application must be completed by ALL owners (application will allow for just one owner to submit but it is required that all owners complete this section) ALL owners must complete Affidavit of Non-Interest To learn more about getting certified, call 832-393-0600, Option 1, or email obocertification@houstontx.gov.
upon historical attendance levels. Downloadable PDF copies of the Pre-Certification Workshop presentations in English and Spanish are also available, which can serve as a reference guide while completing the application process. Registration is required for OBO’s live virtual workshops, with registration forms accessible through the OBO website: https://www.houstontx.gov/obo/registrations.html. The on-demand workshops are also accessible through this link. In addition, the Certification team has also adjusted to working online, including transitioning to paperless day-to-day work, online document signing and retrieval, and conducting virtual site visits. “The goal has always been to allow businesses applying for certification to experience a seamless process and the availability of staff ready to provide responses to any questions and/or concerns that may arise,” said Certification Division Manager Timothy Warren, who leads a team of 11 certification officers. “Throughout the changes brought on by the pandemic, the team has continued to provide excellent performance, commitment and dedication in sustaining the integrity of the certification program.” As of Oct. 2020, OBO’s certified firm directory boasts 4,172 small businesses with one or more certifications. With an always increasing volume of applications, the team has received, on average 83 applications monthly for fiscal year 2021; however, with the mayor’s commitment to ensuring that Houstonians obtain certifications and get to work on upcoming projects by increasing the division’s headcount, the team has been successful in reducing certification processing time.
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on a project are added in good faith, with payments and various contractual obligations upheld, allowing those small businesses to obtain capital for them to grow.
EMPLOYEE SPOTLIGHT: DONALD BLACK By: Enzo Mungu
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What is your favorite part of working for OBO?
The Office of Business Opportunity (OBO) prides itself for having a very dynamic workforce. This department employs seasoned public service employees and those who are at the very beginning of their careers. This combination of experience and fresh ideas allows OBO to advance its mission to serve the small business community. Donald Black, a senior business development coordinator in the Contract Compliance division, has been with OBO for 14 years. With his experience, Black has a wealth of knowledge which he is always willing to share either by assisting management and his peers, or in meetings with contractors and community members. In a recent interview, Donald shared his thoughts about his time at OBO and life outside of the office.
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How does what you do impact the small business community?
A: With a great number of small businesses in the construction, supplier, and professional services arena, we work to connect small businesses to larger general contractors to provide services on projects that have minority participation goals. We also work with those without such goals so small businesses are involved in achieving the finished product. Also, we ensure small businesses added
A: There are several: it’s seeing the progress made by small businesses, inlcuding those who have just gotten their first City contract and have taken advanatange of the various resources OBO has available for small business owners, including coaching; being able to contribute to the growth of the City’s economy by means of ensuring small businesses receive fair treatment when put on contracts through OBO’s compliance program and understanding OBO plays a major role in the City’s contracting process; and having to work with a diverse group of individuals both within OBO and the City at large is a delight.
Q
What advice would you give to a small business newly stepping into the arena of doing busines with the City? Go to BLACK, page 6
Small Businesses Can Explore Ways to Grow Globally By: Niyonsaba Magnifique
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he Office of Business Opportunity is committed to assisting small businesses grow domestically and internationally. As a part of OBO’s annual resources forum on exporting, on Oct. 20, OBO partnered with the Small Business Administration (SBA) to host a webinar that covered the basics of exporting and international trade. Featuring guest speaker Sonia Maldonado, district international trade officer for the SBA, the webinar aimed to equip small business entrepreneurs with knowledge about how to export their products and services to other countries, how to expand their markets, and how to increase sales and profitability. According to the SBA, two-thirds of the world’s purchasing power is in foreign countries, and there are many resources that help small business owners to expand their businesses globally. These
resources help assess a company’s readiness to export, assist with creating exporting business plans, and provide guidance on how to obtain funding and exporting licenses. If a company wants to grow internationally, one of the first steps is to assess its viability as expansion to a global market should not negatively affect the performance of the domestic business. The International Trade Administration provides an online assessment tool for business owners to determine if they are ready to start exporting. The free resource can be found by visiting www.trade.gov/exporter-assessments. Once a business owner determines that their company is equipped to start exporting, Maldonado recommends that “they do their homework” and create an exporting business plan that outlines where and how they will export. For help in this area, there are many organizations
that offer business coaching and training on exporting strategies. In Houston, some of these organizations include SCORE Houston, the University of Houston Small Business Development Center, and Women’s Business Enterprise Alliance. These entities have business advisors that offer one-on-one mentoring sessions to help small business owners prepare to export strategically. When it comes to selecting a country to export to, Ms. Maldonado said business owners can invest in conducting foreign market research. The U.S. Commercial Service, the trade promotion arm of the U.S. Department of Commerce’s International Trade Administration, assists business owners in conducting foreign market research in specific countries and industries. Although there is a fee associated with the service, Maldonado advised business owners to treat it as an investment that is going to yield returns. Go to EXPORT, page 7
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OBO PROGRAMS & OPPORTUNITIES
Build Up Houston Applications are now open for Build Up Houston, a comprehensive 7-month program designed to increase the capacity of small businesses. Selected participants will learn about financial management, marketing and sales, human resources, business strategy development, and access to capital. Build Up Houston started in 2014 as an educational resource for construction companies and has since grown into a powerhouse of information and support for local business owners. This year, the categories have expanded to include hospitality, restaurants, and retail companies. Participants will also have the opportunity to learn and develop skills that they can immediately pour into their business strategies to see results following the program. To qualify for Build Up Houston, businesses must have been in operation for a minimum of two years, have at least two employees, and have an annual revenue of $150,000. The deadline to apply is Nov. 30 and the sessions will launch February 2021. To learn more about the program visit: www.houstontx.gov/builduphouston.
Meet the Buyer Procurement Forum On Dec. 10 from 9 a.m. - 1 p.m., the Office of Business Opportunity will
host its annual networking event for small businesses that are interested in working with the City of Houston. This event will focus on procurement opportunities and host educational workshops to help guide small businesses to becoming prime contractors or subcontractors.
tion Management (TSCM), who will celebrate their graduation virtually at 6:30 p.m. on Monday, Nov. 9. Houston Vice Mayor Pro Tem Martha Castex-Tatum will offer welcome remarks, while OBO Director Marsha E. Murray will provide acknowledgements to each graduate.
This year, Meet the Buyer will include interactive workshops that will be accessible from anywhere with an internet connection, dedicated networking opportunities with small businesses by industry, a Procurement Success Stories panel, one-on-one sessions with procurement agents, conversations with prime contractors, and listings of current bidding opportunities.
This is the 27th year OBO has partnered with Turner Construction Company to offer TCSM. The eight-session program is built to develop and enhance technical, operational, and managerial skills of qualified small contractors and entrepreneurs in the construction industry.
Participating companies, governmental agencies, business support organizations, and City of Houston departments will also have the benefit of marketing their opportunities and resources to small businesses through the virtual exhibit rooms. To register for Meet the Buyer, visit https://www.tinyurl.com/mtb20.
Turner School of Construction Management The Office of Business Opportunity congratulates the 2020 graduates of the Turner School of Construc-
This program has graduated over 1,000 local men and women and is free of charge for all participants. Its purpose is to develop small businesses and provide them opportunities to grow in the construction industry. The program began in September with 99 particpants. “Turner School of Construction Management has been one of our most popular business development programs as well as our longest running,” said Dr. Porscha Jackson, Business Development Manager of the City of Houston’s Office of Business Opportunity. “With the pandemic and its effects on small businesses, we saw a surge in initial registrations for the program from 52 in 2019 to 101 in 2020. This year’s program was offered virtually and though the virtual environment had its challenges, we still had a more than 50 percent increase in graduates than in the previous year.” The class subjects include business planning, marketing strategies, construction law, risk management, and daily operations and much more. The classes were engaging and included hands-on exercises that offered participants real life work experiences and knowledge. For more information about the Turner School of Contstruction Management, visit https://www.houstontx. gov/obo/turner-school.html.
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BUSINESS PROFILE
Liftoff Houston propels business startup to success By: Pearl K. Cajoles
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hen Megan Eddings joined the Liftoff Houston! Startup Business Plan Competition in 2017, she came with big dreams and very little experience as an entrepreneur. “I had never written a business plan before, and I didn’t even know where to begin,” Eddings said. “But, after all the classes and workshops offered by the program, I advanced to the final round and won $10,000.” With a solid business plan and an impressive pitch, judges chose Eddings as the first place winner in the competition’s product category. Her company, Accel Lifestyle, offers odor- and bacteria-resistant fitness apparel made from fabric she invented using her background as a chemist. Three years after her win, Accel Lifestyle is still in an upward trajectory. Already with a succesful online shop pre-COVID at accellifestyle.com, Eddings expanded her product line in March to include bacteria-resistant face masks. After creating her first prototype, she has since sold tens of thousands of face masks to area hospitals and other corporate clients. The masks are also available for purchase on her website. On Saturday, Nov. 7 from 11 a.m. - 1p.m., nine budding entrepreneurs with big
DIRECTOR: OBO programs, initiatives in full swing Continued from page 1 businesses, adversely affected by the pandemic, with grants up to $50,000. The number of businesses the City is able to assist is continuing to grow. In collaboration with various partners, OBO recently hosted our first virtual Turnaround Houston Readiness Fair which afforded over 800 job seekers the opportunity to access more than 1,000 available positions. In addition, OBO has launched sev-
SUCCESS STORY: 2017 Liftoff Houston winner Megan Eddings has expanded her business to include bacteria-resistant face masks. dreams like Eddings will present their business plans during Liftoff Houston’s Pitch Day, which will be held virtually for the first time. Finalists will compete in the three category areas of product, service, and innovation, with one winner in each category winning $10,000 toward making their dreams of business ownership become a reality. Sponsored by Capital One Bank and administered by the Houston Public Library (HPL) and the Office of Business Opportunity (OBO), Liftoff Houston has awarded more than $210,000 in start-up
eral business development programs including the Liftoff Houston! Startup Business Plan Competition, Turner School of Construction Management, and we are currently accepting applications for Build Up Houston, our signature capacity building program slated to start in February 2021. Small businesses continue to be a huge part of the advances being made in Houston. In this issue, we are highlighting Mbroh Engineering Inc., an MBE company, that has been intentional in making sure they partner with other certified firms in delivering their work on the $1.7 billion Northeast Water Purification Plant (NEWPP) project,
capital to aspiring small business owners in Houston. “I invite everyone to join us on Pitch Day,” said OBO Director Marsha E. Murray. “Each year, I am always inspired by the unique stories and entrepreneurial spirit of our contestants.”
To join Pitch Day, go to www. eventbrite.com/e/2020-liftoff-houston-pitch-day-tickets-124337485767?aff=ebdssbonlinesearch. Pitch Day will also be streamed live at facebook.com/liftoffhouston. which will reduce our dependence on groundwater in delivering fresh drinking water to Houstonians. Lastly, as usual, I encourage you to stay healthy and safe, and to continue to prioritize the health and safety of your employees and customers.
Marsha E. Murray was appointed by Mayor Sylvester Turner and confirmed by City Council to serve as the Director of the City of Houston’s Office of Business Opportunity (OBO) in April 2020, after having served as OBO’s Interim Director.
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BLACK: His work fosters success of small businesses Continued from page 3
SITE VISIT: Mbroh Quality Assurance Manager Corey Rosenthal and Mbroh Director of Federal Programs Efram Fuller give OBO Director Marsha E. Murray and HPW division managers Will Norwood and Morris Scott a tour of the company’s facilities.
MBROH: MBEs benefit from networking Continued from Page 1
tion (SCADA) programming and integration. In 14 years, Mbroh has grown to more than 30 full-time employees who provide quality solutions in the water and wastewater industry across Texas, Oklahoma and Louisiana. For Mbroh’s work at the NEWPP expansion, the company is partnering with two MWSBE firms as subconsultants, and is always seeking to partner with other well-qualified MWSBE firms on City of Houston projects, said Efram Fuller, director of federal programs and Houston-area client manager for Mbroh. “Developing the right relationships and consistent, superior performance when given the opportunity to work on projects has helped our company succeed as an MBE-certified contractor,” Fuller said. “We also foster relationships with end user clients and other large firms, maintain memberships in professional organizations and attend client-sponsored industry day events.” Fuller cited Contracts Connect, an annual event hosted by Houston Public Works, the City of Houston department that oversees the NEWPP expansion project. The event is designed to connect major engineering consulting firms and construction companies with certified minority, women-owned and small businesses (MWSBE) in areas of engineering, design and civil construction.
On Dec. 10, the Office of Business Opportunity will host the Meet the Buyer (MTB) Purchasing Forum, another opportunity for small businesses to connect and network with City procurement agents, local government agencies and prime contractors. MTB is free and open to all, and registration is open at www.tinyurl.com/mtb20. For more information, go to www.houstontx.gov/obo/meet-thebuyer.html. “It is essential that a MWSBE firm establish relationships with City of Houston departments such as the Office of Business Opportunity to truly understand the intent of the MWSBE program, how it works, and for assistance in getting connected with potential teaming partners,” Fuller said. “Getting to know and establishing relationships with an organization’s acquisitions leader and team members are just a few of the best practices that a certified firm should utilize.” For firms who want to grow their capacity, Fuller suggests patience, being flexible to change and regular communication, especially when working on a major project like the NEWPP expansion. “One of the main goals of many firms is to become a prime consultant for the City of Houston,” Fuller said. “To do so, most firms will need to start out in subconsultant roles, prove themselves, then start to position for prime opportunities.”
A: First, I will tell them, your first impression is your lasting impression. Secure capital to be able to maintain payroll and operations, and understand the pace at which reimbursements/payments are made on City projects. Make sure the subcontractor agreement in place clearly defines what services you are to perform, the payment schedule and all agreed terms. These items are extremely important because they come in handy in the event of any disputes. Also make sure you are delivering quality service for the project. Poor quality work and the inability to deliver in a timely manner are the things that will make a prime contractor move on to another subcontractor if you are not providing quality service. Also, develop good relationships with other firms. These relationships will take you a long way. Last but not least, do not over-commit to too many projects. Make sure you are conscious of your company’s capabilities and what can be accomplished by your firm.
Q
What do you enjoy doing when out of the office?
A: I like to experiment with cooking, defending my title of family barbecue champion (barbecue king)! I visit New Orleans very frequently, and I also like to travel out of the country. I play golf and enjoy bowling, though these haven’t happened for a while now. And I spend a lot of time with family, and listening to music. In fact, collecting the entire Miles Davis CD discography is a hobby!
Q
Is there a fun fact you would like to share?
A: I played the tuba in the marching band. I have great love for cigars as well.
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EXPORT: Obtain proper licenses to operate globally Continued from page 3 Just as it takes money to start a business domestically, funding is also needed to expand globally. The SBA has export loan programs in place such as the Export Working Capital Program, International Trade Loan (ITL) and Export Express. Although the SBA does not lend money directly, it works with banks and offers guarantees on the loans, which helps small business owners secure the loans. As small business owners seek funding, it is important for them to research lenders that can best meet their needs. Lenders have varying requirements, such as minimum and maximum loan amounts, loan maturity, credit score, collateral and the number of years the business has been in existence. To find a list of SBA lenders, go to page 30 of OBO’s Small Business Resource Guide, which can be found at www.houstontx. gov/obo. In addition, the business owners need to obtain proper exporting licenses to export legally. To apply for export licenses, www.trade.gov/obtaining-export-license. To avoid penalties, obtaining proper exporting licenses is essential. When businesses can successfully navigate global trade, they can reap the benefits of not having to depend on just the domestic market.
EVENTS & ANNOUNCEMENTS Houston MBDA Salute to Minorities in Construction: OBO Director Marsha E. Murray will be honored as 2020 Community Partner of the Year at this annual event by the Houston Minority Business Development Agency (MBDA). Event takes place virtually from 11:30 a.m.-1 p.m. on Tuesday, Nov. 10. Register for this at https://tinuyurl.com/ virtualsalute. Encore Entrepreneurs: 2 p.m. on Nov. 17. Explore business possibilities to pursue before or after retirement. Register at www.tinyurl.com/EncoreEntrepreneurs. Details: Contact Dr. Porscha Jackson at 832-393-0935 or Porscha. Jackson@houstontx.gov. Build Up Houston Application Deadline: Applications are due Nov. 30. Build Up Houston is a comprehensive, 7-month program designed to increase the capacity and success of small businesses. Register at www. houstontx.gov/builduphouston/index. html. Details: Contact Dr. Porscha Jackson at 832-393-0935 or Porscha. Jackson@houstontx.gov. Meet the Buyer Procurement Forum: 9 a.m. - 1 p.m. on Dec. 10. Meet the Buyer is an opportunity for small businesses to connect and network with City procurement agents, as well as other governmental agencies and prime contractors. Register at www. tinyurl.com/MTB20. Details: Contact Dr. Porscha Jackson at 832-393-0935 or Porscha.Jackson@houstontx.gov.
DID YOU KNOW? The longest name of a place on the planet has 85 letters: Taumatawhakatangihangakoauauotamateaturipukakapikimaungahoronukupokaiwhenuakitanatahu in New Zealand. Texas is geographically larger than any country in Europe.
The Houston Metro Area is bigger than the State of New Jersey (the Houston metro area takes up over 8,778 square miles, making it bigger than the
state of New Jersey which is 8,729 square miles). Africa and Asia are home to nearly 90 percent of the world’s rural population. There are 41 countries that recognize sign language as an official language. The feeling of getting lost inside a mall is known as the Gruen transfer.
Client Access Program (CAP) for Participants of Pay or Play Program (POP): POP is partnering with the Houston Health Department to provide health benefits and services to uninsured individuals through the Client Access Program (CAP). Interested employees can call 832-393-4984. This program provides access to health coverage such as Harris Health, Title V, Medicaid, Children’s Health Insurance Program, Federally Qualified Health Centers, Community Health Centers and more. Please provide the referral code 767227 to your CAP Representative. Payments made to POP are utilized to assist with funding for CAP. Contractors may still be required to PAY on behalf of employees that receive Health Services through CAP, depending on the services received. For details, contact your POP Liaison. A contact list can be found at www.houstontx.gov/obo/popforms.html.
WHO WE ARE Insights to Opportunity is produced by the City of Houston’s Office of Business Opportunity (OBO). OBO is committed to cultivating a competitive and diverse economic environment in the City of Houston by promoting the success of small businesses and developing Houston’s workforce, with special emphasis on historically underutilized businesses and disenfranchised individuals. Executive Editors Marsha E. Murray, Esq. Lalla V. Morris, Esq. Managing Editors Pearl K. Cajoles Enzo Mungu Copy Editor Dr. Porscha Jackson Page Designer Damita Roberts Contributing Writers Niyonsaba Magnifique Damita Roberts Angel Rodriquez Any information in this newsletter does not constitute the Office of Business Opportunity’s endorsement of any business or organization. If you have a story idea, e-mail pearl.cajoles@houstontx.gov. Follow @HoustonOBO on Twitter, Facebook and Instagram and @HoustontxOBO on YouTube.