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Page 133
Suggested Citation:"Appendix C - Glossary." National Academies of Sciences, Engineering, and Medicine. 2020. Guidance for Diversity in Airport Business Contracting and Workforce Programs. Washington, DC: The National Academies Press. doi: 10.17226/25896.
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Page 133
Page 134
Suggested Citation:"Appendix C - Glossary." National Academies of Sciences, Engineering, and Medicine. 2020. Guidance for Diversity in Airport Business Contracting and Workforce Programs. Washington, DC: The National Academies Press. doi: 10.17226/25896.
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Page 134
Page 135
Suggested Citation:"Appendix C - Glossary." National Academies of Sciences, Engineering, and Medicine. 2020. Guidance for Diversity in Airport Business Contracting and Workforce Programs. Washington, DC: The National Academies Press. doi: 10.17226/25896.
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Page 135
Page 136
Suggested Citation:"Appendix C - Glossary." National Academies of Sciences, Engineering, and Medicine. 2020. Guidance for Diversity in Airport Business Contracting and Workforce Programs. Washington, DC: The National Academies Press. doi: 10.17226/25896.
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Page 136

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C-1 49 CFR Part 23 U.S.DOT Regulations—Participation of Airport Concession Disadvantaged Business Enterprises in Airport Concessions; also known as Part 23. 49 CFR Part 26 U.S.DOT Regulations—Participation by Disadvantaged Business Enterprises in Department of Transportation Financial Assis- tance Programs; also known as Part 26. Airport Concession Disadvantaged Business Enterprise (ACDBE) A for-profit small business concern as defined in 49 CFR Section 23.3. Airport Improvement Program (AIP) A U.S.DOT/FAA program that provides grants to public agencies and, in some cases, to private owners and entities for the planning and development of public-use airports that are included in the National Plan of Integrated Airport Systems. concession One or more of the types of for-profit businesses defined in 49 CFR Section 23.3. Disadvantaged Business Enterprise (DBE) A for-profit small business concern as defined in 49 CFR Section 26.5. Disadvantaged Business Enterprise Liaison Officer (DBELO) An individual who shall have direct, independent access to the airport’s chief executive officer concerning DBE and ACDBE program matters, and who is responsible for implementing all aspects of the airport’s DBE and ACDBE programs. See 49 CFR Section 26.25. direct leasing A concession management approach in which an airport leases individual concession locations or small groups of locations (no more than three) directly to the operators. disparity study A study that determines whether a government entity, either in the past or currently, engages in exclusionary practices in the solicitation and award of contracts to minority- and women- owned and disadvantaged business enterprises. diverse businesses Businesses certified as DBEs and/or ACDBEs in accordance with Part 23 and Part 26, woman- and minority-owned businesses, and other small businesses. A P P E N D I X C Glossary

C-2 Guidance for Diversity in Airport Business Contracting and Workforce Programs diverse workforce Workforce that includes individuals with disadvantaged back- grounds, including minorities and women. The workforce includes both internal and external employment at airports. Internal work- force refers to staff employed directly by the airports. External workforce refers to staff employed by contractors, vendors, airlines, and other firms working at the airport. Equal Employment Opportunity (EEO) policies and laws Laws and policies that protect employees from employment discrimination based on a person’s race, color, religion, sex, or national origin. Federal Fiscal Year (FFY) The accounting period for the federal government that begins October 1 and ends September 30 each year. focus group A small number of people brought together with a moderator to discuss a specific issue or topic. good faith efforts Efforts to achieve an ACDBE or DBE goal or other requirement of 49 CFR Parts 23 and 26 that, by their scope, intensity, and appro- priateness to the objective, can reasonably be expected to meet the program requirement. See Appendix A to 49 CFR Part 26. historically underutilized business (HUB) A corporation, sole proprietorship, partnership, or joint ven- ture formed for the purpose of making a profit in which at least 51 percent ownership of the business is by a woman, minority, and/or service-disabled-veteran-owned small business. Joint Venture An association of a DBE firm or an ACDBE firm and one or more other firms to carry out a single, for-profit business enterprise, for which the parties combine their property, capital, efforts, skills and knowledge, and in which the DBE or ACDBE is responsible for a distinct, clearly defined portion of the work of the contract and whose share in the capital contribution, control, management, risks, and profits of the joint venture are commensurate with its owner- ship interest. See 49 CFR Section 26.5 and 49 CFR Section 23.3. Joint Venture Guidance U.S.DOT/FAA guidance issued July 17, 2008 for airport sponsors regarding how to credit the participation of ACDBE joint venture participation (U.S.DOT/FAA 2008). living wage A wage sufficient to provide the necessities and comforts essential to an acceptable standard of living. master concessionaire A single operator who operates all food service concessions and may or may not also operate retail. The master concessionaire may sublease some of the locations to other operators. mentor-protégé program A program element of 49 CFR Part 26 to further the development of DBEs, including but not limited to assisting them to move into nontraditional areas of work and/or compete in the marketplace outside the DBE program, via the provision of training and assis- tance from other firms. See Appendix D to Part 26. minimum annual guarantee (MAG) Minimum amount of rent to be paid annually to an airport by a concessionaire or sometimes by a developer.

Glossary C-3 Philadelphia Metropolitan Statistical Area (MSA) Pennsylvania counties of Bucks, Chester, Delaware, Montgomery, and Philadelphia; New Jersey counties of Burlington, Camden, Gloucester, and Salem; New Castle County, DE; Cecil County, MD; and the states of Pennsylvania, New Jersey, Delaware, and Maryland. prevailing wage The wages, both trade and public work, that workers in a particu- lar area are paid. Prevailing wage is expressed in hourly wages and is inclusive of overtime wages and benefits. prime concessionaire A single firm operating approximately one half or more of the concession space in a category of concession, such as food and beverage or retail. project labor agreement An agreement with one or more labor organizations that estab- lishes the terms and conditions of employment for a specific construction project. request for proposals (RFP) Competitive solicitation approach whereby criteria are estab- lished and proposals are evaluated against the criteria, with the proposal receiving the highest score declared the winner. set-aside A contracting practice in which certain contracts or classes of contracts are reserved for competitive bidding exclusively among a given subset of contractors, for example, minority- owned and woman-owned contractors. small business enterprise (SBE) “Small business concerns” as defined in 49 CFR Section 26.5 for feder ally assisted contracting and in 49 CFR Section 23.3 for airport concessions. Also means enterprises defined as small businesses by airport operators. Title VI Part of the Civil Rights Act of 1964 that prohibits discrimination on the basis of race, color, and national origin in programs and activities receiving federal financial assistance. unbundling Breaking up large contract and concession opportunities into smaller components. Unified Certification Program A program in each state that provides “one-stop shopping” certi- fication services to small, minority, and women businesses seeking to participate in the U.S.DOT DBE and/or ACDBE Program. See part 26, Section 26.81. Woman-Owned Business Enterprise (WBE) A for-profit business owned by one or more women.

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Guidance for Diversity in Airport Business Contracting and Workforce Programs Get This Book
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Many airports are already taking active steps to address and unlock the benefits of a diverse and inclusive workforce. These programs provide benefits to the airport and surrounding communities, but there has not been a comprehensive benefit-cost analysis for diversity contracting programs and their impact on the workforce.

The TRB Airport Cooperative Research Program's ACRP Research Report 217: Guidance for Diversity in Airport Business Contracting and Workforce Programs provides guidelines to assist airport operators and various stakeholders at airports of all types and sizes to identify and quantify the benefits, costs, and regional economic impact of diversity contracting for airport businesses.

As recipients of federal funds, airports are required to administer a federal program that seeks to provide equal access for participation in airport-related business opportunities. Likewise, many airports are also obligated to do so under state and local programs.

The report includes additional materials: an Airport Diversity Contracting Tool and a Tool Users Guide.

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