state universities retirement system of illinois (surs ... rfp private equity...private equity...
TRANSCRIPT
State Universities Retirement System of
Illinois (SURS)
Request for Proposal
Private Equity Fund-of-Funds Services
2016
2
Table of Contents
I. Request For Proposal Summary Statement 3
II. Background Information 3
III. Specific Services Requested from the Investment Manager 5
IV. Diversity Goals 6
V. Minimum Qualifications 6
VI. RFP Specifications 7
VII. Projected Schedule of Events 10
Appendix A – Minimum Qualifications Certification 11
Appendix B – Disclosures per Illinois Pension Code Section 1-113.21 13
Associated Documents (Attachments)
Appendix C – SURS Questionnaire and Price Sheet (Word document)
Appendix D – NEPC Questionnaire (Word document)
Appendix E – NEPC Questionnaire –Closed End Fund Level Performance (Excel document)
Appendix F – NEPC Questionnaire – Closed End PE Fund Cash Flows (Excel document)
Appendix G– NEPC Questionnaire– Multi-Manager Deal-by-Deal Track Record (Excel document)
Appendix H – Employee Diversity Chart
3
State Universities Retirement System (SURS)
Request for Proposal (RFP)
May 2016
Private Equity Fund-of-Funds Provider Search
I. RFP Summary Statement
The State Universities Retirement System of Illinois (“SURS” or “System”) is requesting proposals
from qualified firms interested in providing Private Equity Fund of Funds Advisory Services
(“Proposers”). One or more firms will be considered to manage commitments of up to $300 million
per year based on the current private equity pacing model. At the June 2014 Investment Committee
meeting, the Board approved the adoption of a three-year private equity funding plan. The funding
plan included annual allocations of:
Calendar Year Commitment Amount
2015 $250 million
2016 $300 million
2017 $300 million
Total $850 million
All forms/required documents needed for submitting a Request for Proposal (“RFP”) are available on
the IL SURS website at www.surs.org.
Respondents must answer all applicable questions in the questionnaire sections in order to be
considered.
II. Background Information
Agency Description
SURS is the administrator of a cost-sharing, multiple employer public employee retirement system.
SURS membership includes employees of the Illinois public universities and other affiliated
organizations. Currently, SURS membership totals more than 200,000 active, inactive and retired
participants. SURS maintains both a defined benefit plan (DB plan) and defined contribution plan.
Proposals are being solicited for the defined benefit plan. To learn more about the fund, you may visit
our website at www.surs.org.
Defined Benefit Plan Investment Program
As of March 31, 2016, the DB plan trust totaled $16.6 billion with a target asset allocation as follows: Target
U.S. Equity 23%
Non-U.S. Equity 19%
Global Equity 8%
Core Fixed Income 19%
Emerging Markets Debt 3%
TIPS 4%
Private Equity 6%
Real Estate 6%
4
REITS 4%
Hedged Strategies 5%
Opportunity Fund 1%
Commodities 2%
Legislated Investment Restrictions Relating to the Republic of the Sudan and Iran
Effective January 1, 2016, Section 1-110.16 of the Illinois Pension Code (40 ILCS 5/1-110.16)
generally requires SURS to divest from direct holdings in “restricted companies” consisting of:
1. Certain companies that boycott Israel by engaging in actions that are politically motivated and
are intended to penalize, inflict economic harm on, or otherwise limit commercial relations
with the State of Israel or companies based in the State of Israel or in territories controlled by
the State of Israel;
2. Certain companies that have business operations that involve contracts with or provision of
supplies or services to the Government of Iran, companies which the Government of Iran has
any direct or indirect equity share, consortiums or projects commissioned by the Government
of Iran, or companies involved in consortiums or projects commissioned by the Government of
Iran; and
3. The government of Sudan and any of its agencies, companies under control of Sudan,
companies established or organized in Sudan, companies identified or prosecuted by the Office
of Foreign Assets in the U.S. Treasury Department as sponsoring terrorist activities in Sudan,
or any publicly traded company whose principal place of business is in or conducts business in
Sudan.
“Private market funds” (which include private equity funds and private equity fund-of-funds) are not
subject to the divestment provisions. However, the Illinois Investment Policy Board will request that
a private market fund manager consider removing restricted companies from the fund or create a
similar actively managed fund having indirect holdings devoid of the companies. If such a fund is
created, SURS is required to replace all applicable investments with investments in the similar fund in
an expedited timeframe consistent with prudent investing standards.
State Fiduciary, Ethics, and Diversity Laws
Sections 1-109, 1-109.2, 1-110, 1-125. 1-130, 1-135, and 1-145 of the Illinois Pension Code (40 ILCS
5/1-109, 1-109.2, 1-110, 1-125, 1-130, 1-135, 1-145) contain fiduciary, ethics, and prohibited
transaction provisions that may apply to investment managers. Investment managers seeking to be
considered for this mandate should be familiar with and must comply with such applicable provisions
of the Illinois Pension Code.
Section 1-109.1 of the Illinois Pension Code (40 ILCS 5/1-109.1) encourages the Board to increase
the use of minority-owned businesses, female-owned businesses, or businesses owned by persons with
disabilities as emerging investment managers, minority investment managers, broker-dealers, or
vendors for services and contracts; and to increase the racial, ethnic, and gender diversity of its
fiduciaries (including investment managers and consultants), to the greatest extent feasible within the
5
bounds of financial and fiduciary prudence. To this end, the Board encourages minority-, female- and
persons with a disability-owned investment managers to submit proposals to this RFP.
Section 50-37 of the Illinois Procurement Code concerning prohibitions on political contributions for
certain vendors (30 ILCS 500/50-37) may or may not apply to SURS investment managers or
consultants. SURS is not subject to the Illinois Procurement Code, generally (30 ILCS
500/1-15.100). However, each investment manager and consultant should be familiar with the
provisions of section 50-37 of the Procurement Code and comply with this section if the investment
manager or consultant deems it appropriate.
Additional Disclosure Requirements
Section 1-113.21 of the Illinois Pension Code (40 ILCS 5/1-113.21), added by Public Act 98-1022,
effective January 1, 2015, provides that no contract, oral or written, for investment services,
consulting services, or commitment to a private market fund shall be awarded by a retirement system,
pension fund, or investment board established under the Code unless the investment advisor,
consultant, or private market fund first discloses:
(1) the number of its investment and senior staff and the percentage of its investment and
senior staff who are (i) a minority person, (ii) a female, and (iii) a person with a disability; and
(2) the number of contracts, oral or written, for investment services, consulting services, and
professional and artistic services that the investment advisor, consultant, or private market
fund has with (i) a minority owned business, (ii) a female owned business, or (iii) a business
owned by a person with a disability; and
(3) the number of contracts, oral or written, for investment services, consulting services, and
professional and artistic services the investment advisor, consultant, or private market fund has
with a business other than (i) a minority owned business, (ii) a female owned business or (iii) a
business owned by a person with a disability, if more than 50% of services performed pursuant
to the contract are performed by (i) a minority person, (ii) a female, and (iii) a person with a
disability.
Each Proposer responding to this RFP must disclose this information in the form provided in
Appendix B.
III. Specific Services Requested from the Investment Manager
SURS is requesting information from qualified firms to manage a global, diversified private equity
fund-of-funds portfolio. SURS is seeking a platform that is diversified across key private equity
strategies, and prefers the inclusion of venture capital, buyout, special situation, mezzanine and
distressed/restructuring partnerships. The platform should include both primary and secondary
capabilities with potential consideration given to co-investment and direct strategies. SURS prefers
the platform to be global (U.S. & Non-U.S.) in orientation. SURS intends for this initiative to be
ongoing and is seeking diversification across vintage year, industry sector, and strategy type.
SURS will consider the following evaluation criteria in making its decision:
6
Stability and General Experience of the Firm – as measured by the stability of the financial
condition of the firm and experience in providing private equity fund-of-funds management to
institutional clients.
Key Personnel – Personnel to be assigned to this account, including key professionals,
applicable portfolio managers, back-up and other staff assistance, and education and
experience of all such key personnel.
Expertise – (a) Similar work performed for other clients, with references of such funds to be
specified in proposal; (b) Assets under management; and (c) Investment experience broadly
defined and experience as a manager of private equity funds.
Client references – as measured by the quality of the references provided.
Performance – Prior funds’ performance measured on both an absolute and relative basis.
Investment Process – Consistent process implementation, as measured by return consistency,
portfolio construction methodology, and the implementation of risk controls.
Investment Philosophy and Style – The extent to which the proposed philosophy and style best
complement existing philosophies and styles and meet the requirements and expectations as
presented in this RFP.
Access to Recognized Top Tier Manager Partnerships – The manager should exhibit historical
investor relationships with partnerships generally recognized as being among the best at
employing their type of strategy.
Fees – Reasonableness and competitiveness of fees, as well as transparency in reporting of
fees of underlying managers. RFP Proposal – Completeness, clarity and responsiveness to requirements as requested in the
RFP and accompanying template.
IV. Diversity Goals:
SURS has established a goal that 20% of new allocations to alternative investments be made to firms
owned by minorities, females or persons with a disability (MFDB). This goal is reviewed annually
and presented to the Board as a component of the Investment Policy, most recently at the September
11, 2015 Board meeting. SURS encourages the selection of MFDB managers within the fund of
funds portfolio.
V. Minimum Qualifications:
The Proposer must meet all of the following minimum qualifications to be given further consideration.
Failure to satisfy any of these qualifications and requirements upon submittal of the Proposal will
result in the rejection of the Proposal. The Proposer must certify in writing on the Minimum
Qualifications Certification, Appendix A, that it meets all of the minimum qualifications. Such
certification must include evidence of how each qualification is met and must be signed by an
individual who is authorized to bind the Proposer contractually. Qualified firms meeting the Illinois
statutory definition of “Minority owned business”, “Female owned business” or “Business
owned by a person with a disability” are exempt from (7), (8), and (9) below and will be
evaluated for further consideration at SURS’ discretion.
1. Proposing firm must be SEC-registered or exempt from registration with the nature of the
exemption provided. The firm must submit its full Form ADV (Parts I and II).
2. Proposing firm must agree to serve as a “fiduciary” to the Fund within the meaning of Illinois
legislation and to act in accordance with all requirements and standards of conduct applicable
to fiduciaries.
7
3. Proposer and its proposed team have all authorizations, permits, licenses and certifications
required by federal and state laws and regulations to perform the services specified in this RFP
at the time Proposer submits a response to the RFP. Proposer’s audited financial statements
must be made available for review.
4. Proposer will comply with all legislation regarding investment restrictions, applicable State
fiduciary, ethics, and diversity laws, including any additional disclosure requirements as
outlined above.
5. Proposer must provide net fund-level performance track records for primary, secondary, co-
investment or direct fund-of-fund strategies (please note co-investment and direct strategies
are optional) as well as underlying holdings information in the provided template.
6. Proposer must have an existing global, diversified private equity fund-of-funds platform,
including both dedicated primary and secondary products.
7. Proposer or one or more principals of the firm must have five years or more experience
managing global, diversified private equity fund-of-funds portfolios, including both dedicated
primary and secondary products. Qualified Women, Minority, or Disabled Owned Businesses
are exempt and will be evaluated for further consideration at SURS’ discretion.
8. Minimum Firm Level AUM: $5 billion as of December 31, 2015, at least half of which is
managed for U.S. institutional investors. Qualified Women, Minority, or Disabled Owned
Businesses are exempt and will be evaluated for further consideration at SURS’ discretion.
9. Proposing firms must have been in operation as an investment management organization for at
least five years, as of December 31, 2015. Qualified Women, Minority, or Disabled Owned
Businesses are exempt and will be evaluated for further consideration at SURS’ discretion.
SURS retains the sole right to decide whether any Proposer is qualified to bid, including determining
whether any Proposer’s qualifications are sufficiently comparable to satisfy all of the above minimum
qualifications.
VI. RFP Specifications:
If, in response to this RFP, trade secrets or commercial or financial information are furnished under a
claim that they are proprietary, privileged or confidential and that disclosure of the trade secrets or
commercial or financial information would cause competitive harm to the person or business
responding to this RFP, such claim must be clearly made and such information must be clearly
identified. Bidders are required to make a good faith attempt to properly identify only those portions
of the response that are truly furnished under a claim that they are proprietary, privileged or
confidential and that disclosure of the trade secrets or commercial or financial information would
cause competitive harm to the person or business responding to this RFP. Responses to this RFP with
every page marked as proprietary, privileged or confidential will not satisfy this requirement. (5 ILCS
140/7 and 7.5) If such information is identified, the Proposer shall, in addition to the primary
response, provide a separate redacted version of the RFP response suitable for release under the
Illinois Freedom of Information Act (5 ILCS 140/7 and 7.5). However, such a claim is not
definitive. SURS has the right and obligation to determine whether such information is exempt
form disclosure under the Illinois Freedom of Information Act and no information will be
considered or determined by SURS to be proprietary, privileged or confidential unless it is
identified and separated as indicated herein. (5 ILCS 140/7 and 7.5)
8
Specific Items Requested from Respondent Firms:
Enumerated below are the specific items requested from respondent firms.
1. Letter of Transmittal. A letter of transmittal must be submitted on the Proposer’s official
letterhead. The letter must identify all documents provided collectively as a response to the
RFP, and must be signed by an individual authorized to bind the Proposer contractually. An
unsigned proposal will be rejected. The letter must also contain the following:
a. Statement that the proposal is being made without fraud or collusion; that the Proposer
has not offered or received any finder’s fees, inducements or any other form of
remuneration, monetary or non-monetary, from any individual or entity relating to the
RFP.
b. Statement that discloses any current business relationship or any current negotiations
for prospective business with the Board or any SURS Board Members or SURS Staff.
c. Statement that the proposing firm has been in compliance with the System’s Quiet
Period Policy and Ex-Parte Communications Policy.
2. Minimum Qualification Certification. The Proposer must complete the certification in
Appendix A and provide all supporting documentation.
3. Diversity Disclosures per Illinois Pension Code Section 1-113.21. The Proposer must
complete the required disclosures regarding staff and vendor diversity in the form provided in
Appendix B.
4. Questionnaires and Associated Excel Data. The Proposer must address the questionnaire items
in the RFP in the order in which they appear in the RFP. Further, each question number and
question in the RFP shall be repeated in its entirety before stating the answer. Certain
questions may require supporting documentation, which should be submitted as attachments to
the questionnaire.
a. Appendix C – SURS Questionnaire and Price Sheet (Word document)
b. Appendix D – NEPC Questionnaire (Word document)
c. Appendix E – NEPC Questionnaire – Closed-End Fund Level Performance (Excel document)
d. Appendix F – NEPC Questionnaire – Closed-End PE Fund Cash Flows (Excel document)
e. Appendix G – NEPC Questionnaire – Multi-Manager Deal-by-Deal Track Record (Excel
document)
f. Appendix H – Employee Diversity Chart (Excel document)
Proposers who fail to complete each Attachment in its entirety will not be considered.
5. Redacted Version of RFP Response. In the event Proposer believes certain materials in the
submitted response are exempt from public disclosure in accordance with language in Section
VI on the previous page, the Proposer must provide a redacted version of the response suitable
for release under the Illinois Freedom of Information Act (5 ILCS 140/7 and 7.5).
9
Submission Deadline:
The completed RFP must be delivered (electronically, please) by 4:30 pm CT, Friday, July 29, 2016.
Earlier responses are welcome. Any RFP delivered after the deadline will not be considered. The e‐mail subject line must read as follows: “Private Equity Fund of Funds RFP Response – Name of
Respondent” and should be sent to both SURS and NEPC at:
Kim Pollitt , CFA Joshua Ko Senior Investment Officer Research Analyst, Private Markets
SURS NEPC
[email protected] [email protected]
Submission of Questions:
In order to clarify any issues in this Request for Proposals, the System will respond only to questions
that are presented in writing via e-mail to: Kim Pollitt, CFA, at [email protected]. All questions should
be submitted to SURS by 4:30 PM CT Friday, June 24, 2016. These questions will be consolidated
into a single Q&A document and responded to by the System on, or about, Friday, July 8, 2016. The
Q&A document will be posted on the SURS web site at www.surs.org/rfp without divulging the
source of the query.
Communications with SURS
Other than existing normal business matters, respondents, potential respondents, or their
representatives should not contact anyone at SURS (including SURS staff, members of the SURS
advisory committees and members of the SURS Board) other than the investment team assigned to the
RFP listed above.
In addition, respondents must not discuss this RFP with any employee of SURS’s custodian,
managers, legal counsel, or other advisors or persons/entities having contracts or other affiliations
with SURS.
FAILURE TO OBSERVE THIS RULE IS GROUNDS FOR DISQUALIFICATION
SURS Quiet Period Policy:
Please note the Quiet Period Policy that establishes guidelines by which the Board of Trustees and
staff will communicate with prospective service providers during a search process. Please review
Section VIII of the Investment Policy and observe the Quiet Period guidelines. The Quiet Period for
this search was initiated on April 21, 2016.
Ex-parte Communications:
The State Officials and Employees Ethics Act (5 ILCS 430/5-50) provides that all “ex parte
communications” concerning investment, rulemaking or quasi-adjudicatory matters pending before a
State agency must be documented and some must be reported. An “ex parte communication” is any
written or oral communication by any person that imparts or requests material information or makes a
material argument regarding potential action concerning an investment, a rulemaking process, or a
10
quasi-adjudicatory matter. An “ex parte communication” does not include statements publicly made
in a public forum or communications among employees of the State agency.
An “ex parte communication” from an “interested party” or his or her official representative or
attorney to an employee or the agency must be memorialized and made a part of the record. An
“interested party” is a person or entity whose rights, privileges, or interests are the subject of or
are directly affected by an investment, regulatory or quasi-adjudicatory matter.
An “ex parte communication” other than that described above must be reported by the staff
member or Board Trustee immediately to the agency’s Ethics Officer. The communication
must be memorialized and made a part of the record. The communication must be filed with
the Executive Ethics Commission, accompanied by a memorandum from the Ethics Officer.
Rights Reserved:
SURS reserves the right to amend any segment of the RFP prior to the announcement of a successful
contractor. In such an event, all responders will be afforded the opportunity to revise their proposal to
accommodate the RFP amendment.
SURS reserves the right without prejudice to reject any or all proposals submitted. The System is not
obligated to award a contract to any of the respondents to this RFP. There is no express or implied
obligation for SURS to reimburse for any expenses incurred in preparing proposals in response to this
RFP.
VII. Projected Schedule of Events:
April 21, 2016 Quiet period begins
June 13, 2016 Dissemination of RFP
June 24, 2016 Deadline for questions to SURS
July 8, 2016 Responses to questions submitted to SURS
July 29, 2016 RFP responses due by 4:30 pm CT
August/September 2016 Identify firms for further consideration
October 2016 Interviews with selected firms
December 8, 2016 Finalist presentations to SURS Board of Trustees
11
Appendix A
MINIMUM QUALIFICATION REQUIREMENTS AND CERTIFICATION
Proposers must satisfy each of the following minimum qualifications for this RFP, in order to be
given further consideration by the Board of Trustees. Failure to satisfy each of the requirements
will result in the immediate rejection of the proposal. Failure to provide complete information
will result in the rejection of the proposal. Please circle “YES” or “NO” where indicated. If
evidence is requested, please provide complete documentation.
1. Proposing firm must be SEC-registered or exempt from registration with the nature of the
exemption provided. If so registered, please submit Form ADV (Parts I and II).
(Yes/No):_____
2. Proposing firm must agree to serve as a “fiduciary” to the Fund within the meaning of
Illinois legislation and to act in accordance with all requirements and standards of
conduct applicable to fiduciaries. (Yes/No):_____
3. Proposer and its proposed team have all authorizations, permits, licenses and
certifications required by federal and state laws and regulations to perform the services
specified in this RFP at the time Proposer submits a response to the RFP. Proposer’s
audited financial statements will be made available for review. (Yes/No):_______
4. Proposer will comply with all legislation regarding investment restrictions, applicable
State fiduciary, ethics, and diversity laws, including any additional disclosure
requirements. (Yes/No):_______
5. Proposer must provide net fund-level performance track records for primary, secondary,
co-investment or direct strategies (please note co-investment and direct strategies are
optional) as well as underlying holdings information in the provided template.
(Yes/No):______
6. Proposer must have an existing global, diversified private equity fund-of-funds platform,
including both primary and secondary products. (Yes/No):______
7. Proposer or one or more principals of the firm have five years or more experience
managing global, diversified private equity fund-of-funds portfolios, including both
primary and secondary products. Qualified Women, Minority, or Disabled Owned
Businesses are exempt. (Yes/No/Exempt):______
8. Proposer must have at least $5 billion in institutional (taxable and non-taxable) assets
under management, as of December 31, 2015, at least half of which is managed for U.S.
institutional investors. Qualified Women, Minority, or Disabled Owned Businesses are
exempt. (Yes/No/Exempt):______
9. Proposing firms must have been in operation as an investment management organization
for at least five years, as of December 31, 2015. Qualified Women, Minority, or
Disabled Owned Businesses are exempt. (Yes/No/Exempt):______
IF PROPOSER PROVIDED A “NO” RESPONSE TO ANY OF THE MINIMUM
QUALIFICATION REQUIREMENTS ABOVE, PROPOSER SHOULD NOT SUBMIT A
PROPOSAL TO SURS.
12
PLEASE CERTIFY THE PROPOSER’S SATISFACTION OF THE MINIMUM
QUALIFICATIONS BY PROVIDING THE PROPOSER’S AUTHORIZED SIGNATURE
BELOW.
Authorized Signer Name: ________________________________
Title: ________________________________
Respondent Firm: ________________________________
Signature: ________________________________
Date: _______________________________
13
Appendix B
DISCLOSURES PER ILLINOIS PENSION CODE SECTION 1-113.21
Beginning January 1, 2015, section 1-113.21 of the Illinois Pension Code requires the
following disclosure from the investment advisor, consultant or private market fund:
Name of investment advisor, consultant, or private market fund:
________________________________________________________________________
1. The number of its investment and senior staff and the percentage of its investment and senior
staff who are (i) a minority person (ii) a female, and (iii) a person with a disability;
(If none, state “none”)
Staff Classification Number of Investment and
Senior Staff Who Are
% Percentage of Investment
and Senior Staff Who Are
Minority
Female
Person with a Disability
2. The number of contracts, oral or written, for investment services, consulting services and
professional and artistic services that the investment advisor, consultant, or private market
fund has with (i) a minority owned business, (ii) a female owned business, or (iii) a business
owned by a person with a disability; and
(If none, state “none”)
Contracts Number Contracts
Minority
Female
Person with a Disability
3. The number of contracts, oral or written, for investment services, consulting services, and
professional and artistic services the investment advisor, consultant, or private market fund
has with a business other than (i) a minority owned business, (ii) a female owned business or
(iii) a business owned by a person with a disability, if more than 50% of services performed
pursuant to the contract are performed by (i) a minority person, (ii) a female, and (iii) a
person with a disability.
(If none, state “none”)
14
Contract Number Contracts
Minority
Female
Person with a Disability
Supplemental Information (Optional):
If desired, please include additional information on your firm’s diversity efforts to supplement
the information provided above. This may include initiatives such as internal training and
development programs, as well as recruitment and outreach efforts, etc.
INVESTMENT ADVISOR / CONSULTANT/ PRIVATE MARKET FUND:
Company Name:
Signature:
Printed Name
Title:
Dated:
15
Resources and Definitions
Section 1-113.21 of the Illinois Pension Code website:
http://www.ilga.gov/legislation/publicacts/98/PDF/098-1022.pdf
Definitions per Illinois Law
Illinois Legislation & Laws website: http://www.ilga.gov/
"Contract" means all types of [State] agreements, regardless of what they may be called, for the
procurement, use, or disposal of supplies, services, professional or artistic services, or
construction or for leases of real property where the [State] is the lessee, or capital
improvements, and including renewals, master contracts, contracts for financing through use of
installment or lease-purchase arrangements, renegotiated contracts, amendments to contracts, and
change orders.
“Investment adviser”, "investment advisor", or "investment manager" with respect to a pension
fund or retirement system established under Illinois Code if the person:
(1) is a fiduciary appointed by the board of trustees of the pension fund or retirement system
in accordance with Section 1-109.1;
(2) has the power to manage, acquire, or dispose of any asset of the retirement system or
pension fund;
(3) has acknowledged in writing that he or she is a fiduciary with respect to the pension
fund or retirement system; and
(4) is at least one of the following: (i) registered as an investment adviser under the federal
Investment Advisers Act of 1940 (15 U.S.C. 80b-1, et seq.); (ii) registered as an investment
adviser under the Illinois Securities Law of 1953; (iii) a bank, as defined in the Investment
Advisers Act of 1940; or (iv) an insurance company authorized to transact business in this State.
“Minority person” means a person who is a citizen or lawful permanent resident of the United
States and who is a member of a minority.
"Minority owned business" means a business concern which is at least 51% owned by one or
more minority persons, or in the case of a corporation, at least 51% of the stock in which is
owned by one or more minority persons; and the management and daily business operations of
which are controlled by one or more of the minority individuals who own it.
"Female owned business" means a business concern which is at least 51% owned by one or
more females, or, in the case of a corporation, at least 51% of the stock in which is owned by one
or more females; and the management and daily business operations of which are controlled by
one or more of the females who own it.
"Business owned by a person with a disability" means a business concern that is at least 51%
owned by one or more persons with a disability and the management and daily business
operations of which are controlled by one or more of the persons with disabilities who own it. A
not-for-profit agency for persons with disabilities that is exempt from taxation under Section 501
of the Internal Revenue Code of 1986 is also considered a "business owned by a person with a
disability".