Item No: 7e Meeting Date: October 24, 2017 Women and Minority Business Enterprise Policy Briefing Aaron Pritchard, Teresa Delicino, Nora Huey October 24, 2017 1 Overview • Women and Minority Business Enterprises Goals • Data Tracking • Policy Guidelines • What next? 10/18/2017 2 Port Goals • Century Agenda - 40% Small Business Utilization • Small Business Goals - Currently Focused on improving Small Contractor and Supplier #'s 10/18/2017 • New Century Agenda Policy Values? - Amend Century Agenda to reflect focus on WMBE • New WMBE Policy - Focused on affirmative efforts to increase utilization 3 Disparity Analysis Index that compares utilization to availability on study contracts 10% 18% M/WBE UTILIZATION M/WBE AVAILABILITY x 100 56 • Disparities of 100 or more include parity, the state of being equal. • Disparities of 80 or less considered substantial according to several courts, noted by acceptance as evidence for adverse conditions for MBE/WBEs. 4 2014 Disparity Results 5 10 year Overview: WMBE and DBE Utilization 6 Elements of WMBE Policy • Authorizes the Executive to pursue progressively bold and challenging goals to increase WMBE utilization in all business transactions. - - - - - - - - Development of an Annual WMBE Plan within 180 days of passage of the new resolution that includes: Develop specific Division goals that encourage utilization of WMBE firms; Responsibilities, policies, practices and processes that can change the culture of Port contracting and provide a more responsive environment for WMBE firms, businesses and contractors of all tiers working on Port contracts; Annual reporting to the Commission on performance and attainment of the utilization goals in Annual WMBE Plans Bidders to use the Port's WMBE Inclusion Plan, unless other tools are appropriate or reasonable, requiring contractors to actively solicit the employment of women and minority group members, in order to sustain and improve participation of WMBE in Port contracts Enhanced compliance, prompt payment and other provisions needed to implement Port WMBE program The WMBE program would be phased over the course of 2018. Resolution 3618, the current small business policy, would be phased out by the end of 2018. Sunset Policy in 2022 to allow for next Disparity Study to be completed and performance audited. 7 Staff Recommendations • Resolve Century Agenda language to support focus on WMBE. One-off change or part of a larger review? • First Reading of proposed policy scheduled for November 14, 2017. • Public Engagement on Policy - Stakeholder roundtable in November between first and second reading. 10/18/2017 8