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Diversity in Contracting

Policy Directive Introduction

June 24, 2025

Mian Rice, Director, Diversity in Contracting

Vy Nguyen, Commission Office

Agenda Item: 10a_supp

Meeting Date: June 24, 2025

Diversity in Contracting Policy Directive

Resolution 3737, adopted in January 2018, established the DC

program – Fully Implemented 2019

Elements of Resolution 3737

• Set a goal and timeline: triple the number of WMBE businesses utilized

(Goal 354) and increase dollars spent on WMBE contracts by 15% in five

years

• Incorporate WMBE goals into Port’s Long-Range Plan

• Collect data, publish annual reports

Program delivery: technical assistance, trainings, outreach, conduct

disparity studies; monitor processes and payments, development of

procurement tools; data collection and program evaluation

Proposed Updates: Policy

• Increase in the percentage of dollars spent on WMBE

contracts to 16%

• Increase the utilization baseline to 500+ WMBEs

Portwide

• Commission Office proposed adds:

• Construction business definition

• 14% utilization sub-aspirational goal

• Continued engagement of WMBE firms for

upcoming opportunities

• Goal language shifted to reflect lessons in

implementing DC Directive

• Include certified Small Business Enterprises (SBEs) as

defined by OMWBE

Directive Language Updates

Considerations

• Increase number of Small Works contracts,

Development of Limited Public Works program,

alternative delivery methods (i.e., Design/Build)

projects

• Improve prompt payments & change orders

processes

• Assessment of supporting small / WMBE businesses

with bonding, insurance, cash flow

• Collect data on timely dispatch of workers on

contracted jobs with the Port.

Proposed Number (#) of WMBE Firms Utilized Goal

Recommended

Annual Goal for 2025-

2029

GAP Year (2024)

Goal

GAP Year

Results

Goal Achieved

(Original)

Original Annual

Goal

(2019-2023)

500400388392354

Number (#)

of WMBE

Firms

Utilization Detractors:

• Current Payment Database not capturing all

WMBE businesses

Utilization Drivers:

• P-Cards (Direct Buys)

Proposed Percent (%) WMBE Utilization Goal

Recommended

(2025-2029)

Highest Attainment

Original Annual Goal

(2019-2023)

16%14%15%

WMBE % Utilization

14%

Sub- Construction WMBE

Goal

Utilization Driver:

Construction & Professional Services (Architectural

& Engineering)

Utilization Detractors:

Port’s Capital Program - Balance between bundling

for efficiency vs Unbundling projects for increased

WMDBE participation

• Project Labor Agreement (PLA)

• Cash Flow / Prompt Payment

• Bonding & Insurance

Diversity in Contracting Program Updates

 WMBE Advisor (WMBE Ombudsman/Compliance)

 Incorporation of Attestation for Self-Identified Businesses

 Adjustments to Professional Services Categories (Architectural &

Engineering) - Development of a Small Business Program (Category 1)

 Development of a Limited Public Works Program ($150K)

 Project Labor Agreement Trainings

 Possible Feasibility Study on Owner Controlled Insurance Policies (OCIP)

Lessons Learned

• Diversity in Contracting program has been a major success. There is still

room for improvement!

– External shift from "can't find work" and "there's no opportunities" to "how can

I better compete and partner"

• Ability to influence utilization in each industry differs.

• Increased construction WMBE utilization is necessary for achieving Port-wide

WMBE utilization goals

Thank You