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[00:00:02]

ALL RIGHT.

I THINK WE GOT A QUORUM NOW AND WE'VE GOT A, AN ISSUE.

AND MR. VINNO, IF YOU, THERE WE ARE.

ALRIGHT.

UM, WE HAVE, UH, A SPECIAL CALLED MEETING TODAY ON AN AGENDA ITEM THAT WE DIDN'T GET THROUGH LAST TIME THAT WE NEED TO DO A LITTLE BIT MORE HOMEWORK.

SO, UH, UH, AURORA, CAN YOU CALL ROLL PLEASE? COUNCIL MEMBER MCKEE RODRIGUEZ.

COUNCIL MEMBER ELIAS CITIZEN.

MEMBER TINO AND CHAIR PERRY.

HERE, SIR.

WE HAVE A QUORUM.

ALL RIGHT, GREAT.

UH, AND CAN YOU READ WHAT WE'RE TALKING ABOUT TODAY? ITEM ONE

[Staff Briefing  ]

IS A BRIEFING ON THE RELEASE OF A SOLICITATION FOR Z DEFIBRILLATOR ACCESSORIES TO PROVIDE THE SAN ANTONIO FIRE DEPARTMENT WITH ZUL DE FIBRILLARY ACCESSORIES IN THE ESTIMATED TOTAL VALUE OF 5,500,000 FOR THREE YEARS WITH TWO ONE YEAR RENEWALS TO INCLUDE A RECOMMENDED CHANGE TO THE LOCAL PREFERENCE PROGRAM PRICE PREFERENCE FOR LOW BID PROCUREMENTS.

GREAT.

THANK YOU MA'AM.

UH, BEN, TELL US A LITTLE BIT ABOUT WHAT'S GOING ON HERE.

UH, GOOD AFTERNOON, CHAIRMAN AND COMMITTEE MEMBERS.

UH, WE HAVE ONE BRIEFING ITEM ON THE AGENDA TODAY, AND, UH, IT WILL BE TO COVER THE, UM, A BRIEFING ON THE SOLICITATION FOR ZOL DEFIBRILLATOR ACCESSORIES.

WE HAD A BRIEFING, UH, DURING OUR LAST MEETING AND WE WENT BACK AND DID SOME ADDITIONAL FOLLOW UP.

SO, UH, TROY ELLIOT, OUR DEPUTY CHIEF FINANCIAL OFFICER, WILL BE MAKING THE PRESENTATION TODAY, WHICH WILL INCLUDE SOME RECOMMENDATIONS ON OUR LOCAL PREFERENCE PROGRAM.

TROY.

GREAT.

COME ON UP, TROY.

THANK YOU.

UH, GOOD AFTERNOON, CHAIR AND MEMBERS OF THE COMMITTEE.

MY NAME'S TROY ELLIOT.

AS BEN SAID, I'M THE DEPUTY CHIEF FINANCIAL OFFICER OFFICER FOR THE CITY.

AND THIS AFTERNOON WE'RE GONNA BE COVERING OUR, UM, OUR EXTENDING OUR BRIEFING FROM LAST TIME ON THE PRES SOLICITATION BRIEFING FOR Z DEFIBRILLATORS AND ACCESSORIES FOR FIRE AND E M S.

AT THE LAST MEETING, UM, THE CHIEF AND, UM, ERIC MCGOWAN WENT THROUGH, KIND OF TALKED ABOUT THE DEFIBRILLATOR, HOW THEY'RE USED, WHAT THEY'RE USED FOR, HOW THEY'VE SELECTED THIS OLD DEFIBRILLATOR, AND ALSO ABOUT THE ACCESSORIES.

UM, THESE PRODUCTS ARE GONNA BE USED BY THE SAN ANTONIO FIRE DEPARTMENT AND THEIR PARAMEDICS DURING EMERGENCY MEDICAL RESPONSES.

AS HE TALKED LAST TIME, THERE'S REALLY TWO SEPARATE SOLICITATIONS.

UM, THE FIRST OF WHICH WE FOCUSED ON WAS AZOLE PROPRIETARY EQUIPMENT, AND THE SECOND ARE THE ACCESSORIES THAT ARE AVAILABLE THROUGH DISTRIBUTORSHIPS.

ARE THIRD PARTIES GONNA GO THROUGH A HIGH LEVEL, UM, THIS AFTERNOON OVER THE PROCESS? TALK ABOUT, UM, THE SOLICITATION METHOD THAT WE ARE RECOMMENDING.

UM, TALK A LITTLE BIT ABOUT BEST VALUE AND HOW THOSE TWO DIFFER, BUT THEN ALSO THERE WERE SEVERAL QUESTIONS ABOUT LOCAL PREFERENCE.

WE'D LIKE TO GIVE THE COMMITTEE SOME BACKGROUND ON THE LOCAL PREFERENCE PROGRAM, AND THEN A RECOMMENDATION AS FAR AS HOW, UM, WE RECOMMEND MOVING FORWARD.

AS I MENTIONED, THERE ARE TWO DIFFERENT SOLICITATIONS, UM, THE FIRST OF WHICH IS FOR THE SOLE PROPRIETARY EQUIPMENT.

UH, AS BEEN MENTIONED ON JUNE 3RD, WE PRESENTED, UM, TO THIS COMMITTEE A RECOMMENDATION TO PROCEED WITH THE Z PROPRIETARY EQUIPMENT, UM, AND MOVE DIRECTLY WITH ZOL THROUGH A REQUEST FOR OFFER.

UH, THE CHIEF AND ERIC TALKED ABOUT THE RATIONALE BEHIND THAT BEING THAT, UM, IT IS THE EQUIPMENT OF CHOICE BASED ON THE TESTING THAT THEY HAVE DONE THROUGH THEIR TOOL AND EQUIPMENT COMMITTEE, AS WELL AS THE TRAINING FOR IT AND THE STANDARDIZATION THROUGH THE DEPARTMENT.

UH, THIS SOLICITATION IS A REQUEST FOR OFFER, UM, HAS AN ESTIMATED VALUE OVER THE FIVE YEARS OF $6.8 MILLION, ABOUT $1.4 MILLION ANNUALLY WITH A PROPOSED TERM OF THREE YEARS WITH TWO ONE YEAR EXTENSIONS.

UM, THE CURRENT CONTRACT EXPIRES IN SEPTEMBER 30TH, 2022.

THE AREA OF OUR FOCUS THIS AFTERNOON WILL BE ON THE ACCESSORIES COMPONENT.

UM, WE ARE RECOMMENDING THAT THESE O ACCESSORIES THAT ARE AVAILABLE THROUGH THIRD PARTIES BE SOLICITED THROUGH A INVITATION FOR BID OR REQUEST FOR OFFER THROUGH A COMPETITIVE PROCESS.

THE VALUE OF THE ACCESSORIES IS COMPARABLE TO DEFIBRILLATORS ABOUT $1.1 MILLION ANNUALLY AT $5.5 MILLION IN TOTAL, A THREE YEAR TERM WITH TWO ONE YEAR RENEWALS, UH, MIRRORING THE, UM, DEFIBRILLATOR, UM, CONTRACT AND ACCESSORIES.

THIS CONTRACT EXPIRES IN SEPTEMBER 30TH OF 22 AS WELL.

THIS KIND OF JUST GIVES YOU A VERY HIGH LEVEL WHEN WE'RE TALKING ABOUT ACCESSORIES, WHAT WE'RE TALKING ABOUT.

THERE ARE ACTUALLY 35 DIFFERENT ACCESS ACCESSORIES, UM, FOR THE XER, THE A E D PRO RESCUE C P R, AND THE VENTS OF THESE 35

[00:05:01]

ACCESSORIES, THERE ARE FIVE IN WORKING WITH THE FIRE DEPARTMENT THAT HAVE A HIGH UTILIZATION AND THEY'LL BE RECOMMENDING AN INVENTORY REQUIREMENT FOR THOSE FIVE.

THESE, UM, IN LOOKING BACK AT THE LAST SOLICITATION AND LOOKING AT THESE LINE ITEMS, EACH LINE ITEM OVER THE FIVE YEAR PERIOD, ABOUT $150,000 IN VALUE PER LINE ITEM ON AVERAGE.

AS FAR AS THE SOLICITATION REQUIREMENTS, UM, THE LOCAL PREFERENCE IS APPLICABLE.

WE TALKED LAST TIME ABOUT, UM, THE LOCAL PREFERENCE PROGRAM IS MIRRORED AFTER STATUTE WITH A 3% VARIANCE, CURRENTLY ADOPTED BY CITY COUNCIL VIA ORDINANCE.

UM, THE S B OR THE BARONE SMALL BUSINESS PREFERENCE PROGRAM IS NOT APPLICABLE, UM, BASED ON, UM, STATUTORY PROCUREMENTS, WE CANNOT USE THAT PREFERENCE PROGRAM.

AUDITED FINANCIAL STATEMENTS ARE NOT REQUIRED, AND WORKING WITH THE SMALL BUSINESS OFFICE AND THE GOAL SETTING COMMITTEE, SUB BETA SUB SUBCONTRACTOR REQUIREMENTS ARE AT 15% M W B E.

UM, THESE REQUIREMENTS CAN BE SELF PERFORMED BY THE PRIME AND COUNT TOWARD THE SUBCONTRACTING GOALS.

KIND OF SUMMARIZING THE PROCESS, THIS IS KINDA LIKE A HIGH LEVEL OF BOTH, AS WE MENTIONED.

UM, RECOMMENDING THE SOLE SOURCE R F O FOR THE PROPRIETARY EQUIPMENT AND AWARD THOSE ITEMS DIRECTLY TO ZOL THROUGH A REQUEST FOR OFFER.

THIS INCLUDES THE A E D ITSELF AND VENTILATORS ABOUT $1.4 MILLION ANNUALLY.

ON THE RIGHT SIDE FOR THE ACCESSORIES IS A REQUEST FOR OFFER THROUGH A COMPETITIVE PROCESS.

SO WE'RE RECOMMENDING THAT WE COMPETITIVELY BID THIS OUT TO ALL THIRD PARTIES.

UM, IT DOES INCLUDE AS, AS I MENTIONED, THE 15% M W B E SUBCONTRACT REQUIREMENT, ABOUT $1.1 MILLION ANNUALLY.

WE'RE RECOMMENDING THAT WE AWARD THIS ON A LINE ITEM BASIS.

UM, I THINK LAST MEETING WE TALKED ABOUT DB BUNDLING.

YOU KNOW, THIS HAS BEEN DB BUNDLED BETWEEN THE SOLE SOURCE AND THE ACCESSORIES TO MAKE THE ACCESSORIES MORE COMPETITIVE AND AVAILABLE TO, UM, OTHER THIRD PARTIES.

BUT WE'RE ALSO DB BUNDLING IT FURTHER BECAUSE WE CAN AWARD IT ON A LINE ITEM BASIS, AND THAT'LL BE IMPORTANT AS WE TALK ABOUT APPLICATION OF A LOCAL PREFERENCE.

AS I MENTIONED, THERE'S AN INVENTORY REQUIREMENT ON SOME OF THE HIGH VOLUME USES, ITEMS ABOUT FIVE DIFFERENT OF THOSE ITEMS. UM, BELIEVE THAT THIS PROMOTES FAIR AND OPEN COMPETITION, 15% M W B E, AND BASED ON THE CURRENT ORDINANCE IN PLACE, A LOCAL PREFERENCE UP TO 3%.

AND WE'LL MAKE RECOMMENDATIONS IN TALKING ABOUT THE LOCAL PREFERENCE.

UM, AFTER THIS SLIDE, THE NEXT SEVERAL SLIDES REALLY KIND OF GIVE THE COMMITTEE SOME BACKGROUND ON LOCAL PREFERENCE, KIND OF A REFRESHER OF WHAT THE LOCAL PREFERENCE PROGRAM IN IS, AND, UM, HOPEFULLY CAN OPEN ANSWER SOME OF THOSE QUESTIONS THAT WERE, UM, WE'RE ASKED AT THE LAST COMMITTEE MEETING.

YOU KNOW, WHAT IS THE PURPOSE OF THE LOCAL PREFERENCE PROGRAM? UM, IT'S REALLY JUST TO ISOLATE THE CITY SPENDING POWERS TO THE CITY OF SAN ANTONIO.

SO TO PROMOTE FISCAL RESPONSIBILITY AND MAXIMIZE THE AMOUNT OF RESIDENTS TAX DOLLARS THAT REMAIN IN OUR LOCAL ECONOMY FOR THE BENEFIT OF ITS CITIZENS BY UTILIZING ALL AVAILABLE LEGAL OPPORTUNITIES, CONTRACT WITH C WITH CITY BUSINESSES.

THE, UM, THE LOCAL PREFERENCE PROGRAM WAS ADOPTED BY ORDINANCE ORIGINALLY IN MAY 1ST, 2013.

IT'S APPLICABLE TO THOSE BUSINESSES THAT ARE LOCATED WITHIN THE CITY OF SAN ANTONIO.

LIMITS, UH, CURRENT ORDINANCE APPLIES UP TO A 3% PRICE PREFERENCE FOR LOW BID CONTRACTS AS REQUIRED IN MIRRORING STATE STATUTE FOR THOSE THINGS OUTSIDE OF STATUTE WHERE STATE STATUTE DOESN'T COVER, WHICH ARE, ARE THE MAJORITY OF OUR DISCRETIONARY CONTRACTS.

WE ALSO PUT PREFERENCE POINTS, UM, IN PLACE.

SO YOU CAN GET 10 POINTS FOR LOCAL BIDDERS HEADQUARTERED IN SAN ANTONIO FOR ONE YEAR OR MORE.

YOU CAN ALSO GET FIVE POINTS IF YOU HAVE A SUBSTANTIAL BUSINESS PRESENCE IN SAN ANTONIO, AND WE DEFINE THAT SUBSTANTIAL BUSINESS PRESENCE AS BIDDERS WITH AT LEAST 20% OF THEIR EMPLOYEES BASED WITHIN THE CITY, OR THAT HAVE A MINIMUM A HUNDRED EMPLOYEES INCORPORATED IN THE LIMITS OF THE CITY OF SAN ANTONIO FOR ONE YEAR OR MORE.

WITH THE FIRST ORDINANCE, WE DIDN'T QUITE GET IT RIGHT THE FIRST TIME.

THERE WERE A COUPLE LOOPHOLES THAT WE NEEDED TO CLOSE.

SO WE CAME BACK IN DECEMBER OF 2013, IN NOVEMBER OF 2014 AND MADE SOME ADJUSTMENTS TO THE ORDINANCE.

SPECIFICALLY, WE ADDED THE CONCESSIONS OF REVENUE CONTRACTS.

UM, IT'S APPLICABLE TO FOR-PROFIT CITY BUSINESSES HEADQUARTERED, INCORPORATED IN THE LIMITS OF THE CITY OF SAN ANTONIO FOR ONE YEAR OR MORE, AND EXPANDED THE APPLICATION TO JOINT VENTURES.

THE PROGRAM IS ALSO SELF-CERTIFIED WITH VALIDATION, AND WHAT I MEAN BY VALIDATION IS BEFORE WE AWARD A CONTRACT THAT HAS LOCAL PREFERENCE APPLIED TO IT TO COUNCIL, I HAVE A TEAM IN FINANCE THAT GOES AND VERIFIES THE LOCAL PREFERENCE REQUIREMENTS WITH THAT VENDOR.

VERY QUICKLY.

THIS IS, UM, JUST EXPANDING ON THE POINT THAT, UM, YOU KNOW, WHERE IS A LOCAL PREFERENCE PROGRAM APPLICABLE TO THOSE BUSINESSES THAT ARE HEADQUARTERED IN THE CITY OF

[00:10:01]

SAN ANTONIO LIMITS, UM, OR A BIDDER WHOSE PRINCIPAL PLACE OF BUSINESSES WITHIN THE MUNICIPALITY.

ONE OF THE CHALLENGES WITH THE THOSE THAT ARE AWARDED WITHIN THE MUNICIPALITIES, WE HAVE THOSE, UM, MUNICIPALITIES THAT RESIDE WITHIN THE CITY OF SAN ANTONIO, UM, ALAMO HEIGHTS OW PARK.

AND BASED ON A STRICT DEF, STRICT DEFINITION OF THE STATUTE, IF THAT BUSINESS RESIDES IN THOSE DONUT HOLES OR THOSE GAPS, THEN WE, UM, CANNOT, UH, APPLY A LOCAL PREFERENCE.

THE CURRENT PRICE PREFERENCE APPLICATION BASED ON STATE STATUTE.

IT DOES ALLOW US TO MOVE UP TO A 5% PRICE PREFERENCE FOR LOW BID CONTRACTS.

UM, AS WE MENTIONED LAST TIME, THERE ARE THRESHOLDS IN PLACE WHEN YOU APPLY THIS FOR GOODS.

THE 5% YOU CAN APPLY FOR ANYTHING LESS THAN $500,000, YOU CAN APPLY A FIVE PER 5% PREFERENCE.

ONCE YOU EXCEED THAT 500,000 BY STATE STATUTE, IT REVERTS BACK TO 3% FOR NON-PROFESSIONAL SERVICES.

AND I'M TALKING ABOUT NON-PROFESSIONAL SERVICES, I'M TALKING ABOUT A LOW BID ENVIRONMENT.

I'M NOT TALKING ABOUT DISCRETIONARY.

SO CUSTODIAL JANITORIAL, WHERE IT IS STRICTLY BASED ON PRICE.

WE CAN ALSO PROVIDE UP TO A 5% PREFERENCE FOR THOSE LESS THAN 500,000 AND ONLY UP TO 500,000 CONSTRUCTION SERVICES.

UH, THE RANGE IS SO NARROW, IT'S NEVER REALLY APPLICABLE FOR THE CITY OF SAN ANTONIO.

WE CAN ACTUALLY APPLY IT FOR, UM, CONSTRUCTION SERVICES, LESS THAN A HUNDRED THOUSAND.

UM, OUR CURRENT ORDINANCE, AS I MENTIONED, IT DOES ALLOW UP TO 3% PRICE PREFERENCE ON ALL LOW BID CONTRACTS FOR GOODS THAT ARE 50,000 OR MORE NON-PROFESSIONAL SERVICES THAT ARE LOW BID FOR CONTRACTS, 50,000 OR MORE TO UNDER 500,000.

AND THEN CONSTRUCTION SERVICES, THIS IS JUST A GRAPHICAL LOOK AT THE, THE GOODS.

AND AS I MENTIONED, UM, WE WILL BE, OR WE ARE MAKING A RECOMMENDATION TODAY TO PROVIDE SOME ADDITIONAL LOCAL PREFERENCE IN OUR LOW BID CONTRACTS, WHICH WOULD BE APPLICABLE TO THIS ONE IF THE COMMITTEE CHOOSES TO MOVE FORWARD WITH IT.

SO OUR CURRENT CITY ORDINANCE, UM, 50,000 UP TO INDEFINITELY.

OUR CURRENT ORDINANCE IS 3%, AND WE DID THAT JUST TO GET AN UNDERSTANDING OF THE LOCAL PREFERENCE AND WHAT WOULD BE THE IMPACT.

AND PHIL, THAT WE'VE DONE THAT, AND I'LL SHOW YOU SOME OF THE STATISTICS THAT, UM, THAT YOU ALL ASKED FOR, UM, AT THE LAST COMMITTEE MEETING.

SO BASED ON STATE STATUTE, WE DO HAVE THE ABILITY, AS I MENTIONED, TO MOVE UP TO 500,000, UNDER 500,000, A 5% PREFERENCE, WHICH IS A THRESHOLD DEFINED BY STATE.

ANYTHING ABOVE THAT 500,000 WOULD BE A 3% PREFERENCE.

AND WHEN WE'RE TALKING ABOUT THIS CONTRACT, THAT'S AN IMPORTANT DISTINCTION BECAUSE AS, AS I MENTIONED EARLIER, AWARDING BY LINE ITEM AND THE AVERAGE VALUE OF THOSE LINE ITEMS ON THE LAST, ON THE LAST SOLICITATION WERE ROUGHLY ABOUT 150,000.

THE MAJORITY OF THIS CONTRACT BY LINE ITEM WOULD BE ABLE TO INCREASE TO A 5% LOCAL PREFERENCE PROGRAM.

JUST AS AN EXAMPLE, A FAIRLY SIMPLE EXAMPLE.

UM, HAVE TWO DIFFERENT, UM, SCENARIOS HERE.

THE FIRST SCENARIO IS WHERE A LOCAL BUSINESS IS BIDDING ON A WIDGET FOR $1,100.

NON-LOCAL BUSINESS BIDS A THOUSAND.

THE PRICE VARIANCE BETWEEN THE TWO OR THE DIFFERENTIAL IS 10%.

SO THEY'RE NOT WITHIN THAT 3%.

AND SO WE CANNOT APPLY THE LOCAL PREFERENCE.

IN SCENARIO TWO, THE LOCAL BUSINESS BIDS FOR THE SAME WIDGET, $1,530.

A NON NON-LOCAL BUSINESS COMES IN AT 1500.

THEY ARE WITHIN THE PRICE VARIANCE IS 2%, THEY'RE WITHIN THAT 3% THRESHOLD.

SO THEN WE WOULD THEN AWARD THE CONTRACT TO THE LOCAL BUSINESS BASED ON OUR PREFERENCE PROGRAM.

AND MOVING TO THE 5%, IT'D SIMPLY BE 5% SET OF THE 3% VARIANCE.

TALKED A LITTLE BIT LAST TIME ABOUT WHERE IS THIS APPLICABLE, UM, BASED ON STATE STATUTE, IT IS APPLICABLE FOR LOW BID.

IT'S, UM, BASICALLY INGRAINED IN OUR STATE STATUTE.

AND THE STATE STATUTE IS REALLY THE FUNDAMENTAL BUILDING BLOCKS FOR OUR ENTIRE PROGRAM, BOTH, UM, DISCRETIONARY AND NOT.

WE TALKED ABOUT A REQUEST FOR A COMPETITIVE SEAL PROPOSAL OR WHAT IS OTHERWISE KNOWN AS A BEST VALUE BID.

UM, THE REQUEST FOR COMPELLED COMPETITIVE SEAL PROPOSAL DOES NOT HAVE A PROVISION IN STATE STATUTE THAT ALLOWS THE APPLICATION OF A LOCAL PREFERENCE PROGRAM.

SO WE CANNOT APPLY A LOCAL PREFERENCE, UM, UNDER A BEST VALUE BID OR THE R S C S P.

UM, THERE ARE OTHER DISCRETIONARY AREAS AND IT REALLY DEPENDS ON WHERE THAT PRO, WHERE A LOCAL PREFERENCE CAN BE PROVIDED.

FOR EXAMPLE, REQUESTS FOR QUALIFICATIONS, SOME REQUESTS FOR QUALIFICATIONS ARE, UM, GOVERNED BY STATE STATUTE ARCHITECTS, ENGINEERS, OTHER REQUESTS FOR QUALIFICATIONS ARE NOT.

SO DEPENDING ON WHETHER IT'S, UM, ALLOWED BY STATE STATUTE OR NOT, REALLY DEPENDS ON WHERE WE CAN APPLY IT.

I WOULD LIKE TO ALSO MENTION THAT ON THE BEST VALUE BID OR THE

[00:15:01]

REQUEST FOR COMPETITIVE SEAL PROPOSAL, UM, AND DON'T REMEMBER THE EXACT LEGISLATIVE SESSION, MAYBE THREE TO FOUR SESSIONS AGO, UM, THERE WAS AN INTEREST IN CITY COUNCIL TO PURSUE CHANGES TO LOCAL PREFERENCE.

AND WE WENT TO TRY TO CHANGE THE, UM, LOCAL PREFERENCE TO ACTUALLY MAKE IT APPLICABLE TO BEST VALUE BIDS.

UH, WE WERE SUCCESSFUL IN GETTING IT THROUGH THE SENATE AND THE HOUSE, BUT ONCE IT GOT TO THE GOVERNOR OF THE GOVERNOR VETOED IT, AND IT WAS NO LONGER, UM, NO LONGER AN OPTION FOR US.

UM, AND SO I JUST WANTED TO MENTION THAT, THAT WE HAVE TRIED THROUGH LEGISLATIVE SESSION TO HAVE THAT CHANGED.

LAST TIME WE MET, YOU ASKED FOR SOME STATISTICS AS FAR AS WHERE HAS THE LOCAL PREFERENCE BEEN APPLIED AND NOT APPLIED.

UH, SO I PROVIDED YOU BY SOLICIT SOLICITATION TYPE FOR THE LAST YEAR, F Y FISCAL YEAR 2021 FOR OUR GOODS AND NON-PROFESSIONAL SERVICES, PROFESSIONAL SERVICES, CONSTRUCTION, AND A AND E, UM, WHERE OUR TOTAL PROCUREMENTS, WHAT PERCENTAGE OF THAT WAS LOCAL.

AND IN TERMS OF LOCAL, YOU ORDER TO PROVIDE THIS VERY QUICKLY.

WE DID IT BASED ON PAYMENTS OR CONTRACT AWARDS TO A LOCAL ADDRESS FOR OUR GOODS AND NON-PROFESSIONAL SERVICES.

SO FOCUSING ON THAT GOODS AND NON-PROFESSIONAL SERVICES LINE ITEM, THERE WERE 82 THAT WERE, UM, WE DESIGNATED AS LOCAL.

OF THOSE 82, UH, THERE WERE FIVE CONTRACTS THAT WERE AWARDED DUE TO THE APPLICATION OF LOCAL PREFERENCE.

AND BY APPLICATION OF THE LOCAL PREFERENCE FOR THOSE FIVE ADDITIONAL CONTRACTS, IT COST US AN ADDITIONAL $54,000.

UM, OUT OF THAT 118 WERE NON-LOCAL, SO ABOUT 37% OF THE GOODS IN NON-PROFESSIONAL SERVICES WERE LOCAL.

63% OF THE SPEND WAS NON-LOCAL.

LOOKING AT IT COLLECTIVELY ACROSS, ACROSS ALL OF OUR SOLICITATION TYPES, ABOUT LITTLE OVER HALF OF OUR MONEY THAT WE'RE SPENDING IS GOING TO LOCAL BUSINESSES, UM, AND 46% TO NON-LOCALS BASED ON LOOKING AT FFY 2021.

AND THIS REALLY IS CONTINGENT UPON THE DESIGN OF THE PROCUREMENT AS WELL.

BUT WHAT WOULD BE THE IMPACT OF MOVING FROM A THREE TO A 5%? AS I MENTIONED, UM, THERE'S ABOUT 13,000, $13.2 MILLION THAT WERE AWARDED BASED UNDER THE LOCAL PREFERENCE PROGRAM.

TWO TO A LOCAL COMPANY OVER AND ABOVE A NON-LOCAL COMPANY WITH AN ADDITIONAL COST OF $54,000.

IF WE MOVE TO 5%, IT WOULD RESULT IN AN ADDITIONAL LOCAL PREFERENCE AWARD VALUE OF 13.8 MILLION.

UM, ADDITIONAL COST OF $24,000.

AND THIS WAS ONE CONTRACT.

SO TO SUM IT ALL UP, WE, WE ARE RECOMMENDING, AND WE THINK THAT, UM, THIS IS THE, THIS IS A FAIR AND EQUITABLE APPROACH TO MOVE FORWARD WITH A COMPETITIVE PROCESS TO ACTUALLY PROVIDE ADDITIONAL PREFERENCE TO OUR LOCAL VENDORS.

OUR LOCAL CONTRACTORS WE'RE RECOMMENDING IN INCREASING THE LOCAL PREFERENCE FROM THREE TO FIVE, THREE TO 5% TO ALIGN WITH THE STATE STATUTE FOR LOW BID CONTRACTS.

SO THIS WOULD BE FOR $50,000 CONTRACTS THAT ARE $50,000 OR MORE FOR GOODS, UH, LESS THAN 500,000 IF WE DO BASED ON STATE STATUTE, IF WE EXCEED THAT $500, $500,000 THRESHOLD, THEN IT REVERTS BACK TO 3%.

NON-PROFESSIONAL SERVICES BASED ON LOW, LOW BID OR PRICE IS A DETERMINING FACTOR, UH, 50 K OR MORE, AND FIVE LESS THAN 500,000.

THAT'S A NARROW RANGE WHERE WE CAN ACTUALLY APPLY THAT.

UM, CONSTRUCTION SERVICES, LIKE I MENTIONED, REALLY DOESN'T HAVE ANY RELEVANCE BECAUSE WE REALLY SPEND LESS THAN A HUNDRED THOUSAND ON CONSTRUCTION CONTRACT TO DO THIS.

THIS WOULD REQUIRE A, A CHANGE OR AMENDMENT TO OUR CURRENT LOCAL PREFERENCE ORDINANCE.

UM, AND THEN AFTER, IF THIS COMMITTEE WANTS TO MOVE IN THAT DIRECTION AND WE WANT TO COUNCIL TO AMEND THE ORDINANCE AND APPROVE IT, THEN ANY SOLICITATION IF ISSUED AFTER THE APPROVAL OF THAT ORDINANCE WOULD BE ISSUED WITH THIS 5% PREFERENCE.

IN ORDER TO TAKE ADVANTAGE OF THIS, WE ARE RECOMMENDING EXTENDING THE CURRENT EQUIPMENT, ACCESSORIES CONTRACT AND THE DEFIBRILLATORS WITH ZOL AND MED WILLS FOR SIX MONTHS, UM, TO ALLOW THE AMENDING OF THE ORDINANCE TO TAKE PLACE AND BRIEFING THE FULL COUNSEL, UH, CHAIR COMMITTEE MEMBERS.

THAT CONCLUDES MY, MY PRESENTATION.

I'D BE HAPPY TO ANSWER ANY QUESTIONS Y'ALL HAVE.

GREAT.

UH, TROY, I'M, I'M GOING TO, UH, WE DO HAVE SOME CITIZENS TO BE HEARD, SO I'D LIKE TO GO AHEAD AND HEAR THAT FIRST AND THEN WE'LL COME BACK AROUND AND, AND, UH, FOR QUESTIONS.

SO, UM, AURORA, WHO DO WE HAVE FIRST? JUANITA FOLLOWED BY JANE GONZALEZ.

[00:20:03]

GOOD AFTERNOON CHAIR COUNCIL MEMBERS, AND, UH, THANK YOU FOR ALLOWING US TO SPEAK.

I AM JUANA SEPULVEDA, THE CHAIR FOR THE SDA AND THE CO-CHAIR FOR THE SS A C.

AT THIS TIME, I KIND OF WOULD LIKE TO EXPRESS SOME CONCERNS IS THE PRIME HEADQUARTERED? WHERE IS THE EQUIPMENT BEING MANUFACTURED? WHERE IS IT BEING SHIPPED TO? AND CURRENTLY, WHAT IS THE PERFORMANCE OF THE CONTRACTORS WHO HAVE ALREADY EXECUTED? AND LET ME STRESS DURING COVID, WHAT PERCENTAGES WILL BE STAYING HERE IN THE CITY.

WE'VE ADDRESSED SMALL BUSINESSES CONCERN THE CLOSURE OF SMALL BUSINESSES UP TO 35% AS WE ADDRESSED IN 20 21, 20 21, THE 35% OF SMALL BUSINESSES THAT CLOSED IF WE'RE TALKING TO EXPAND IT AND ALLOW THIS DISTRIBUTION OF A SOLICITATION TO AN OUT STATE COMPANY.

WHEN WE CURRENTLY HAVE THE PERFORMANCE OF A LOCAL SMALL BUSINESS, A SWEE BEE, AND WE'VE ALL ADDRESSED THE CONCERNS OF SMALL BUSINESSES LOCALLY, DO YOU REALLY THINK IN RAISING THE PERCENTAGES OF MENIAL PERCENT THAT'S GONNA BE STAYING LOCALLY WHEN IT'S BEING PRODUCED NOW, AND IT STAYS A HUNDRED PERCENT HERE, THE JUSTIFICATION ON OPENING IT UP AND ALLOWING IT TO GO OUTTA STATE WHEN IT'S NOT HEADQUARTERED HERE, EVEN THOUGH YOU INCREASE THE PERCENTAGES, ARE WE NOT SUPPORTING OUR SMALL BUSINESSES? SO I'D LIKE TO KNOW WHERE IS IT HEADQUARTERED? WHERE'S THE DISTRIBUTION? HOW MUCH OF IT IS IT STAYING LOCALLY? HOW MUCH IS IT GOING OUTTA STATE? WHAT IS THE RELATIONSHIPS WITH THE CITIES? I I HEARD THE JUSTIFICATION, I HEARD THE NUMBER OF AMOUNT THAT WE'RE GONNA PAY IN ADDITION 24,000, BUT I BELIEVE THAT 24,000 IS STILL STAYING HERE IN THE CITY.

THOSE ARE THE AREAS OF CONCERN.

AS I'M READING, I'M ALSO WANTING TO KNOW, AND I BELIEVE IT WAS ADDRESSED BY YOU, COUNCILMAN MS. PIAS, IS RELATIONSHIPS, RELATIONSHIPS WITH OTHER SMALL BUSINESSES.

WE TALKED ABOUT SOLE, I THINK THE, UM, OUR CHIEF FINANCIAL ADVISOR STATED THAT IF THERE SELF-CONTAINED, THAT THEY CAN PRODUCE AND, AND DISTRIBUTE, UH, THEMSELVES AS THE PRIME.

AND YET WE'RE EMPHASIZING BY LOCAL.

THAT'S AN AREA OF CONCERN FOR ME AS WELL.

I HAVE MORE QUESTIONS, I UNDERSTAND THE REPORT, BUT MY CONCERN IS IF WE'RE SO CONCERNED WITH OUR LOCAL BUSINESSES AND STIMULATING OUR ECONOMY LOCALLY, WHY ARE THOSE QUESTIONS NOT BEING ASKED? WOULD YOU NOT RATHER PAY AN ADDITIONAL 24,000 AND ENSURE THAT THAT AMOUNT STAYS LOCALLY? THANK YOU.

THANK YOU, MA'AM.

WHO'S NEXT TO SPEAK? JANE GONZALEZ.

OKAY, THANK YOU.

COUNCIL MEMBERS, HERE I AM AGAIN.

UM, THANK YOU FOR THE OPPORTUNITY FOR ME TO SPEAK.

I'D JUST LIKE TO SAY THAT I BELIEVE THAT WE HAVE A SYSTEMIC CULTURAL MINDSET.

THAT A COMMODITY IS A COMMODITY.

A WIDGET IS A WIDGET.

AND I WANNA REMIND Y'ALL WHAT THE CHIEF SAID LAST WEEK IS THAT THESE DEFIBRILLATORS, THEY'RE NOT WIDGETS, THEY'RE NOT NOT PENCILS, THEY ARE SUPPLIES THAT ARE ABSOLUTELY REQUIRED EVERY TIME THE DEFIBRILLATOR 170,000 TIMES ACCORDING TO THE CHIEF, GET CALLED OUT CURRENTLY AS THE STAKEHOLDER OF THE MEDICAL SUPPLIES.

WE, UH, NEED TO MAKE SURE THAT THAT INVENTORY HAS PROPER AIR CONDITIONING, THAT IS PROPERLY CONDENSED, THAT THE MOISTURE IS RIGHT, SO THAT IT'S NOT JUST A WIDGET.

AND WE NEED TO CHANGE THAT MINDSET IN THIS TOWN.

AND I'M GONNA REMIND YOU'ALL TOO, WHEN WE HAD COVID AND EVERYBODY WAS SCRAMBLING FOR THE N 95 MASK, WE'RE SCRAMBLING FOR HAND SANITIZERS.

THAT'S A COMMODITY.

THEY WEREN'T LOW BID.

YOU KNOW WHAT, IT'S BASED ON ESSENTIAL THIS COM THIS IS ESSENTIAL.

I, IF I HAVE TO PAY ANOTHER 25 CENTS, THEN I GOTTA PAY ANOTHER 20, 25 CENTS, 50 CENTS, WHATEVER THAT IT WAS TO MAKE SURE THE COMMUNITY HAD WHAT WE NEEDED TO PROTECT US FROM COVID.

THE, THE, THE SUPPLIES THAT WE'RE TALKING ABOUT IS NO DIFFERENT.

SO I'M GONNA COMPEL Y'ALL THE ECONOMY AND WE AS SMALL COMPANIES HAVE HEADWINDS COMING IN FRONT OF US.

INFLATION IS AT 8.6%.

[00:25:01]

3% IS GONNA DO ABSOLUTELY NOTHING.

YOU KNOW WHO IT'S GONNA HELP.

IT'LL HELP THE LARGE MANUFACTURERS THAT ARE BILLION DOLLARS, THAT HAVE DEEP POCKETS THAT CAN PROBABLY FIND A SMALL COMPANY THAT THEY CAN, UH, OUTSOURCE TO PROVIDE A SUBCONTRACT.

AND I'M GONNA ASK Y'ALL AGAIN, AS, UH, JUANITA WAS SAYING, ARE WE WILLING TO LOSE $1? COUNCILMAN RODRIGUEZ IN D TWO, WHERE WE'VE GOT $1 RIGHT NOW THAT STAYS LOCALLY? AND YOU GUYS TALK ABOUT SMALL BUSINESS, OH, WE GOTTA BE CHAMPIONS OF SMALL BUSINESS.

THIS CONTRACT IS AN EXAMPLE.

ARE WE GONNA STAND UP TO SUPPORT SMALL BUSINESS, ESPECIALLY TEENAGE COMPANIES? THIS IS THE, THIS SOLICITATION IS THE EXAMPLE ABOUT WHAT WE GO THROUGH, WHY WE HAVEN'T SCALED.

WE TALK ABOUT D THREE, D TWO AND D FOUR MULTI-GENERATIONAL POVERTY.

WHY? BECAUSE WE DON'T SUPPORT OUR LOCAL COMPANIES THAT ARE TEENAGE COMPANIES.

INSTEAD OF HELPING US, UH, SCALE UP THROUGH, YOU KNOW, BEST VALUE.

I'M GONNA COME BACK TO TELL YOU GUYS THAT I AM CONVINCED THAT THIS IS THE BEST VALUE CONTRACT.

HOW IS IT THAT WE GIVE THE PRIME COMPANIES OR THEY'RE PROVIDING SERVICES OR THEY'RE PROVIDING TRAINING? WELL, WE'RE PROVIDING AIR CONDITIONING.

WE'RE MAKING SURE THAT PRODUCT, WHEN IT GETS OUT THERE, IT'S NOT GOING TO, UH, BE COMPROMISED BECAUSE OF THE WEATHER.

DO YOU NOT CONSIDER THAT AS VALUE ADD? DO YOU NOT CONSIDER THAT SUPPLY CHAIN LOGISTICS CURRENTLY ARE A HOT MESS? THAT 3% IS GONNA DO NOTHING FOR US.

THANK YOU MS. UH, FLOYD WILSON.

OKAY, GOOD AFTERNOON, MR. CHAIRMAN.

COUNCIL MEMBERS, THANK YOU AGAIN FOR TAKING TIME.

IT, UH, AS I SAT HERE, I'M FLOYD WILSON, RETIRED BANKER AND ALSO A CONSULTANT FOR MED WILLS.

AND AS I MENTIONED A COUPLE OF WEEKS AGO, WE TALKED ABOUT THE FACT THAT I THINK IT'S IRONIC IN THE HISTORY THAT, UH, WE'RE LOOKING AT THE OLD CONTRACT AGAIN TO DISCUSS IT.

IT'S SIGNIFICANT TO THIS COMMUNITY BECAUSE FIVE YEARS AGO WE HAD OUR FIRST INTRODUCTION TO THE BUNDLING.

IT'S FUNNY THAT WE'RE MOVING FORWARD, NOT FUNNY, BUT IT'S, IT'S, IT'S INTERESTING THAT WE'RE MOVING FIVE YEARS FORWARD AND WE'RE AGAIN TALKING ABOUT THE Z CONTRACT.

AND WHAT'S, WHAT'S SIGNIFICANT TO ME ABOUT THAT IS THIS, THAT WE'RE TREATING THE OPPORTUNITY TOB BUNDLE THIS CONTRACT AND TO CONSIDER SOME CHANGES OF THE ORDINANCES OR AMENDMENTS OR GUIDELINES, WHATEVER WE'RE LOOKING AT TO WORK WITH LOCAL COMPANIES AS IF IT'S A ONE-TIME EVENT.

WHAT WE'RE REALLY TRYING TO DO IS TO ESTABLISH, AND WHAT THE COMMUNITY REALLY WANTS IS TO ESTABLISH THE CONSIDERATION OF THE BUNDLING ACROSS THE BOARD TO ASSIST OUR LOCAL SMALL BUSINESSES TO REALLY HAVE AN OPPORTUNITY.

I DON'T KNOW ABOUT THE 3% OR THE 5%, HOW MUCH IT'S GOING TO AFFECT ANYTHING MORE OR LESS DOESN'T SEEM LIKE VERY MUCH, BUT IT SEEMS LIKE WE'RE MAKING A VERY GOOD POINT THAT WE MIGHT LOSE $24,000.

WE'VE GOT A BILLION DOLLAR BUDGET AND WE KNOW WE DON'T HAVE AN ADEQUATE AMOUNT OF SUCCESSFUL CONTRACTS BEING LED TO OUR LOCAL SMALL BUSINESSES.

MY DEAL IS NOT A BUSINESS OWNER, SO I'M NOT LOOKING FOR ANY CONTRACTS, BUT IN SUPPORT OF SMALL BUSINESSES THAT I'VE HELPED TO UNDERWRITE AND MAKE LOANS TO OVER THE YEARS, IT SEEMS TO ME THAT FOR A SPECIALTY CONTRACT FOR AN ENTITY OR A COMPANY THAT WE WANNA WORK WITH BECAUSE THEY HAVE THE BEST PRODUCT OUT THERE, WE HAVE AN OPPORTUNITY WITH A FEW, NOT A TON, BUT A FEW OF LOCAL SMALL BUSINESSES THAT CAN ACTUALLY HANDLE THE LINE ITEM OPPORTUNITIES THAT ARE BEING PROVIDED THAT WE WANNA MAKE SURE THAT THEY GET THOSE.

THE POINT NOT BEING THAT ONE OF THOSE IS MED WILLS, BUT THERE'S OTHER BUSINESSES TOO THAT CAN BENEFIT FROM THIS.

SO I'M HOPEFUL THAT WE DON'T REALLY HAVE TO COME BACK TO TALK ABOUT THE SIGNIFICANCE OF, YOU KNOW, THE IDEA OF LONG TERM DB BUNDLING AND ASSISTING LOCAL BUSINESSES.

UH, THAT WE TREAT IT AS AN ONGOING CHALLENGE THAT WE HAVE AND WHATEVER WE CAN DO TO HELP CHANGE, UH, THE LIMITATIONS THAT THE ORDINANCES HAVE PROVIDED FOR US WOULD BE GREAT IN THE LONG TERM.

WE KNOW THAT MED WHEELS WAS CALLED ON A FEW YEARS AGO DURING THE BEGINNING OF THIS PANDEMIC FOR EXTRA, UH, COMMODITIES THAT WERE NEEDED IN A DIRE TIME.

WE DON'T HAVE TO ASK WHETHER THIS EVER HAPPENS.

IT'S HAPPENED MOST RECENTLY.

THANK YOU AGAIN FOR YOUR TIME.

I HOPE YOU'LL CONSIDER THE OPPORTUNITY FOR CONTINUED FOCUS ON UNBUNDLING AND APPRECIATE EVERYTHING YOU'RE DOING.

THANK YOU.

THANK YOU, SIR.

[00:30:01]

UM, TROY, BEN OR BEN, YOU HAVE ANYTHING YOU WANT TO ADD AT THIS POINT? UH, CHAIR AT THIS POINT WE'RE, UH, AVAILABLE TO ANSWER YOUR QUESTIONS.

OKAY.

UH, I'VE GOT A, I'VE GOT A COUPLE OF QUESTIONS.

UM, UM, HAVE WE, YOU MENTIONED THAT WE'VE GONE TO THE I G R ON THIS, UH, SEVERAL, SEVERAL SESSIONS AGO.

DO WE HAVE THAT ON OUR LIST TO GO TRY THIS AGAIN? AT THIS POINT? HAVE, HAVE WE MADE THAT, UM, KNOWN TO THE I G R SO WE CAN POSSIBLY PROMOTE THIS AGAIN, SIR? I YOU ALRIGHT.

GETTING A, GETTING A HEAD NOD.

OKAY, GREAT.

UM, WHO, WHO'S CARRYING THAT FOR US UP AT? ARE WE TALKING WITH ANYBODY DURING THIS INTERIM SET INTERIM TIMEFRAME? WE HAVE NOT TALKED TO ANYBODY.

I CAN GET WITH JEFF TO START PUTTING THE WHEELS IN MOTION, BUT, UM, THIS IS SOMETHING THAT WE HAVE TARGETED FOR THE LEAD SESSION.

OKAY.

OKAY, GREAT.

GREAT.

UM, ON, ON THIS PARTICULAR CHANGE THAT Y'ALL ARE SUGGESTING, UM, HAVE WE COORDINATED WITH ANY OTHER OUTSIDE AGENCIES OR ANYTHING THAT MIGHT, MIGHT BE AFFECTED WITH THIS? I MEAN THE BUSINESS COMMUNITY AS A WHOLE, LIKE THE CHAMBERS OR ANYBODY LIKE THAT? WE DID, UM, WE DID, I CAN'T REMEMBER HOW LONG AGO IT WAS, MAYBE SEVERAL YEARS AGO, WE DID HAVE A COMMUNITY OUTREACH WE VISITED WITH CHAMBERS, UH, STAKEHOLDER GROUPS, UM, AND TALKED ABOUT IT AT THAT TIME.

IT DIDN'T, IT DIDN'T REALLY MOVE ANYWHERE, BUT THERE WAS IN GENERAL SUPPORT FOR MOVING TO THE THREE TO THE 5%.

YOU, YOU SAID THERE WAS GENERAL SUPPORT FROM YEAH.

GEN GENERAL SUPPORT.

UM, WE WERE LOOKING AT A LOT OF DIFFERENT OTHER ITEMS AS WELL, BUT ON LOCAL THERE WAS, OVERALL I THINK THERE WAS PROBABLY BROAD SUPPORT FROM MOVING TO THE 5% THRESHOLD.

OKAY.

ALRIGHT.

UM, YOU KNOW, LOOKING AT THIS, UM, OVERALL, I I, I THINK THIS IS A GOOD THING TO TRY TO GIVE OUR SMALL BUSINESSES HERE LOCALLY ANOTHER OPPORTUNITY TO, TO, UH, BE MORE COMPETITIVE, UH, AGAINST THE LARGER COMPANIES, THAT KIND OF THING.

UH, IN THIS, YOU KNOW, LOOKING AT THIS CASE, YEAH, I SAW THIS KIND OF BREWING IN THE DISTANCE BECAUSE THIS IS A SOLE SOURCE AND THIS ISN'T OUT FOR COMPETITIVE BID FOR EVERYTHING.

UM, SO THIS IS KIND OF WHERE WE'RE AT RIGHT NOW WITH THE, THE SOLE SOURCE ON THIS PARTICULAR PIECE OF EQUIPMENT.

AND THAT DRIVES OTHER, OTHER REQUIREMENTS AS WELL.

BUT AS FAR AS ACCESSORIES, UM, I, I DON'T, I DON'T SEE THIS AS SOMETHING THAT SHOULD GO OUT BEST VALUE.

AND LET ME TELL YOU WHY IS BECAUSE I SEE THIS, YOU CAN GO TO OFFICE, OFFICE DEPOT AND GET OFFICE SUPPLIES, YOU KNOW, AND PART OF THAT, PART OF THAT COMMODITY, A PACKAGE OF PAPER OR WHATEVER, PENS, PENCILS, THEY FIGURE IN THE COST OF WAREHOUSING DELIVERY AND ALL THAT OTHER KIND OF STUFF IN THEIR, IN THEIR PROPOSAL AND IN THEIR, IN THEIR BID, THEIR LOW BID.

UM, AND I, I'M, I'M HAVING A HARD TIME, UH, NOT EQUATING THIS TO THAT TYPE OF EXAMPLE WHERE IT'S LINE ITEMS THAT YOU CAN GO BUY OFF A SHELF SOMEWHERE.

AND I UNDERSTAND THE WAREHOUSING AND THAT KIND OF THING, AND I'M, UH, BUT I SEE THIS AGAIN AS A COMMODITY THAT YOU CAN JUST GO SHOPPING AND PICK IT UP AS AN EXAMPLE.

UM, I, I, I THINK THIS IS GOING IN THE RIGHT DIRECTION AND I ASKED MR. SENTIN TO SEE IF HE HAD A SLIDE THAT, UH, HE COULD PULL UP TO SHOW THE ACTUAL SUCCESS OF OUR SMALL BUSINESS PROGRAM.

AND, AND I WANT TO KEY IN ON THAT, ON WHAT WE HAVE DONE OVER THE YEARS HERE FOR OUR SMALL BUSINESSES THAT IS VERY APPROPRIATE TO THIS, THIS DISCUSSION HERE.

AND IF, I KNOW HE'S LOOKING FEVERISHLY FOR IT, IF YOU, IF YOU HAVE IT AVAILABLE OR IF YOU CAN TALK TO IT AT LEAST, THAT WOULD BE GREAT AS WELL.

YOU KNOW, WHAT, WHAT HAVE WE DONE OVER THE LAST FIVE OR 10 YEARS THAT, UH, UM, HAS SHOWN THAT WE ARE WORKING TO INCREASE OUR SMALL BUSINESS PARTICIPATION HERE IN SAN ANTONIO? I KNOW YOU'VE HAD SOME, SOME GRAPHS, AND I'M SORRY TO HIT YOU THIS AT THIS LAST MOMENT, BUT MAYBE YOU CAN TALK TO IT FOR SURE.

SO THE WHOLE POINT OF REVISING THE C BETA PROGRAM BACK IN 2010 WAS BECAUSE THERE WERE GREAT DEFICIENCIES OF USING MINORITY WOMEN-OWNED BUSINESSES ON CITY CONTRACTS.

THE PROGRAM WAS OVERHAULED COMPLETELY.

AND I BELIEVE BACK IN 20, UH, 10, THE RESULTS WE HAD WAS ABOUT 13% OF OUR CITY CONTRACTS WERE GOING TO MINORITY WOMEN-OWNED BUSINESSES.

FAST FORWARD TO TODAY, THAT NUMBER IS CLOSER TO ABOUT 48%.

UM, SO

[00:35:01]

WE'VE SEEN TREMENDOUS GAINS AND AS YOU KNOW, FOR EACH, BOTH OVERALL AND EACH INDUSTRY, WE MEASURE, WE HAVE ASPIRATIONAL GOALS THAT WE WERE TRYING TO ATTAIN BOTH OVERALL AND FOR DIFFERENT ETHNICITIES AND GENDERS.

AND OVERALL WE HAVE STARTED MEETING THAT ASPIRATIONAL GOAL.

UH, FAIRLY CONSISTENCY MAY, UH, CONS, UH, WITH SOME CONSISTENCY OVER THE PAST TWO TO THREE YEARS.

ALRIGHT.

DO WE HAVE ANY, ANYTHING OVERALL SMALL BUSINESS, UH, AN OVERALL SMALL BUSINESS NUMBER THAT YOU CAN TELL US? I KNOW YOU SURE, YOU TALKED ABOUT THE WOMEN OWNED, BUT WHAT ABOUT THE OVERALL SMALL BUSINESS? SO IN FISCAL YEAR 21, OUR ANNUAL REPORT SHOWED THAT WE PAID OUT ABOUT $277 MILLION TO LOCAL SMALL BUSINESSES THROUGH THE CTA PROGRAM, WHICH WAS ABOUT 57% OF ALL DOLLARS IN CONTRACTS IN WHICH THE SAB BETA PROGRAM APPLIES.

OKAY, GREAT.

GREAT.

AND WHAT DO YOU HAVE THE FIGURES, WHAT IT WAS BACK IN 2010 TO SHOW WHAT, WHAT WE HAVE PUT INTO THIS PROGRAM? I CAN GET THAT FOR YOU IF YOU GIMME A MINUTE.

OKAY.

YEAH, YEAH, ABSOLUTELY.

JUST COME BACK ANYTIME THAT, UM, THAT'S KIND OF MY COMMENTS AND, AND QUESTIONS AT THIS POINT.

I'LL OPEN IT UP FOR ANYONE ELSE.

YES SIR.

THANK YOU CHAIR.

UM, I WANT TO, UH, REWIND A LITTLE BIT TO THE LAST MEETING.

SO MED WHEELS HAS A CONTRACT.

UM, SAN ANTONIO FIRE DEPARTMENT WANTS ZOL DEFIBRILLATORS.

ZOL WOULD NOT SELL THEIR EQUIPMENT BECAUSE THEY WANTED TO BE A DIRECT VENDOR.

AND SO IN ORDER TO GET Z EQUIPMENT, SPECIFICALLY THE ZOL DEFIBRILLATORS, WE WOULD HAVE TO DO A, UM, ZOL WOULD LIKELY BE THE SOLE, UH, THE SOLE BIDDER OR THE, THE BID MOST LIKELY TO GET THE CONTRACT.

UM, THE REQUEST WAS TO SEPARATE DEFIBRILLATORS AND SUPPLIES AND TO EVALUATE OUR 3% PRICE, UM, PREFERENCE.

AND SO TODAY THE RECOMMENDATION IS SEPARATING THE CONTRACTS.

SO THAT ONE WOULD BE DEFI, DEFI, DEFIBRILLATORS, AND ONE WOULD BE SUPPLIES.

AND THEN THERE IS ALSO A RECOMMENDATION TO AMEND OUR ORDINANCE FOR THE PRICE PREFERENCE PROGRAM TO UP TO 5% WERE APPLICABLE.

THAT'S CORRECT, SIR.

WONDERFUL.

OKAY.

I DID HAVE A QUESTION ABOUT LOW BID VERSUS BEST VALUE.

AND IN THE IN SLIDE, I THINK IT WAS 12, UH, OH NO, IT WAS 14, WE'RE LIMITED ON WHICH ONE, WHICH TYPES OF SOLICITATION OR WHEN WE CAN DO BEST VALUE VERSUS LOW BID BASED ON THE TYPE OF SOLICITATION WE'RE DOING.

SO WE COULD NOT DO BEST VALUE IF WE WERE DOING A REQUEST FOR QUALIFICATIONS OR REQUEST FOR PROPOSALS, BUT WE CAN DO BEST VALUE IF WE'RE DOING A REQUEST FOR OFFERS.

IT, IT'S GONNA DEPEND MM-HMM.

, THAT'S, THAT'S PROBABLY THE EASIEST WAY TO EXPLAIN IT.

IT'S GONNA DEPEND ON WHETHER THAT COMPONENT IS A COVERED UNDER STATE STATUTE.

FOR EXAMPLE, LIKE I MENTIONED, REQUEST FOR QUALIFICATIONS, UM, ENGINEERS, ARCHITECTS VERSUS SOMETHING VERY GENERAL FOR REQUEST FOR QUALIFICATIONS FOR SOLAR EQUIPMENT INSTALLERS.

AND SO THERE ARE SPECIFIC ITEMS, INDUSTRIES THAT ARE COVERED IN THEIR STA STATE STATUTE AND WHERE THOSE INDUSTRIES ARE COVERED AND NOT, THAT DOES NOT ALLOW A LOCAL PREFERENCE.

AND WE CANNOT APPLY A LOCAL PREFERENCE FOR THE BEST VALUE OR THE REQUEST FOR COMPETITIVE SEAL PROPOSALS UNDER, I BELIEVE IT'S CHAPTER 2 52 OF THE STATE STATUTE.

IT DOES NOT ALLOW US TO APPLY LOCAL PREFERENCE FOR THOSE BEST VALUE BIDS, UM, THAT ARE DISCRETIONARY IN NATURE.

SO, UM, THAT'S THE BEST I CAN EXPLAIN IT.

SO I GUESS MY QUESTION THEN THERE IS, I UNDERSTAND WE CAN'T APPLY LOCAL PREFERENCE THERE FOR BEST VALUE, BUT ARE THERE ELEMENTS OF BEST VALUE THAT ARE INHERENTLY PRO LOCAL PREFERENCE AND NOW KIND OF MAY BE HELPFUL TO KIND OF DRAW THE DIFFERENCE BETWEEN A LOW BID CONTRACT AND A BEST VALUE FOR THE SAME PRODUCT? SO IN THIS CASE, FOR ACCESSORIES, A LOW BID, IT'S EXACTLY WHAT IT SOUNDS LIKE.

WE'RE GONNA GO, UM, REQUEST FOR OFFERS FROM THE PEOPLE WHO BASICALLY DEAL IN THIS SPACE AND THEY WILL GIVE US, FOR ALL THOSE 35 ITEMS, THEY WILL GIVE US THE PRICE FOR ALL THOSE 35 ITEMS. THEY CAN ALSO BE DETERMINED A RESPONSIBLE BIDDER, UM, WE'VE HEARD TALK ABOUT INVENTORY AND DELIVERY AND SO DO THEY HAVE WAREHOUSE SPACE? DO THEY HAVE THE HUMIDITY CONTROLLED? UM, IS IT DIRECT SHIPPED? AND SO WE'LL DETERMINE THERE TO BE A RESPONSIBLE BIDDER.

SO UNDER A LOW BID, THAT'S WHERE YOU, WHAT YOU'RE LOOKING AT PRICE AND ARE THEY RESPONSIBLE ON THE BEST VALUE ARE THE R F C S P THAT OUR INTERSTATE STATUTE, DISCRETIONARY AND INTERSTATE STATUTE OR LOCAL PREFERENCE IS NOT ALLOWED.

AND YOU'VE SEEN OUR, UM, EVALUATION MATRICES.

SO YOU'RE GONNA HAVE ALL THE COMPONENTS OF THE EVALUATION.

YOU'RE GONNA HAVE EXPERIENCE, BACKGROUND AND QUALIFICATIONS.

YOU'RE GONNA HAVE A

[00:40:01]

PROPOSED PLAN.

YOU'RE GONNA HAVE PRICE, AND THEN YOU WILL ALSO HAVE THE SUB PROGRAM.

SO MICHAEL'S TEAM OR AND HIS TEAM WILL ACTUALLY GO THROUGH THE PROCESS WITH OUR GOAL SETTING COMMITTEE, LOOKING AT AVAILABILITY, AND THEY WILL, UM, DEFINE THE POINTS UNDER THE VALUATION MATRIX OR A SUBCONTRACT REQUIREMENT.

SO TO ANSWER YOUR QUESTION, THERE IS A SMALL BUSINESS PORTION THAT IS, UM, APPLICABLE INTO OUR BEST VALUE.

UM, THE CHALLENGE WITH, WITH A BEST VALUE, WHEN WE LOOK AT IT BETWEEN THE LOW BID AND THE BEST VALUE OR R S C S P, WE LOOK AT THE AMOUNT OF SERVICES THAT ARE REALLY CAN BE APPLICABLE TO UNDER THE PROPOSED PLAN.

UM, IN THIS CASE, THERE'S JUST NOT A WHOLE LOT.

SO THAT'S WHY WE APPROACH IT AS MORE AS A COMMODITY BASED LOW BID PROGRAM.

THANK YOU.

I GUESS, UM, SO IT SOUNDS LIKE THIS RECOMMENDATION ANSWERS THE QUESTIONS OF LAST OF OUR LAST MEETING.

I'M WONDERING TODAY I HEARD A BIT ABOUT, UM, THE DEFIBRILLATORS BEING ESSENTIAL AND THEN THE SUPPLY IS NOT COUNTING AS ESSENTIAL.

WHERE DOES THAT COME INTO THIS? MAYBE NOT ESSENTIAL, BUT LOOKING AT THE DEFIBRILLATORS.

UM, WITHIN THE FIRE DEPARTMENT, THEY HAVE A SPECIALIZED COMMITTEE THAT EVALUATES THE PRODUCTS BEFORE THEY, FROM A PUBLIC SAFETY STANDPOINT, BEFORE WE PURCHASED THEM.

AND THE DEFIBRILLATORS YEARS AGO WERE ONE OF THOSE.

SO THEY'RE, I THINK IT'S CALLED THE TOOL AND EQUIPMENT COMMITTEE, UM, EVALUATED THE DEFIBRILLATOR BETWEEN A VARIETY OF TYPES AND BRANDS BASED ON THEIR TESTING.

UM, THEY WENT WITH THE, THE ZOLL PRODUCT.

AND SO FROM A PUBLIC SAFETY STANDPOINT, IT BECOMES THE BRAND OF CHOICE.

AND AS YOU MENTIONED EARLIER, FOR THE DEFIBRILLATOR, AND I THINK THE, I THINK IT'S THE RESPIRATORS AND THINGS LIKE THAT, ZOL WANTS TO MAINTAIN THAT DIRECT LA RELATIONSHIP WITH FIRE AND E M S ORGANIZATIONS.

THEY WILL NOT, BASED ON THEIR AGREEMENTS WITH THEIR DISTRIBUTORS AND THEIR SUPPLIERS, THEY WILL NOT FUNNEL THAT THROUGH A DISTRIBUTOR TO THE CITY OF SAN ANTONIO FIRE E M S.

THEY WANT THAT DIRECT RELATIONSHIP.

THERE ARE OTHER ITEMS THAT, UM, ZOL DOES NOT MEAN THAT CONTROL OVER.

AND THERE ARE OTHER BRANDS THAT MAY WORK WITH THE DEFIBRILLATOR AS WELL.

AND THOSE ARE THE EXCESS 35 ACCESSORIES WE'VE BEEN TALKING ABOUT.

AND BECAUSE THEY'RE NOT PROPRIETARY TO ZOLA, WE CAN BUY THEM ON THE OPEN MARKET THROUGH, WE COULD BUY THEM DIRECTLY FROM ZOL.

I MEAN, THEY HAVE THE PRODUCTS, WE CAN BUY THEM FROM A DISTRIBUTOR OR WE CAN BUY THEM FROM A, UM, RETAILER OR SOMETHING LIKE THAT.

UM, SUCH AS MED WILLS.

SO THERE'S, ON THE ACCESSORY PIECE, THERE IS NOT THAT CONTROL BY ZOL AND WE CAN ACTUALLY GO PURCHASE THEM ON THE OPEN MARKET.

THEY'RE STILL ESSENTIAL.

IT'S JUST HOW WE'RE GOING TO PROCURE THEM.

I GUESS I'M TRYING TO GET TO THE BOTTOM OF THE COMMENTS THAT I HEARD TODAY ABOUT, UM, WHY WOULD THAT BE A PROBLEM FOR A SMALL BUSINESS LIKE MED WHALES? LIKE WHY DID, WHY DID MS. GONZALEZ BRING UP ESSENTIAL VERSUS NON-ESSENTIAL ITEM? WHAT, WHAT IS THAT? DO YOU KNOW? UM, NO SIR, I DON'T.

OKAY.

UM, I GUESS ANOTHER QUESTION I HAD WAS ABOUT THE ALAMO, LIKE ALAMO HEIGHTS, THE DONUT HOLES THAT EXIST WITHIN THE CITY.

UM, SO THEY WOULD NOT BE ELIGIBLE FOR 10 POINTS, BUT ASSUMING THAT MOST OF THEIR EMPLOYEES ARE IN THE CITY, IN THE CITY OF SAN ANTONIO, THEY WOULD BE ELIGIBLE FOR UP TO FIVE PREFERENCE POINTS? NO, IT DEPENDS ON WHERE THEY'RE, WHERE THEY'RE HEADQUARTERED.

IF THEY ARE HEADQUARTERED OR IN THAT DONUT HOLE, THEY WILL NOT BE ELIGIBLE FOR THE 10 POINTS.

UM, IF THEY'RE A BUSINESS, WELL, IF THEY'RE A BUSINESS LOCATED IN SAN ANTONIO, NOT WITHIN ONE OF THE DONUT HOLES, UM, THEY HAVE TO BE LOCATED IN THE SAN ANTONIO MUNICIPAL LIMITS.

THEY WOULD BE ELIGIBLE FOR THE SUBSTANTIAL BUSINESS PRESENCE OR THE FIVE POINTS.

YOUR BUSINESS STILL HAS TO RESIDE IN THE MUNICIPAL CITY LIMITS.

IT CAN'T RESIDE IN ALMA HEIGHTS OR SANTO PARK.

THAT WAS MY UNDERSTANDING.

THANK YOU.

UM, I GUESS, AND THEN TODAY THE LAST BIT OF THE RECOMMENDATION WAS THAT WE EXTEND THE CONTRACT WITH THE CONTRACTS THAT EXIST WITH ZOL AND MED WHEELS FOR SIX MONTHS WHILE ASSUMING THAT WE HAVE THE, UM, THE ORDINANCE GO TO FULL CITY COUNCIL.

THAT'S CORRECT.

OKAY.

UM, SHOULD I MAKE A MOTION? YEAH.

OKAY.

I MOVED TO, OH GOODNESS, LEMME FINE.

I MOVED TO FORWARD THE RECOMMENDATION OF AN ORDINANCE AMENDING THE LOCAL PREFERENCE PROGRAM TO FULL COUNSEL.

OKAY.

UM, CAN WE GET A SECOND ON THAT AT THIS POINT? WHAT? OKAY.

GOT A SECOND.

AND, UH, THANK YOU VERY MUCH AND WE'LL CARRY ON WITH FURTHER DISCUSSION HERE.

UH, COUNCILMAN, THANK YOU.

I TROY I'M GONNA ASK MS. GONZALEZ TO COME BACK UP HERE.

UM, JANE, CAN CAN YOU COME UP TO THE MIC? 'CAUSE I, I, I DO HAVE SOME QUESTIONS.

[00:45:07]

SO, UM, POS MY WIFE WILL TELL YOU THAT I LIVE IN A CONSTANT STATE OF CONFUSION, SO DON'T BE SURPRISED THAT I'M CONFUSED AGAIN.

UH, THE, UH, YOU AND I BOTH CLAYTON PERRY WILL TELL YOU, CLAYTON PERRY WILL TELL YOU THE SAME THING ABOUT ME.

UM, YOU HEARD A QUESTION FROM COUNCILMAN MCGEE RODRIGUEZ ABOUT, YOU KNOW, WHY IT IS THAT YOU WERE MAKING AN EMPHASIS ON THE ESSENTIAL PART OF IT AND TROY WASN'T ABLE TO TELL US WHY YOU, YOU WERE MENTIONING THAT.

SO CAN YOU UNPACK THAT FOR US? YEAH.

UH, COUNCILMAN PERRY, I RESPECTFULLY DISAGREE WITH YOU, SIR.

UH, WHEN YOU LOOK AT A DEFIBRILLATOR, THE SUPPLIES, THEY ARE ESSENTIAL.

THE CAPITAL LINES, THE FILTER LINES, THE BLOOD PRESSURE, COUGHS, ALL OF THOSE ARE AN ABSOLUTE REQUIREMENT IN ORDER FOR THAT DEFIBRILLATOR TO FUNCTION SO THAT WE ALL SIT HERE AND WE SAY, GEE, THAT DEFIBRILLATOR IS CRITICALLY IMPORTANT TO OUR COMMUNITY WHEN IT GOES OUT 170,000 TIMES A YEAR.

RIGHT? YOU'RE NOT GONNA FIND A CAPTAIN LION AT HOME DEPOT OR OFFICE DEPOT.

YOU'RE NOT GONNA FIND A BLOOD PRESSURE CUFF AT OFFICE DEPOT.

AND THIS IS NOT JUST PURELY A WIDGET, THIS IS A WIDGET THAT IF WE DO NOT HAVE PART OF THAT DEFIBRILLATOR RIGHT, IT'S NOT GONNA WORK, IT'S NOT GONNA FUNCTION.

SO HOW CAN YOU SAY, ON THE ONE HAND, THE DEFIBRILLATOR IS ESSENTIAL, IT'S CRITICAL TO OUR COMMUNITY, BUT THEN ON THE OTHER HAND, THE SUPPLIES THAT YOU PLUG IN, THE, THE, THE BLOOD PRESSURE CUFFS, YOU PLUG IN YOUR FINGER PROBE, UH, THEY WERE ESSENTIAL DURING C OVID 19, AND WE'RE STILL NOT OUT OF THE WOODS WITH C OVID 19.

SO ALL OF THESE SUPPLIES ARE JUST AS CRITICALLY ESSENTIAL.

SO I WOULD SAY TO YOU, COUNCILMAN, UH, PIS, YOU CANNOT SAY THAT THE DEFIBRILLATOR THE DEVICE IS ESSENTIAL, BUT THE SUPPLIES THAT SUPPORT IT ARE NOT ESSENTIAL.

THEY ARE JUST AS EQUALLY ESSENTIAL.

YEAH.

SO MY, SO MY MY ISSUE WITH THAT IS, AND AND AGAIN, THIS IS GONNA JUST BETRAY MY COMPLETE LACK OF FAMILIARITY WITH YOUR LINE OF BUSINESS.

SURE.

UH, IS THAT WHILE IT'S CERTAINLY VERY IMPORTANT, IT SAVES LIVES AND ALL THAT, RIGHT? I, HOW IS THIS DIFFERENT THAN LET'S SAY, UM, ONE OF THOSE, YOU KNOW, ENORMOUS MULTIMILLION DOLLAR COPY MACHINES THAT WE HAVE IN THE PRINT SHOP, FOR EXAMPLE.

I MEAN, LIKE, THESE THINGS ARE INCREDIBLY COMPLEX AND, AND COMPLICATED AND I I I, I DON'T WANT YOU LATER SAYING, I CAN'T BELIEVE YOU SAID IT, DEFIBRILLATOR IS LIKE A COPY MACHINE.

IT'S NOT I, BUT WHAT IS THE DIFFERENCE FROM A LEGAL PERSPECTIVE, RAY OR, OR TREY, UH, OR, OR TROY FROM, YOU KNOW, OUR PURCHASING PERSPECTIVE, DO WE LOOK AT THOSE THINGS DIFFERENTLY BECAUSE OF LIKE THE END RESULT OR BECAUSE OF THE COMPLEXITY? A C COUNCILMAN, LET ME, LET ME CHIME IN HERE AND SURE.

YOU CAN ADD IN HERE AS WELL, BUT LET ME KIND OF TRY TO SEPARATE THE TWO.

SO WE'VE GOT THE DEFIBRILLATOR ITSELF AND WE'VE GOT THE FIRE DEPARTMENT'S, UH, UH, COMMITTEE THAT HAS COME BACK AND SAID, SO IT'S THE DEFIBRILLATOR THAT THEY WANT TO UTILIZE ACROSS THE DEPARTMENT.

WHEN WE'RE TALKING TO ZOL, AND THIS WAS THE CASE BACK IN, WE DID THIS FIVE YEARS AGO, UM, THESE TWO WERE SEPARATED BACK THEN AS WELL.

SO THIS IS A NEW AT ZOL, THEY WILL RESELL THOSE OR DISTRIBUTE THOSE TO HOSPITALS AND OTHER ENTITIES, BUT THEY WANT TO MAINTAIN A DIRECT RELATIONSHIP WITH FIRE DEPARTMENTS AND E M S DEPARTMENTS.

SO GIVEN THAT WE DON'T HAVE ANOTHER OPTION UNDER LAW, IF WE WANT TO PURCHASE A SOLE DEFIBRILLATOR FOR OUR FIRE DEPARTMENT, THAT'S OUR ONLY OPTION IS TO GO BACK TO THEM AND SAY, BASED ON THAT, IT'S A SOLE SOURCE ON THE SUPPLIES, WHICH WE DID FIVE YEARS AGO AS WELL.

WE SEPARATED THAT OUT.

AND WHILE THEY ARE OBVIOUSLY VERY IMPORTANT TO THE END PRODUCT AND DELIVERY OF THE, THE, THE SERVICE, THE PRODUCT ITSELF CAN BE PROVIDED BY OTHER ENTITIES, INCLUDING SOME HERE LOCALLY.

SO OUR DECISION BACK, UH, IN 26, NO, THAT WASN'T 20 16, 5 YEARS AGO, WAS TO BID THOSE OUT.

SO OUR RECOMMENDATION IS TO DO THAT HERE FOR THE ACCESSORIES, BUT TO ALSO, UM, LOOK AT OUR LOCAL PREFERENCE ORDINANCE AND INCREASE THAT PRICE PREFERENCE THAT IS ALLOWED UNDER STATE LAW TO PROVIDE, UH, ADDITIONAL PREFERENCE FOR OUR LOCAL SMALL BUSINESSES HERE IN TOWN.

TO MOVE THAT FROM 3% TO 5% IS 5% THE MAX BY WHICH WE CAN MOVE IT.

AND LIKE I, IF I SAID I WANNA MOVE IT TO 10, IS THAT NOT ALLOWED BY LAW.

UH, THE STATUTE PROVIDES FOR THE 5%, UH, IN A SEPARATE PART OF THE STATUTE, THERE'S ONE THAT

[00:50:01]

APPLIES TO THE 3%, AND THEN THERE'S ANOTHER ONE THAT SAYS YOU CAN GO AS HIGH AS 5% IN THESE LIMITED CIRCUMSTANCES, WHICH TROY HAD DESCRIBED.

UH, IN ADDITION, IT ALSO REQUIRES A FINDING FROM COUNSEL, UM, THAT THE PRODUCTS ARE, UM, THAT THE LOCAL BIDDER OFFERS THE MUNICIPALITY THE BEST COMBINATION OF CONTRACT PRICE AND ADDITIONAL ECONOMIC DEVELOPMENT OPPORTUNITIES.

IT'S KIND OF A MIX OF THE BEST VALUE THAT THE STATE TAKES INTO CONSIDERATION FOR THIS SEPARATE STATUTE.

OKAY.

SO A A COUPLE OF THINGS.

ONE, I I THINK THAT THE MOVE FROM THREE TO 5% IS IMPORTANT, BUT DE MINIMIS, RIGHT? AND I I I I HATE STATE LAW IN THIS INSTANCE , RIGHT? BECAUSE IT REALLY DOES BETRAY WHAT WE'RE TRYING TO ACCOMPLISH HERE, WHICH IS PUSHING A, A BY LOCAL, UM, AND, UH, AGENDA, RIGHT? AND I'M, I MEAN, WE WERE IN THE OTHER ROOM JUST NOW, UH, DISCUSSING, YOU KNOW, INCREASING BONDING CAPACITY FOR LOCAL BIDDERS.

UH, AND I MEAN, WE'RE GETTING REALLY CREATIVE WITH WHAT WE COULD DO WITH THE E D C AND I STRUG, I'M STRUGGLING WITH THIS, UM, BUT I DO THINK THAT CITY COUNCIL AS AN ENTIRE GROUP NEEDS TO HAVE A DISCUSSION ABOUT THIS AND NOT JUST, NOT JUST THE FOUR OF US UP HERE.

UH, AND SO I'M GONNA VOTE TO ADVANCE IT TO CITY COUNCIL FOR THAT DISCUSSION, BUT I'M TELEGRAPHING TO YOU RIGHT NOW.

I'M, I'M NOT SURE I'LL SUPPORT THIS AT, AT CITY COUNCIL, BUT I DO WANT TO HAVE MY COLLEAGUES UP HERE, UM, YOU KNOW, HAVING A MUCH BIGGER DISCUSSION FROM A POLICY PERSPECTIVE.

'CAUSE THIS ISN'T A POLICY COMMITTEE, THIS IS A, YOU KNOW, CONTRACT BY CONTRACT COMMITTEE, RIGHT? AND SO, UM, RESPECTING THE, THE BOUNDARIES THAT ARE SET FOR US BY THE CHARTER AS FAR AS WHAT THIS COMMITTEE CAN AND CAN'T DO.

I, JANIE I I DO THINK THIS IS A, A BIG POLICY CONVERSATION THAT WE NEED TO HAVE AND I'M, I'M WILLING TO HAVE IT AND I HAVE A FEELING MY COLLEAGUES HERE ARE WILLING TO HAVE IT, UM, AT A LATER DATE.

SO I'LL VOTE TODAY TO, TO ADVANCE THIS TO CITY COUNCIL FOR THAT PURPOSE.

THANK YOU.

OKAY.

MS. TREVINO, UM, STILL SEE YOU UP THERE.

DO YOU HAVE ANY COMMENTS OR ANYTHING? I DO.

I, UH, JUST FOR CLARIFICATION ON, UM, THE POWERPOINT PRESENTATION, PAGE 15 WHERE IT TALKS ABOUT THE LOCAL PREFERENCE INFORMATION THAT WAS SUBMITTED, I, I WANNA QUE CLARIFY.

SO ON THIS CHART, FOR THE FIRST ONE, FOR EXAMPLE, GOODS AND NON-PROFESSIONAL SERVICES, YOU HAVE 82 LOCAL, THE ESTIMATED AMOUNT AND THEN THE, THE PERCENTAGE.

AND THEN YOU'VE GOT NON-LOCAL 118 ESTIMATED AMOUNT, AND THEN THE PERCENTAGE, AGAIN IN TOTAL 247 MILLION FOR THAT LINE ITEM.

BUT ON THE TOP YOU HAVE ON THERE IT'S LOCAL PREFERENCE PROGRAM.

SO TROY, JUST FOR CLARIFICATION, THAT'S ONLY THE AMOUNTS AND THE FIGURES THAT FOR ITEMS THAT ARE LOCAL PREFERENCE THAT ARE UNDER THE LOCAL PREFERENCE PROGRAM, NOT OUR ENTIRE SPEND, CORRECT? THAT'S NO, AND PROBABLY SHOULD PROVIDE THAT CLARIFICATION.

SO IT'S OUR ENTIRE SPEND THAT'S OUT OF OUR ENTIRE SPIN.

FOR EXAMPLE, FOCUSING ON THAT TOP LINE AGAIN, UNDER GOODS AND NON-PROFESSIONAL SERVICES, THE 82 LOCAL, THOSE WERE CONTRACTS AWARDED TO LOCAL REGARDLESS OF THE LOCAL PREFERENCE PROGRAM.

OF THAT 82, THERE WERE FIVE THAT THE LOCAL PREFERENCE PROGRAM WAS ACTUALLY, UM, EFFECTIVE AND UM, DIRECTING THAT TO A LOCAL VENDOR ABOVE A NON-LOCAL.

SO OF THE 82, THERE WERE FIVE THAT THE LOCAL PREFERENCE PROGRAM WAS ACTUALLY APPLICABLE FOR THE GOODS AND NON AND NON-PROFESSIONAL SERVICES.

OKAY.

BUT SO WHAT I'M TRYING TO UNDERSTAND HERE IS WHAT WE'RE SAYING IS 30%, 37% OF ALL THE CONTRACTS WE AWARD THE CITY OF SAN ANTONIO UNDER GOODS AND NON-PROFESSIONAL SERVICES, 37% ARE STAYING LOCAL AND 63 ARE GOING NON-LOCAL.

CORRECT? CORRECT.

THAT'S CORRECT.

AND THE SAME THING UNDER PROFESSIONAL SERVICES.

OUT OF ALL THE MONIES WE SPEND IN THE PROFESSIONAL SERVICES, 65% OF THEM ARE STAYING LOCAL AND 35% ARE GOING, UM, NON-LOCAL, ET CETERA, ET CETERA.

RIGHT.

FOR THE MAJORITY OF THESE WE ARE FOR PROFESSIONAL SERVICES, CONSTRUCTION, ARCHITECTURE AND ENGINEERING, THE MAJORITY ARE STAYING LOCAL.

IT'S THE GOODS AND NON-PROFESSIONAL SERVICES THAT ARE NOT.

YEAH, THE GOOD AND NON-PROFESSIONAL SERVICES ARE THE LOWEST RANKED OF ALL FOUR CATEGORIES.

AND THEN THE GENTLEMAN THAT ALSO SPOKE, UM, EARLIER MENTIONED THAT 277 MILLION ARE GOING TO SMALL BUSINESSES AND HE SAID THAT'S 57%, BUT HE ALSO SAID THAT THAT APPLIES THOSE THAT HAVE, THAT THE VEDA APPLIES TO THAT.

UM, SO THAT'S NOT, AGAIN FOR CLARIFICATION, THAT'S NOT THE TOTAL SPEND FOR THE CITY.

IT'S ONLY WITH QUALIFIED UNDER THE S BETA PROGRAM.

CORRECT.

[00:55:06]

HEY JUDY, THIS IS MICHAEL AGAIN.

YOU'RE CORRECT.

THE NUMBERS I'M USING REFERENCE, UH, CONTRACTS IN WHICH THE SUB BETA PROGRAM IS APPLIED TO.

OKAY.

SO THAT 57% IS ONLY FOR THOSE CONTRACTS FOR BETA'S APPLICANT WE'RE, WE'RE AWARDING 57% OF THOSE TO SMALL BUSINESS.

CORRECT.

SO I'M CURIOUS TO KNOW WHAT IS, AGAIN, LIKE IN TROY'S EXAMPLE, WHAT IS THE TOTAL NUMBER COMPARED TO OUR TOTAL SPEND VERSUS WHAT WE'RE GIVING TO, TO THE SMALL BUSINESS? 'CAUSE AT 57 IT'S GREAT, IT SOUNDS WONDERFUL, BUT IT'S NOT THE TOTAL SPEND.

THAT IS CORRECT.

IT'S NOT ALL CITY CONTRACTS, JUST THE ONES WITH WHERE IN WHICH THE BETA IS APPLIED TO.

WOULD IT BE POSSIBLE TO GET THE OTHER NUMBER? SO CURRENTLY WE'RE UNDERGOING, UH, A DISPARITY STUDY THAT MEASURES THE UTILIZATION OF ALL FIRMS THAT THE CITY USES.

UM, THAT STUDY WILL INCLUDE THAT DEEP COMPREHENSIVE ANALYSIS OF ALL PAYMENTS GOING TO ALL VENDORS IN ALL INDUSTRIES, UH, THAT WE SHOULD HAVE, UH, AT THE BEGINNING OF NEXT YEAR.

OKAY.

THANK YOU.

OKAY.

OKAY.

UM, TROY, DO YOU HAVE ANYTHING ELSE YOU WANTED TO ADD OR BEN? I HAVE NOTHING FURTHER TO ADD.

OKAY.

UH, WELL WE HAVE A MOTION ON THE FLOOR TO, UM, CHAIR.

LET ME JUST, YES, CLARIFY.

I THINK WE POSTED THIS FOR BRIEFING ONLY.

WE WILL CERTAINLY TAKE THE, THE, THE MOTION AND THE DIRECTION FROM THE COMMITTEE IS DIRECTION TO GO BACK.

SO WE'LL FOCUS ON WORKING ON THE EXTENSIONS AND THEN WE WILL COME BACK TO HAVE, UH, FURTHER DISCUSSION WITH THE ENTIRE COUNCIL, BOTH ABOUT THE LOCAL PREFERENCE PROGRAM UPDATE TO THE ORDINANCE THAT WE'RE RECOMMENDING, BUT ALSO CONTINUE DISCUSSION ON THIS.

OKAY.

THAT, DID I GET THAT RIGHT, RAY? THAT'S CORRECT, MAN, THIS WAS JUST POSTED AS A BRIEFING.

OKAY.

ALL RIGHT.

WELL WE DID HAVE A MOTION AND A SECOND ON THAT.

WOULD Y'ALL LIKE TO, UH, WITHDRAW THAT MOTION? OKAY.

AND THE SECOND, YEAH, .

OKAY, SO THIS WAS JUST A BRIEFING DISCUSSION ONLY AND, UM, REPEAT AGAIN WHAT YOU'RE GONNA DO AT THIS POINT NOW, BEN.

SO CHAIRMAN, UH, THE STAFF WILL WORK WITH BOTH CONTRACTORS TO SEE IF WE CAN GET SIX MONTH EXTENSIONS PUT IN PLACE.

UH, AND THEN WE WILL COME BACK AND HAVE ADDITIONAL CONVERSATION WITH THE COUNCIL ABOUT AMENDING OUR LOCAL PREFERENCE ORDINANCE TO INCREASE THAT PRICE PREFERENCE, UH, AS WE OUTLINED TO, UH, TAKE ADVANTAGE OF WHAT'S AVAILABLE UNDER STATE LAW.

AND THEN, UH, WE WILL HAVE SOME ADDITIONAL DISCUSSION ON THIS ITEM AS WELL.

OKAY.

FAIR ENOUGH.

WELL, I THINK THAT, UH, CONCLUDES OUR SPECIAL MEETING FOR TODAY.

THANK EVERYBODY FOR COMING OUT HERE AND, UH, THE MEETING IS ADJOURNED.

Y'ALL HAVE A GREAT REST OF YOUR WEEK, .