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WHAT IS TODAY? THE, UH, 21ST OF SEPTEMBER.
MY GRANDDAUGHTER'S BIRTHDAY TODAY.
SO, UH, UM, I CALLED HER THIS MORNING TO SING HAPPY BIRTHDAY TO HER, BUT SHE'S ALREADY IN SCHOOL, SO SHE'S GONNA HAVE TO WAIT TILL AFTER SCHOOL TODAY.
ANYWAY, UM, LET'S GO AHEAD AND GET STARTED AND, UH, CAN WE GET A ROLL CALL HERE, MA'AM? COUNCIL MEMBER MCKEE RODRIGUEZ.
PRESENT, COUNCIL MEMBER PALAI.
[Approval of Minutes ]
APPROVING THE MINUTES FOR AUGUST 26TH.IS THERE A MOTION TO APPROVE THE MINUTES? AND, ALL RIGHT, AND WE HAVE A SECOND.
UM, ANY DISCUSSION? HEARING NONE.
UH, DO WE HAVE ANY PUBLIC COMMENTS TODAY? ANYBODY SIGNED UP? WE HAVE NO PUBLIC COMMENTS FOR THIS MEETING.
[CONSENT AGENDA ]
GO STRAIGHT ON INTO CONSENT AGENDA.BEN, DID YOU WANNA GO OVER ANYTHING ON THIS? UH, GOOD AFTERNOON.
ITEMS, UH, TWO THROUGH SIX ON THE AGENDA ARE ALL ON THE CONSENT AGENDA.
UM, WE PROVIDED ALL THE BACKUP MATERIALS AS PART OF THE AGENDA PROCESS, SO IF YOU HAVE ANY QUESTIONS, WE'RE HAPPY TO ANSWER THAT.
IF NOT, YOU CAN APPROVE THOSE AS A BLOCK.
DOES ANYBODY WANNA PULL ANY OF THOSE OR DISCUSS ANY OF THOSE? ALL RIGHT.
UH, CAN WE GET A MOTION TO APPROVE THIS? ALL RIGHT.
ALL THOSE IN FAVOR? ALL RIGHT.
LET'S GO ON TO THE, UH, INDIVIDUAL
[Pre-Solicitation High Profile Items ]
CONSIDERATION HERE.SO CHAIRMAN, ITEM NUMBER SEVEN IS A, UH, IS THE ALAMO STREET, UH, STREET IMPROVEMENT PROJECT.
AND UH, IT'S A POST SOLICITATION BRIEFING.
SO WE WILL BE ASKING FOR AN ACTION ITEM TO CONSIDER MOVING THIS FORWARD TO THE FULL COUNCIL.
RAZZI HUSSEI, OUR DIRECTOR OF PUBLIC WORKS, WILL BE DOING THE PRESENTATION THIS AFTERNOON.
RAZZI DIRECTOR, CITY ENGINEER FOR PUBLIC WORK DEPARTMENT HAS BEEN MENTIONED.
THIS IS POST SOLICITATION FOR SOUTH STREET IMPROVEMENT PROJECT OBJECT, PUBLIC WORK ISSUE, REQUEST FOR COMPETITIVE SEAL PROPOSAL OR C S P FOR CONSTRUCTION OF SOUTH ALAMO, WHICH IS 2017 BOND FUNDED PROJECT.
THE STREET IMPROVEMENT WILL INCLUDE ROADWAY CONSTRUCTION, DRAINAGE, TRAFFIC SIGNALS, PEDESTRIAN LIGHTING AND LANDSCAPING PROJECT WILL ALSO INCLUDE UTILITY UPGRADES, SOURCE WATER AND SEWER CHILL WATER MAIN EXTENSION C P S, GAS AND ROADWAY LIGHTING, AS WELL AS EXTENSION OF THE UTILITY TO SERVE.
PROPOSED P THREE, WHICH IS GOING TO BE CONSTRUCTED IN THIS AREA.
THE ESTIMATED VALUE OF THE PROJECT 40.7 MILLION AND THE CONSTRUCTION WILL BE DONE IN FALL OF 2024.
THIS TABLE SHOWS THE SCORING OF THE TWO WE HAVE DONE ON VENDOR A EXPERIENCE, BACKGROUND, QUALIFICATION OF PRIME FIRM, KEY PERSONAL AND KEY SUBCONTRACTOR 18 POINT VENDOR B, 14 POINT 83.
ITEM B FOR UNDERSTANDING OF THE PROJECT AND PROPOSED MANAGEMENT PLAN.
VENDOR A 89.3 POINT FROM 10, AND VENDOR B, 7.67.
ITEM SIX, CATEGORY SIX EXPERIENCE WITH SAN ANTONIO REGION AND PAST PERFORMANCE VENDOR A.
THE TOTAL POINT WAS 10 POINT VENDOR A IS GETTING 9.33 AND VENDOR B IS GETTING SEVEN POINT 83.
AS YOU CAN REALIZE, VENDOR A AND VENDOR B IS VERY CLOSE AND 40 POINTS VENDOR A AND B.
NONE OF THEM GOT ANY POINT ON SE, BEDA OR WOMAN AND MINORITY OWNED BUSINESSES.
BOTH OF THEM GOT ZERO POINT OVERALL.
THE TOTAL SCORE FOR VENDOR A IS 76.67, AND VENDOR B IS 70.3 POINTS.
WE HAD NINE ATTEND PRE-CONSTRUCTION PRE-CONFERENCE MEETING.
AND WE HAD ONLY TWO SUBMIT FOR THIS PROPOSAL.
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AND FINANCE DEPARTMENT HAD CHECK ON THIS AND EVERY EVERYTHING'S CAME POSITIVE.THIS IS IN THE MY PRESENTATION CHAIRMAN AND I'M AVAILABLE TO ANSWER ANY QUESTION YOU MAY HAVE.
THANK YOU ROZY, REALLY APPRECIATE THIS.
UH, UM, AND I KNOW THIS ISN'T ON THE PROCESS SIDE, BUT THIS IS, UH, AN ADDITIONAL STOP HERE FOR THIS PARTICULAR PROJECT.
YOU KNOW, WE'VE, UM, DURING A COUPLE OF OUR OTHER PROJECTS THERE, THERE'S, IT MADE IT DIFFICULT FOR EXISTING BUSINESSES ALONG THOSE ROADWAYS.
UH, IS THAT, UM, GONNA HAPPEN ON THIS PROJECT OR ARE THERE ANY BUSINESSES ALONG THAT WAY THAT WILL BE AFFECTED? UH, OF COURSE CONS, CHAIRMAN, YOU KNOW, CONSTRUCTION IS INCONVENIENCE, BUT WE HAVE DONE SIGNIFICANTLY COORDINATION WITH BUSINESS IS GOING TO EFFECT.
AND WE ALSO, AS WE GO FORWARD, WE ARE LEARNING HOW TO IMPROVE OUR PROCESS.
WE ARE GOING TO ASK ANYBODY'S GOING TO BE AFFECTED WITH THIS PROJECT, HOW SHOULD WE COMMUNICATE WITH THEM AND HOW OFTEN SHOULD WE COMMUNICATE WITH THEM? IN THE PAST, WE PROVIDE THEM EMAIL BIWEEKLY, SOMETIME WEEKLY.
AND SOMETIME THESE, UH, BUSINESSES GET KIND OF USED FOR THOSE EMAILS.
THEY MAY NOT READ THE EMAILS THE WAY WE ARE HOPING TO READ.
I THINK OUR INTENTION IS TO HAVE A PERSONAL CONTACT WITH THEM, PERSON TO TALK WITH THEM ONE BY ONE.
EACH BUSINESS IS GOING TO HAVE DIFFERENT NEED AND MAKE SURE THE EFFECT ON THEIR BUSINESS WILL BE MINIMUM AS POSSIBLE.
UM, BUT I DON'T, I DON'T HAVE ANY QUESTIONS ABOUT THE PROCESS OR ANYTHING.
DID ANYBODY HAVE ANYTHING ELSE? GREAT.
UH, IS THIS TO GO TO COUNCIL, RIGHT? YES.
WE'RE LOOKING FOR A MOTION TO MOVE THIS FORWARD TO FULL CITY COUNCIL.
IS IT COMMON FOR A CITY TO DO A PROJECT OF THIS, OF THIS SIZE AND NOTIFY 641 PEOPLE AND THEN ONLY GET NINE PEOPLE TO ATTEND A CONFERENCE? IT SEEMS A LITTLE, YEAH, IT SOUNDS UNUSUAL.
THERE IS A LOT PROJECT IS GOING ON.
IS OUR PROJECT EASIER THAN THIS? MOST OF THE CONTRACTOR PREFERS TO DO THOSE EASIER PROJECT THAN REALLY DEALING WITH THE DOWNTOWN TRAFFIC, DOWNTOWN BUSINESS AND ALSO VERY LARGE PROJECT.
A GOOD NUMBER OF THE PEOPLE PROBABLY COULDN'T HAVE THE BONDING TO DO $40 MILLION BONDING.
I MAY MAY WANNA JUST ADD A LITTLE BIT TO, TO ZY.
UM, IT'S NOT UNCOMMON THAT WE HAVE THAT AMOUNT THAT WE ACTUALLY, UM, NOTIFY.
WE USE SEVERAL DIFFERENT RESOURCES.
WE USE A SMALL BUSINESS, UM, ADMINISTRATION, UM, AS FAR AS OUTREACH AS WELL FOR THOSE THAT ARE INTERESTED KIND OF ON, YOU KNOW, ON THE PRES SOLICITATION, YOU'LL SEE THE N I G P CODES AND NIGS CODES WHERE WE GO OUT AND DO OUTREACH TO ALL THOSE THAT ARE INTERESTED ON THIS CATEGORIES.
SO WE CAN THEN LOOK AT SMALL BUSINESSES AND ALSO VETERANS.
THEN WE ALSO USE OUR, UM, CENTRALIZED VENDOR REGISTRY.
UM, THOSE HAVE ENROLLED AND EXPRESS INTEREST AND THEN WE WORK WITH ROZY AND HIS TEAM THAT IF THERE ARE ANY SPECIFIC VENDORS OUT THERE THAT WE NEED TO DO DIRECT OUTREACH.
SO WE TRY TO CAST A PRETTY BROAD NET.
AND I GUESS I JUST, UM, I KNOW I SAID I, I UNDERSTAND AND IT MAKES SENSE.
MY PUSH WILL ALWAYS BE THAT WE TRY TO REACH AS MANY PEOPLE AS POSSIBLE AND THAT THEY DO AND THEY TAKE ADVANTAGE OF THE OPPORTUNITIES.
AND IF THEY AREN'T ABLE TO THAT WE TRY TO FIGURE OUT WAYS THAT WE CAN BEST SUPPORT.
'CAUSE I DO THINK THERE'S PROBABLY, I DON'T KNOW, I WOULD JUST HOPE, UH, FOR A GREATER RESPONSE RATE.
STILL WAITING ON A SECOND ON THIS ONE.
UM, ANY OTHER DISCUSSION? UH, LEMME JUST ADD TO THAT, UH, AND WE'VE DISCUSSED THIS ALSO ON DEBRIEFS RAZZY.
UM, DID THE, WHEN WILL WE BE OFFERING A DEBRIEF TO THE UNSUCCESSFUL VENDOR ON THIS? USUALLY AT THEIR REQUEST, WHEN THEY ASK US, WE SCHEDULE AND TELL THEM WHERE WAS THEIR RESTRAINT AND WHERE WAS THEIR WEAKNESS.
BUT WE LIVE UP TO THEM AND WE USUALLY DO ONCE PER YEAR.
WE DID, WE OPENED THIS ONE MANY YEARS AGO TOO, AS AFTER THEY WERE ASKING, THEY WERE JUST, WE JUST COULDN'T HANDLE IT TO BE HONEST.
THERE WERE JUST, SO MANY WAS ASKING US ALMOST BY EVERY MONTH.
BUT NOW WE DO ONCE PER YEAR PER FIRM.
UM, AND THEN DO WE, I NOTICED THAT THERE WERE NINE THAT ACTUALLY ATTENDED THE MM-HMM.
DO WE ACTUALLY REACH BACK OUT TO THEM THAT DIDN'T
[00:10:01]
PROPOSE ON THIS SAYING, HEY, WHY DIDN'T YOU PROPOSE? OR CAN YOU GIVE US SOME SOMETHING THAT WE CAN IMPROVE OUR R F P PROCESS TO MAKE YOU WANT TO BID NEXT TIME? NO, SIR.WE TYPICALLY DON'T REACH BACK OUT AND ASK THEM WHY DIDN'T YOU BID? A LOT OF TIMES THERE ARE, UM, ARE SEVERAL DIFFERENT INTERESTED PARTIES THAT ARE ATTENDING THOSE PRE PRE-SUBMIT CONFERENCES.
UH, SOME OF THEM ARE THOSE THAT ARE INTERESTED IN BEING A PRIME MM-HMM.
AND THEN YOU HAVE OTHER ONES THAT ARE LOOKING FOR PARTNERSHIPS, UM, AS SUBS WITH A PRIME.
WE TYPICALLY DON'T REACH BACK OUT.
AND, UM, GIVEN, GIVEN THE VOLUME, IT MAY BE ADMINISTRATIVE ADMINISTRATIVELY, UM, PROHIBITIVE FOR US TO DO SOME OF THAT AS WELL.
JUST, JUST SOMETHING TO THINK ABOUT, UM, WHAT CAN WE DO BETTER? THAT'S WHAT I'M ALWAYS LOOKING FOR.
WHAT CAN WE DO BETTER? YOU ARE CORRECT, BUT WE ALSO HAD A BID PRE-BID ALMOST WEEKLY.
WE JUST DON'T HAVE THE STAFF TO, IF IT WAS ONE PROJECT, MAYBE PROJECT LIKE THIS, IT MAKES SENSE.
BUT WE HAVE A $130 MILLION MAINTENANCE.
WE ARE ADVERTISING OVER 20 PROJECT.
IF WE DO ON EVERY ONE OF THEM, WE HAVE TO DO ALMOST.
THAT'S WHAT WE HAVE TO DO THEN WE ARE NOT GOING TO BE ABLE TO PAVE YOUR ROADWAY.
WELL, I SAY YOU GOT PLENTY OF MANPOWER.
UM, WE GOT A MOTION AND A SECOND.
UM, ALL THOSE IN FAVOR? ALRIGHT.
LET'S PASS THIS ONE ALONG TO THE FULL COUNCIL.
ALRIGHT, WHAT'S THE NEXT ONE HERE? SO CHAIRMAN, THE NEXT ITEM IS ITEM NUMBER EIGHT.
THIS IS ALSO A POST SOLICITATION BRIEFING, UH, LOOKING TO GET CONSULTANT SERVICES TO HELP US UPDATE OUR, THE CITY'S BI BICYCLE, UH, NETWORK PLAN.
AND TAMIKA MONVILLE, OUR DIRECTOR OF OUR TRANSPORTATION DEPARTMENT, WILL BE DOING THE BRIEFING TODAY.
I'VE SEEN YOU TWICE IN ONE DAY.
TAMIKA MONVILLE, DIRECTOR OF THE TRANSPORTATION DEPARTMENT.
WE'RE EXCITED TO ACTUALLY BRING THIS ONE TO THE COMMITTEE.
THIS IS OUR FIRST SOLICITATION AS A DEPARTMENT, SO THAT'S REALLY EXCITING.
ESSENTIALLY OUR GOAL IS TO ELEVATE THE USE OF OUR BICYCLE INFRASTRUCTURE AND NETWORK HERE IN THE CITY.
AND HOW WE DO THAT IS DEVELOPING A PLAN.
WE HAVE ESTIMATED THE COST OF DOING THAT TO BE $2.7 MILLION.
AND SOME OF THE KEY ELEMENTS OF THIS SOLICITATION AND THE PROPOSALS ARE GOING TO BE THE PROPOSALS THAT WE'VE REVIEWED INCLUDED HEALTH IMPACT ASSESSMENTS AND THE INTEGRATION OF THE HOWARD PEAK GREENWAY NETWORK AND AN IMPLEMENTATION PLAN.
SO AS MANY OF YOU KNOW, WITH OUR BIKE MASTER PLAN THAT WAS COMPLETED IN 2011, THERE WAS ONLY $150,000 ALLOCATED TO IMPLEMENT THAT PLAN.
AND SO THE GOAL OF THIS PLAN IS TO ACTUALLY HAVE A PLAN AND A STRATEGY TO IMPLEMENT THAT WILL INCLUDE FUNDING SOURCES ANNUALLY THAT WE WILL IDENTIFY TO IMPLEMENT WHAT COMES OUT OF THIS EFFORT.
THE DURATION WE ANTICIPATE TO BE APPROXIMATELY TWO YEARS FOR THE FINAL PLAN, BUT THAT DOES NOT MEAN THAT WE WILL NOT BE IMPLEMENTING ELEMENTS OF THAT PLAN THROUGHOUT THIS PERIOD.
AND THANK YOU TO THIS COUNCIL, THIS COMMITTEE AND THE COUNCIL FOR ALLOCATING $10 MILLION IN OUR BOND TO IMPLEMENT WHAT COMES FROM THIS.
SO WE HAVE A S BETA REQUIREMENT OF 17%.
AND I WANNA GET TO THE REALLY IMPORTANT ASPECTS OF THIS IS THAT WE REALLY DID GO DEEP IN IDENTIFYING THE POTENTIAL FIRMS WHO COULD SUPPORT US IN COMPLETING ALL OF THE EFFORTS ASSOCIATED WITH THIS.
AND AT THE PRE-SUBMIT SUBMITTAL CONFERENCE, WE HAD 24 VENDORS.
AND PIGGYBACKING OFF OF TROY'S EXPLANATION OF THE NUMBER OF VENDORS, MOST OF THOSE VENDORS WERE EITHER PARTNERS TO OR SUBCONTRACTORS SUB CONSULTS.
AS A PART OF THOSE PROPOSALS THAT WE WERE REVIEWED, WE HAD SIX PROPOSALS RECEIVED.
AND THE ONE RESPONDENT WAS DEEMED NON-RESPONSIVE FOR FAILURE TO MEET THE SUB SUBCONTRACTING REQUIREMENTS.
AND WE ARE REALLY EXCITED ABOUT THE FIRMS WHO PROPOSED.
ALL OF THEM WERE GREAT, ALL OF THEM UNDERSTOOD OUR VISION, UNDERSTOOD THE CITY'S PRIORITIES, THEY UNDERSTOOD OUR EXISTING CONDITIONS IN TERMS OF PEDESTRIAN AND BICYCLIST FATALITIES AND THE IMPORTANCE OF HAVING A PROTECTED NETWORK AND FACILITIES FOR BICYCLISTS AND, AND PEOPLE HOW THEY WANT TO MOVE.
SO WITH THAT, WE RECOMMENDED A AFFIRM THAT WE HOPE TO, UPON YOUR APPROVAL, PRESENT TO
[00:15:01]
THE COUNCIL TO SUPPORT US IN MEETING THE GOALS, MOBILITY GOALS OF THE CITY.AND WITH THAT, THAT CONCLUDES MY PRESENTATION AND I'LL TAKE ANY QUESTIONS.
UM, I HAVE A COUPLE OF 'EM HERE.
I'M LOOKING AT YOUR INITIAL EVALUATION AND THEN ON YOUR RECOMMENDED AWARD.
UM, UH, EXPLAIN TO ME WHY THE, THE LARGE SWINGS OF, UH, UNDER YOUR SUBTOTAL IN THE BEGINNING, BECAUSE, UM, VENDOR C HAD 63, UM, VENDOR B HAD 67 AND UM, YEAH, THE NUMBERS WENT A LITTLE BIT WEIRD ON THE FINAL.
SO WHEN YOU SAY WEIRD, WHAT DO YOU MEAN WEIRD? UH, WELL, I MEAN, YOU HAD, UM, FOR THE TOTAL VENDOR A HAD 73 AND A HALF POINTS UNDER YOUR INITIAL EVALUATION.
VENDOR B HAD 67 AND A HALF AND VENDOR C 63.67 AND UH, UH, IT, IT CHANGED UNDER YOUR RECOMMENDED AWARD.
BECAUSE THEY HAD AN INTERVIEW.
AND I THINK WHAT'S REALLY IMPORTANT WHEN YOU'RE EVALUATING THESE PROPOSALS, A LOT OF FIRMS JUST WANT TO GET WORK.
SO A LOT OF THE PROPOSALS WE RECEIVED APPEARED TO BE FIRMS THAT JUST WANNA GET WORK.
THEY REALLY DIDN'T INTIMATELY UNDERSTAND WHAT SOME OF OUR CHALLENGES WERE, THE POPULATION.
SOME OF THE THINGS THAT STOOD OUT IN THOSE INTERVIEWS WAS THAT MANY OF THE FIRMS HAD THE CAPABILITY TO PERFORM THIS WORK AND GIVE US A PRODUCT.
BUT REALLY UNDERSTANDING AND TAKING THAT TIME TO UNDERSTAND THE CITY, COME OUT AND MEET WITH A LOT OF THE CONSTITUENT GROUPS WHO WILL BE A PART OF THE DEVELOPMENT OF THE PROGRAM AND OUR STAKEHOLDERS.
YOU COULD REALLY TELL THE DIFFERENCE.
THAT'S WHY IT WAS IMPORTANT TO US TO HAVE A INTERVIEW COMPONENT FOR THIS PARTICULAR SOLICITATION BECAUSE WE HAD AN OPPORTUNITY TO SHARE WITH THOSE INTERVIEWEES WHAT OUR VISION IS FOR THE CITY, WHAT OUR CHALLENGES AND OPPORTUNITIES ARE.
AND WHEN THE TEAMS CAME AND PRESENTED A LOT OF THEM, THEY ALL DID GREAT.
THEY ALL ARE CAPABLE OF DOING THE WORK.
BUT THOSE WHO REALLY UNDERSTOOD SOME OF OUR CHALLENGES, THE FACT THAT WE HAVE A VERY DIVERSE CITY.
WE ARE CHALLENGED IN THAT OUR CITY IS ONE OF THE LARGEST METROPOLITAN AREAS IN THE COUNTRY AND WE DON'T HAVE A ROBUST NETWORK.
AND WE HAVE A DIVERSITY OF INCOMES AND SOCIAL ECONOMIC STANDINGS THAT REALLY MAKE IT CHALLENGING ON THE PUBLIC INVOLVEMENT PIECE.
AND I THINK THAT'S WHERE ONE PARTICULAR TEAM STOOD OUT AND THAT THEY HAVE THE TOOLS AND THEY RECOGNIZE RESPONSE BIAS, WHICH IS SOMETHING WHEN YOU HAVE A HIGH, HIGH POPULATION OF LOW INCOME AND MINORITY COMMUNITIES.
WHEN, WHEN PLANNERS COME OUT SUITED AND BOOTED AT THESE MEETINGS, A LOT OF TIMES LOW INCOME AND MINORITY RESIDENTS FEEL COMPELLED TO TELL THEM WHAT THEY WANT TO HEAR AND NOT REALLY WHAT THEIR NATURAL AND AUTHENTIC EXPERIENCES WHEN THEY'RE TRYING TO CROSS THE STREET ON CULEBRA OR ON Z ZAMORA.
AND THAT WAS SOMETHING THAT STOOD OUT WITH THE FIRM.
WE SELECTED ANOTHER COMPONENT OF OUR EVALUATION AND THE INTERVIEW PROCESS.
THE TEAM THAT WAS SELECTED HAS AN EXTENSIVE HISTORY WORKING WITH TDOT.
AND THAT'S CRITICAL TO US AND OUR SUCCESS AS A REGION AND AS A CITY IS THAT WE HAVE A FIRM THAT UNDERSTANDS THE NUANCES OF THE BROADWAY SITUATION AND HOW DEVELOPING THIS PLAN TO ENSURE THAT WE MEET THE NEEDS OF THOSE WHO WANNA USE CYCLES AND THOSE WHO ARE WALKING OR DRIVING.
AND THE TEAM THAT WE RECOMMENDED REALLY DID SPEAK TO THEIR DEPTH AND BREADTH OF EXPERIENCE WORKING WITH TDOT ON CURRENT PROJECTS AND PAST PROJECTS.
YEAH, I JUST LOOKING AT THE SCORING ON AGAIN, YOUR INITIAL EVALUATION, I WOULD'VE THOUGHT THAT THE TXDOT EXPERIENCE WOULD'VE BEEN COMING OUT AND VENDOR B HAD A HIGHER SCORE THAN VENDOR C UNDER THE SUBTOTAL RIGHT UP FRONT.
AND THAT'S THE IMPORTANCE OF THE INTERVIEW BECAUSE THROUGH THAT PROCESS, YOU KNOW, I ALWAYS TELL MY TEAM, I SAY THEY MAY USE THE A TEAM TO GET YOU AND THEY GONNA DO THE, THE B TEAM TO DO THE WORK AND THEY GONNA PHASE YOU OUT AT THE END OF THAT PERFORMANCE, PERFORMANCE PERIOD WITH THE C TEAM.
SO WE SAW THE A TEAM IN THOSE PROPOSALS, BUT WHEN IT COMES TO THE INTERVIEW, IT'S YOUR ABILITY TO CONVEY THAT WHAT YOU PUT IN THAT PROPOSAL YOU CAN ACTUALLY PRODUCE FOR THE CITIZENS OF SAN ANTONIO.
AND, AND JUST ANOTHER NOTE, UM, THEY DIDN'T GET ANY POINTS FOR LOCAL PREFERENCE OR, UM, YOU KNOW, OUR, OUR SMALL BUSINESS CATEGORIES ON, ON THOSE, THOSE WERE ALL ZERO AND THEY STILL WON.
SO THIS PARTICULAR FIRM, I THINK WHEN WE TALK ABOUT THE LOCAL PREFERENCE, WE LOOK AT THE NUMBER, UM, CORRECT ME, WELL, SMALL BUSINESS, ALL, ALL THE SM THE, THE THREE CATEGORIES OF SMALL BUSINESS, UH,
[00:20:01]
AWARDS THERE.SO THE FIRM THAT WAS SELECTED, I BELIEVE FIRMLY IN ENSURING THAT WE PROVIDE OPPORTUNITY.
AND I WANNA REFERENCE THE NUMBER OF FIRMS WHO RECEIVED THIS SOLICITATION, WHO WERE AWARE OF IT.
ALL SMALL BUSINESSES WHO HAD AN OPPORTUNITY TO COMPETE ON THIS.
I THINK WE HAVE TO START LOOKING AT THE GOOD FAITH EFFORT AND THE EXPERIENCE OF THE FIRMS TO COMPLETE WHAT WE'RE ASKING THEM TO DO.
'CAUSE I PERSONALLY WENT THROUGH ALL OF THE N I G P CODES RELATED TO THIS PARTICULAR SOLICITATION.
SO I BELIEVE THAT THE FIRM, WE DO HAVE SMALL BUSINESSES PARTICIPATING AS SUBS TO THIS PROPOSAL.
ALRIGHT, WE'LL LEAVE IT AT THAT, UH, ABOUT THE SMALL BUSINESS, UH, PORTION ON THIS BECAUSE IF YOU LOOK AT THE RECOMMENDED AWARD VENDOR A ACTUALLY IF YOU WENT WITH THE INITIAL VENDOR A HAD THE, THE AWARD, BUT THAT WAS BASED ON ALL THE SMALL BUSINESS SET ASIDES AND THEN THEY WERE OVERCOME BY VENDOR C WHO HAS NONE ZEROES ON ALL THOSE, BUT THEY STILL PUT A BETTER PROPOSAL TOGETHER.
I WOULD NOT CONCLUDE THAT THEY PUT A BETTER PROPOSAL TO ARE YOU SAYING THE RECOMMENDED FIRM OR THE ORIGINAL FIRM? THE RECOMMENDED.
AT THE END OF THE DAY, IT COMES DOWN TO THAT INTERVIEW AND THEM ARTICULATING THEIR ABILITY TO DO THE WORK AND MEET THE NEEDS.
WE GET A MOTION TO MOVE THIS FORWARD.
ANY FURTHER DISCUSSION? HEARING NONE.
ALRIGHT, WHAT DO WE HAVE NEXT HERE, BEN? SO CHAIRMAN, THIS NEXT ITEM
[Staff Briefing ]
IS JUST A BRIEFING ONLY.WE WOULD LIKE TO DISCUSS WITH THE COMMITTEE SOME POTENTIAL CHANGES TO OUR LOCAL PREFERENCE PROGRAM.
UH, WE TOUCHED ON SOME OF THIS MAYBE A COUPLE OF MEETINGS AGO.
UH, WE TALKED ABOUT THE THRESHOLD THAT WE CAN APPLY UNDER STATE LAW WHEN WE'RE DOING LOW BID CONTRACTS.
AND THEN SINCE THEN THERE HAVE BEEN SOME CHANGES RELATIVE TO HOW WE CAN POTENTIALLY APPLY THIS TO, UH, IN SOME CASES, UH, CONTRACTS THAT ARE BEING FUNDED WITH FEDERAL FUNDS.
SO TROY'S GONNA WALK THROUGH THAT AND WE'VE GOT A COUPLE OF RECOMMENDATIONS THAT WE THINK WILL BE AN ENHANCEMENT TO OUR CURRENT LOCAL PREFERENCE PROGRAM.
I'M THE DEPUTY CHIEF FINANCIAL OFFICER FOR THE CITY.
AS BEN MENTIONED, I'LL BE WALKING THROUGH OUR PROPOSED CHANGES TO THE LOCAL PREFERENCE PROGRAM.
THIS, THESE CHANGES COME IN LIGHT OF SOME OF THE DISCUSSIONS THAT WE'VE BEEN HAVING AS A RESULT OF THE, UM, ZOLA ACCESSORIES CONTRACT.
AND IN THOSE PREVIOUS MEETINGS.
AND AS A RESULT OF THOSE DISCUSSIONS, WE HAD COMMITTED TO COME BACK TO Y'ALL WITH RECOMMENDATIONS TO CHANGING OR ENHANCING THE LOCAL PREFERENCE PROGRAM SPECIFICALLY UNDER WHERE WE CAN UNDER STATE STATUTE.
PROVIDE YOU A LITTLE BIT OF BACKGROUND.
UM, THE LOCAL PREFERENCE PROGRAM.
BASICALLY THE INTENTION OF THE PRO UH, THE LOCAL PREFERENCE PROGRAM IS REALLY TO USE OUR CITY SPENDING POWERS TO MAXIMIZE THE AMOUNT OF RESIDENT TAX DOLLARS THAT STAY HERE LOCALLY IN SAN ANTONIO, UM, FOR THE BENEFIT OF ITS CITIZENS BY UTILIZING ALL AVAILABLE LEGAL OPPORTUNITIES TO CONTRACT WITH LOCAL CITY BUSINESSES.
WE STARTED THIS, UM, WE STARTED THE LOCAL PREFERENCE, UM, PROGRAM BACK IN, UH, MAY 1ST, 2013.
AT THAT TIME, IT WAS SOLELY BASED ON BUSINESSES LOCATED WITHIN THE SAN ANTONIO CITY LIMITS.
IT'S A, CURRENTLY, OUR ORDINANCE APPLIES A 3% PRICE PREFERENCE FOR LOW BID CONTRACTS.
AND THIS WILL BE FOCUSING ON TODAY AS FAR AS WHERE WE CAN EXPAND THAT TO A LARGER PERCENTAGE.
AND FOR AS DISCRETIONARY CONTRACTS, UM, AS WE WERE JUST TALKING ABOUT ON THE LAST SOLICITATION, WE CAN DO 10 POINTS.
IF YOU ARE A LOCAL, HEADQUARTERED, HEADQUARTERED HERE IN SAN ANTONIO AND YOU'VE BEEN HERE HEADQUARTERED FOR ONE YEAR OR MORE, YOU CAN, UM, RECEIVE FIVE POINTS IF YOU ARE NOT HEADQUARTERED, BUT YOU HAVE A, I GUESS A SUBSTANTIAL BUSINESS PRESENCE.
UM, YOU'RE A BIDDER WITH AT LEAST 20% OF EMPLOYEES BASED IN THE CITY, OR YOU HAVE A MINIMUM OF EMPLOYEES, 100 EMPLOYEES THAT WORK IN THE INCORPORATED LIMIT OF THE CITY FOR ONE YEAR OR MORE.
ONCE WE HAD PUT THIS IN PLACE, WERE CERTAIN THINGS THAT, UM, WE DIDN'T GET IT QUITE RIGHT THE FIRST TIME, SO WE CAME BACK TO COUNCIL TO IMPROVE UPON IT AND TO CLOSE A COUPLE OF LOOPHOLES.
SO WE CAME BACK IN DECEMBER OF 2013 AND NOVEMBER, 2014 AND WE PROVIDE SOME CLARIFICATION ON WHEN IT'S APPLICABLE TO GOODS AND NON-PROFESSIONAL SERVICES.
WHEN PRICE IS THE BASIS FOR AWARD.
WE ADDED S UM, IT'S APPLICABLE ONLY TO A FOR-PROFIT BUSINESS.
WHEN WE COME TO Y'ALL COME TO THIS COMMITTEE WITH RECOMMENDATIONS, UM, THERE ARE SEVERAL TIMES THAT IF IT IS A NOT-FOR-PROFIT,
[00:25:02]
THEN THEY'RE NOT ELIGIBLE TO RECEIVE THE PREFERENCE POINTS.UM, WE ALSO CHANGED THAT YOU HAD TO BE A HEADQUARTERED, INCORPORATED THE LIMIT FOR ONE YEAR OR MORE.
AND WE, AT THAT TIME WE EXPANDED THE APPLICATION TO JOINT VENTURES.
THIS IS A SELF-CERTIFICATION PROGRAM, MEANING WE ASKED THEM TO SELF-CERTIFY BEFORE WE ACTUALLY TAKE THE AWARD TO COUNCIL.
I HAVE A TEAM WITHIN FINANCE THAT GOES OUT AND VERIFIES, UM, AND VALIDATES WITH THE COMPANY THEIR, UM, LOCAL, UH, CERTIFICATION AND ENSURES THAT THEY'RE LOCAL BEFORE WE BRING IT TO Y'ALL FOR OUR RECOMMENDATION.
SO THAT'S WHAT WE ACTUALLY CURRENTLY DO.
FROM AN ORDINANCE PERSPECTIVE, THE STATE LAW ACTUALLY ALLOWS US TO EXPAND THAT ON A LOW BID AREA.
UM, WE CAN ACTUALLY GO UP TO 5% PREFERENCE FOR LOW BID CONTRACTS IN, IN LIMITED, BUT IN SPECIFIC AREAS.
SO WE CAN, FOR GOODS, WE CAN APPLY A 5% PREFERENCE UP TO 500,000.
UM, ANYTHING ABOVE 500,000 WOULD RE WOULD, UM, REDUCE DOWN TO 3% FOR NON-PROFESSIONAL SERVICES.
UNDER 500,000, WE CAN EXPAND IT TO 5%.
AND FOR CONSTRUCTION SERVICES, IT'S, UM, IT'S VERY, VERY LIMITED.
IT'S ONLY LESS THAN A HUNDRED THOUSAND DOLLARS AND WE NEVER, TYPICALLY, WE NEVER DO A CONSTRUCTION CONTRACT LESS THAN A HUNDRED THOUSAND DOLLARS.
SO IT'S NOT REALLY EVEN APPLICABLE.
THIS IS JUST, UM, AN EXAMPLE, Y'ALL, I THINK Y'ALL HAVE SEEN THIS BEFORE, WHICH IS KIND OF WALKING THROUGH IT WITH OUR CURRENT 3% ORDINANCE IN PLACE.
THE FIRST SCENARIO BASICALLY HAS A LOCAL BUSINESS WHO PROVIDES A BID OF $1,100.
A NON-LOCAL BUSINESS COMES IN CHEAPER AT A THOUSAND.
SO IN THIS CASE, UNDER OUR, UM, OUR LOCAL, OUR LOCAL PREFERENCE IS GREATER THAN 3% THAT THE ORDINANCE ALLOWS.
SO WE CANNOT GO TO THE LOCAL BUSINESS AND AWARD A CONTRACT.
IT WOULD BE AWARDED TO THE NON-LOCAL BUSINESS.
SCENARIO TWO, THOUGH, IN THE EVENT THAT, UM, WE HAVE A LOCAL BUSINESS WHO COMES IN, WHO IS WITHIN 3% OF THE NON-LOCAL BUSINESS, IN THIS CASE A 15 $1,530 BID AS BEING A LOCAL, A NON-LOCAL BUSINESS COMES IN AT 1500, THEY'RE UNDER THAT 3%, UH, VARIANCE.
WE CAN GO AHEAD AND OVERRIDE THE LOW BID AND GO DIRECTLY TO THE LOCAL BUSINESS BASED ON OUR CURRENT ORDINANCE AT 3%.
JUST SOME SIDE BY SIDE EXAMPLES.
THESE ARE VERY, VERY SIMPLE, BUT I THINK THEY ILLUSTRATE THE ILLUSTRATE WHAT WE'RE TRYING TO ACCOMPLISH HERE.
SO OUR CURRENT CITY ORDINANCE, IT STARTS AT 50,000.
'CAUSE ADMINISTRATIVELY UNDER 50,000, THE VOLUME IS, UM, SOMEWHAT BURDENSOME.
SO ANYTHING ABOVE 50,000 CURRENT ORDINANCE APPLIES 3%.
WHAT WE WOULD BE DOING NOW WITH THIS RECOMMENDATION IS WHERE WE CAN BETWEEN 50,000 AND 500,000 FOR GOODS IS MOVING UP TO FIVE 5%, THEN IT'D BE 3%, UM, ABOVE AND BEYOND 500,000.
AND THAT WOULD BE CONSISTENT WITH, UM, STATE STATUTE.
THE 5% IN THAT NARROW MARGIN DOESN'T SEEM LIKE A LOT, BUT IT ALSO DEPENDS ON HOW WE STRUCTURE OUR BIDS.
BECAUSE OUR BIDS, WE CAN DO LINE ITEM BIDS AND YOU MAY HAVE A BID THAT MAY BE HAVE 50 LINE ITEMS, BUT WE APPLY THIS PREFERENCE ON A LINE ITEM BASIS.
SO WE ACTUALLY BROADEN THE AWARD, UH, THE CONTRACT AWARD BASED ON HOW WE STRUCTURE THE BIDDING NON-PROFESSIONAL SERVICES.
UH, CURRENT CITY ORDINANCE FROM 50,000 TO 500,000, CURRENTLY THREE 3% BASED, UM, IS NOT APPLICABLE AFTER, UM, 500,000 BASED ON STATE STATUTE.
BUT STATE STATUTE DOES GIVE US THE ABILITY TO GO UP TO 500,000 FOR AWARDS UNDER 500,000.
AND THEN AGAIN, IT WOULD NOT BE APPLICABLE ABOVE 500,000.
SO IN BOTH CASES FOR GOODS AND NON-PROFESSIONAL SERVICES, WE'D BE WANTING TO ALIGN WITH THE CURRENT STATE STATUTE.
AS I MENTIONED, CONSTRUCTION SERVICES, I'LL SHOW IT HERE, BUT IT'S REALLY NOT APPLICABLE SINCE WE DON'T HAVE A WHOLE LOT OF CONTRACTS OR ANY CONTRACTS ARE ARE TYPICALLY A HUNDRED THOUSAND DOLLARS, BUT SIMILAR TO NON-PROFESSIONAL SERVICES WOULD BE MOVING TO 5% UNDER A HUNDRED THOUSAND.
UM, IT'S NOT APPLICABLE ABOVE.
NOW, ONE OF THE QUESTIONS YOU MAY ASK IS WHY DID WE START OFF WITH 3% AND WE DIDN'T GO DIRECTLY TO THE, THE 5% AMOUNT.
UM, WE REALLY DIDN'T KNOW WHAT THE IMPACT WAS GONNA BE.
WE DIDN'T HAVE GOOD DATA TO ACTUALLY ASSESS THIS.
AND SO NOW SINCE WE'VE KIND OF BEEN WORKING AT A 3%, WE KNOW WHAT THE IMPACT IS AND WE CAN ALSO GUESS WHAT THE IMPACT'S GONNA BE BY MOVING UP TO A 5%, UM, UH, 5% VARIANCE.
SO THIS GIVES US TO 2021 STATS.
UM, WE ARE CURRENTLY WORKING ON THE 2022 STATS AND WOULD HOPE TO BE ABLE TO SHOW THOSE BY THE TIME WE GO TO COUNCIL AS WE'RE FINISHING UP THE YEAR RIGHT NOW.
BUT THIS HAS THE FOUR CATEGORIES OF GOOD NON-PROFESSIONAL SERVICES, PROFESSIONAL SERVICES, CONSTRUCTION, AND A AND E LOOKING AT NOT TAKING INTO ACCOUNT THE LOCAL PREFERENCE, BUT LOOKING AT THE NUMBER OF AWARDS THAT GO TO A LOCAL ADDRESS.
UM, THAT WEPAY SOMEBODY HERE IN CITY SAN ANTONIO, THERE'S 82 CONTRACTS, UH, MOUNTING TO $92.4 MILLION
[00:30:01]
OUT OF 247 MILLION THAT STAY LOCALLY, THAT ARE PAID TO A LOCAL ADDRESS.OF THAT 82, UM, 82 AWARDS, FIVE OF THE 82 LOCAL CONTRACTS WERE AWARDED DUE TO THE APPLICATION OF LOCAL PREFERENCE.
SO WE ACTUALLY USED THE LOCAL PREFERENCE TO AWARD IT TO FIVE OF THOSE 82 CONTRACTS.
UM, SO THEY WERE NOT THE LOW BIDDER, BUT BASED ON THE THE PREFERENCE PROGRAM, THEY WON IT AS A RESULT OF LOCAL PREFERENCE.
THIS RESULTED IN $13.2 MILLION IN ADDITIONAL AWARDS STAYING HERE LOCALLY AND AN ADDITIONAL COST OF $54,000.
SIMILARLY, ON PROFESSIONAL SERVICES, WE AWARDED 112 LOCAL CONTRACTS FOR $44.1 MILLION FOR ROUGHLY 65% OF THE TOTALS BEEN FOR THAT CATEGORY.
UM, THAT'S A HUNDRED, THAT'S 44.1 OUT, 68.4 MILLION OUT OF THAT 112.
SIMILAR TO THE DISCUSSION I JUST HAD ON GOODS.
12 OF THE 112 LOCAL CONTRACTS WERE AWARDED DUE TO THE APPLICATION OF LOCAL PREFERENCE PROGRAM, ROUGHLY IN THE AMOUNT OF $7.2 MILLION.
ALL THESE ARE, UM, FOR AMOUNTS AND ABOVE AND BEYOND $50,000.
SO LOCAL PREFERENCE IS REALLY APPLICABLE TO GOODS AND NON-PROFESSIONAL SERVICES AND PROFESSIONAL SERVICES.
I THINK THE LAST TIME WE PRESENTED THIS, Y'ALL HAD ALSO ASKED FOR CONSTRUCTION A AND E.
SO WE'VE INCLUDED THOSE HERE FOR Y'ALL'S Y'ALL'S REFERENCE, UH, FOR CONSTRUCTION, 53 OF THE CONTRACTS WE LET WENT TO A LOCAL ADDRESS, ROUGHLY 183.6 MILLION OUT OF THE 277 MILLION TOTAL.
AND FOR A AND E 32, UM, 11.6 MILLION HAVE A TOTAL OF 20.4 MILLION.
THIS REAL QUICKLY, UM, THIS IS THE IMPACT OF OUR PROGRAM.
IT ACTUALLY IS, UM, ON THE LOW BID SIDE, UM, UNDER THE 3% AND ADDITIONAL COST OF $54 MILLION LEVERAGES AN ADDITIONAL $13.2 MILLION IN CONTRACT AWARD THAT STAYS HERE LOCALLY.
IF WE MOVE TO THE 5%, WE WOULD HAVE, BASED ON THE THE CURRENT DATA LOOKING AT 2021, WE'D HAVE AN ADDITIONAL COST OF 24 MILLION, WHICH WOULD LEVERAGE AN ADDITIONAL 13.8 MILLION AWARD STAYING HERE LOCALLY, ROUGHLY 27 MILLION TOTAL.
I THINK YOU MEANT THOUSAND THOUSANDS.
YEAH, SO IT'S, IT'S AN ADDITIONAL COST OF 54,000 FOR US UNDER THE 3% IMPACT.
BUT THAT ALLOWED US TO AWARD $13.2 MILLION TO LOCAL COMPANIES THAT WOULD'VE OTHERWISE GONE TO NON-LOCAL COMPANIES.
SO PRETTY SMALL IMPACT TO US, BUT KEPT $13.2 MILLION IN CONTRACT HERE.
IF WE WENT TO THE 5%, WE COULD PICK UP ANOTHER $13.8 MILLION IN CONTRACTS THAT WOULD'VE STAYED HERE FOR AN INCREMENTAL COST OF 24,000.
IT'S A PRETTY, PRETTY MINIMAL COST TO OUR BUDGET.
AND TYPICALLY, WHEN WE TALK ABOUT THE, THE THREE AND THE 5%, WHERE THIS IS PRIMARILY IMPACTING FROM A GOOD STANDPOINT IS IN WE'RE LOOKING AT, WE'VE AWARDED FOR AGGRESSIVE, AGGRESSIVE DRIVING PROGRAM VEHICLES, UM, SUVS, PURCHASE OF SUVS AND VANS AND LIGHT DUTY TRUCKS.
'CAUSE THE MARGINS ARE SO NARROW ON, UM, VEHICLES, THAT'S TYPICALLY WHERE WE SEE THE GREATEST IMPACT FROM A, UM, A LOCAL PREFERENCE, UM, BECAUSE OF LOCAL PREFERENCE.
I MEAN, ANECDOTALLY WE'VE HAD A LOT OF VENDORS WHO WE USED TO DO BUSINESS OUT OF HOUSTON, UM, THAT HAS NOW SHIFTED TO SAN ANTONIO, WHERE HISTORICALLY WE'VE SEEN THAT GOING OUTSIDE OF THE CITY OF SAN ANTONIO BY MOVING INTO THE 5%.
THERE WAS A COUPLE OF OTHER CATEGORIES THAT, UM, WOULD BE ADDED TO ABOVE AND BEYOND VEHICLES, LOOKING AT THAT 5% AND THAT $13.8 MILLION THAT, UM, WOULD'VE BEEN AWARDED IF THIS HAD BEEN IN PLACE, THAT WOULD'VE BEEN AWARDED FOR CRACK SEALANTS, LUBRICANT LUBRICANTS, LANDSCAPING EQUIPMENT, FOUR BY FOUR UTILITY TRAILERS AND LIGHT DUTY TRUCKS AND VEHICLES.
SO IT EXPANDED IT A LITTLE BIT MORE ABOVE AND BEYOND WHAT WE DO TODAY.
CURRENTLY UNDER OUR LOCAL PREFERENCE PROGRAM.
THERE ARE SEVERAL EXCEPTIONS IN THERE, AND WE'RE GONNA BE LOOKING AT SPECIFICALLY FEDERALLY FUNDED, UH, PROGRAMS THAT HAVE BEEN MENTIONED IN THE BEGINNING AS FAR AS PROVIDING THAT ADDITIONAL FLEXIBILITY AND TALK MORE ABOUT THAT ON THE, UM, NEXT SLIDE.
BUT THE CURRENT PREFERENCE PROGRAM HAS AN EXCEPTION FOR FEDERALLY FUNDED PROGRAMS. HISTORICALLY, WHEN WE WORKED WITH FEDERAL PROGRAMS, THEY HAVE NOT ALLOWED A GEOGRAPHICAL PREFERENCE.
UM, AND SO IT WAS BASICALLY, UM, MEMORIALIZED IN OUR ORDINANCE AS AN EXCEPTION.
THE STATE STATUTE ALSO DOES NOT ALLOW THE PURCHASE OF TELECOMMUNICATION OR INFORMATION SERVICES WITH A LOCAL PREFERENCE.
UM, THERE'S ALSO SOME FLEXIBILITY IN THE ORDINANCE THAT GIVES COUNCIL AT THE RECOMMENDATION OF, UM, CITY STAFF THAT IF Y'ALL DEEM IT NOT TO BE IN THE BEST INTEREST, THEN Y'ALL CAN WAIVE THE LOCAL PREFERENCE.
UM, UM, WHERE Y'ALL THINK THAT'S IN THE BEST INTEREST OF THE CITY.
AND AS I MENTIONED EARLIER, FOR GOODS UNDER $50,000 IN NON-PROFESSIONAL SERVICES UNDER 50,000, UM, IT'S AN EXCEPTION AND WE DO NOT APPLY IT.
[00:35:01]
SO, AS I MENTIONED, WE ARE ASKING TO REALLY PROVIDE SOME MORE FLEXIBILITY WITH FEDERALLY FUNDED PRAC, UH, FEDERALLY FUNDED CONTRACTS.UM, THE CURRENT ORDINANCE, AS I MENTIONED, EXCLUDES THE APPLICATION OF, UM, LOCAL PREFERENCE THAT ARE FUNDED IN WHOLE ON PART BY THE FEDERAL GOVERNMENT OR WHERE THE CON THE CITY ACTS AS A CONDUIT FOR FEDERAL MONEY OR PASS THROUGH MONEY.
WHAT WE'VE BEEN SEEING HERE LATELY, AND AND MORE SPECIFICALLY WITH ARPA, IS THAT ARPA HAS PROVIDED SOME ADDITIONAL FLEXIBILITY BASED ON SOME OF THE CURRENT GUIDELINES AND THE CHANGES WE'VE SEEN TO ACTUALLY NOW BE ABLE TO APPLY A GEOGRAPHICAL PREFERENCE.
SO BECAUSE NOW WE'RE STARTING TO SEE FEDERAL PROGRAMS STARTING TO ALL ALLOW THAT, UH, ALLOW THAT, WE WANTED TO AMEND THE ORDINANCE TO PROVIDE THAT FLEXIBILITY WHERE WE CAN, WE CAN WORK WITH THOSE FEDERAL, FEDERAL GRANTOR AGENCIES AND, UM, WITH THEIR PERMISSION WE'LL START APPLYING THOSE GEOGRAPHICAL PREFERENCES.
SO WE WOULD ASK TO AMEND THE ORDINANCE TO, UM, PROVIDE THAT FLEXIBILITY.
SO AS I MENTIONED, JUST IN SUMMARY, UM, MOVING FROM A 3% TO A 5%, UH, TO LINE WITH STATE STATUTE FOR LOW BID CONTRACTS AND THEN PROVIDE THAT FLEXIBILITY WITH, UM, FEDERALLY FUNDED CONTRACTS.
UM, YOU KNOW, WE'RE HAPPY TO ANSWER ANY QUESTIONS Y'ALL HAVE AND HOPE TO MOVE THIS TO FULL CITY COUNCIL FOR, UM, FOR APPROVAL.
UM, I, WE'VE DISCUSSED THIS SEVERAL TIMES AND I'M ALL FOR IT.
UM, MOVING THIS FORWARD TO COUNCIL, UM, YOU KNOW, I I SEE POSITIVE, UH, IMPACTS NOTHING NEGATIVE IN THIS AND I, I, I'M, I'M ALL FOR IT, SIR.
I SAW SOMETHING JUMP OUT THAT WE HAD RESTRICTED FOR PROFIT AND NONPROFITS FOR.
IS THAT STILL PROPOSAL? YES, SIR.
WE, UM, WHEN WE WENT THROUGH THIS, UM, WE ENGAGED A, UM, THROUGH THE SMALL BUSINESS OFFICE, ENGAGED A, AN ATTORNEY WHO WAS AN EXPERT IN PUTTING THESE TYPE OF PROGRAMS TOGETHER.
'CAUSE WE WANTED TO MAKE SURE THAT WE WERE NOT, UM, MISSING ANYTHING WHEN WE CAME BACK TO COUNCIL.
AND IN WORKING WITH HIM AND BASED ON HIS EXPERIENCE AND IN CONSULTING WITH HIM, NONPROFITS HAVE AN ADVANTAGE OVER FOR-PROFITS BECAUSE THAT YOU TYPICALLY DON'T SEE THAT, UM, THAT IN PREFERENCE PROGRAMS. IT'S ALSO, I BELIEVE, NOT IN OUR EDTA PROGRAM AS WELL.
SO IT ALIGNS WITH OUR EDTA PROGRAM FOR NONPROFITS.
SO I'LL, I I I TAKE ISSUE WITH WHETHER OR NOT THEY HAVE AN ADVANTAGE.
I HAVE A FEELING EVERY NONPROFIT WILL TELL YOU THAT THEY'VE, THEY'RE AT A DISADVANTAGE COMPARED TO FOR-PROFITS, RIGHT? UM, UH, IS THERE A LEGAL RESTRICTION TO US, INCLUDING NONPROFITS IN THIS? NO.
I'D LIKE TO SEE NONPROFITS INCLUDED, AND I'LL GIVE YOU AN EXAMPLE OF WHERE WE'VE STUMBLED ON THIS, RIGHT? I MEAN, GOODWILL INDUSTRIES EMPLOYS HOMELESS MEN AND WOMEN RIGHT? AND GIVES THEM JOBS AND THEY HAVE A VERY ROBUST, UM, CONTRACTING BUSINESS FOR, UH, LANDSCAPING, RIGHT? THEY'LL NEVER BE ABLE TO BID ON OUR PROJECTS.
UH, AND, YOU KNOW, AND, AND COMPETE, UM, MEALS ON WHEELS, FOR EXAMPLE.
WE, YOU REMEMBER LAST YEAR I THINK, OR THE YEAR BEFORE, WE HAD A BIG FLARE UP AND SHIRLEY GONZALEZ WAS DEMONIZING NON-PROFITS
UM, I MEAN, THE JOBS ARE LOCAL, THEY'RE EXCELLENT JOBS.
UM, THE MONEY STAYS LOCALLY, IT STILL CIRCULATES THROUGH THE ECONOMY, SO THEY DON'T PAY TAXES.
BUT AT THE SAME TIME, YOU KNOW, THEY, THEY PROVIDE ESSENTIAL SERVICES TO THE VULNERABLE POPULATIONS.
AND SO I THINK THAT EXCLUDING THEM IS, IS A MISTAKEN ALL RESPECT TO THE ATTORNEY YOU GUYS HIRED, IF THERE'S NO LEGAL RESTRICTION TO DOING THIS.
UM, I MEAN, WE'VE GOT A NONPROFIT INDUSTRY THAT IS CREATING LEGITIMATE JOBS HERE AND, UH, I I, I DON'T SEE THE LOGIC IN EXCLUDING THEM.
AND SO, YOU KNOW, WHEN THE TIME COMES FOR US TO TAKE THIS TO A SESSION, UNLESS, YOU KNOW, UNLESS LEGAL FINDS A RESTRICTION THAT YOU KNOW Y'ALL DON'T KNOW ABOUT RIGHT NOW, I, I, I MEAN, I'LL BE MAKING A MOTION TO INCLUDE NONPROFITS.
THAT BRINGS UP A GREAT DISCUSSION BECAUSE I, I, I LOOK AT IT ON THE OTHER, OTHER SIDE, UH, AND YOU BROUGHT UP MEALS ON WHEELS.
UM, THE CITY PROVIDES DOLLARS TO MEALS ON WHEELS.
AND THAT THEN GIVES THEM AN ADVANTAGE OVER FOR-PROFIT THAT THEY DON'T GET ANY MONEY FROM THE CITY FOR GRANTS OR DELEGATE AGENCIES OR ANYTHING LIKE THAT, BUT YET THEY CAN STILL BID ON CITY CONTRACTS.
SO I I, THIS I, I SEE IT FROM THE OTHER END ALSO, WHERE THEY ARE, THEY ARE AT AN ADVANTAGE OVER FOR PROFIT BECAUSE THEY DO GET OTHER, UM, TAX BREAKS.
[00:40:01]
THEY GET, UH, THEY'RE ELIGIBLE FOR GRANTS FROM THE CITY, THAT KIND OF THING.UH, SO I, I SEE IT FROM THE OTHER SIDE AS WELL.
AND SO THIS IS, THIS IS JUST FOR BRIEFING, RIGHT? UH, YES SIR.
I THINK OUR PLAN AT THIS POINT IS TO, AND I WAS JUST TRYING TO LOOK AT THE DATE.
UH, WE HAVE A B SESSION SCHEDULED ON OCTOBER 18TH.
WE'RE GONNA COVER A COUPLE THINGS THAT DAY WITH YOU TO INCLUDE, UM, RESULTS OF THE MASS SELECTION FOR THE 2022 BOND PROGRAM.
TROY'S GONNA SHARE WITH YOU THE FORECAST OF HIGH PROFILE SOLICITATIONS, AND THEN WE WERE GONNA BRIEF THIS ITEM AS WELL, SO WE CAN INCLUDE THAT AS A YEAH.
A DISCUSSION ITEM AS PART OF THAT AGENDA.
UM, AND WHILE I'VE GOT THE OPPORTUNITY, I'LL, I'LL ALSO MENTION WE WANNA TALK WITH Y'ALL ON THE, ON THAT DATE, UM, ABOUT LOOKING AT THE DEFINITION OF HIGH PROFILE, NOT NECESSARILY CHANGING THE, THE, THE ORDINANCE, BUT MORE THE PROCESS OF WHAT COMES THROUGH THE AUDIT COMMITTEE VERSUS WHAT MIGHT BE ABLE TO GO STRAIGHT TO COUNCIL.
I THINK YOU ALL HAVE PROBABLY SEEN OVER THE PAST YEAR AS WE PUT THE CONSENT AGENDA TOGETHER, THERE ARE A LOT OF THINGS THAT, THAT, THAT, THAT TRIGGER THAT HIGH PROFILE DESIGNATION THAT ARE PRETTY ROUTINE, UM, THAT WE THINK WE CAN WORK DIRECTLY AND TAKE THOSE TO COUNCIL.
KEVIN AND HIS TEAM WOULD STILL DO THE, THE DUE DILIGENCE AROUND ALL OF THE REQUIREMENTS ON HIGH PROFILE.
BUT WE, WE'VE GOT A COUPLE OF THOUGHTS WE'D LIKE TO SHARE WITH YOU AT THAT B SESSION AS WELL.
CAN YOU CLARIFY THIS FOR ME? UM, SO THE 13.2 MILLION IS UNDER THE CURRENT 3% WE WOULD, SO THE ADDING THE FIVE OR CHANGING IT TO 5% WOULD MAKE IT SO THAT THE AWARD VALUE WOULD NEARLY DOUBLE.
SO THAT WOULD BE AN ADDITIONAL 13.8 MILLION.
SO WE'RE LOOKING AT A SIGNIFICANT INCREASE.
THAT'D BE ADDITIONAL THAT WE WOULD CAPTURE.
AND I THINK, UM, YOU KNOW, WHAT IT, WHAT WASN'T BROUGHT UP DURING THIS IS, UH, I THINK WE HAD A DISCUSSION, A, I MEAN, IT WAS SEVERAL MONTHS AGO, RIGHT? ABOUT A CONTRACT.
AND THIS WAS BROUGHT UP AS A REASON WHY, UM, A CERTAIN INDIVIDUAL DIDN'T GET THE CONTRACT, EVEN THOUGH THEY WERE LOCAL AND THEY HAD HAD THE CONTRACT PREVIOUSLY.
AND WE ASKED YOU TO COME BACK WITH, UH, POTENTIAL CHANGES TO THE ORDINANCE.
AND I REALLY APPRECIATE THAT Y'ALL DID IT SO QUICKLY AND LIKE GOT THESE NUMBERS FOR US.
'CAUSE I REMEMBER THIS WAS ALSO SOMETHING THAT WE ASKED WAS, YOU KNOW, WHAT WOULD BE THE IMPACT IF WE CHANGE IT TO 5%? SO I THINK THIS IS A VERY CLEAR EXAMPLE OF, YOU KNOW, A, A PROBLEM HAD BEEN IDENTIFIED.
WE DISCUSSED IT AS A, AS A COMMITTEE, AND YOU COME BACK WITH A RECOMMENDATION AND WE'RE GONNA SEE THAT IF AND WHEN THIS IS, THIS COMES TO FULL COUNSEL AND GETS APPROVED, I THINK THERE'S GONNA BE A SUBSTANTIAL IMPACT TO OUR COMMUNITY AND TO OUR SMALL BUSINESS COMMUNITY.
WELL, THIS WAS ONLY A BRIEFING.
UM, IS THAT ALL THAT Y'ALL WANTED TO TALK ABOUT TODAY? YES, SIR.
THAT IS EVERYTHING ON THE AGENDA FOR THIS AFTERNOON.
UH, KEVIN, DID YOU HAVE ANYTHING YOU WANTED TO TALK ABOUT? UH, JUST ONE COMMENT TO PIGGYBACK ON TROY'S, UH, PRESENTATION, THE LOCAL PREFERENCE PROGRAM IS SOMETHING THAT WE DO AUDIT ON A REGULAR BASIS.
IT'S ACTUALLY ON OUR 2023 AUDIT PLAN.
AND SO WE'LL BE LOOKING AT THAT HERE SHORTLY, JUST THE EXECUTION OF, OF THE PROGRAMS, UH, TO ENSURE THAT THEY ARE WORKING AS ADVERTISED.
I WAS JUST GONNA ADD ONE OTHER COMMENT.
UH, KELSEY MCKEE RODRIGUEZ, YOU, YOU BROUGHT UP THE POINT ABOUT, YOU KNOW, THE IMPACT AND, UM, TROY WAS REMINDING ME TOO, I THINK HE AND HIS TEAM HAVE DONE A GREAT JOB OF TRULY TRYING TO DE-BONE CONTRACTS AND HE MENTIONED THE LINE ITEM, UH, POTENTIAL FOR AWARDING AT THE LINE ITEM LEVEL.
UM, YOU KNOW, I THINK THIS IS AN ESTIMATED POTENTIAL IMPACT GOING FORWARD.
WE HOPE THAT IT'S GONNA BE BIGGER 'CAUSE AS HE DOES, AS HE AND HIS TEAM DO THOSE BIDS IN THE FUTURE.
AS WE START TO UNBUNDLE THINGS MORE, UH, SMALLER PACKAGES, LINE ITEMS THAT REALLY GIVES BUSINESSES AN OPPORTUNITY TO, TO LOCAL BUSINESSES A BETTER, I THINK, OPPORTUNITY TO GET THOSE BIDS.
AND THEN THAT THRESHOLD GOING FROM THREE TO FIVE GIVES IT A LITTLE BIT WIDER MARGIN.
SO, UM, HOPEFULLY WE CAN OUTPERFORM WHAT WE SHOWED YOU TODAY.
THAT WOULD BE OUR GOAL ON THAT ISSUE OF DB BUNDLING.
I WOULD APPRECIATE IF YOU WOULD, UM, UH, IF I COULD MAKE A CONNECTION BETWEEN YOU AND THE FAIR CONTRACTING COALITION.
I KNOW THERE, IT'S AN ISSUE THAT'S VERY IMPORTANT TO THEM AND I WOULD LIKE TO SEE, I WOULD, I WOULD LIKE TO SEE, UH, HOW THEIR IMPACT MIGHT WEIGH IN THE DECISION MAKING PROCESS THERE.
I THINK WE'VE HAD CONVERSATIONS, UH, MANY CONVERSATIONS ABOUT THAT IN THE PAST.
HAPPY TO CONTINUE TALKING WITH THEM ABOUT THAT.
YEAH, I, I REALLY LIKE THAT TABLE SHOWING ALL THE, THE, UH, DOLLAR AMOUNTS AND WHAT THE IMPACTS ARE ON GOING LOCAL VERSUS NON-LOCAL.
WELL, I DON'T HAVE ANYTHING ELSE.
Y'ALL GOT ANYTHING ELSE? ALRIGHT, GREAT.
[00:45:01]
LET'S, UH, ADJOURN THIS MEETING.