HUB Outreach Meeting Minority Chambers of Commerce Thursday, June 9, 2016

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Gilbert Sutton
5 years ago
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1 HUB Outreach Meeting Minority Chambers of Commerce Thursday, June 9, 2016 These notes are not intended to be a complete transcript, but a general outline of the speakers major points. If anything pertinent was missed, please let us know so we can revise to include. Thank you. Summary of Participant s Feedback Trustees Saldaña and Cowan were acknowledged. Attendees included representatives from BIG Austin, Texas Association of African American Chambers of Commerce, Greater Austin Hispanic Chamber of Commerce, Greater Austin African American Chamber of Commerce. It was explained that this is not the only opportunity to have input. Participants were urged to send the link to their memberships and boards of directors. The survey closes July 1, General Comments: This is a critical first step for AISD. Upcoming HUB Networking event is on June 25, 10 a.m. 1 p.m., at the Performing Arts Center. o Upcoming projects worth millions of dollars will be presented. Sanctions are necessary. o If you fail to meet the HUB goal or Good Faith Effort (GFE) primes should not be allowed to keep bidding o GFE is porous o 1.3% goal for Black-owned business without expanded (larger) goal to drive growth. The low availability reflects the lack of opportunity How do you partner with a Chamber to help firms grow? o If you allow for expanding to Dallas, Houston and San Antonio you could increase African American utilization rates. o Houston put a damper on participation because of localization with the Houston First program. Are you accepting other certifications? o AISD is accepting State and City of Austin (COA) certifications. Conduct GFE Audit of firms that are not meeting goals. o In private sector there is payment or bonuses tied to meeting goals. o Performance evaluation is needed. Rotation of vendors helps to not use the same ones Outreach is needed early and often not just an blast Performance metrics are needed AISD s resources are strained. Outreach is a challenge. We need you (chambers) to help us extend the reach. Chambers will help We do not have to be reactionary. Outreach should be ongoing The Community Bond Oversight Committee (CBOC) has vacancies. We need the community to serve We need to go to the community to engage

2 AISD needs to guard against institutional inertia. There are people who have their eyes on the upcoming (bonds?) (work?) Do not let any contracts unless there are strategic partnerships for participation How do I get certified when I need help to just be a sub? Consistent communication is critical. Regular workshops. Example: Meet every first Tuesday at the library Consistent, frequent contact and presence in specialty (minority) media and social media Chambers are willing to help with businesses GFE is defined by the federal court AISD is putting the plans in plan rooms and bringing primes to meet HUBs Croson is the federal standard but it was crafted by the plaintiff so you have to prove certification. The numbers in the marketplace reflect the inequity At the HUB community meetings people were very encouraged that we are moving in the direction of a formal program and have completed a Disparity Study People are happy that we are having a goals-based program. We are just starting to rebuild trust You have to go to them to re-build trust Small firms do not have time to meet during the day The community wants a HUB Director with the right skills HUB coordinator must be able to help score contracts. This is important for them to understand the firms that are bidding Rotation is very important. You get three bids a year The HUB is ranked lower and does not get a turn Rotation is good for transparency Have you done benchmarking w/dallas ISD and Houston ISD? AISD has Un-bundling is important AISD has been looking into ROCIP (Rolling Owner Controlled Insurance Program) for the next bond program Herman Ross of National Insurance provides ROCIP The CBOC has been a proponent of ROCIP Low balling is an issue low bids that increase via change orders We host the multi-ethnic chamber alliance and help businesses build outreach programs How does AISD get on your agenda? The chambers have the same struggles. Having the same event consistently the same time each year. For example on 6/30 we are having a construction expo at the Bob Bullock Museum on a $1B State project Anytime we can pull you in to one of our events or annual meetings is good Why do we have to replicate? A mini-version of AISD Up Close for HUBs We (the chambers) would like for the relationship to be with AISD that if we refer you to a consultant we have considered your needs and vetted them Even when HUBs get a contract they need help getting ready for it. BIG Austin gives loans The sub is last to be paid but first on the job Thanks. This can be positive. We do not have a lot of resources Latina MWBEs go out and get more people certified and in the pipeline 2

3 AISD is working on the other side to make it easier to work for us Move outside the box and be forward thinkers Let the program be a model Do not confine yourself to what you see now. Do not necessarily benchmark against Dallas ISD The firms getting 98% of the business do not mind the low participation. There will be pushback These people pay taxes and have virtually no opportunity to participate Have a plan for the pushback Rebuild the trust of the community AISD board is having discussions about equity. The data and Disparity Study shows AISD has been a passive participant in discrimination Posted Notes: HUB Goals Inability of firms to participate leads to small numbers Drive growth and development of businesses How to partner with chambers to increase numbers and growth? Expand geography to increase goal such as Dallas, San Antonio, Houston (Houston First limits participation) Define geography Certification could include firms with home office outside of Texas but with local offices Mentoring to become a prime is important Consistent training, information about certification 101; frequent communications and use of specialized (minority) media Need to regain trust with District HUB director should score responses Scoring should not consider past experience with district (points should not be awarded for past work) Rotation (3 bids per year then roll off) Project Managers (PMs) must be evaluated on HUB goals De-bundling contracts Increase number of insurance providers Good Faith Effort (GFE) Fines, performance evaluations Incentives for participation Accountability is critical Not just s to engage HUBs, hold meetings Participation is built into the contract. Partnerships are required Sanctions It should cost you if you don t perform Change orders/low ball offers Build legal department Other Issues 3

4 Rotation of vendors Outreach expectations must be clear o Need partnership to extend reach to HUB firms o ID networks; African American leaders, etc. o Build relationships before issues occur o Recruit for CBOC positions o Equity Committee o Speak to the full School Board o Connect with SMBR certification Increase PR effort about current HUB successes Transparency in the process is critical Participation in AISD Up Close Use chambers to pre-vet HUBs BIG Austin gives loans so the HUB can perform: Contract as collateral Quick Pay, streamlined process is in place Communicate needs with organizations Go beyond the box; be a model program Tax payers need Return on Investment Plan for pushback Call to action: Invite chamber members to CBOC, Equity Committee, Board meetings Repair trust 4

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AUSTIN INDEPENDENT SCHOOL DISTRICT

AUSTIN INDEPENDENT SCHOOL DISTRICT Historically Underutilized Business (HUB) Program Professional Services Compliance Guidelines Project Number: 18RFQ060 Project Name: Bond Program Management Full or Phase 1 Modernization Projects Advertisement/Solicitation