Improving Diversity in Washington State Business Contracts and Procurement
The Washington State Business Diversity Subcabinet is focused on enhancing diversity in state contracting and procurement. They aim to increase utilization of minority-owned, women-owned, and veteran-owned businesses by setting ambitious goals and implementing various initiatives. The subcabinet is actively engaged in clarifying legal frameworks, developing tools to foster diversity and inclusion culture, and conducting a statewide Disparity Study to address disparities in contracting.
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Washington State Business Diversity Subcabinet Improving Diversity in State Contracting and Procurement Capital Projects Advisory Review Board (CPARB) September 8, 2016
Governors 2017 Goals: Minority-owned businesses: 10.0% Women-owned businesses: 6.0% Veteran-owned businesses: 5.0% State utilization FY 2015: Minority-owned businesses: 1.7% Women-owned businesses: 1.0% Veteran-owned businesses: 0.16% Washington State Business Diversity Subcabinet 2
Business Diversity Subcabinet Dept. of Transportation, Roger Millar Together represent more than 2/3 of state spending Dept. of Social and Health Services, Pat Lashway Health Care Authority, Dorothy Teeter Dept. of Enterprise Services, Chris Liu Dept. of Corrections, Dick Morgan Community of practice Dept. of Labor & Industries, Joel Sacks Dept. of Veteran Affairs, Alfie Alvarado-Ramos Community transparency, reporting and communication Office of Minority & Women s Enterprises, Teresa Berntsen Commission on African American Affairs, Ed Prince Commission on Asian Pacific American Affairs, Michael Itti Commission on Hispanic Affairs, Uriel Iniguez Single source legal counsel Attorney General s Office, Laura Watson Governor s Office representative(s) Washington State Business Diversity Subcabinet 3
Current Activities Work toward a comprehensive list of meaningful measures instead of the current practice of relying on a single number Clarify legal framework: The Subcabinet requested a formal AG opinion on RCW 49.60.400 (I-200) Technical Assistance OMWBE review of its certification process Working to implement changes that do not require update to OMWBE s state rules (estimate completed Nov. 2016) Public comment for proposed updates to rules (estimate Oct. 2016) Washington State Business Diversity Subcabinet 4
Current Activities Develop tools and practices to assist in fostering diversity/inclusion culture Community of Practice: Launching forums, a website, and virtual community Launching first set of tools: Lead time and notification; empowerment; OMWBE tools; and race and gender neutral strategies for business assistance. Second set of tools: Inclusion plan guidance, templates, and contract language. Washington State Business Diversity Subcabinet 5
Washington Statewide Disparity Study Worked with advisory group to develop recommendations on study scope and approach. Tapped expertise of nationally recognized disparity study expert, Dr. Samuel Myers of University of Minnesota in developing Request for Proposals (RFP) for the study. Selected apparent successful bidder and in the process of executing a contract. Contractor anticipated to be hired and start performing work Fall 2016. Washington State Business Diversity Subcabinet 6
WA Disparity Study Details Does not duplicate WSDOT disparity study Includes 30 or so agencies, covering 80+% of state contract spend + UW and CWU Most categories of goods and services and non-transportation public works construction Will include 2nd tier spend (subcontractors) where feasible. Washington State Business Diversity Subcabinet 7
How does the state study differ from WSDOT s study? State WSDOT Purpose Legal requirement Governor s commitment Scope State contracting Transportation contracting Analyzing M/WBE and Veterans DBE and M/WBE Outcome Contingent upon results Contingent upon results Status Contract negotiation Data collection and analysis Washington State Business Diversity Subcabinet 8
Thank you Regular Subcabinet and State Disparity Study updates available: http://bitly.com/WAbizDiversity Subcabinet Contact Information: BusinessDiversity@des.wa.gov WSDOT Disparity Study: DisparityStudy@wsdot.wa.gov 9
