Philadelphia, May 23, 2011 – The City’s Procurement Department and the Office of Economic Opportunity have reached an agreement with the general contracting firm of Ernest J. Bock & Sons, Inc. (EBS) to address alleged irregularities identified in the City Controller’s Auditor’s Report of July 2010 concerning EBS’s compliance with the City’s Antidiscrimination Policy, and the City’s administration and enforcement of the Policy in connection with the construction of the building exterior and certain interior work for the new “connector” building between Terminals D and E and the Philadelphia International Airport.
In a joint effort to address the alleged irregularities in the Controller’s Report concerning compliance with and enforcement of the Policy, EBS and the City have agreed to undertake the following actions.
First, EBS has and will continue to voluntarily refrain from bidding on any City or City-related contracts until April 1, 2012. This extends the period of negotiated withdrawal from the City’s procurement process that began with EBS’s withdrawal of its low bid on another airport contract in August 2010, and will total approximately twenty (20) months.
Second, EBS and the City will jointly prepare, develop, and present a series of workshops and seminars to provide contractor integrity education and strengthen the capacity and independence of ready, willing, and able minority-owned companies participating in City contracts. EBS will collaborate with the Office of Economic Opportunity on the content of this series and will fund this effort. The educational effort will focus on compliance with contractual obligations, and technical assistance for minority-owned businesses. In addition, the workshops will also address the potential legal consequences of violating the City’s Anti-Discrimination policies.
Mayor Nutter offered his view on the agreement: “This agreement with EBS is unprecedented with regard to the City procurement process. It accomplishes two key goals: it demonstrates that the City has turned a corner using a new approach to enforce M/W/DSBE provisions in its contracts, and it puts contractors who want to do business with the City on notice that practices that circumvent equal opportunity goals will not be tolerated in any way, shape or form. We said more than three years ago that it was a new day, and this agreement demonstrates our resolve. We mean what we say.”
City Procurement Commissioner Hugh Ortman said, “We are now going to be taking a closer look at those who seek to do business with the City, especially with respect as to how M/W/DSBE contractors will be included in the competitive bidding process as we move forward.
City Controller Alan Butkovitz said, “This agreement is a first step in ensuring that when vendors are awarded City contracts, they will follow through with their commitment to the City by fulfilling their minority participation goals in accordance with the contract.”
Angela Dowd-Burton, Executive Director for the Office of Economic Opportunity, expressed her commitment to working with EBS on this educational endeavor. “Building a portfolio of qualified M/W/DSBEs able to do business with the City and in the private sector at a higher level is what we strive to achieve.”
Thomas Bock, Vice-President of EBS, expressed his enthusiasm to work with the City in order to improve awareness and appreciation for the City’s Anti-Discrimination policies: “Ernest Bock & Sons is eager to assist the City in developing a universal understanding among contractors performing public works contracts that, with our efforts, the Philadelphia construction industry will be able to provide invaluable, and much-needed assistance in the development of a quality MBE, WBE, and DSBE program.”
