$2 Billion awarded to minority-owned businesses during Mayor Nutter’s term
Philadelphia, December 30, 2015 — Mayor Michael A. Nutter announced the release of the Office of Economic Opportunity (OEO) Fiscal Year 2015 Annual Participation Report and Economic Opportunity Plan Review for 2009-2015 – two documents representing an in-depth analysis of for-profit contracts awarded by the City of Philadelphia to Minority, Women, and Disabled Owned Business Enterprises (M/W/DSBEs) and a review of the impact of Economic Opportunity Plans on public, private, and nonprofit construction projects.
“When I became Mayor, I pledged that our Administration would prioritize economic inclusion, ensuring that minority, women, and disabled-owned businesses would gain greater access to City contracts and business services and the jobs this work represents,” said Mayor Nutter. “To this end, the Office of Economic Opportunity was established in 2008 and in 2010 we launched Inclusion Works – a strategic plan for economic inclusion – which has resulted in more than $2 billion in contracts being awarded to M/W/DSBEs during my tenure. In Fiscal Year 2015 alone, $302.8 million was awarded to these type of businesses, breaking a fiscal record for the City of Philadelphia.”
The increase in participation is attributable to aggressive outreach, growth in the economy, and expansion of the OEO Registry of certified firms, 2,440 businesses at the time of this report, up from 1,289 companies in 2008. “A total of 519 disadvantaged businesses were awarded contracts in 2015,” said Angela Dowd-Burton, Executive Director for the Office of Economic Opportunity. “The ‘Doing Business in the City Program’ – now in its 5th year – is attracting and helping to build the confidence of M/W/DSBEs interested in pursuing City contracts.” The City is seeing the results of this program along with the Goldman Sachs 10,000 Small Businesses Program, the Philadelphia Industrial Development Corporation working capital initiative, and other programs hosted in collaboration with OEO.
In addition to the structural changes that have been initiated by OEO, the contributions of the OEO Advisory Board and the Mayor’s Advisory Commission on Construction Industry Diversity (MACCID) have had a tremendous impact on the office’s operations. These two advisory panels have guided OEO to adopt policies that ensure the most efficient use of resources and maximization of the City’s inclusion and diversity goals.
“As Chair of the OEO Advisory Board for the Office of Economic Opportunity, I am proud that the City recommitted itself to ensuring that diversity and inclusion are integrated into every city department. Though we have made progress as a city we must continue to lead by example. Minority, female and disabled businesses are the future of our city, they will employ the next generation of Philadelphia workers. We must all make sure that they have the tools to compete,” explained Sharmain Matlock Turner, CEO of the Urban Affairs Coalition.
The Economic Opportunity Plan (EOP) Review for 2009 – 2015 explores the legislative drivers responsible for the dramatic expansion of the EOP portfolio from 15 plans in fiscal year 2009 (FY09) to 764 plans in fiscal year 2015 (FY15). This review examines the impact of these plans on the awarding of contracts to M/W/DSBEs and the diversity of the workforce on construction projects. The total value of these projects is more than $9.6 billion. Active or completed projects are valued at $7.6 billion. M/W/DSBEs have received 28% of the contract value and 27% of the payments made during the life of the active or completed projects as reported by third party monitors.
“In general as the economy has improved, the opportunity to engage minority and women owned businesses in the construction industry has improved, for some. Economic Opportunity Plans that have been legislated by City Council and implemented by the Nutter Administration have increased contracting opportunities for the strongest contractors and subcontractors. OEO has an EOP Dashboard that tracks the number of contracts that have been initiated, planned or completed since MACCID was established,” said Angelo Perryman, chair of the Mayor’s Advisory Commission on Construction Industry Diversity (MACCID) and CEO of Perryman Building and Construction Services.
The OEO website www.phila.gov/oeo provides easy access to key resources from approved certifying agencies. This site also provides a link to contracting opportunities with the Procurement Department and other City departments. Most recently, OEO has joined DNC Host Committee to assist the Committee in achieving a 35% goal of inclusion for the 2016 Democratic National Convention.
In 2015, the City was recognized by the African-American Chamber of Commerce, the Asian-American Chamber of Commerce of Greater Philadelphia, and the Minority Supplier Development Council for its achievements in supplier diversity and economic inclusion.
To read the Fiscal Year 2015 Annual Participation Report and Economic Opportunity Plan Review please visit www.phila.gov/oeo or call 215-683-2057.