HomeMy WebLinkAbout2011/10/04-Minutes-HEDCCITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Present:
Committee Member Joel Burns, Chair
Committee Member Kathleen Hicks, Vice Chair
Committee Member Betsy Price
Committee Member W. B. "Zim" Zimmerman
Committee Member Danny Scarth
Committee Member Frank Moss
Absent:
Committee Member Salvador Espino
Committee Member Jungus Jordan
Committee Member Dennis Shingleton
City Staff:
Susan Alanis, Assistant City Manager
Peter Vaky, Deputy City Attorney
Marty Hendrix, City Secretary
Jay Chapa, Director of Housing and Economic Development Department
Cynthia Garcia, Assistant Director, Housing and Economic Development Department
William Johnson, Assistant Director, Housing and Economic Development Department
Other Citv Staff in Attendance:
Tom Higgins, Interim City Manager (arrived at 12:22 p.m.)
Fernando Costa, Assistant City Manager
Vicki Ganske, Senior Assistant City Attorney, Law Department
LeAnn Guzman, Assistant City Attorney, Law Department
Robin Bentley, Business Community /Development Coordinator, Housing and Economic
Development Department
With a quorum of the committee members present, Chairman Joel Burns called the
meeting of the Housing and Economic Committee to order at 11:35 a.m., on Tuesday, October 4,
2011, in the Pre - Council Chamber of the Fort Worth Municipal Building, 1000 Throckmorton
Street, Fort Worth, Texas 76102.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 2 of 18
Chairman Burns expressed appreciation to Mayor Betsy Price for his appointment as
chair of this City Council committee and advised of the importance of the work of the
committee.
Approval of Minutes from the Meeting
Held August 2, 2011
(Agenda Item 2)
MOTION: Upon a motion made by Committee Member Price and seconded by Committee
Member Scarth, the committee members voted six (6) "ayes" and zero (0) "nays"
to approve the minutes of the Housing and Economic Development Committee
meeting held on August 2, 2011 as presented. The motion carried unanimously.
Chairman Burns adjourned the regular meeting of the Housing and Economic
Development Committee into Executive Session at 11:35 a.m.
Executive Session
(Agenda Item 3)
Chairman Burns called to order the Executive Session at 11:35 a.m. in order to discussion
the following items:
A. Seek the advice of its attorneys concerning the following items that are exempt from
public disclosure under Article X, Section 9 of the Texas State Bar Rules, as
authorized by Section 551.071 of the Texas Government Code: (i) legal issues
related to the sale of tax foreclosed property located at 5125 Fitzhugh; and (ii) legal
issues related to any current agenda items; and
B. Discuss the purchase, sale, lease or value of real property, as authorized by Section
551.072 of the Texas Government Code. Deliberation in an open meeting would
have a detrimental effect on the position of the City in negotiations with a third party;
and,
C. Discuss or deliberate negotiations relating to any economic development
negotiations, as authorized by Section 551.087 of the Texas Government Code.
Chairman Burns adjourned the Executive Session at 12:00 p.m., on Tuesday, October 4,
2011.
Chairman Burns reconvened the regular session of the Housing and Economic
Development Committee at 12:00 p.m.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 3 of 18
Written Reports (Agenda Item 4)
Chairman Burns advised that the following written reports had been provided as a matter
of information to the committee members:
A. Memo regarding Social Compact Study
B. Memo Regarding Request for Proposals for Projects to Provide Affordable Multi -
Family or Single Family Housing Using Federal and Non - Federal Funds
C. Memo Regarding Proposed Changes to the Mayor's Advisory Commission on
Homelessness
D. Memo Regarding Assignment of Tax Abatement Agreement with Berry Street L.P.,
City Secretary Contract Number 31168
E. Update on CDBG Funded Activities from 1995 -2005
Chairman Burns opened the floor for questions and /or comments.
Committee Member Hicks referenced the memo regarding the proposed changes to the
Mayor's Advisory Commission on Homelessness. She indicated that she had not had a chance to
look at this information and she apologized. She added that in moving forward she hoped that
there would be availability for new people to join the commission. She also challenged the City
Council that they try to make sure that they had folks that live along the corridor that were
represented. She added that she appreciated the Mayor coming to her and asking for some
suggestions. She added that she felt it was very important that the folks that were in the area and
living with the issues, particularly the folks that were living in the East Lancaster corridor were
included in the commission. She indicated that she had been told that individuals who should
serve should have the ability to understand the issues. She added that she felt there would be a
number of citizens that would be very good. She indicated that she felt if there was diversity
with the citizens that were most affected, then the City would have that buy in and it would help
the City to move forward in dealing with the issue of homelessness. She reiterated that she
hoped that the Council obtained folks for this commission that were directly affected by this
issue.
Jay Chapa, Director of Housing and Economic Development Department, advised that
the purpose of the memo was to get the committee's feedback on the second box on the proposed
changes to be made to the City's ordinance. Director Chapa indicated that he understood
Committee Member Hicks' request. He added that the way they were trying to address the
membership issue was to increase the number of members on the committee so that they could
include more neighborhood representatives, specifically from the area that had been identified by
Committee Member Hicks. He reiterated that City staff was requesting their input on the
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 4 of 18
Written Reports (cont'd) (Agenda Item 4)
proposed changes to the ordinance and that might be an issue. He added that they could either
send their responses to the City staff by e -mail or provide directions at this meeting. He
indicated that they would incorporate any changes and then bring back the proposed ordinance to
the City Council with a Mayor and Council Communication (M &C).
Chairman Burns indicated that he agreed with Committee Member Hicks' comments on
the need to have folks in the community that were affected by the homeless population. He
pointed out that there were a number of folks that lived up and down Hemphill that were also
affected due to the social services that were located in that area. He added that they were
interested in what happens with the City's homelessness program.
Committee Member Price expressed her concern for removing the faith -based community
and the criminal justice expert. She asked if the assumption was that they would fall under one
of the other spots.
Mr. Chapa indicated that was correct. Committee Member Price questioned whether
there would be a guarantee that they would. Director Chapa indicated that there was no
guarantee; however, having had the committee had been in place for a number of years. He
added that the recommendation would come from Otis Thornton, the Human Services Manager,
to him and the department and then to the City Manager's Office. He added that they wanted a
good mix of individuals to serve. Committee Member Price pointed out that all of the groups
were important; however, she felt those two groups the City could hardly do without.
Committee Member Hicks also requested clarification on the memo regarding the Social
Compact Study and that the entire market drilldown for the City would be completed by the end
of this month. Mr. Chapa indicated that it was complete and that the City staff was going to be
obtaining the statistics. He added that what had been provided to the committee were the eight
(8) neighborhoods where there was significant disparity. He added that they were in the CDBG
eligible areas and targeted areas. He stated that those were the neighborhoods that they now
have this information on. He added before the end of the month, they should be receiving the
exact statistical information by neighborhoods. He added that they would be able to use that
information for marketing purposes for retail opportunities, etc.
Committee Member Hicks expressed that this was great. She indicated that she could not
over state how important this information was and it was particularly important in getting the
Masonic Home deal done in her City Council district. She added that they were really
undercounted in that area as to their buying power in the community. She explained that her
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 5 of 18
Written Reports (cont'd) (Agenda Item 4)
conversations with the development community emphasized how important the information was
that was found in the social compact studies, particularly in a difficult economic climate in order
to get development or redevelopment going. She added that she was going to be very interested
to see what the numbers were in particular areas now. Committee Member Hicks also indicated
that she felt this could get the City more money from the federal government as well.
There was no further discussion on these reports. These reports were received as a matter
of information.
Update on Proposed Changes to Fort Worth
Housing Trust Fund
(Agenda Item 5)
Jay Chapa, Director of Housing and Economic Development Department, spoke before
the committee on the update to the proposed changes to the Fort Worth Housing Trust Fund. Mr.
Chapa provided some background information on the Home Repair Program that was part of the
Fort Worth Housing Trust Fund. He pointed out that the City was struggling with that program
and its various components. He added that the program was not going to work to meet all of the
federal guidelines and would not allow the City to administer the program from a lot of different
perspectives. He stated that the program was placed on hiatus and the City staff worked with the
Department of Housing and Urban Development (HUD) to see how the program should be
structured and to get the biggest bang for the bucks that were available. He pointed out that the
program was to keep and maintain the City's affordable housing stock. He advised that the
proposed changes consisted of changes to the application process, the selection process, the
program guidelines and the Request for Proposal (RFP) for the contractor to manage the program
and repairs.
Mr. Chapa spoke about the qualifications for the program as follows:
Property must be located in Fort Worth
Owner - occupied
Must be a citizen or legal resident alien
Applicant(s) income must be below 80% area medium income
Up to $50,000 available for eligible repairs of the home
Mr. Chapa pointed out that these funds were only available to individuals living in the
CDBG eligible areas of the City.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 6 of 18
Update on Proposed Changes to Fort Worth
Housing Trust Fund (cont'd)
Mr. Chapa reviewed the application process as follows:
(Agenda Item 5)
All documents must be included in application to determine eligibility
• Ownership
• Income
Submit application on -line or in person
Mr. Chapa reviewed the selection criteria as follows:
• Lottery process
• Select 30 applications
■ Based upon
• $1,138,887 in available CDBG funds
• Up to $50,000 in repairs
• Last seven (7) on the list notified that repairs would be made
depending on available funds
• Once 30 selected — program closed for the year
Mr. Chapa reviewed the proposed program and repairs as follows:
• City would issue an RFP to identify contractor to management process and repairs
• City would develop policy for the program and repairs
o Warranty and insurance required from contractor
• City would qualify homeowners
• City would inspect the home
• Before the repairs were completed to identify eligible repairs
• After the repairs were completed to ensure completed property
Mr. Chapa presented the program repair guidelines as follows:
Major system repairs
Water
Sewer
Electrical
Gas
Room Repairs
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 7 of 18
Update on Proposed Changes to Fort Worth
Housing Trust Fund (cont'd)
Bathrooms
ADA requirements
Mr. Chapa reviewed the proposed timeline as follows:
RFP process to identify contractor
Policy, guidelines and contractor
Approved by Council
15 -day application period
Review of applications to determine if complete
Lottery
Repair Program Begins
Mr. Chapa completed his presentation.
(Agenda Item 5)
Dec 2011 — Jan 2012
January 2012
February 2012
February 2012
March 1, 2012
March 2012
Chairman Burns opened the floor or questions and /or comments. He stated that he was
glad that this new program was focusing on the major system repairs, rather than on remodeling
which was allowed in the previous program.
Committee Member Hicks requested clarification about the people that were placed on
the waiting list and what would happen to them. Mr. Chapa stated that the City would be
sending out letters to those individuals advising them that the program that they registered for no
longer existed. He added that they would be advised about the new program and that they could
apply for that new program. Committee Member Hicks expressed concern that they were just
done. Mr. Chapa explained that there was just no way to address that issue. He pointed out that
their estimate to fix all of the homes of the people on the list would be $10 million. Committee
Member Hicks questioned how many people were on the list. Mr. Chapa indicated that it was
about 283. Committee Member Hicks clarified with Mr. Chapa that basically they were starting
over. She also expressed her concerns for the people that did not have access to the Internet.
She asked how the City staff was going to get the word out to the citizens about the program and
the fact that it was changing so significantly and the time period for applications. She added that
while certain people could apply on -line, she was worried about the people that did not have this
advantage and that they really needed this funding. Mr. Chapa explained that once the new
application form was completed, it could be forwarded to the people that had been on the waiting
list. Committee Member Hicks indicated that she understood the need for a lottery system
because the City simply could not get to everyone. She explained that once this program was
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 8 of 18
Update on Proposed Changes to Fort Worth
Housing Trust Fund (cont'd) (Agenda Item 5)
completed, she hoped that this program could be done in diverse areas of the City and that it
benefitted people from all over the City. Mr. Chapa clarified that this program was only
available to those living in CDBG eligible areas. Committee Member Hicks reiterated her
concerns for how this information would get out to the community and how they will be notified
about the numerous changes that were being made from the prior program. She indicated that
she supported the use of the funding for the major system repairs. She pointed out the short
window of opportunity for the citizens to apply for this program.
Committee Member Moss referenced that the program was going to address major
systems; however, he requested clarification on heating and air conditioning units and roofing.
Mr. Chapa indicated that they were trying to address elements of the electrical system and gas
systems and suggested that those elements could be parts of those systems. Mr. Chapa indicated
that roofs should be included as part of the application process. Committee Member Moss asked
whether the weatherization/winterization program could be combined with this overall program.
Mr. Chapa indicated that this program would be worked on its own with Community
Development Block Grant Funds. He added that they could let the citizens know about the
weatherization program and it could be combined. He did point out that the contractors were
going to be different. He stated that a weatherization specialist had a different skill set and
licenses from the other contractor. Mr. Chapa added that it could be a portion of the total house
redo. He explained that they could advise the homeowner to apply for the weatherization
program if during the systems check they found problems with the windows, as an example.
Committee Member Scarth referenced the comments made by Committee Member Hicks
about getting the word out about the program to the citizens. He suggested that a PowerPoint
presentation be put together that could be easily distributed to the various neighborhood
associations and /or leader lists that could be presented at the neighborhood meetings. He
indicated that this would be better and provide an alternative to having staff have to make those
presentations at the neighborhood meetings. Mr. Chapa indicated that they had planned to work
with the City's Public Information Office to create some news releases and other communication
efforts. He reiterated that they were going to send letters to the people who were currently on the
waiting list and could include the PowerPoint as additional information.
Committee Member Price suggested that the faith -based groups and the senior centers
also be provided with this information. She added that they often have community outreach
people affiliated with their organizations.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 9 of 18
Update on Proposed Changes to Fort Worth
Housing Trust Fund (cont'd) (Agenda Item 5)
Committee Member Moss added that he felt it would be important for many of the faith -
based groups. He explained that a lot of the people would not be able to complete those
applications without some support or some help. He felt the faith -based groups could go in and
provide that type of support in order to make sure that those individuals have a completed
application.
Committee Member Hicks also talked about the important of using the faith -based
groups. She indicated that she had her District 8 Town Hall meeting coming up soon as well.
She added that she felt that was an excellent point. She stated that there needed to be a lot of
communication so that the City Council Members were not receiving phone calls about the
process being confusing and that the citizens could not complete the application process. She
indicated that she had received phone calls in the past and she had no idea what the application
looked like in order to help the people that were calling.
Chairman Burns indicated that he felt it was important to maintain expectations, i.e., that
there will be 23 that will receive the funds and seven (7) that will only receive funds as they
become available. He pointed out that this was a very limited number in comparison to the
number of people that probably had the need.
Committee Member Moss also suggested some free training sessions on how to complete
the application so that the City staff would not necessarily get involved in completing the
applications. He felt it was important that people see and learn how they would go about
meeting the requirements. He felt this would be very helpful.
This completed the presentation and discussion on this agenda item.
Recommended Changes to the City's
Minority/Women Business Enterprise
Ordinance (Ordinance No. 15530) (Agenda Item 6)
Mr. William Johnson, Assistant Director of the Housing and Economic Development
Department spoke before the committee on the proposed City's Minority /Women Business
Enterprise (M /WBE) Draft Ordinance and the Minority /Women's Business Enterprise Advisory
Committee's Draft recommendation.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 10 of 18
Recommended Changes to the City's
Minority /Women Business Enterprise Ordinance
(Ordinance No. 15530) (cont'd) (Agenda Item 6)
Using a PowerPoint presentation, Mr. Johnson spoke before the committee on the
purpose of today's presentation as follows:
• To present an overview and schedule for the proposed changes to the City's
M/WBE Ordinance
• Present the M /WBE Advisory Committee review process and recommendations
or proposed changes to the City's M /WBE Ordinance
• Review legal basis for the City's M/WBE Ordinance
• Present results of the stakeholder outreach
• Seek the Council's direction and approval to move forward with adoption of
proposed changes to the City's M/WBE Ordinance.
Mr. Johnson reviewed the schedule of the process as follows:
March 2008 — August 2010
February 2010 — May 2011
June 7, 2011
June — September, 2011
September, 2011
October, 2011
October — November, 2011
Mason Tillman conducted disparity study
M /WBE Advisory Committee developed
proposed ordinance revisions
Brief Housing and Economic Development
Committee
See external stakeholder input
Review external stakeholder input
Present proposed changes to ordinance to
City Council
City Council consideration of new
ordinance
Mr. Johnson presented the review process as follows:
• The City Council appointed Minority and Women Business Enterprise Advisory
Committee (M /WBE AC) tasked to develop proposed ordinance revisions
• The City engaged outside legal counsel to provide study oversight and
consultation for ordinance revision process
Mr. Johnson recognized the M /WBE Advisory Committee Members as follows:
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 11 of 18
Recommended Changes to the City's
Minority/Women Business Enterprise Ordinance
(Ordinance No. 15530) (cont'd) (Agenda Item 6)
William Giron, Co -Chair
Veronica Chavez Law, Co -Chair
David Berzina
Christine Chapman
Sundra Davis
Dennis Duncan
Ramon Guajardo
Linda Labeau
Glenda Thompson
He recognized members that were in attendance at the meeting: Ramon Guajardo,
Glenda Thompson and Melody Woodson was here representing David Berzina. He explained
that the advisory committee put in a tremendous amount of work and effort in this process. He
added that there was a lot of healthy discussion, analysis and dialogue to get to their
recommendation.
He provided a clarification that the City's M/WBE ordinance related to purchases of
goods and services that the City either contracted for or subcontracted for. He added that it did
not pertain to the City's economic incentive policy regarding M /WBE services. He pointed out
that those were negotiated directly with the developers or corporations requesting the incentive
policies and thus it fell outside of the City's M /WBE ordinance.
He advised that the North Central Texas Council of Governments hired Mason Tillman
Associates, Ltd. He stated that in 2008, they conducted a study update on behalf of the
stakeholders of the City of Fort Worth, Fort Worth Independent School District, the Fort Worth
Transportation Authority, the City of Arlington, the Dallas /Fort Worth International Airport and
the North Texas Tollway Authority.
Mr. Johnson reviewed the legal basis for the program. He advised that the state and local
governments were required to validate a statistically significant underutilization of minority
and /or women -owned businesses before establishing an M /WBE Goals -Based Program. He
added that the courts considered availability and disparity studies to be an acceptable method of
validating underutilization and identifying remedies. He stated that the City of Fort Worth's
existing M /WBE Ordinance was adopted and became effective in June of 2003. He added that
the study should be completed within five (5) to seven (7) years from the date of adoption.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 12 of 18
Recommended Changes to the City's
Minority/Women Business Enterprise Ordinance
(Ordinance No. 15530) (cont'd) (Agenda Item 6)
Mr. Johnson reviewed the list of agencies that had been part of the stakeholder meetings.
Those agencies were:
1. Fort Worth Metropolitan Black Chamber of Commerce
2. Fort Worth Hispanic Chamber of Commerce
3. National Association of Women in Construction
4. Association of General Contractors (Vertical Construction Group)
5. Association of General Contractors (Heavy Highway)
6. Tarrant County Contractors Association
7. Minority Business Development Council*
8. Women's Business Council Southwest*
9. Black Contractors Association
10. Hispanic Contractors Association (discussed with Exec. Director)
11. Minority Design Professional Council
Mr. Johnson clarified the note for the agencies marked with an " *" were Tarrant County
College (TCC) hosted these meetings at their Trinity River Downtown Campus and TCC and
Tarrant County assisted the City with coordination and email blasts to advertise these meetings
to a broad base of groups.
Mr. Johnson provided a summary of the stakeholder meetings as follows:
Collaborative, constructive comments and concerns
Assertive and passionate, but also respectful
Positive regarding some of the proposed changes
Common themes from meetings
Concern on reduced market area*
Concern on good- faith -effort requirement for two modes of solicitation
Concern regarding inability to include women -owned firms
Concern regarding inability to set goals in some categories
Concern regarding reduced participation over time
Established excellent framework for on -going collaboration
Mr. Johnson explained that the item marked with an " *" was to indicate that the
recommendation was revised to address this concern.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 13 of 18
Recommended Changes to the City's
Minority/Women Business Enterprise Ordinance
(Ordinance No. 15530) (cont'd) (Agenda Item 6)
Mr. Johnson provided a chart showing the Prime Contractor Disparity Findings under
$500,000.00 and explained the results. He then provided a chart showing the Subcontractor
Disparity Findings and explained those results.
Mr. Johnson reviewed the market area findings which were that under the existing
ordinance the relevant market area was a nine (9) county area. He added the City of Fort
Worth's relevant market area (80% of the City's spending) was Tarrant and Dallas Counties.
Mr. Johnson continued his presentation and reviewed the M /WBE Advisory Committee's
recommendation for proposed ordinance changes as follows:
1. Ordinance name
2. Market area — number of counties
3. Market area — firm eligibility
4. Good faith effort
5. Procurements less than $50,000.00
6. Goal setting threshold
7. Joint Ventures
8. Prime Program
9. Small Business Enterprise Program
10. Overall goals
Mr. Johnson took each of the above recommendations and advised of the
recommendations as follows:
1. Ordinance name recommendation: Business Diversity Ordinance
2. Market area: Geographic area where a municipality spends 80% of its dollars
Existing: Tarrant, Dallas, Collin, Denton, Ellis, Johnson, Kaufrnan, parker
and Rockwall
Recommendation: Tarrant and Dallas, plus: Denton, Wise, Parker and
Johnson
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 14 of 18
Recommended Changes to the City's (Agenda Item 6)
Minority/Women Business Enterprise Ordinance
(Ordinance No. 15530) (cont'd)
Existing: All firms currently doing business in the market area at the time of
bid /proposal count towards goal.
Recommendation: Only firms with an office in the market area would be
counted towards goal.
3. Good Faith Effort: Steps that a prime must provide that it took if goal was
not met.
Existing: If more than 10 M /WBEs in a subcontracting area, only 2 /3rds of
the list must be solicited. Required two (2) to three (3) methods: mail, phone
call or fax.
Recommendation: E -mail added as an acceptable bid solicitation method.
Due to reduced market area, 100% of MBE list must be solicited for each
subcontracting area.
4. Procurements less than $50,000.00
Existing: Encourage use of M/WBEs and develop procedures, as needed, to
emphasize the use of M/WBEs
Recommendation: Adopt specific departmental procedures to emphasize the
use of M /WBEs
5. Goal setting threshold
Existing: $25,000.00
Recommendation: $50,000.00
6. Joint Venture Program Element
Existing: Encourages the use of joint ventures and counts participation
towards goal.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 15 of 18
Recommended Changes to the City's
Minority/Women Business Enterprise Ordinance
(Ordinance No. 15530) (cont'd) (Agenda Item 6)
Recommendation: Adds evaluation preference points when a respondent is a
joint venture with at least one qualified M/WBE joint venture partner.
7. M/WBE Prime Program Element
Existing: None
Recommendation: For solicitation of construction, architectural and
engineering and other professional services less than $150,000, allocate up to
20% of weighted selection criteria for minority and /or woman -owned
businesses. M /WBE prime cannot subcontract more than 49% to non -
M/WBE firms.
8. Small Business Enterprise (SBE) Program
Existing: None
Recommendation: The City may establish SBE subcontracting goals for firms
meeting the US Small Business Administration's (SBA's) standards. Overall
goal of 15% for SBE.
9. Overall Program Contracting Goal
Existing: 25%
Recommendation: Based on the results of the City's availability and
disparity study, race - conscious goals can only be applied in two categories:
Construction (MBE) — all categories = 25%
Professional Service — African American = 15%
10. Overall program contracting goal
Note: The City will monitor the utilization of women and minority -owned
firms in the areas where subcontracting goals are no longer applied. If the
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 16 of 18
Recommended Changes to the City's
Minority/Women Business Enterprise Ordinance
(Ordinance No. 15530) (cont'd) (Agenda Item 6)
trend reflects a significant underutilization, then the City will investigate
potential adjustments to the new ordinance that are legally permissible,
specifically the re- establishment of race and gender specific subcontracting
goals in the affected areas.
Mr. Johnson advised of the next steps in this process as follows:
■ Staff recommends that the City Council formally adopt the availability and
disparity study and the proposed changes to the M/WBE Ordinance.
■ Mayor and Council Communication for consideration by the City Council will be
placed on the City Council agenda in November 2011.
■ Staff recommends that the effective date of the adopted ordinance be March 1,
2012, to ensure adequate time to implement and communicate new processes and
procedures.
Mr. Johnson completed his presentation.
Chairman Burns opened the floor for questions and /or comments. Chairman Burns
requested clarification from Mr. Johnson on how he was going to monitor the utilization of
women and minority -owned firms in the areas where subcontracting goals were no longer
applied. Mr. Johnson indicated that they were still going to require the contractors to tell the
City who they were using, even if they had a contract where they were not setting a
subcontracting goal. He added that when the contract was closed out, they would be looking to
see what they paid to those firms. He explained the information would be maintained in a
database so that it could be tracked so that they could see if there was any type of trends or
significant drop off. Chairman Burns requested clarification on how often they were required to
conduct these studies. Mr. Johnson indicated that there was no hard and fast rule; he stated that
typically the disparity studies were done from five, six, or seven years. He pointed out that the
further out that a study was done, the staler the data became. He indicated that the pragmatic
practice was to have them pretty regular. He clarified that gathering the statistical information
would just be part of their tracking process.
This concluded the presentation and discussion on this agenda item.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 17 of 18
Request for Future Agenda Items (Agenda Item 7)
Chairman Burns opened the floor for requests for future agenda items.
Committee Member Moss stated that he wanted to see a report provided to this
committee on the City's weatherization/winterization program and also energy assistance
programs so that everyone could get a general idea how all of those programs worked together.
Committee Member Hicks indicated that she agreed with this request. She stated that she
remembered last year there was only a finite period of time and so that a lot of that funding went
to apartments. She added that she felt that the City needed to make sure that those dollars were
going into housing stock. She explained that there was a real need there. Committee Member
Hicks indicated that it was great to receive more dollars and that the City was able to use them;
however, she was concerned about the dollars going back to the homes and the zip codes that
really need the help. She added that she appreciated Committee Member Moss requesting this
information.
Committee Member Moss explained that he remembered that the City had started with
$13 million and that the City thought that there was a time limit on when those funds could be
expended. He added that some of those timeframes had been extended. He stated that he needed
to be comfortable with when those timeframes had been extended to what time and how many
dollars were going to be available to be expended. He talked about the energy assistance
programs and that those tied back into what the City was trying to do.
Date of Next Regular Meeting —
November 1, 2011 (Agenda Item 8)
Chairman Burns advised that the next regular meeting of the Housing and Economic
Development Committee would be held on Tuesday, November 1, 2011.
Adiourn (Agenda Item 9)
With no further presentations or discussions, Chairman Burns adjourned the regular
meeting of the Housing and Economic Development Committee at 12:53 p.m., on Tuesday,
October 3, 2011.
These minutes approved by the Housing and Economic Development Committee on the
1 st day of November, 2011.
CITY OF FORT WORTH
CITY COUNCIL
HOUSING AND ECONOMIC DEVELOPMENT COMMITTEE
OCTOBER 4, 2011
Page 18 of 18
APPROVED:
oe Burns, Chairman
Minutes Prepared by and Attest:
Marty Hendrix, Cio Secretary