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HomeMy WebLinkAboutMinutes 2000The General Meeting Minutes Small Business Development Committee For Minority, Women and Evanston Business Enterprise December 6, 2000 Members Present: Laurie Marston, Janice Sachen, Bennie Jones Members Absent: Carl Davis, Richard Peach Mike Sutton Staff Present: Lloyd Shepard, Chad Walton Guests Present: Lance Foster, RGMA Ben Ranney, AHC, LLC Jill Hirt, Citizen Yvonne Killebrew, MBE Mark Ronan, Builders Ready Mix SUMMARY OF EVENTS 1. Call to Order Meeting called to order by Laurie Marston at 6:10 p.m. II. Approval of Last Minutes Approval of the following minutes will be deferred until the January 9`" meeting. May, July, August, September, October and December. III. Items for Discussion and/or Action Status ofCDBG Application Miss Marston commented that she Chad and Bill Stafford attended the CDBG meeting November 1, 2000. Alderman Bernstein asked if the 5% local preference should be increased to 10%. Miss Marston responded that that would be premature because we are still feeling our way on the 5%. Another CDBG member, Mrs. Judith Treadway asked about not only businesses but the employment of local residents. Alderman Drummer noted the success in employing local residents by the sewer contractor. The overall CDBG Committee commended our Committee for the compliance work we have done with contractors and subcontractors. Also the M/W/EBE Development Committee December 6, 2000 Page 2 of 6 CDBG Committee is funding the 1ViWEBE Program at the same level as last year - which provides for a Director and Secretary. Mr. Lloyd Shepard indicated that the CDBG Committee would fund the M/W(EBE Program at the previous year's level. That level includes a Clerical person. Job Fairs Miss Marston indicated that there has been two Job Fairs. One sponsored by the City of Evanston/Northwestem University held at Northwestern November 8, 2000. Along with, Miss Marston, staff present was Mr. Bill Stafford, Mr. Chad Walton, Mrs. Sandi Conyers, and Mr. Lloyd Shepard. One of the ideas that was circulating at this fair was to compile data six to nine months after the fair to determine if any vendors had received business resulting from the fair. Shepard indicated that such a compilation could be made. Arthur Hill & Company and the Youth Job Center of Evanston sponsored a job fair October 19'h to assist Century Theatre Cineplex to fill positions in anticipation of their opening this fall. "Ms. Marston read a portion of a letter from Youth Job Center that stated, "In a single day, 51 of 75 applicants were hired and 3 of those were hired for managerial positions." Church Street Plaza Mr. Mark Ronan, Builders Ready Mix (13R.M), was introduced to give an overview of how Evanston Fuel & Materials (EF&M) has impacted his employer. Mr. Ronan indicated that BRM plant is located here, they employ Evanston residents, have 18 trucks, and pay approximately $75,000 annually in property taxes. EF&M is owned by Prairie Materials a very large company that is headquartered on the southwest side of Chicago and have 300 to 500 ready mix trucks. Mr. Ronan added that he was "shocked that EBE status had been granted to EF&M because they had rented a small office with no furniture in it, a telephone", and "had never seen a human in that office." Mr. Ronan indicated EF&M's nearest plant location is in Glenview where the old air base used to be. Mr. Ronan indicated that for this company to be regarded as an Evanston business is not right. Mr. Ronan's visit to the NM/EBE Committee was prompted by BRM losing a bid to EF&M for supplying ready mix for the caissons at the McDougal Little construction project. There is a concern that based on this decision by Power Construction's buyer, other construction companies may follow suit. M/%V/EBE Development Committee December 6, 2000 Page 3 of 6 Discussion ensued among committee members regarding changing the definition of an Evanston business for recommendation to the City Council to close the loophole in fuwre development and/or redevelopment agreements. Two provisions were discussed. First that there should be a provision that requires a company to be located in Evanston for one year. Also, if a company is a manufacturer located outside the City and does not have a warehouse or yard here but only an office, that company should be treated as a broker and given only 5°" credit. Since there was not a quorum, final action by the committee was deferred to January. Staff Evaluation on Purchasinit Comoliance Miss Marston recapped the meeting she and Mr. Lloyd Shepard had with Mrs. Judy Witt, Director Human Resources, and Mr. Bill Stafford, Director Finance regarding how to measure staff performance for providing business opportunities to MAWEBEs. The following items were discussed. • implementing the policy set forth by the City Council. • A quarterly, review of purchasing data from each Department or Division to allow each to know how well they are doing. • An mutual repvrl from each Department summarizing the extent that MIW/EBE participation was accomplished. • Mr. Shepard will do annual summary of performances of various areas of purchasing and contracting. • Notify all Departments of local businesses in particular, as well as M/WBEs, that are doing business with the City and performing well. The City Beat utill be used in this effort. • In-house seminars to keep staff familiarized with purchasing acti%ities by other Departments and to identify business opportunities they can coop %%ith one vendor. Undate on Clerical Sunnort Mr. Shepard indicated that Mr. Bill Stafford related that there are still three staff positions that the Finance Department must fill before filling the Clerical position plus the fourth floor is being reconfigured to accommodate Finance Department staff all being moved to the north end of the building. Mr. Shepard added that an additional office is needed for Clerical support and that by March that person should be hired. The Committee members indicated they were disappointed in the lack of progress as the position had been promised over a year ago. Miss Marston said she would talk to Mr. Stafford. M/W/EBE Development Committer December 6, 2000 Page 4 of 6 M/W/EBE Report on Contracts Awarded Mr. Chad Walton reported on the contracts approved by the City Council from September 13 to December 6, 2000. The total amount of contracts awarded was S671,741. iO. The breakout by MAVIEBE follows: EBE is $11,975 (l.S%), NIBE $57.W7.5 (8.6". a). The combined dollar amount and percentage of M/EBE is $69,582,50 and 10.4% respectively. The total amount of contracts awarded fiscal year to -date is $11,564.626. The breakout for MAVIEBE follows: EBE is S730,875 (6.3%); NIBE is S2,767,175 (24%); IN13E is $462,649 (4%). Total M/W/EBE is S3,960,699 (34.3%). (?) Mr. Walton concluded by presenting the March I purchasing reports covering fiscal year to -date and monthly activity from October 12 to December 1, 2000. Total purchases FYD $4,322,186.75. The M/W/EBE breakout follows: MBE is $41,281.32 (1.00/a); WBE is $183,261.86 (4.2%); EBE is $4,097,643.57 (94%). Total purchases from October 12 to December 1, 2000 S840,657.23. The M/W/EBE breakout follows: MBE is $735.12 (0.08%), WBE is S27,001.14 (3.21 EBE is $812,920.97 (96.71%). IV. Items for Discussion and/or Action Old Business Use of Local Professional Service Firms in Future Redevelopment Agreements Ms, Yvonne Killebrew, President, True Tech Services, a WBE exterminator that is owned by an Evanston resident, attended the Committee meeting to determine how to do business directly with the City and through redevelopment agreements. Mr. Chad Walton conveyed that there has not been a solicitation to contract for exterminating services which would cover all City facilities. Mr. Walton assured Ms. Killebrew that True Tech would be included in any solicitation for exterminating services. As for the Church Street Plaza, Mr. Ranney's only comment was that the legal requirements of the redevelopment agreement did not include any contracts by tenants once they had occupied the space in the building_ Church Street Plaza Mr. Lance Foster, RGMA and consultant to Arthur Hill & Company, presented a summary of M/W/EBE activity of Bovis Lendlease and W.E. O'Neil. Mr. Ben Ranney, Arthur Hill & Company indicated that in order to avoid confusion the report contained only executed contracts. M/W/EBE Devdopment Committee December 6, 201:10 Page 5 of 6 Arhur Hill & Cetmpany indicated that in order to avoid confusion the report contained only executed ccmtracts. Miss Laurie Marton inquired of Ranney as to why Regent PartnersAVeiss Builders had submitted an inc:amplete M/W/EBE Utilization Report. The report lacked the required documents "Schedule B: Letter of Intent to Perform" and "Afiida-%it of MAV/EBE Status." Mr. Ranney informed the Committee that Arthur Hill had sold the property to Regent Partners and any penalty for non-compliance would be passed on to them. Ms. Marston admonished that at this point in the development both developers and contractors shou3d both know what is required for MAWEBE compliance and it is Arthur Hill & Company's responsibility to promote and monitor such compliance. fir. Ranney indicated that errseaties had been made to Regent Partners but they had not been responsive. Mr. Ranney suggested that the M/1AWEBE Committee send Regent a letter relating compliance requirements. Miss Marston directed fir. Shepard to draft and send a letter defining compliance requirements and for staff to contact City of Atlanta. Miss Marston gLmstioned Ranney regarding a letter Mrs. Leslie Williams of Hawkeye Design L.L.0 had sent to him with a copy to Mr. Lloyd Shepard. Mrs. Williams turned down a $3,000 contract offer from a contractor to Regent Partners for the hotel artwork. Mrs. Williams stated that "I was forwarded a package providing me with information to assist in this selection to only discover I was awarded the opportunity to locate only thirteen (13) prints for the pubIic areas, no framing and the budget was S3,000. My firm was not awarded the oppor-tunity to select artwork for the 100- rooms with an average of two to four pictures per room, including framing, the real money in this package." Mrs. Williams added chat her company's track record far exceeds what was offered. Miss Marston noted that Mrs. Williams has attended a prior meeting and said that Mr. Ranney had indicated she would be selected for the job although she was unable to get anyone from Regent Parners to return phone calls. Evanston Hospital Research Institute Laboratory Buildine Miss Marston indicated that the Clark Construction Group M/W/EBE Participation Report needed to be revised for clarity. Mr. Shepard related that he had already conversed with Mr. George Hoehl about revising the report and fir. Hoehl indicated that the revision wou!d be made. Mr. Shepard added that with the exception of the monthly participation report, Clark's overall utilization package was complete. Clark submitted all required documentation on NIAV/EBE contractors. MWEBE Development Committee December 6, 2000 Page 6 of 6 Senior Citizens Facilitv G.A. Johnson an Evanston firm was Iow bidder by $75,000 for this facility but was not awarded the contract. It was believed by the staff evaluating the bid that Johnson could not meet a completion date of September 2001 which is the date that the interim facility must be vacated. Also due to the soil being on a waste dump, the Mining company which is not located in Evanston that received the contract had a more experienced construction team with dynamic compaction and senior citizen facilities than G.A. Johnson. Also the City's previous experience with G.A. Johnson demonstrated a slow performance on a contract. Chanee ofMeetine Date It was decided that the first Wednesday of the month will be the new M/W/EBE Committee meeting date except for January. January's meeting will be held Tuesday, January 9, 2000. Adiournment Miss Marston called for a motion to adjourn. Miss Janice Sachen so moved and was seconded by Mr. Bennie Jones. The meeting adjourned at 8:05 p.m. The General Meeting Minutes Small Business Development Committee For Minority, Women and Evanston Business Enterprise September 13, 2000 Members Present: Members Absent: Staff Present: Staff Absent: Guests Present: SUMMARY OF EVENTS Laurie Marston, Richard Peach, Janice Sachen, Michael Sutton Carl Davis, Bennie Jones Chad Walton Lloyd Shepard Lance Foster, RGMA Ben Ranney, AHC, LLC. Co. Hollis Settles, Citizen I. Call to Order Meeting called to order by Laurie Marston at 6:08 p.m. 11. Aoaroval of Last Minutes Minutes will be deferred to next month's meeting, at which minutes for the August and September meeting will be submitted for approval. III. Items for Discussion and/or Action A. Church St. Plaza Project Ben Ranney, AHC LLC. CO., introduced Lance Foster of RGMA RGMA is an M/WBE consulting firm whose services have been retained by AHC LLC. CO. RGMA was hired by Arthur Hill in preparing a report that will accurately identify compliance on the Church St. Plaza project. AHC LLC. Co. hired RGMA prior to the last meeting in part due to concerns that the committee and community groups were raising in regards to the reports submitted by AHC LLC. CO. and its general contractors on the Church St. Plaza project. Mr. Foster submitted a draft of a report to the committee that is a work in progress to receive feedback from the committee as it relates to the format of the report. Mr. Foster and Mr. Ranney stated that it is their intent to submit to the Committee at its next meeting, a report which will attempt to substantiate the M/WIEBE numbers so that 09113/00 NV%V/EBE Meeting subsequent reports reflect numbers associated with contracts that have been acnally executed. The new report will be based upon the June report, and documentation they have received to date. Mr. Foster requested that the committee approve the format of the report. Mr. Foster stated that RGMA has not met with the General Contractors, but will prior to submit the new report. As of the current status of the report, Mr. Foster indicated that RGMA has elimi=ed Evanston Fuels as an Evanston based business, due to the current lack of evidence, and/ or documentation. Additionally, Mr. Foster indicated that ECI «were eliminated from a few categories for which they are not WBE certified to do what they were credited %ith doing. Lastly, a discussion ensued with Mr. Foster discussing acceptable levels of credit for favorable MAVIEBE participation as either a supplier or broker_ The difference between a Supplier and a Broker was defined as follows: a supplier actually takes tittle, resulting in risk, they carry the inventory, and has distribution channels for the materials. A Broker never takes title, they don't stock anything, they are just doing paper work. it was stated that 60% credit for suppliers is the generally accepted practice. For example, as a certified MINV/EBE supplier you only bet credit for 60% of the contract. Which means if there is a $100 contract as the MAW/EBE supplier you would only get credit for 560. In the instance of a broker, the contractor can take credit for the fee portion only. This is what is accepted in the City of Chicago. Mr. Foster stated that RGMA will meet with the contractors and get copies of contracts, documents, certifications, and they will then add those which can be substantiated to the report. A more complete report should be ready for circulation and review prior to the next meeting. The report will be updated regularly. IV, Old Business A. ECI's contract for concrete and steel A short discussion was held regarding voting on brokerage fee for ECI. Due to lack of quorum tonight this issue will be tabled for the next meeting in October. B. Evanston Fuel and a possible waiver Chad Walton discussed the issue of a waiver for Evanston Fuel. He stated that alter discussing the issue with City staff, there is to be no discussion regarding the possibility of a waiver for the Church St. Plaza project at this time. The redevelopment agreement had a 25% requirement, and that it would best to wait until the end of the project to look at the numbers. If the numbers are below 25% then the methods utilized to attempt to meet the 25% requirement will be reviewed. 09/13/00 NM/EBE Meeting V. New Business A_ Public Art Ben Ranney, AHC LLC. CO. gave an update on areas for publie ;ttt. 1. The Garage will have a piece funded by ANC, LLC. Co. and by the City of Evanston. 2. Other possible areas &-ir Public art a. Streetscaping b. Church Street Plaza — Church St. & Maple c. utility Vault, west side of Nlaple Avenue d. Century Theatres has commissioned a major piece of cinema related art. It is an adaptation of movie posters that will be done on one wall of the Art House Theatre. They are also working with other art organizations as well. B. Employment Opportunities Mr. Ranney reported there are current negotiations with The First Bank & Trust Building of Evanston for a temporary space to hold a Job Fair for Century Theatre and other tenants if they choose. It would be held in early October. Century Theatre is looking to fill approximately ISO positions. There is also talk with the Youth Job Center and having them participate as well. They «ill have onsite training as early as possible. The Theatre is scheduled to open November 17`h. There is also a Benefit being held the evening of the 15'h. There will be 2 different events going on. On the General Audience side there is a benefit that is being co -sponsored by the 2 Rotary's here in Evanston. There is a list they have come up with of 5 Charity Organizations that money will be raised through a Silent Auction. On Tuesday evening the theatre will be open to all construction crew and their families. Full concessions will be open and full run of all projectors in order to test equipment and processes before it opens to the public. Century Theatre has also made a commitment to Evmark (Evanston's Downtown Marketing Firm) to donate some slides that flash up on the screen before the previews so that local businesses in the downtown can get some free advertising. The businesses will need to pay for their own production costs. C. CDBG Application Chad Walton informed the committee that it is once again time to submit the CDBG Application. Mr. Walton had requested a copy of the application submitted last year and it is his intent to submit a similar one this year. He received the copy yesterday. He is not quite sure what date it is due but he will make sure that it is submitted in a timely manner. The Chair mentioned that last year there were 3 positions that were requested and only 2 were funded. One being Lloyd Shepard's position and the other a clerical position. This year the intent will be to submit a request for a third position, a Business Liaison. 09113/00 MiWfEBE Mccting IV, Other Business A. Meeting with Judy Witt Laurie Marston, the Chair met with Lloyd Shepard, Bill Stafford and Judy Witt on August 15's. This meeting focused on 3 things. First, quarterly reports from Mr. Shepard detailing departmental purchases that will show, by department their status as it relates to M/W/EBE, also a yearly report with similar information. The City Manager wiII send out letters to department heads letting them know that this is something new that the City will be doing. Chad Walton will follow up to see when this %ill start. The seconif idea was to use City Beat (the employee internal newsletter) to inform City employees. Judy Witt thought it would be a good way of spreading the news about MAV,EBE vendors to the employees who do the purchasing. The tlurd idea vas having some type of annual Recognition Award for either employees or M/W/EBE businesses if they have done a particularly good job in the community. It would probably be some type of plaque. This might also be a good way of getting some good free publicity possibly through Cable or the Evanston Review. It would be a ,good way to let the community know about the committee and that the City is serious about this whole issue. The criteria for the award will be on the agenda for next month- B. Staff Report I. Church Street Plaza, Chad Walton distributed a copy of a report to the committee that was given to the Adminis-.ration of Public Works committee based upon a request from Alderman Drummer. The figures were submitted by Arthur Hill/ W.E. O'1tie1U Bovis and Weiss from the June Reports. Mr. Walton took these numbers along with the last committee actions at the last committee meeting when the committee voted to disallow certain compliance. This report shows that they are at about 25.77% compliance overall. Ms. Marston noted that in looking at this report the EBE is fairly low She was wondering if the alderman have any comments or questions. Mr. Walton stated that this item was not discussed due to the fact that the meeting cot a late start, but Alderman Drummer did mention that he had heard through the community that there are people out there who are not pleased with the way contractors are doing business. Alderman Drummer seemed more concerned with the process and not so much the figures because the numbers are protected by the agreement. 2. Economic Development. Morris Robinson is not able to make the meeting tonight. Mr. Walton will contact Mr. Robinson and see if he will be able to make the October I8`s meeting and hopefully he will have an update. 09/13/00 M/W/EBE Meeting 4 3. M/W/EBE report. These two reports include a total of NGnork• Women in Evanston Business's since the start of the fiscal year (Marcb 0) and a total of Minority Women in Evanston Business's since ahe GLst meeting. This report in a spreadsheet basis reports on contracts award% by City Council. 4. Update on clerical support. Chad Walton reported that Human Resources is working on hiring an accounting manager and a payru31 manager which takes precedence. This means that the clerical poddtiorL "as third on the list. 5. Northwestern University's Outreach. Mr. Walton was contacted by John Marshall of Northwestern University's M/W/EBE. John Marshaitl will be having a 2"`t Annual Outreach on November 8`s, from 8:30am. try 12:30pm. Mr. Marshall indicated that Northwestern Hospital will involved this year. Mr. Walton & Mr. Marshall will be comparing maili'my lists. They will inform Pioneer Press, Roundtable and give notice to other organizations as well to inform the public. D. Additional Items The Chair quickly mentioned that the committee needs to define the proposed defcnitii= for an EBE, some of the ideas were: 1. A business must be in Evanston for 6/12 months. 2. A business must be Iegitimately in Evanston at the time proposal is submitted. The City wants to avoid requiring businesses to be certified. Past definitions of hl[W/EBE v}nll be reviewed, and this issue will be discussed later, when there are mare committee members present. Neat meeting will be changed from October I Ph to the l8t'. August and September minutes will be approved. E. Adjournment There being no further business to consider a motion %as made to adjourn_ Matra passed, and the meeting was adjourned at 7:30pm. 09/13/00 NMEBE Nfecting The General Meeting Minutes Small Business Development Committee For Minority, Women and Evanston Business Enterprise August 9, 2000 Members Present: Members Absent: Presiding Official: Staff Present: Guest Present: SUMMARY OF EVENTS Laurie Marston, Carl Davis, Bennie Jones, Janice Sachen Richard Peach, Michael Sutton Laurie Marston Lloyd Shepard Ralph Moore, Lance Foster of RGMA (Ralph Moore and Associates), Leslie Williams, 2 Representatives from ECI. L Call to Order Ms. Laurie Marston called the meeting to order at 6:00 P.M. H. Annroval of Last Minutes Minutes for May 10 and July 12 will not be approved. They are not ready yet. M. Items for Discussion and/or Action Meeting will be expedited due to the fact that one member needs to leave early and the 3 issues have been discussed in June and July. A. Old Business The determination of compliance for ECI's Contract for Concrete and Steel. Due to Leticia's absence her two employees will join the meeting later. Ben Ranney gave Mr. Shepard material on the masonry and ECI that will be discussed at September's meeting. The Committee reminded Mr. Ranney that they had asked for timely submittals on several occasions. MWEBE DEVELOPMENT CONIMITTEE August 9,2000 Page 2 2. Evanston Fuel's status as an EBE. There is nothing to be added here that hasn't been discussed before at June and July's meeting. Evanston Fuel received their business license back on May 22" and have set up business. In regards to their Certificate of Occupancy we do not kiNiw if one required after the remodeling of their office. Mr. Shepard will check on this. There are two items regarding waivers. Normally waivers are requested at the beginning of the job rather then the middle which is an unusual circumstance. The other issue is that we will need some direction from legal because that redevelopment agreement does not specifically mention a waiver, although the city's normal contracting provisions does allow that. There %vas extensive discussion of Evanston Fuel's status and qualifications as an Evanston contractor. The Chair restated the motion to vote on Evanston Fuel to disqualify for EBE status, as an Evanston based company for all contracts issued from the origination date to the date that they get a Certificate of Occupancy. All those in favor of the motion to disallow Evanston Fuel as an Evanston based business. Motion passed 4-0. 3. R & R Fence Contract. Mr. Shepard's recommendation to the committee is to disallow the credit that Bovis has under general conditions for R & R Construction. It appears that this is a pass -through relationship as work was not done by R&R. Mr. Walker has not been present at any of the committee meeting to explain the extent of his company's involvement in the work. Mr. Ranney suggested that this was not subject to the 25% goal. The Chair noted that the only items excluded from the goal are set forth in Exhibit 18 of the redevelopment agreement. A recommendation to vote to disqualify R & R Construction for the past contract. Motion voted on. Motion passed 4-0. 4. Going back to EC1's compliance with the concrete and steel. ECI's capacity in the project was discussed, if Leticia was giving some particular expertise to the project then there would be credit for those fees associated with that, but if she then turned and subcontracted the work to another company then it wasn't logical to give ECl complete credit. Motion to vote on EC1's contract for concrete and steelwork with the understanding that we revisit the outcome if we are provided with additional information regarding the two contracts by ECI, Arthur Hill and O'Neil by no later than August 25, 2000. 2 MWEBE DEVELOPMENT 7 CON[MITTEF AUGUST 9. 2000 Page 3 Motion to disallow credit t-.Cjj cn for ECI with provision to rmxtsider at the September meeting. Mc+tioc Noted on. Motion passed 4-0_ 5. Two guest speakers were i=oduced. Ralph Moore and Lance F,,\ster from RGMA (Ralph Moore and Associates). They discussed their qualification supplier diversity and minor7N, business development. This concludes the voting because [Chere is no longer a quorum. IV. Items for Discussion and/or Action Other items of Business The Chair asked if there were any xudience members who would like to speak on any issue that the committee should be aware of I. Leslie Williams of Hawkeye Design spoke, she is interested in becoming involved in the hotel development and assisting in providing artwork She is interested in finding out where the artwork is in the project at this point. The committee informed her that Arthur Hill has broken ground and they have a significant amount of construction before they get to any interior work. Mr. Shepard informed her that he had attended a meeting within the past 45 days, which indicated that her firm was in line for artwork for the hotel. his. Williams stated people are calling her, but shoe does not have a signed contract, which Mr. Ranney responded that he «711 check into this matter 2. Mr. Ranney reported that Gt7orge and Sons had been awarded the roff ng work, but the contract .vas not executed. George and Sons later decided to withdraw from the job. Also, CTR (the striping contractor) had been asked by the City's Parking Committee to submit additional information so their status was uncertain. 3. The Chair and Mr. Shepard will be meeting with Judy Witt (The City of Evanston's Human Resources Director). They will be meeting to discuss the City Staff compliance with the City Council's goals, which are 250.0 of purchasing dollars for M/W/EBE firms. V. Adiournment There being no further business. Motion was made to adjourn. Motion passed. DRAFT DRAFT DRAFT The General Meeting Minutes Small Business Development Committee For Minority, Women, Evanston Business Enterprise July 12, 2000 Members Present: Laurie Marston, Carl Davis, Bennie Jones, Dick: Peach, Janice Sachen and Mike Sutton Staff Present: Lloyd W. Shepard and Chad Walton Guests Present: Members of Suburban Black Contractors Association as follows: Devon Hasings, Owen G. Leroy, Kenneth & Laverne Richardson, Dave Johnson, George & Gwen Andrews, Myrna Hilliard, Brian Harris, and Gaston West; private citizens, Ken Whitney and Jill Hirt. SUMMARY OF EVENTS 1. Call to Order Miss Laurie Marston called the meeting to order 6:15 p.m. H. Anproval of June 14u' Minutes The minutes of the previous meeting were unanimously approved. IH. Staff Report Update on Clerical Support Lloyd Shepard related that a part time Clerical support person should be aboard by September 1, 2000. The delay in bringing the Clerk aboard is caused by four other Finance Department positions being filled. Meeting li/ith Judy Will re: StaffEvuluation on Purchasing Compliance Miss Laurie Marston indicated that she and Judy Witt have been trading phone calls the last day or two to set up a meeting to talk about evaluating staff and department heads on their compliance with the City's MWEBE Purchasing Policy. Miss Marston conveyed that she had not established a meeting date yet so she cannot report but that the meeting would take place shortly. DRAFT NOT -APPROVED MWEBE DEVELOPMENT COMMITTEE July 14, 2000 Page 2 of 7 MWEBE REPORT on Contracts Awarded Chad Walton presented a summary of MWEBE purchasing activity for two months from May 11 through July 12. The total amount awarded for the period from May 1 I through July 12`s was S1, 975, 754. 80. Of that total S°?37,995.00 was the amount of compliance. Mr. Walton indicated that vin numbers 0026 and 0027 in the description are identified in both projects funded by MFT funds and therefore could not be included in MWEBE requirements since the projects were not being funded with exclusively local funds meaning that almost S950, 000 of the 1.9 or almost 2 million dollars awarded could not be placed in our MWEBE specifications. Of current month results the total amount awarded to EBE is $105, 900 or 5.4%. MBE was S20,410. or 1%. WBE is Sl 11, 685 or 5.7%. Fiscal year-to-date City Council has awarded over $4.8 million in contracts. For summary purposes, the amount that we paid to the M«'EBEs combined since March I" is S1,538,498.94. The amount paid to MWEBEs from June 14''to July I Vh is $281,942.26. Walton also informed attendees that if you're interested in being added to the database you should complete and submit a vendor information survey that can be obtained from the Purchasing Department. Church Street Plaits (Bovis, Weis Builders and W.E. O'Neil) Miss Marston introduced Mr. Ben Ranney, Arthur Hill & Company (AH&C) to do the MWEBE Participation report for Church Street Plaza. Mr. Ranney submitted the contracts between AH&C and O' Neil and AH&C's contract with the city. Mr. Ranney also submitted a letter from Builders Ready Mix that stated why Builders could not participate in the garage deck concrete requirements. Mr. Ranney indicated that he suggested to O'Neil to request a waiver for concrete rather than a very technical legal battle or try and figure out too much detail with Evanston Fuel. Mr. Ranney related that R & R Construction has declined to attend this meeting and Bovis indicated since the fence contract was a general conditions item and was only listed to show good faith effort, it's really not of grave importance. At this point Mr. Ranney indicated that he would not be able to stay. DRAFT NOT -APPROVED MWEBE DEVELOPMENT COMMITTEE July 14, 2000 Page 3 of 7 Miss Marston related that the Committee %vas going to talk about ECI and Evanston Fuel tonight. Mr. Ranney indicated that he would encourage O' Neil to pursue labor track with Evanston Fuel rather than proceed with that course. Miss Marston requested the status of ECI. Mr. Ranney replied that he was unclear about ECI because he was unable to get a full explanation of what is going on. Miss Marston indicated concern about not being able to review and discuss the contracts Mr. Ranney had just submitted. Mr. Ranney replied that one of the things he hoped to come up with and would try to request from O' Neil was good industry definitions with the terms of a general contractor versus construction management versus construction manager at risk. They were unable to come up with quality ones on that that I thought made any sense. And if you look at these documents it really distorts what I understand to be the construction management at risk contract. Miss Marston raised a couple of other issues. Miss Marston related that the Committee received material from Mr. Ranney in the monthly report but has not received back up documentation, i.e., Schedule B and the Affidavit. When will it be received? Mr. Ranney responded that contractors have not provided all of the back up documentation but does have the majority of that from both contractors. Miss Marston continued by highlighting the precast and how it was first shown on the report as contracted to Concrete Technology and then it went to ECI. On this month's report for the period ending May a 1" it's listed as ECI and Concrete Technology. Miss Marston asked Mr. Ranney if that is something you want to explain to us or are you aware of that? Mr. Ranney indicated that he needed to get all this documentation together from W.E. O'Neil. Mr. Ranney was reminded by the Committee that neither W.E. O'Neil, or ECI chose to attend this meeting and they are expected to attend in August. If they do not attend the issues that involve them will be voted on without them being present since the Committee has been discussing these matters for several months. DRAFT NOT -APPROVED MWEBE DEVELOPMENT COMMITTEE July 12, 2000 Page 4 of 7 Mr. Ranney reported that "the hotel has just started," and the only thing they have started on at this point is their drilled piers. They will be breaking ground and doing their full site work within the month. They have forms they've showed me that are a preliminary stab at a report. They will get that directly to Lloyd without my interference by hopefully next month's meeting. Miss Marston briefly discussed Leslie Williams, Hawk Eye Designs, with Mr. Ranney. MR. Ranney indicated all the things being designed for the hotel is being done by a woman owned firm based in Atlanta that is owned upstream by the hotel chain. They have gotten in touch with Leslie and there was a good shot that she would get a supply contract for some of the artwork and some of the work inside. Mr. Brian Harris, Secretary, Suburban Black Contractors Association, asked Mr. Ranney, "How was this project approved without a job -training program?" Isn't it required by the City? Mr. Ranney related that they actually looked at several job programs for their tenants. If you're talking about a construction job program, it is something that we looked at and decided not to do. Miss Marston indicated that the city requires that of the total workforce 15% be minority. That is in the redevelopment agreement and is mandatory. Job training that is not a requirement of the redevelopment agreement is not mandatory. It doesn't mean they can't do it voluntarily. Mr. Harris responded that "if we speak of the total work hours required the figures I came up with were a little distressing. In terms of total Evanston workforce hours for minorities or at least African -Americans, we're looking at less than 2%. Mr. Ranney indicated that they are broken down by female percentage of workforce, by minority and by Evanston. It turns out there's just been some participation from Evanston workers but not huge participation. There have been a number of hires that have taken place on site through both of the general contractors Bovis and O' Neil. Since we have had trouble finding a large number of union and Evanston based firms, contractors bring in people from outside of Evanston. There has been a very good showing in terms of minority workers. Mr. Harris responded, let's speak on those terms because we have two businesses that are members of our association. CTR Maintenance is represented by Michael Hilliard and we have Jordan and Sons Painting. They reportedly have contracts, and have been listed as being respective contractors, but they have no contracts. DRAFT NOT -APPROVED MWEBE DEVELOPMENT COMMITTEE July 12, 2000 Page 5 of 7 Mrs. Hilliard indicated that she called O' Neil today, but I don't know where the contract is. Mr. Ranney responded that is an issue that I would very much like to follow up with you on because that should not be listed, we've been over this time and time again with O'Neil. Mrs. Harris related that W.E. O'Neil seems to have it on the report but does anybody read the report? What I'm saying here is that I know I don't have a contract. I called today. 1 talked to Greg at 2:30 today. I had no contract then and I have no contract now. Mr. Ranney asked "do you feel like you have a verbal contract?" I hope that is what it is and it's only a matter of filling out paperwork because it is a serious problem that needs to be resolved. Mrs. Hilliard related that it is a very serious problem for African Americans because we are not in great numbers out there on this job. Mr. Mike Sutton related that Mrs. Hilliard was specificallysaying the local African -American participation is very, eery low. I don't think they are questioning meeting your minority requirement. But the amount of black businesses that are working on the project is miniscule. The amount of black laborers and craftsmen that are working on the project is very low. Mrs. Hilliard continued she had given W.E. O'Neil everything they asked for. So there is nothing else to give them. CTR Maintenance did not yet receive a contract from W.E. O'Neil for striping. Mr. Brian Harris indicated that SBCA had met with Weiss Builders regarding the hotel. Mr. Harris voiced SBCA's concern as looking at some fundamental issues that aren't being addressed in terms of just the Evanston community. Going back to my original comment of not having a job -training component. Ifyou look at the total work force, and again this is just for the report that I'm holding in black and white, the total work force states that there are no black apprentices, as far as the total work hours. If there's no black apprentices, then you're not encouraging a job -training program. And that's just totally unacceptable going back to Michael Sutton's remark about the Evanston population being about 20% black. Let's, for a minute divorce ourselves from the contract_ We're not encouraging participation from the community. When you look at the state that the project is at as far as completion and not to have involved the community, that sends a bad message. Mr. Ranney related that he will be meeting with SBCA next week regarding this project that still has several parts up and coming and the hotel that is just getting DRAFT NOT -APPROVED MWEBE DEVELOPMENT COMMITTEE July 12, 2000 Page 6of7 under way. We will be involved with a development of an office building on the south side of Church Street that's a 200.000 square foot office building that has similar goals to the one we have. It is a different developer but we will be cooperating with them. So there still is a lot of opportunity. Mr. Shepard asked Mr. Ranney to please give the audience the total value of the of the hasrd costs Church Street Plaza project as well as estimated value of each component? Mr. Ranney indicated that he did not have those numbers. Miss Marston thanked Mr. Ranney for attending the meeting. IV. Items for Discussion and/or Action Old Business Miss Marston informed the audience that there is an awful lot of construction underway in Evanston and to use the City's personnel to help obtain contracting opportunities. Mr. Dick Peach encouraged a trip to School District 65. District 65 has a major project coming up. The Chamber of Commerce has sent a letter and we have gotten assurances from Dr. Murphy and the Board that they will in fact follow MWEBE guidelines. He encouraged organizations to step up to the plate right away and get your names in there and stand up and make sure you're counted. Mr. Peach continued we're finding that it's O' Neil's name that keeps popping up. Last month EC1 kept saying that she did not have contracts. She just went ahead anyway and she's listed for several million dollars of work on the contract. Has she gotten a contract yet do you know? Mr. Shepard responded that she's got the contract for rebar and that is the one that she subbed 94%. However, she doesn't have the concrete and cleaning contracts yet? Mr. Peach indicated that this is starting to show up as a pattern and makes us all uneasy that there is a definite problem. Bovis doesn't seem to have this problem and we hope Weiss won't. Miss Marston related that we're going to send a letter directly to Mr. Hill, with copies to the Mayor, and the City Council to raise this to a level where Mr. Hill is aware of this himself: DRAFT NOT -APPROVED MWEBE DEVELOPMENT COMMITTEE July 12, 2000 Page 7 of 7 Cooperation with District 65 Mr. Peach related that District 65 communicated that the City's h11\'EBE compliance guidelines would be utilized for the new administration building. Mr. Peach added that District 65 was asked to exceed the guidelines because so much of the money, the 27 1/2 million dollars approved in the referendum, came from Evanston businesses and Evanston residents. DOiiition of IsBE (Time it Evat xstoti, Facility Size. Number of Emplojves) Miss Marston opened discussion for revising the definition of an EBE. Some of the areas previously discussed were number of employees in Evanston, the size of the facility, whether it is an office or a warehouse. Miss Marston reiterated Mr. Bennie Jones recommendation of the amount of time a business has been in Evanston, i.e., the business would have to be in Evanston for a year or two. The Committee also said that they have to be in Evanston at the time the contract was signed. Determinations of Compliance regardittg ECI 's Contractfor Cottcrele and Steel Discussion focussed on whether or not ECI could be legitimately categorized as a construction manager or is her company a broker. Also, the need for a copy of the contracts between ECI and W.E. O'Neil. Mr. Peach pointed out that the federal guidelines limit W.E. O'Neil to the amount of credit equal to what they pay ECI. O'Neil can not claim anything else unless the subcontractor to ECI is a minority buiiness. Mr. Ranney did not furnish the Committee with the contract (s) between ECI and O'Neil but he did furnish the contract between Arthur Hill R Company and W.E. O'Neil. Mr. Shepard related that the only contract that Leticia Herrera was able to produce was a contract between her as a general contractor and a subcontractor for rebar. Further, Miss Herrera related that ECI would receive a contract from Precast Concrete. The matter will be discussed further at the August meeting. V. Adiournment The meeting was adjourned at 8,20 p.m. The General Meeting Minutes Small Business Development Committee For Minority, Women and Evanston Business Enterprise June 14, 2000 6:00 P.M. Members Present: Laurie Marston, Dick Peach, Janice Sachen and Mike Sutton Members Absent: Carl Davis and Beanie Jones Presiding Official: Laurie Marston Staff Present: Bill Stafford and Lloyd Shepard Guest Present: Ben Ranney, Arthur Hill & Co.; Lou Reiner and Craig Doubeck, W. E. O.NeiI Construction Co.; Leticia Herrera, Extra Clean, Inc. (ECI). SUMMARY OF EVENTS I. Call to Order Ms. Laurie Marston called the meeting to order at 6: l5 p.m. If. Approval of April 12 Minutes Ms. Marston called for a motion to approve the minutes of the April 12 meeting. Mr. Dick Peach moved that the Committee accept the Minutes. Mr. Mike Sutton second. The minutes were approvers by majority vote. III. Staff Report Ms. Marston indicated that she would not follow the regular agenda in order to Conserve time. Discussion of the other items on the Agenda were postponed until July. Ms. Marston proceeded to "IN'. Items for Discussion and/or Action" under "New Business" which addressed Determination of Evanston Fuel's Status as an EBE, Determination of Compliance regarding R&R Construction's Fence Contract with Bovis Lend Lease, and Discussion of ECI's Contracts for Precast Concrete, Resteel and Masonry. Ms Marston asked 10r. Lloyd Shepard to begin the meeting by presenting an overview of findings regarding the compliance issues. Mr. Shepard provided the Committee with information regarding Evanston Fuel, R&R Construction and Extra Clean, Inc., (ECI) as follows: L%I/W/EBE CO.N51ITTEE MtNUTES-JUNE 14, 2000 PAGE 2 It was first noted that W.E. O'Neil was reporting Evanston Fuel (EF), a concrete: Supplier, as an Evanston based company in their January 2000 \V\V1EBE Participation Summary. W.E. O'Neil has continued to report EF as an EBE although EF was not issued a City of Evanston, General Business License until May 22, 2000. The present status of EF at 828 Davis, LLB, as a functioning office is unknown to Mr. Shepard. The issue is when EF can be considered an EBE for W. E. O'Neil and other companies to receive I OM16 credit under the guidelines. The redevelopment agreement between the City of Evanston and Arthur Hill & Company states "An Evanston Business Enterprise (EBE) shall mean any entity which is located in one or more offices located in the City. Regarding R&R Construction, R&R Construction received a purchase order on June 9, 1999 from Bovis Construction Company to construct a site fence around the area .%-here the Church Street Plaza Pavilion is being constructed. It was brought to the attention of the MAV/EBE staff by City of Evanston staff that R&R Construction subcontracted all the work to a company that specializes in fence construction. Mr. Shepard said that the MAVIEBE Committee in determining the compliance status of R&R Construction should consider the following: "City of Evanston Specification for M/W/EBE Participation, Paragraph IL, Subparagraph B., 'AII NM/EBE participation may be credited 100%. The firms must, however, perform a commercially useful function in that the firm performs the work with its own resources.' Pass through relationships are prohibited." In addition, the redevelopment agreement between the City of Evanston and Arthur Hill & Company, Paragraph 28, Subparagraph B, condition (iii) relates Developer "insuring that the work slated for NUW/EBE participation is real in scope and was selected to increase the likelihood of achieving the 25° a participation goal. Since R&R and Evanston Fuel were not present, discussion was postponed to July. Mr. Ranney promised that both those companies would attend that meeting, Regarding Extra Clean, Inc., ECI is listed on W.E. O'Neil's Monthly M/W/EBE Participation Summary for contract awards in four areas. They are: Masonry 5612,850; Preca-q Concrete S391,400; Resteel material S551,200; and final clean-up $20.00.0 that total $1,575,450. ECI is certified by the City of Chicago for Construction Management, construction clean-up, tuck pointing, construction restoration (marble restoration) and by the Small Business Administration for SIC code 1741, Masonry, Stone Setting, and other stone work; SIC 1542, GC Nonresidential Buildings; SIC 1541, GC Industrial Buildings; and other SIC codes. Mr. Shepard outlined the SIC M/W/EBE COM.tiiITTEE MINUTES JUNE 14, 2000 PAGE 3 codes that apply to the Church Street Plaza Garage. Mr. Shepard said that he met %%ith Miss Herrera at her office May 24, 2000. He asked Miss Herrera what work she would perform on the precast concrete contract. Miss Herrera indicated that the contract was not awarded but the award was imminent. Miss Herrera related that ECI's role would be ordering material. arranging schedules and shipments, expediting orders and preparing change orders. Miss Herrera indicated that the precast concrete would be ordered from Concrete Technologies with delivery directly to the site. ECI 6iill only do the paperwork to get the product delivered. However, if there is a mitigating element it is that Miss Herrera indicated that ECI takes title to the commodity. The doer side is that ECI does not manufacture or add value or store/warehouse or operate distribution equipment. ECI is essentially in the same status for the resteel contract. Miss Herrera subcontracted approximately 94.4% of the resteel contract to Potter Form & Tie, Rockford, IL. Mr. Shepard further indicated one of the major conditions of the certification Process for minority and women owned businesses is the review of capabilities {areas of specialty} the applicant firm is requesting certification. The certification letters for ECI in our possession do not reflect the areas of precast concrete or resteeI as a manufacturer, installer, distributor, regular dealer or broker. It is his recent understanding from the Women's Business Center, Hedi Ratner and Laverne Hall, that ECI is serving as a construction manager for these contracts. One last point that may be a mitigating element for the masonry contract, the SBA certified ECI for the masonry based on the resume of one of SCI's personnel. Mr. Bill Stafford. Director Finance, City of Evanston, under «-hich the MAVIEBE program is directed, indicated that there is a confluence of issues facing the Committee that it must address. First the issue of Evanston Fuel, secondly, ECI and third R&R Construction. Mr. Stafford noted that Lloyd's duty was to make sure that vendors were treated consistently and that true MAVEBE vendors were being solicited and hired. It is his responsibility to challenge the validity of minority vendors if, in his judgement, there is some concern_ Mr. Stafford concluded that he believed Lloyd was diligently doing the job of monitoring such vendors and the questions he was raising were valid. Mr. Ranney indicated that any attempt by the City to withhold part or all of the $300,000 will automatically be submitted to arbitration. Ms. Marston asked Mr. Stafford the status of the Clerical Support position. Mr. Stafford indicated that the Finance Department had four jobs waiting in line with Human Resources and that is the reason for the delay. The Clerical Support tiUW/EBE COMMITTEE MINUTES JUIh'E 14. 2000 position should be filled by September. PAGE. 4 Nis. Janice Sachen indicated that she was the first to notice that Concrete Technology had been replaced by ECI on O'Neils M/W/EBE participation report and had asked that there be a determination made on the change. Members of the audience were introduced. I%Iiss Leticia Herrera, President, ECI was introduced and presented an overview of her company. Miss Herrera indicated that ECI was established 10 years ago providing janitorial service and since then has expanded operations to include marble and stone restoration, including the Oriental Theatre and the Cadilac Palace Theatre. ECI has purchased a building and yards to store tacks and equipment. ECI has several contracts with O'Neil and does construction management for other contractors. ECI is bonded for the project work they have contracted and has taken a line of credit for the cost. When asked what other jobs ECI had managed for precast concrete and rebar, Miss Herrera did not answer. Miss Herrera indicated that then were "construction Managers" not suppliers for the concrete and rebar. %%%en questioned about the City of Chicago certification for these areas, Ms. Herrera indicated that the City of Chicago does not understand what constitutes construction management. Mr. Lou Reiner of O'Neil said that "ECI is not certified for rebar work." The Committee had previously heard one explanation for switch to ECI at a previous meeting.. The new explanation is that Ms. Herrera approached them after working for O'Neil on theatre projects. The Committee asked Mr. Ben Ranney in the future to provide the Committee with timely documentation on changes, such as additions to specialty certifications, changes in scope of any MAVIEBEs contract or other activities such as mentoring related to spirit or letter of compliance with the redevelopment agreement. Mr. Ranney questioned the Committee's reliance on a document other than the redevelopment agreement and Mr. Stafford asked him if he .vas questioning the City's use of nationally accepted standards. Mr. Ranney said he was. Mr. Ranney indicated that the Committee was not interpreting tie redevelopment agreement correctly and questioned why the committee was using certification criteria of the City of Chicago. Mr. Ranney read several sentences from the redevelopment agreement on page 34, his. Sachen pointed out language in agreement that Mr. Ranney overlooked regarding who is considered an MBE and EBE. Ms. Marston also noted the redevopment agreement encouraged joint ventures. Mr. Ranney said there were none. 1N/W/EBE COMMITTEE MINUTES DUNE 14, 2000 N W-5 The Committee did not question masonry and cleanup contracts for ECI. The Committee questioned Miss Herrera on exaCay what value ECI was adding t�i the project. Given the amount of time Miss Herrera took during the meeting to explain ECI's history and plans for growth, Mr. Morris Robinson wanted the representatives of W.E. O'Neil to "speak up" regarding their arrangement with ECI. Mr. Mike Sutton indicated in order to be fair to ECI he would provide an overview of his understanding of construction management relationships. Mr. Sutton indicated if O'Neil's contract with Arthur Hill & Company is based on a percentage of the job, the ECI can claim the.: are getting paid based on a percentage of the job and get credit, but only for that portion of the contract. If O'Neil's contract with Hill & Co., is a flat fee, then ECI is not acting as a construction manager. In that case, ECI can only claim credit for a fee as a broker, not for the entire amount of their contract, which also includes the cost of materials. Based on the Mr. Sutton's over%iew the Committee wanted to know how O'Neil was being paid by Hill & Co. Was compensation paid as a percentage of project or flat fee. The Committee also wants to know how ECI is paid. The Committee requested a copy of tl,e contract between Hill/O'Neil and O'Neil/ECI as they existed on June 14, 20011 Mr. Sutton also indicated that ECI if serving as a construction manager under a construction manager could take 100% credit for subcontract work to M/W/EBE contractors actually performing the work_. It was indicated by Mr. Reiner, O'Neil, that there was a MBE that did the installation of the pre -cast concrete work on the project. Therefore, ECI could be given 100% credit for that portion. Ms. Sachen requested that the Monthly MAViEBE Participation report be further subdivided by O'Neil. If a contract is subcontracted and O'Neil wants credit for, M/W/EBE, the subcontractor and any further subcontracting should be shown with certifications. The jobs should be listed to the lowest level of detail if multiple subcontracting. Mr. Reiner, O'Neil indicated that O'Neil has, a mentoring program that ECI participates in. Mr. Reiner said that mentoring was better for an MBE than a joint venture. Mr. Reiner indicated ECI had worked on several projects in the past but did not indicate what actual work ECI performed. A member of the audience, Mr. Ken Whitney questioned Mr. Reiner on whether the mentor program was formalized. Mr. Reiner said no. Mr. Whitney also asked if the program was available to everyone in construction trades and Mr. Reiner said no. The Committee said this was the first %ve were hearing of this mentorinb. M/W/EBE COMMITTEE TEE JUNE 14.2000 Pav 6 Mr. Ranney indicated that Hilt h Co., is doing other things to show their g«d faith efforts, such as soliciting AU1Y/E.BEs for the public art. The Committee indicated that at a later date it would appreciate a presentation an those activities, and Mr. Ranney agreed to do that, IV. Meeting Adiourned The meeting adjourned at 8:20 p.m. The General Meeting Minutes Small Business Development Committee For Minority, Women and Evanston Business Enterprise May 10, 2000 Members Present: Laurie Marston, Dick Peach, Janice Sachen and Bennie Jones Members Absent: Carl Davis and Mike Sutton Staff Present: Lloyd Shepard, Chad Walton and Max Rubin Guest Present: Jennifer Davis SUMMARY OF EVENTS L Call to Order Miss Laurie Marston called the meeting to order at 6:10 p.m. II. Approval of April 12th Minutes Approval of the April 12th minutes was tabled to the follo%ing month. III. Prospective New Members Miss Marston indicated that firs. Gail Brodsky whom attended the previous meeting is out of town this week but indicated that she is thinking, because of her experience, the Human Relations Commission would be better. Miss Marston indicated that the Committee has two more vacancies. Miss Jennifer Davis, a prospective new member was introduced to the Committee. Miss Marston indicated that Miss Davis had previously attended a Committee meeting with Mrs. Leslie Williams, Ha,.keye Design. Miss Marston asked Mr. Lloyd Shepard, if the hotel developer ever got back to Mrs. Williams. Mr. Shepard indicated that Mrs. Williams had contacted Mr. Benjamin Ranney Miss Marston asked Mr. Ranney if he knew «,ho she was talking about. Mr. Ranney responded affirmatively and indicated it was his understanding that Mrs. Williams had a call into the architectural firm and development firm and he had not heard any follow up on that. Miss Marston indicated that Mrs. Williams was pretty discouraged, at least the time she met with us, because she could not get anyone affiliated with the hotel to even return phone calls. MAVIEBE COAMI1TTEE MINUTES MAY 10. 2000 PAGE 2 III. Staff Report Clerical Support --Miss Marston asked Mr. Shepard to give a report on the Clerical Support. Mr. Shepard related that the Personnel Requisition had been submitted to Human Resources and they are processing. Mr. Shepard asked Mr Bob Gustafson to notify him when the Requisition is opened up for interti•iews; Miss Marston asked if the Requisition had been published. fir. Shepard replied that it had not. Miss Janice Sachen asked if Mr. Shepard knew why the Requisition had not been published. Mr. Shepard indicated that it is just going through the regular process. Mr. Chad Walton indicated that Human Resources is short of staff which could be a possible contributing factor. M/W/EBE Report on Contracts Awarded -- Mr. Chad Walton reported contracts avvarded by the City Council between July 15, 1999 to April 30, 2000 totaled 51S million. The MB%'EBE breakout is 18.90/a MBE, 8.7% EBE and 0.65 WBE for a total of28.2%. Sir. Walton related that the Purchasing Department reports cover the previous month, current month, and fiscal year to date. Mr. Walton indicated we had a big goose egg last month and this month we picked up some compliance. The 50150 sidewalk curb replacement contract was awarded to Suburban Concrete. They will utilize Builders Ready Mix with a contract of$25,000. In the current month we have total purchases to MWEBEs of$42,436.75. The breakout is 63.48% EBE, 13.391/o NIBE and 23.26% WBE. Total year to date is $60.197.90. The MWEBE breakout is 530,0 EBE, 21.72% MBE and 25.47% WBE. Miss. Jennifer Davis asked l4ir. Walton if women have been completely taken out of MBE and categorized under WBE) Mr. Walton responded affirmatively. Miss Davis also inquired about what categories of racial groups constitute minority owned. Mr. Walton responded that recognition to being certified as minority owned is obtained through an agency recognized as performing this function. Actual categories within the minority definition are not reviewed. If you are an EBE then all categories could fall under that definition. Miss Marston indicated that not having a quorum she would move down the agenda to District 65. Mr. Dick Peach responded regarding Districts 65 and 202. Mr. Peach related that he pursued this matter via his position on the Board of Directors at the Chamber of Commerce. The Chamber views this as absolutely critical that something be said to the School Districts. There was a Resolution drafted that has already been sent with purchasing policies recommendations to both Districts. The Resolution states **%N'ith both school districts involved or soon to be embarking on substantial capital projects, the Evanston Chamber of MIW/EBE COMMITTEE MINUTES MAY 10, 2000 PAGE 3 Commerce believes that these activities represent significant opportunities for minority owned, women owned and Evanston based business. As a representatitie over seven hundred businesses in the Evanston area the Evanston Chamber suggests the major public sector taxing bodies have an obligation to suppon local business. These businesses provide the employment for many families of Evanston school children and pay nearly one half of the property taxes to sustain school operations. The Chamber encourages the two districts to seek the lowest costs when they're doing project bids. Some preference should be made :or minority owned, women owned and Evanston based businesses, MWEBEs The direct human relationship between these Evanston businesses and the school districts argues for a policy to maximize it's local economic opportunity The City of Evanston has addressed this issue with a comprehensive policy and accountability standards that encourages purchasing from MWEBE contractors and vendors. Rather than reinventing a new system for purchasing, the Chamber recommends the two school districts emulate the City of Evanston policy and attempt to achieve the same goals. The chamber will endeavor to make available resources that will assist school districts, purchasing departments to find MWEBE contractors and vendors." Both Districts already have copies in their hands and Jonathan is hoping we can meet with Dr. Murphy and with District 202 whose plans are not as clear cut as 65's. Mr. Shepard indicated that he had talked to Dr. Murphy who would have Ann Smith, Purchasing Agent, call. Mr. Shepard had a previous conversation Nvith Mrs. Smith who indicated that Terese O'Neil is the person that is heading up the construction project. Mr. Shepard will follow up with Miss O'Neil. Mr. Shepard indicated fie had already assisted Cannon Architectural & Engineering by sending a list of EBE architectural and engineering firms for potential subcontract work. Miss Marston asked who's going to handle 202 since their budget is a little different it. Mr. Peach by indicating that 202's capital projects have not been defined yet. They are still in the talking stage of what they think they want to do. I have a meeting with Allen Olsen on Monday so we'll see what's going on. Miss Marston related that this is an opportunity for intergovernmental cooperation and could be a real model for other places and could be real exciting. However, the main objective is actually keeping dollars in the community Miss Marston moved forward to item six, definition of an Evanston business. We talked briefly at the end of the last meeting about revisiting; the issue that gave us a lot of problems. And before we sent the memo to the city council M/R'IEBE C01<'II1NIITTEE MINUTES MAY 10, 2000 Phee 4 was how do we define what an Evanston business is? One example that %%V kicked around was Home Depot. They're here in the community. They hits a lot of pex1ple in the community. They pay a sales tax. But their corporate headquarters aren't here. So, does that mean they're an Evanston business? We decided yes, we want them to be an Evanston business. The original thing we talked about was having a business address in the city not a PO Box and that did get incorporated in the definition. Also, paying taxes in the city. We kicked around whether we should require a business license, but there are people that operate a business out of their home that is perfectly legal depending on zoning. Some businesses don't need a license, does that mean they're not a business? No, of course not. So we deleted that. One of the things we got hung up on but we spent a lot of time on was do we want to focus on employees, in other words, they have a business here, how many of their employees live in Evanston. We decided that was a worthy goal, but to administer something like that would be a real nightmare. So we require a certain percentage of employees to be Evanston residents. Miss Marston asked Mr. Benny Jones if he were able to find out anything more about the Atlanta criteria. Mr. Jones related that he had ordered a copy of it and expected to receive it in one week. Mr. Jones added that a business must be physically located in the boundaries of Atlanta for one year. The more I think about that it's not a bad criterion. You have a Home Depot that places a business here. Even though they're not home ofl'iced here, they're still physically in the community for'x' amount of time. You know they're establishing themselves and putting some type of root in the community. To me that makes more sense than a company that opens up a hole or something to become an Evanston based business so that it can get the 5% preference. And it's wrong. It defeats the entire purpose of the program. There's always some company that looks at whatever we do and tries to make it under what you might consider the letter of the law. But it still leaves a very bad taste in my mouth. Mr. Ben Ranney related that we actually have a company, Evanston Fuel, that used to be based in Evanston and closed up shop about 19 years ago. Their land was purchased and they were subsequently purchased by another corporation. As a result of the requirements in the redevelopment agreement, the goals that we have, they saw an opportunity to reestablish themselves as an Evanston business and be counted on. This was one that was especially important to the garage because so much of the garage is concrete So much of the budget there is tied up in that and they've had a really tough time coming close to our goals. They have really struggled with some of their awards and so what they did was worked out a scenario where Evanston Fuel and Material would open a permanent office. The office is not only for this project, we since had contracts coming from other components of our project, and they're looking at future business from other major developments going on in town. But there's absolutely no question that the reason they're opening up this office is because the way the law was drafted. 1N1/W/EBE COAINIITTEE MINUTES MAY 10, 2000 Ptt�r S Miss Marston questioned what is an appropriate action to take on this? Mr. Peach indicated that Evanston Fuel rented two hundred thirty something square feet of office space that's something short of a closet and listed two employees both of which probably won't be in the office very much because they're sales people and quality inspectors. But it meets the letter of law. So, we have to deal with them as an Evanston based business. Mr. Peach indicated that we discovered a rather large loop hole here. In fact, guidelines that are in the purchasing stuff Chad sent copies of defines Evanston businesses a lot tighter than what's in the redevelopment agreement, it just says an office period If we were to just transfer some of those things, guidelines over to the redevelopment agreement. Mr. Ranney related the thing that 1 keep coming back to about Evanston Fuel, because they see a lot of future business, and frankly if I'm going to go buy what they are telling me, they will establish themselves as a business and will stick around. But that's a good thing, it's a positive thing. Mr. Jones related that it's a positive thing to an extent. It's an annoying thing if you look at it from a perspective of a company that has already been here and has been doing business here, what it means is, that for the equivalent of 240 square feet they have come up with a very cheap marketing expense. That's what that office represents to me nothing more than their attempt to take advantage of the Evanston preference. Mr. Shepard indicated that we should not overlook the fact that W. E. O' Neil and many other large contractors in the metropolitan area have had compliance requirements on all public work that they've done for the past 30, 35 years. And if you look at these reports you will see that most of the first tier contractors that they have are non -minority, non - female companies. Which means that these guys have never really taken the time to develop any minority owned or women owned companies that can operate at a first tier level. That's why they have such a difficult time when they are required to have a certain percentage of compliance to meet project compliance because they're not putting forth the effort to develop first tiers. Mr. Ranney disagreed and asserted that to a certain extent you have to look at their most recent awards. If you look at architectural systems, which is 100%, which is a MBE. If you look at R. S. Bailey &: Associates which is their painting contractor which is 100% MBE. If you look at possible building contractors it's 100% WBE. EC1, I think you met the president of ECI, has two contracts and she is a WBE. I can run through them all if you like. M/W/EBE COMMITTEE MINUTES MAY 10. 2000 Pale 6 Mr. Shepard responded that Mr. Ranney's point was made. But my point is simply that looking at all of the reports that have came in, I'm not just talking about W.E. O' Neil. I will be willing to challenge anyone over the next few rears that we're doing construction in Evanston, to demonstrate to me that they really have got a lot of first tier minority and women contractors out there on the project. Now their coming in with these subs at this time, but there's pressure for them to do it, that's why they're down here with $1.2 million with Evanston fuel. My point is if they were doing what they were supposed to be doing, maybe they wouldn't have to go to Evanston fuel to make up the slack. That's my point. Miss Marston moved back to the broader topic of how we define an Evanston business. and then go back on our old business to this project. Are there any other comments that people want to discuss about the time criteria, i.e., the one-year residency or any thoughts about the size of real-estate that's owned or leased or number of employees. Mr. Max Rubin added that when Home Depot invests 5 million dollars in a store in Evanston, they are not going away. Waiting one year on a store that size seems fine if you're trying to protect the other guy. But when they build something, actually if they build anything. I think that's one criteria. If they're renting space, you may want to think of another criteria. What they're investing should be reflected in some fashion. Miss Marston related that Mr. Rubin's suggestion was a good point. But one of the things we may want to think about is maybe having a list of different criteria that we use. Perhaps a list of five things say that you have to meet three of the five. So in the case of Home Depot they actually constructed a facility and own real estate here. This is not to say if you have a lease you're not paying real-estate takes as well but it's a different in terms of your investment. So we want to think closing any loopholes but we also want to think about how it impacts each of the businesses that potentially are EBE. Miss Janice Sachen suggested that once we come up with the criteria to talk with a lawyer to make sure that before we put it on the table it's not something we can be sued for. Miss Marsten proceeded to agenda item five, Church street Plaza and asked Mr. Ranney to address whatever activities he felt appropriate given limited time. Mr. Ranney indicated that he and Regina wrote up a basic summary of the site walk that we do monthly. The idea is to just make sure that Evanston workers and women and minorities are employed and this employment matches up with the certified payroll submitted by the contractors. Since there was no additional business the meeting was adjourned at 7:45 p.m. The General Meeting Minutes Small Business Development Committee For Minority, Women & Evanston Business Enterprise April 12, 2000 6:00 P.M. Members Present: Carl Davis, Bennie Jones, Laurie Marston, Richard Peach and Janice Sachen Members Absent: Mike Sutton Presiding Official: Laurie Marston Staff Present: Lloyd Shepard and Chad Walton Guest Present: Messrs: Lou Reiner, Craig Doubeck, Bill Malone of W.E. O'Neil; Glen Schmitt, Chet McGrath of Evanston Fuel; and Ben Ranney, Arthur Hill & Company. SUMINIARV OF EVENTS I. Call to Order: Ms. Laurie Marston called the meeting to order at 6:18 p.m. 11. Annroval of March 15 Minutes Ms. Marston called for a motion to approve the minutes of the March 15 meeting. Mr. Dick Peach moved that the Committee accept the minutes. Mr. Bennie Jones second. The minutes were approved by a majority vote. 111. Prosnective New Members Ms. Laurie Marston introduced Mrs. Gail Brodsky as a prospective member and someone who came recommended by Leadership Evanston. Ms. Marston indicated that Mrs Brodsky was attending the meeting to see what we do. Ms. Marston also related that she had spoken to Mrs. Beth Lang about joining the Committee who is very interested in the Committee's work and was also recommended by Leadership Evanston. Mrs. Lang could not accept because in addition to all of her other obligations she is currently on the board of a not for profit and was afraid of becoming overly committed. Ms. Marston asked Mrs. Brodsky if she would introduce herself to the Committee. Mrs. Brodsky indicated that she has lived in Evanston for close to twenty years. She has two children attending District 202 and has been very much involved in school issues over the years. She and her husband recently owned a retail business and she is has some familiarity with business. Thcw Noce into a different venture now. She indicated that she is eery interested in this group and the particular focus and «ants to learn more. 111. (tents for Discussion and/or Action Old Business Use of Local Professional Firms in Redevelooment Agreements Ms. Marston suggested the above will be held in abeyance until the next meeting. A&PW Committee Meetine Aaril l 1. 2000 Ms. Marston indicated that she and other M/W/EBE Committee members attended the City Council A&PNN' Committee meeting last night and that the A&PW Committee over the last couple months had discussed a couple issues relating to our charge from the City. We wanted to go back to the Council with a couple minor changes. One was in the redevelopment agreement there is a 25% compliance. The City's own internal compliance is 201/n which we thought was a little bit out of step. So we recommended a few months ago that the City's internal compliance be increased to 25%. The related issue came out of our experience with the redevelopment agreement where we have the 25% compliance. Out of the 25% we thought it important that a minimum of 3% go to Evanston based businesses. We felt that that is achievable and would not be burdensome and the A&P%N' Committee agreed with us. The A&PW Committee will report that out to the Council with a favorable recommendation as well. Church Street PIaza (Bovis, O'Neil, Site Recoverv. Weis) Mr. Ben Ranney, Arthur Hill & Company and guest from W.E. O'Neil and Evanston fuel introduced themselves. Ms. Marston asked Mr. Ranney to start the dialogue. fir Ranney indicated that they had obviously come up against a minor problem here They made an assumption a certain firm that W. E. O'Neil had given a contract to was and Evanston based business in large part because it has Evanston in the name and the fact that at one point they were and Evanston based company Mr. Ranney related that this is a sizable contract for W.E. O'Neil and therefore they looked at a variety of ways to try to address the issue. One of the things that has turned out to be most promising is they have encouraged Evanston Fuel to once again become an Evanston based enterprise. Mr. Ranney then asked one of the other guests to explain what has happened Mr Schmitt, Evanston Fuel. indicated that lie would explain. Since they found out that we were no longer an Evanston business they have applied for a license and rented a space at 828 Davis Street. They are right now in the process of getting it remodeled, painted and getting some equipment in there. We plant to staff it with a sales force and Quality Control Department. We hope to expand and do some building in Evanston in the very near future and bring in people for 2 our safety classes and everything. So we definitely want and are a part of Evanston. They have our license application, they have our money, and we plan on staying in Evanston. Mr. Ranney welcomed Mr. Schmitt back to Evanston and related that he thinks this is an instance of something somewhat unexpected but potentially of great benefit as a result of this program. What we have actually done is ended up supporting a new business in Evanston that «ill hopefully have before too long some staff that will help add some new business to the downtown area. Ms. Marston asked what is the square footage. Mr. Schmitt answered that he thought in the application —it is a very small office that they found right now. I believe it is roughly 300 square feet for the time being It is going to be staffed by sales and Quality Control and people that keep records and answer the phone at this time. his. Marston asked about how many people would be working out of the office. Mr. Schmitt answered two to three at this particular time and as we pick up more work in Evanston definitely we will increase our staff. Eventually we hope to do some invoicing out of the office and hire more people. Mr. Ranney related that Evanston Fuel is being used at the Pavilion project but Bovis has not reported Evanston Fuel as an Evanston based business. Bovis would be very interested in doing so as would the representatives from the hotel development team who were in today having their final plans reviewed. They should be breaking ground in the nest month or so. Ms. Janice Sachen indicated that she was coming at this blind and asked if the problem is you are not currently an Evanston based business? Ms. Marston answered correct. Mr. Schmitt interjected that we have an application pending and a business license pending. The City has our check and our application at this time. Mr. Ranney interjected that the lease is signed. Mr. Schmitt stated "I have the lease and everything." Ms. Sachen asked, when you open up this office you will meet our definition of an Evanston based business" \fr Schmitt said, "yes 1 would hope so " Ms. Sachen asked a question relative to the t-,vo registered letters. Ms. Sachen asked is Evanston Fuel, Evanston Fuel or is Evanston Fuel Prairie Materials? Mr. Schmitt related that Evanston Fuel is owned by the Prairie Group and Prairie Materials is owned by the Remus(?) family They bought Evanston Fuel in 1980 from the Wiggington family. We are a division of Prairie Materials. Nfs Marston recocnized Mr Dick Peach. Mr. Peach stated that what Mr Schmitt indicated "sounds really great but it took you I9 years to come back and I do not mean to be cynical." Mr. Schmitt indicated that they never realized that this was an issue of them not being an Evanston business. Mr. Peach further stated that if you're not in Evanston --that definition is pretty straight forward. Mr. Chet McGrath asked how Iong the program had been in existence? Mr. Ranney indicated that he thought that was a valuable point. I think this is a positive result of the program. Mr. Peach related that he was not saying he did not want them to have a business thong. Pardon hiss for being cynical but that comes from living in Evanston tier .4 4 \,ears. What ix ih S 1.2 million dollars on a contract and he finds out Ave are not suing to rt o.;nizL him as an Evanston based business and the next thing you kn4,,%� he is opening up a storefront. I rind that cynical, it may meet the letter of the la%\ but I find that cynical. Its O.K. if it meets the letter of the law that's fine, but I feet very cynical about that, I think that's back dooring it. If it meets the letter sow the law it tneet$ the letter of the law. It doesn't make me thrilled: I am not going to get a warm and fuzzy feeling from it. Mr. Ranney related that with the redevelopment of Evanston and all this upcoming work the potential for Evanston Fuel to do a loc of business is very great. It is an additional reason to come here. We are certainly not interested in violating the spirit of our agreement. We are encouraging Evanston Fuel to pursue this track in large part because we thin: it will become a viable business and will become an added benefit to downtown Evanston. This is not just a shadow storefront. Mr. Peach stated "I hope so. I am on the Board of Directors of the Chamber and I welcome new businesses I love it. Ms. Sachen indicated she was beginning to share somewhat of Dick's cynical viewpoint and inquired "the storefront that you're renting how much space is there, what's the capacity for expanding more that two or three People. Mr. Schmitt replied that until they find another place to rent and expand —we just happen to find this office at 828 Davis. Ms. Marston inquired if the two or three people working there are existing employees. Mr. Schmitt indicated he would be one of them and Quality Control for testing concrete and making reports for all the jobs we supple in Evanston. Ms. Marston indicated she asked the question because another concern of the Committee as positions become available, office positions. trade positions, or whatever that you also make an effort to hire Evanston residents. Mr Schmitt and Mr. Grath 'indicated that would not be a problem at all. Mr. Schmitt indicated that the office would seldom have personnel there since they are sales and inspection. We do have a phone already hooked up, the office to be honest with you definitely needs a major remodeling. Someone will start that in the very near future. Ms. Marston responded that it does not take a lot of time to remodel 300 square feet. Mr. Schmitt indicated it is a slart. Ms. Marston indicated one of her concerns is the initial letter w-a5 sent over a month ago and we did not receive a response. 1 was puzzled as io why we had to send a follow up letter. Mr. Ranney stated, "I can answer that as well as I can which that we were working to find a resolution to the issue and I was trying to figure out exactly what the issue was as well as I could before I had a chance to respond to it. Ms. Marston stated "I do have another question about some of the ---I know it came up a month or two ago when the Committee looked at some of the reports 4 we've asked that the report reflect actual contracts awarded and l noted on this recent one we got—W.E. O'Neil —specifically on the lirt-cam Report No originally the precast was showing; Concrete Technology, Inc ,and on the following report the pre -cast was ECI and I am just wondering what the chance was and whether 1 should be directing that to Ben or someone at tine end of the table? Mr. Lou Reiner addressed the question. Mr. Reiner indicated Craig Doubek is their Compliance Officer and also their Project Manager for the C hurL-h Street Project. Craig was not involved in any of the awards for the project because he is currently completing, a project out in Barrington. The estimating department awarded all the major trades. The first bit of correspondence that Craig saw on this job was the shop drawings of Concrete Technology. Craig did not even understand who the contract was with. He made the contract award to ECI. Mr. Doubek related that he has now checked with the estimator to make sure he has the right name because in some cases there are more than one person involved. Mr. Reiner indicated that due to Craig's involvement in completing the other project, the company has been lax in a lot of the different paper work. Ms. Marston stated, "I guess the other question is we have asked for affidavits from each entity involved if they fall within one of the two categories. Mr. Shepard indicated that it is just Evanston Fuel (all other affidavits are in). Ms. Marston stated to Mr. Ranney "that Ben you alluded to the redevelopment agreement and maybe you can go through, if you have it with you, pages 29 and 30 there is a Iist of seven items maybe you want to update the Committee if there is anything happening on each of those. Mr. Ranney stated that "I should point out that this is not the final draft of the redevelopment agreement. I do not know if there is any change through here the final draft is of October 1998. I think all the same information is here but I need to just sort out which is which. Ms. Marston asked Mr. Ranney if there was anything he wanted to report to the Committee on those seven items in terms of information, progress, any activities that you can share with us on this overall project Mr Ranney stated as to those seven items anybody that has been by the site will notice that there is great progress being made. We are just a month or two away from doing interior work at the Pavilion. Bovis is doing very well on their compliance issues with numbers in the 25% plus range. In terms of the garage (to O'Neil), have there been any major contracts to report on. Mr. Doubek indicated that R.S. Bailey was awarded the painting that was $173,000 for 100% minority owned. Mr. Doubek indicated at least five other minority and women owned companies that were recently issued new contracts. Mr. Shepard asked Mr. Doubek if he had certifications with the new companies. Mr. Doubek indicated what he will do is send the certifications to Mr. Ranney as they come in. Ms. Marston highlighted some of the things that are in the redevelopment agreement. She asked Mr. Ranney to consider coming to back to a future meeting, not necessarily in May, to discuss about some of these things. 5 ,Nis. Marston indicated that she just wanted to make certain that everyone understand that this is real. One of my own personal concern` and 1 am not speaking as Chair of this Committee, is that the City of Evanston not be put in the position the City of Chicago finds itself in currently on this issue. New Business Recoenition of Valenti Builders Nis. Marston indicated that Valenti Builders did a wonderful job of complying and exceeded with 29%. Because of this the committee would like to recognize them. Ms. !Marston indicated that she would like to have two volunteers, one person to design a certificate and do the wording of it and somebody else to be responsible for the press release. This press release should not only go to the Evanston Review but to the Chicago papers as well. Ms Marston requested that somebody needs to go to the City Council meeting and that she would go as well. Nis. Marston indicated that she has not been as prompt as she would like to have been on meeting with Judy Witt. The Committee has talked about having all Department Heads evaluated based on their compliance with M[W/EBE goals. Ms. Marston chatted with Mrs. Witt briefly the previous evening at the A&FW Committee meeting. Mrs. Witt indicated to Xts. Marston that she does have some thoughts about it and is willing to sit down with Ms. Marston, Bill Stafford, Lloyd and Chad to discuss how to evaluate Department Head compliance. IV. Staff Renort M/W/EBE Renort on Contracts Awarded Mr. Chad Walton summarized the M/W/EBE contracting activity with three reports. The first report was the M/W/EBE Monthly Report for Bids/Contracts Awarded from March 15 through April 12, 2000. There were no contracts awarded to N1/W/EBEs for this period. Mr. Walton indicated that since the last Committee meeting there were only two contracts awarded. One contract for a wheel loader (a179,200) and one contract for replacement of windows at the Water Department ($103,710). Mr. Walton indicated that last month we had zero to report and this month we have zero to report. hlr. Walton indicated that he expected an improvement due to having construction activity. He estimated fifteen projects out on the street and fifteen setting on his desk ready to roll. Having said that that's the report for contracts over 515,000 as awarded by the City Council since the last meeting. With regards to the other reports are essentially the reports now since we will be going on our new fiscal year. I will be giving you these two new reports on a monthly basis as well as the report I just went over. So essentially the first report I will give you is the fiscal year to date report. This is generated by the database that we have up and running. As it states on the heading it is the total paid to M/W/EBE since our fiscal year started which was March 1, 2000. I guess the 3i important page for the most part is the Iasi page. Of the 526,069.23 the last page breaks it down by category of minority, women and Evanston business. The last report is essentially the same report but only since the last meeting. This report is a month to date report. Air_ Walton indicated that the reports were similar due to being in the first month of the year Status of Vendor Data Base Mr. Walton related that we now include our Vendor Information Survey in every solicitation we send out. So we uiil stimulate the data base to grow. The database now has at least 1,200 vendors. CIP Committee Meeting Mr. Walton indicated that Dept. Heads submittal to Pat Casey, Office of Management and Budget and CIP Chair, a rough timeline of when they thought they would be bidding the projects that they were approved for this fiscal year. Those were submitted to Pat. The reports will be packaged in a nice format and allow the Purchasing Department and M,AWEBE Department to plan ahead in a proactive rather than reactive in trying to influence the numbers. Undate on Clerical Sunnort Mr. Shepard indicated that the clerical support is being taken care of all that is needed is to submit a Personnel Requisition to the Human Resources Department and that will be completed this week. Adiournment Meeting adjourned at 7:45 p.m. 7 The General `looting Minutes Small Business Development Committee For Minority, Women & Evanston Business Enterprise March 15, 2000 6:00 P.M. Members Present: Laurie Marston, Richard Peach, Carl Davis, Bennie Jones, and Mike Sutton. Members Absent: Janice Sachen Presiding Official: Laurie Marston Staff Present: Morris Robinson, Lloyd Shepard and Chad Walton SUMMARY OF EVENTS I. Call to Order: Ms. Laurie Marston called the meeting to order at 6:10 p.m. H. Approval of.Ianuary 12 and Februsry 9 Minutes The minutes of January 12 and February 9 were approved. III. Introduction of Prospective New titembers Mr. Donny Jordan was unable to attend due to having a conflict with work. Mr. Jordan indicated that he is still interested in serving on the committee but is presently managing a Bank One Branch opening in Wilmette and will not be able to for a couple months IV. Staff Report Economic Develonment Activitv Mr. Morris Robinson gave the committee an overview of on going and planned construction projects in the City of Evanston. Mr. Robinson's presentation covered the following projects. Arthur Hill & Company, Church Street Plaza Shopping Pavilion and Theater 1,400 Unit Parking Garage Hilton Hotel, six stories with 179 units Maple Avenue Residences, 26 Stories, 200 units Mesirow Stein Development Serrices, McDougal Littell Office Building, Thomas I Klutznick Company and Horizon Development Group Shernian Plaza Development — Sears Store 120,000 Sq. FL 107.000 Sq. Ft. Additional Retail Space 1.400 Unit Parking Garage 200 Unit Upscale Retirement Community Heitman Retail Properties, Chandler Building Two retail stores Q 3,500 Sq Ft. each Office Lobby 1,500 Sq. Ft. Plaza Area 3,000 Sq. Ft. Four Floors of Office 5,000 Sq. Ft. per fir, Legacy Development Group %vith Great Bank of Evanston, 515 Main Street Condominiums Feed & Associates, Dempster Plaza, Dominick's Grocery Store Roszak/ADC, 1415 Sherman Avenue Condominiums Roszak/ ADC, 1210 — 1234 Chicago Avenue Condominium Sherman Plaza Redevelopment Sherman Plaza Redevelopment is presently on hold until the property acquisition for the project can be completed. Professional Services and Redevelopment Agreements Mr. Robinson indicated that he did not have any fresh thoughts on how to get professional services providers incorporated into the planning stages of redevelopment agreements. He believes that the effort for such involvement must be promoted by the City's representatives when negotiating future contracts. Developers will eventually know that the City of Evanston wants its professional service providers to have opportunities to participate on the front end of development projects. Uodate on Clerical Support Mr. Lloyd Shepard reported that a Clerk 11 position will be filled for the Clerical Support. This will be a full time position but the Cleric will be assigned to both M/W/EBE and the Purchasing Department. M/W/EBE Report on Contracts Awarded Mr. Chad Walton gave the Purchasing Departments %ifW/EBE Monthly report for Bids/Contracts Awarded from February 10 through March 15, 2000. Of the $865,293,29 of contracts awarded, none was awarded to h4/W/EBE. The previous months NBWBE activity resulted in 51% EBE at $167,757; 61/6NiBE at $18,600, and EBE resulted in no activity (0%). Status of Vendor Data Base Mr. Walton indicated that there would be three reports generated from the vendor database. The monthly M/W/EBE report from the database, the monthly M/W/EBE report based on the check run and the fiscal year to -date report. 2 V. ltcros Cnr Discussion and/or Action Old Business A&IINN' March 27 \1ee illg Resat';=inc 'otttr iltre"; AlV.tltor�ttulttrti Judy Aiello indicated that due to the discussion required for Eire Station issues at the March 27 A.k'-,PW Committee meeting the Committc c mernomridunt would be placed on the agenda for the April I l meeting. Scribcor Report Mr. Shepard gave the Scribcor report with three different breakouts. They were the Shell only, the Tenant plus Shell and the Tenant only. The Shell only figures reflected a total contract of S2,54,.172 of which S957, l22 awarded to \14/E13E or 37.63%. The Tenant plus Shell reflected a total contract of$3,2S5,747 of which S1,040,920 awarded to M.,W/EBE or 31.68%. The Anchor Tenant only reflected a total contract of S742,575 of which $91,294 awarded to MAWEBE or 12.29%. Ms. Marston suggested that given the good job that Scribcor and Valenti builders did with M/W/EBE participation, the Committee should consider an award to Scribcor to provide some public recognition for their effort. Ms. Marston requested that Mr. Shepard inquire about the process that would allow the Committee to make an award to Scribcor. Church Street Plaza (Bovis. Weis Builders. W.E. O'Neil. Levv Center. Bovis Cumulative M/W/EBE through January 2000 reflected total contract activity of $9,831,155 of which $1.549,174 awarded to MBE or 15.76%, $841,090 awarded to %VBE or 8.56%, and $619,738 awarded to EBE or 6.30% Frank Baum, Weis Builders, is presently identifying M/W/EBEs by holding pre - bid conferences at Construction Contractor Development Organizations. Mr_ Baum has held a pre -bid conference at HACIA February 9 and will make a presentation at the Federation of Women Contractors March 23. Mr. Baum met with representatives of SBCA March 10. The City of Evanston will assist in identifying contractors for the various trades that are required on the project and should receive specifications and drawings from Weis. The Levy Center demolition bid %vas awarded to Site Recovery contingent upon Site Recovery providing documentation for M/W/EBE participation prior to being given approval to start the job. Site Recovery has indicated that a WBE trucking company has been identified for participation this contract. W.E. O'Neil's M/W/EBE report has been placed in suspense. Mr. Bert Ranney, Arthur Hill & Company, was notified of this action March 7 by certified mail. W.E. O'Neil took credit for concrete purchases of $1.2 million from Evanston Fuel. Evanston Fuel is not an EBE but was purchased by Prairie Materials. 3 Prairie \iaterials is located in Bridgeview, Illinois. It has two additional locations, one in Highland Part: and one in Glenview. Mr. Ranney was requested to pro%ide documentation that demonstrates that Evanston Fuel is an EBE. New Business Meetine with Judv Witt re; StafrEvaluation on Purchasine Comniiance Ms. Marston will follow up with either Mr. Bill Stafford or Judy Aiello to schedule a meeting with Mrs. Judy Witt to discuss the above topic. V. Adiournment The meeting was adjourned at 7:35 p.m. The General Meeting Minutes Small Business Development Committee For Minority, Women & Evanston Business Enterprise February 9, 2000 6:00 P.M. Members Present: Laurie Marston, Richard Peach, Janice Sachen and prospective member Dolores Done. Members Absent: Carl Davis, Terry Jenkins, Bennie Jones and Mike Sutton Presiding Otlicial: Laurie Marston Staff Present: Lloyd Shepard and Chad Walton SUMMARY OF EVENTS I. Call to Order: Ms. Laurie Marston called the meeting to order at 6:15 p,m. II. Approval of January 12 Minutes The minutes of January 12, 2000. were not approved due to not having a quorum. III. Introduction of Prospective New Members Mrs. Dolores Leone, a Criminal Defense Attorney, was introduced to the committee by Ms. Laurie Marston. The other prospective committee member, Mr. Donny Jordan, First Bank, was unable to attend due to having to work late. Mr. Jordan will be contacted for attendance at the March 15 meeting. IV. Stan' Report Update on clerical sunnort Mr. Lloyd Shepard indicated that a Clerk II position will be filled in the near term. The position will be shared 50/50 between the NIAVIEBE ol3ice and the Accounting Department. M/W/EBE renort on contracts a%varded Mr. Chad Walton indicated that the M/W/EBE Monthly Report is just an updated version of the previous month. Mr. Walton indicated that bid number 99-82 which is the demolition of the Levy Center was awarded by City Council to Site Recovery. Mr. Walton added that Site Recovery did not acknowledge the M1W/E•BE retluircnients of the bid d%xunients kui through the OTorts of Isis Office and Mr. Shepard's, Site Recovers• has consented to cNimply with the project stoats and should come up with 5-15N, costTliance. 'I"his will probable be in the area of trucking. Mr. Walton indicated that overall for the month E13E was a big winner and constituted appmxiniately i Foi kSlo ,757) oftbc total ofcontracts awarded) (S330,437). Six percent (S15,6N) %sas awardedio VIBE and WBE did not harms activity. Status of Vendor Database Mr. Walton indicated that not much had changed since the previous report other than continuing to add vendors to the database co an ongoing basis. What this report indicates is basically one check: run amorc_-icing to S 17,264.72 paid out to M/W/EBE. The dollar amounts for each categucy ,-vas not disaggregated. Mr. Walton indicated that next months report would be broken down by M/W/EBE. Ms. Marston suggested to Mr. Walton that it would be helpful on future reports to know what the total amount paid in to everybody amounted too. Mr. Walton related that this is a perfect time to start that reporting format since the new fiscal year begins March 1. Mr. Walton indicated that the report would reflect what is paid to M/W/EBEs and what is paid to everybody else and what has been paid YTD. Information for this report generated doing the month of March will be reported in April. Mr. Walton also related that vendors who have not returned vendor survey information forms and are doing business with the City will not be paid until the survey is returned. This has brought about excellent responses from vendors. Economic Develonment Activitv Ms.Marston indicated that Mr. Morris Robinsin would come to the March meeting to bring us up to date on some of the different redevelopment projects like Church Street Plaza and Klutznik (Sears project). V. items for Discussion and Action A&PW Meetine Reaardina Committee's Memorandum Mr. Shepard will arrange to have the Committees memorandum to the A&PW Committee scheduled for that Committee to discuss and recommend to the City Council for approval. Scribcor Report Mr. Shepard indicated that there was a misunderxtanding between Mr. Steve Kardell, Scribcor and himself, regarding whart ape of report was needed from Scribcor. Mr. Kardell did not understand that a report was needed for the interior finish work. Mr. Shepard related that because of the misunderstanding, Mr. Kardell could not have a report prepared in time for this meeting. Mr. Kardell indicated that lie would provide such a report for the next M/W/EBE Committee meeting. 2 Church Street Plaza (Bovis. W.E. O'Neil. Schwendener) Mr. Shepard started with the Schwendener report first_ He indicated that Schwendener had been tabled due to the co -developer and Arthur Hill going back - into negotiations regarding the apartment building. :fir. Shepard indicated that be was not aware of what the negotiation entailed_ fir. Shepard indicated that once things are back on track he would encourage Arthur Hill and the co -developer to have pre -bid conferences for the apartment building project. Mr. Shepard indicated that there had been a meeting %ith Regents Partners, co - developers for the hotel, and Weis Construction, the general contractor for the hotel and it was agreed that there would be pre -bid conferences for the hotel project. Mr. Shepard related that Frank Baum, Senior Estimator for Weis Construction was holding a pre -bid conference at HAC1A that evening. Additional sites for pre -bid conferences will be the Civic Center, Federation of Women Contractors, and Black Contractors United. We will invite members of the Evanston Chamber of Commerce and Suburban Black Contractors to the Civic Center conference. The above organizations and locations should provides a comprehensive outreach to vendors that are interested in bidding the hotel work. Mr. Shepard indicated that Frank Baum, Weis Builders, indicated that the hotel work is more challenging than your regular office building. Therefore, it is evert more important to have pre -bid conferences to clearly understand what M/W/EBE capabilities are available. Mr. Shepard related that the O'Neil report reflects that O'Neil has its first tier contractors giving a percentage of their work to M/W/EBE second tier subs in order to meet the City's compliance objectives. There was discussion regarding O'Neil having meaningless numbers included in their M/W/EBE Report figures. Ms. Marston related that O'Neil should only report what they have actually awarded to date. Ms. Marston requested that Mr. Shepard correspond with Arthur Hill to have O'Neil report only actual contracts awarded. Professional Services and Redevelopment Aereements Ms. Marston indicated that this is an area that the Committee can discuss with Mr. Robinson who has some good ideas for this topic. New Business Sherman Plaza Redevelopment Mr. Shepard indicated that the Sherman Plaza Redevelopment agreement would be modified to include all documents that are used in contracts that are $15,000 and above, Construction Contractors Development Organizations, and pre -bid conferences for each phase of the project. StaffEvaluation on Coinoliance with Purchasine Policv Ms. Marston indicated that Mr. Bill Stafford, Director of Finance, Mr. Shepard and herself would meet with Mrs. Judith Witt to discuss developing this policy. VL ADJOURNMENT Since there was no further business Ms. Marston called for an adjournment. it was seconded by Mr. Dick Peach and the meeting was officially adjourned at 7:30 p.m. 4 The General Meeting Minutes Small Business Development Committee For Minority, Women & Evanston Business Enterprise Wednesday, January 12, 2000 6:00 P.M. Members Present: Laurie Marston, Carl Davis, Bennie Jones, Janice Sachen and Michael) Sutton Alembers Absent: Terry Jenkins Presiding Official: Laurie Marston Staff Present: Chad Walton and Lloyd Shepard SUMMARY OF EVENTS 1. CALL TO ORDER: Ms. Laurie Marston called the meeting to order at 6:05 p.m. II. APPROVAL OF ,'MINUTES FROM THE DECEMBER 8, 1999 MEETING: There was a correction to the minutes of December 8, 1999. Ms. Marston noted that page 3, paragraph 2, stated that she will compose a memo to express the committee's views. It should have read she has composed a memo to express the committee's views. The minutes were then approvers. Ill. STAFF REPORT: Status of Contractor liaison position Alr. Shepard stated that the contractor liaison position was on hold until the budget was approved which will be early March. The planning aide position was also on hold until further notice. � /W/EBE report on contracts awarded Mr. Walton gave an M/W/EBE Report for Bids/Contracts Awarded -November 10, 1999 through January 11, 2000, totaling S10,506,976. Contracts awarded by classifications: MBE's $2.5 million, WBE's $115.714, EBE's $362,250 and SBE's (small business enterprises) $100.000 amounting to $3,148,134 for a total of 30% MAW/EBE participation. Comoletion of Vendor hirectory Mr. Walton stated that the Vendor database is now up to date. About 900 vendors have responded to the survey. Of those 900, only 70 vendors have identified themselves as minority, women or Evanston owned businesses. It will take at least four to six months to have current vendors, those doing business since March 1997, to respond to the survey_ He also noted that new vendors are required to complete a Vendor Information Survey that is incorporated into the vendor database. The survey %iII be sent again to the active vendors that have not responded and the completed form will be required as a condition of payment. Also, a manual is being w itten and should be ready within a month that instructs users on how to access the database. VI. ITEMS FOR DISCUSSION AND/OR ACTION: Old Business Scribcor Report (Onnortunities for tenant work. interior finishes. etc.) Mr. Shepard mentioned that he has not been able to get the figures from Steve Kardel, but should be able to report on interior wort: at the next meeting. The M/W/EBE and M/W/E labor participation for November 1999 was given_ Total labor hours for November were 3,840, Total M/ WE labor hours were 1,408 for a total M/W!E labor participation of 36%. Total labor hours from March to October is 19,708 with M/W!E labor hours at 8,250 for a percentage of43%. Combined or YTD total labor hours are 23,548 with M/W/E YTD labor hours at 9,928 or 42%. Church Street Plaza Garage (W.E O'Neil) Mr. Shepard distributed the first M/W/EBE report from W.E. O'Neil, which was submitted to the City by Arthur Hill & Co. Mr. Shepard indicated that the report is incomplete because the majority of the M/W/EBE dollars for the various trades are estimates and real numbers are "to be determined The only trade on this report that reflects real dollars is the participation O'Neil will award to Builders Ready Mix for 200/0 of the cast in place concrete work with a total dollar S8,755,145. Builders' portion is $1,751,029. He continued to say that O'Neil has first tier subcontractors that are being required to subcontract a minimum of 25% of their contract dollars to second tier M/W/EBE subcontractors. O'Neil is working toward compliance of25% of a total amount of$13,830,252 or $3,457,563 Professional Services and the redevelopment agreements Professional services and the redevelopment agreements discussion was deferred by Ms. Laurie Marston, Chairperson, until Mr. Morris Robinson, Economic Development Planner, can attend. 2 Memo to City Ccaasncil Suggesting Changes to Purchasing Policy Sir Shepard gave an overview of the Department Heads concerns, m4.arding the \L1�'IEBE Committee's "Recommended Revisions to the Purchas;,=Z Policy," There were two areas of concern (1) regarding the 3% floor for Eyans;on et?c:a.aies, that such companies have the numbers and capabilities to meet the dollar p"._=age ofthe floor and (2) that contractors site that paperwork and the effort to identify c=panies is burdensiame on them, it is time consuming and cost money. Staff wants a list of companies available to them to assist their ccirx acrors with identihing sources to quote requirements. Mr. Shepard indicated that he out that the City of Evanston Specification for M/W/EBE Participation has a proviso :or. :�•aiver. A waiver can be requested by a contractor and granted if the contractor car~ 3ernonstrate that the necessary steps «ere taken to include Iti AVIEBEs. Mr. Shepard r-}._.ar:d that once the proviso for waiver was pointed out to everyone, they seemed to reb--x .01 their concerns. Staff had the same concerns for going from 20% - 25%. Based on pu: chasing data from Mr. Walton, Mr. Shepard expressed that the City was up to 61% fror.� !►4/W/EBEs. As a follow up to the Department Head meeting, an ad hoc committee g to address and resolve Department Head concerns will be held Friday, January 14. _COO. The committee members are Judy Aiello, Bill Stafford, Max Rubin, Doug Gaynor. Chad Walton and Lloyd Shepard. New Business Sherman Plaza Redevelopment Mr. Shepard indicated that the Sherman Plaza Redevelopment is ski in negotiations and to -date he has not been involved. However, Herb Hill, Legal DepL*rtrn=t, apprised Mr. Shepard that he would be brought in soon to make certain the %V'%VXBE specifications meet his recommended changes. Mr. Shepard conveyed that one ch---.:--e to the new specification would be a requirement for a pre -bid conference to be held each time a general contractor is selected to build a phase of the project The pre -aid conference will provide a clear understanding to the Developer and General Cont. _:-c- (s) of the City's expectations for NIAVIEBE participation. Staff Evaluation on Comnliance with Purchasinu Policv Ms. Marston indicated the purpose of the staff evaluation (Depart...,-•-r_; Heads) is to determine how their Department is doing in complying vvith the Ci:,-'s Zoal of 200/6 - 25% whatever it ultimately becomes, Ms. Marston added that she met tads-. with Mr. Bill Stafford, Director of Finance, and he indicated that he wanted to sa do :;-n with Mrs. Judy Witt, Personnel Director, but with all the budget issues it is unlike[t��-..:.t that interchange would happen until March. Nis. Marston related that because of the 1: -.er, the Committee would put this off and talk about it two months from now. Howes-er, `.is. Marston indicated that she would place it on the February agenda just so it dces not become lost. Additionally, there may be other Committee members with thoughts 3 V. OTHER BUSINESS: Reannointment of Members Nis. Marston «till call Mayor Morton to let her know what members we want to be reappointed. She asked Ms Janice Sachen if she would serve another two-year term. Ms. Sachen consented. Nis. Marston indicated she would call Mike and Carl and others that were not here tonight. Ms. Marston continued by asking Committee members if they had any thoughts on new members to follow up with them. Work Proeram for 2000 Ms. Marston related that she did not know if it makes sense to talk about it at this time because there are still a lot of issues outstanding. VI. ADJOURNMENT: There being no further business, the meeting was adjourned at 7:35p.m. V1I. NEXT MEETING: The next meeting is scheduled for Wednesday, February 9, 2000 at 6:00 p.m., Ci%ic Center, Room 3650. 2