HomeMy WebLinkAbout2018 Diversity Purchasing ReportAnnual Diversity Purchasing Report
CITY OF SOUTH BEND
Inclusive Procurement Program
OFFICE OF DIVERSITY AND INCLUSION
FY 2018
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EXECUTIVE SUMMARY
BACKGROUND
In accordance with Ordinance No. 10081‐11, adopted April 23, 2011, this 2018 Annual Inclusive
Procurement Program report is filed January 14, 2019 with the City of South Bend Common Council, and
copies submitted to Mayor Pete Buttigieg, the City Controller, and the MBE/WBE Utilization Board.
The Diversity Development Program in its eighth year of operation has continued to work towards
building strong and sustainable procurement program that continually provides equal opportunities and
inclusion to local, regional and national minority and woman‐owned business enterprises. The Diversity
Utilization Board along with the Diversity and Inclusion and Compliance Officer, Director of Purchasing,
Legal Department, and the Board of Public Works are the groups primarily accountable for the operation
and management of the program.
RESULTS
Procurement of Goods, Services and Professional Services
The City of South Bend spent $50,566,203.13 on 7,189 on goods, services and professional service
purchase orders for fiscal year 2018. Of the total amount spent, $592,097.72or 1.17% was awarded to
MBE firms, and $832,342.59 or 1.65% of the total procurement spend amount was awarded to WBE
firms. Combined, the total MBE/WBE spend amount of $1,425,269.11 accounts for 2.81% of the total
procurement spend.
The City of South Bend had a total of 1,808 vendors. A total of 6 certified MBE’s, and 9 uncertified
MBE’s were awarded contracts across four quarters, with only two firms, DLZ, and Colette Holt and
Associates posting spend amounts in the “greater than” $75,000 spend matrix band in at least one of
the four quarters. Seven of the fifteen MBE firms were located in Indiana.
The City of South Bend awarded 22 certified WBE’s and 15 uncertified WBE’s across four quarters with
the majority posting spend amounts in the “less than” $2,500 spend matrix band. However, WBE firms
had representation in all spend matrix bands, including “greater than” $75,000 in quarter four
represented by Dudeck Roofing &Sheet Metal and Ritschard Bros.While 47% of the MBE
firms were located in Indiana, 33% came from both regional and national locations.
According to IDOA, the number of offered MBE commodities by South Bend firms increased slightly,
gaining four Hispanic (1 in 2017 to 5 in 2018) and decreased slightly by losing four African American
commodities (twelve in 2017 to eight in 2018), while increasing the number of WBE commodities for
Caucasians by forty-five (104 in 2017 to 149 in 2018). Additionally, there may be a number of MBE/WBE
firms that are currently not certified through IDOA, but doing business with the City of South Bend.
Upon review and analysis of FY ’18 data, we highlight one such minority owned firm—Ortiz Concrete.
Based on our data analysis, roughly 52% of all vendors are located within Indiana, but 48% of all
awarded vendors are regional or national vendors. As such, we may have an opportunity to identify
MBE/WBE’s that are registered through other certifying agencies like Mid‐States Minority Supplier
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Development Council, SBA 8(a), SBA‐WBE, SBA‐MBE, SBA HUBzone, SBA‐VBE, National LGBT Chamber of
Commerce, WBENC, City of Indianapolis, and other regional and national certifying agencies that have
vetted and approved those firms to do business at the local, state or national level.
Construction Contracting
The City of South Bend spent $50,130,137.73 on construction contracts in 2018 through 46 total bids. Of
the 46 total bids awarded, 37 bids included MBE and or WBE subcontracts totaling $3,433,310.46 or
6.85% of contracting spending. For each of the 47 bids, the City of South Bend prime contractors on
average spent 13.97% of each bid with an MBE or WBE subcontractor or was itself a WBE prime
contractor like Dudeck Roofing or Ritschard Brothers in quarters 3 and 4.
Dudeck Roofing and Ritschard are the only WBE “prime” contractors for 2018, with $128,820.00 spends
for Dudeck on project 118-080A, and a total of $464,773.00 for Ritschard on projects 118-307 and 118-
074D.
The Future
The Diversity, Inclusion and Compliance Officer continues to work with the Director of Purchasing to
further support the goals and vision of the Ordinance, Mayoral Executive Order, and Diversity Utilization
Board recommendations. Internally, the City of South Bend Purchasing Department continues to
investigate opportunities to revise the spend matrix thresholds for Board of Public Works review, and
finalize an organizational redesign to centralize bulk purchases for better pricing and process efficiency;
reducing the number of city “buyers”vacross departments and units from over 150 individuals to fewer
than 25.
The City of South Bend has commissioned a disparity study for its utilization of Minority and
Women/Business Enterprises (MWBEs) due for completion in quarter 3 of 2019. The research will
examine whether firms have equal access to contracting opportunities on the City of South Bend’s prime
contracts and associated subcontracts and recommend strategies to ensure inclusion in future City
contracting.
We continue to refine and perfect our ability to track City spending by department to develop and
maintain a spending forecast report that could assist small local businesses, especially minority and
women businesses prepare for upcoming procurement and contracting opportunities within the City for
the upcoming fiscal year.
The Office of Diversity and Inclusion in partnership with Administration and Finance, and Innovation and
Technology are identifying software solutions to collect and maintain accurate procurement and
contracting data, as well as compliance data.
The City of South Bend continues to establish new partnerships with local organizations like the Alpha
Kappa Alpha Sorority to co-host annual Minority Business Fairs, and create and maintain a
comprehensive listing of all local minority owned businesses.
The City of South Bend will continue to partner with the Westside Small Business Resource Center at
Project Impact to serve as a local resource that encourages the creation, development and scaling of
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local minority entrepreneurs. Other partners like IDOA, Latin American Chamber of Commerce, North
Central Indiana Small Business Center at Indiana University South Bend, the SPARK Program at Saint
Mary’s College, Mid-States Minority Supplier Diversity Council, Women’s Business Enterprise National
Council (WBENC), SCORE of Michiana, Indiana Small Business Administration (SBA), and the North
Central Indiana Business Conference
for Minority and Woman‐Owned Small Businesses which provides local and regional business owners
exposure to best practices, networking with procurement leadership from major organizations, and
financial resources for business stabilization and scaling.
South Bend will explore opportunities to identify other certifying agencies within our geographic
marketplace whose vetting requirements meet or exceed IDOA requirements and thus expand our list of
viable MBE/WBE firms for local, regional and national invitations to bid, quote or otherwise contract for
procurement opportunities with the City of South Bend.
DEFINITIONS
"Award" means contracts approved by the Board of Public Works for award to a particular
vendor in accordance with City of South Bend purchasing policy.
“Bidder” means any person, partnership, corporation, limited liability company, association or
Joint Venture seeking to be awarded a City contract.
“City” means the City of South Bend, Indiana.
“City’s Marketplace” means the location of the City’s current contractors, including the
metropolitan statistical areas of South Bend/Mishawaka, Elkhart/Goshen, Indianapolis, and
Chicago.
“Contractor” means any person, partnership, corporation, limited liability company, association
or Joint Venture that has been awarded a City Contract.
“Emergency contract” shall mean a contract that is awarded on an emergency basis due to a
threat of harm to person or property or threat of disruption of governmental services.
“Minority‐Owned Business Enterprise (MBE)” means a sole proprietorship, partnership,
corporation, limited liability company, Joint Venture or any other business or professional
entity:
a) Which is at least 51% owned by one or more Minority Individuals, or in the case of a publicly
owned business, at least 51% of all classes of the stock of which is owned by one or more
Minority Individuals; and
b) Whose management, policies, major decisions and daily business operations are
independently managed and controlled by one or more such more Minority Individuals;
“Minority Individual” means a person who is a member of one of the following groups:
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a) “Black Americans,” which includes persons having origins in any of the Black racial groups
of Africa;
b) “Hispanic Americans,” which includes persons of Mexican, Puerto Rican, Cuban,
Dominican, Central or South American, or other Spanish or Portuguese culture or origin,
regardless of race;
c) “Native Americans,” which includes persons who are enrolled members of a federally or
State recognized Indian tribe, Alaska Natives, or Native Hawaiians;
d) “Asian‐Pacific Americans,” which includes persons whose origins are from Japan, China,
Taiwan, Korea, Burma (Myanmar), Vietnam, Laos, Cambodia (Kampuchea), Thailand,
Malaysia, Indonesia, the Philippines, Brunei, Samoa, Guam, the U.S. Trust Territories of the
Pacific Islands (Republic of Palau), Republic of the Northern Marianas Islands, Samoa,
Macao, Fiji, Tonga, Kirbati, Tuvalu, Nauru, Federated States of Micronesia, or Hong Kong;
Or
e) “Subcontinent Asian Americans,” which includes persons whose origins are from India,
Pakistan, Bangladesh, Bhutan, the Maldives Islands, Nepal or Sri Lanka.
"MWBE" means a business that has been certified as both a minority business enterprise and as
a women business enterprise through a certifying agency recognized by the City of South
Bend.
“Ordinance” means City of South Bend Ordinance Number 10081‐11.
"Spend" means total dollars paid to certified MBEs and WBEs, or to all City vendors, less
Exclusions.
“Subcontractor” means any person entering into a Contract with a Contractor to directly furnish
services or supplies toward the Contract.
“Woman” means a person of the female gender.
“Woman‐Owned Business Enterprise (WBE)” means a Local Small Business Enterprise, including
a sole proprietorship, partnership, corporation, limited liability company, Joint Venture or
any other business or professional entity:
a) Which is at least 51% owned by one or more Women, or in the case of a publicly owned
business, at least 51% of all classes of the stock of which is owned by one or more
Women; and
b) Whose management, policies, major decisions and daily business operations are
independently managed and controlled by one or more such Women.
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“Utilization” means the best use of available certified MBE/WBE within the city’s marketplace.
Methodology
To measure the purchasing and contracting for the City of South Bend, this Annual Report relied on data
collection from Naviline, the City’s vendor tracking system from January 1, 2018 to December 31, 2018,
FY 18. As in previous Annual Reports, we have compared MBEs and WBEs, but to also highlight the DBEs
and VBEs, we used IDOA data to identify the vendors for each category if they were not listed within the
Cities database.
The City wanted to highlight the purchasing and contracting amount for MBEs, WBEs, and DBES,
because on the national level the US Small Business Association no longer lists MBEs on the website and
has shifted the focus to providing more resources for WBEs and DBEs. The rationale for disaggregating
the date to highlight contract amounts is to tell the full comparative story for the COSB within the areas
of procurement for all MBEs, DBEs, WBEs, VBEs doing business with the City.
City of South Bend Vendors
The City of South Bend utilized a total of 1,808 vendors in fiscal year 2018. The majority of the vendors
52%, are located within Indiana state limits. Regional vendors from Illinois, Michigan, Ohio, and
Kentucky make up 20%, with the remaining 28% coming from a nationwide pool of vendors stretching
from California to Florida to Maine.
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Source: Naviline Purchasing Report, January 2019.
Other Indiana …
South Bend
25%I…
MI
5%
OH
3%
CA
3%
National
25%
FY 2018 Vendor Location
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This graphic compares the location of all vendors from FY ‘18 to the vendor location of MBE and WBE
firms. Six MBE firms are located in South Bend, others are located in Rochester, Rolling Praire, and
Indianapolis Indiana, and the remaining firms were located nationally from Florida, California, and New
Jersey. Twelve WBE firms were located within South Bend city limits, with the remaining firms located in
other Indiana cities, regional cities or cities outside our Midwest region.
Source: Naviline Purchasing Report, January 2019.
503
452
201
96
64
46
446
17
11
2
4
1
3
10
2
5
3
5
IN
SOUTH BEND
IL
MI
OH
CA
NATIONAL
VENDOR LOCATION COMPARISON
Count of VENDOR NAME Count of WBE Count of MBE
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MBE UTILIZATION
The City of South Bend utilized a total of 6 certified MBE firms during the 2018 FY. However, based on a
review of the 1808 total vendors, there may at least 9 non-certified minority‐owned firms that do
business with
the City of South Bend, but currently are not certified through IDOA. This report includes several firms
like
Sanco Distributing, and Ortiz Concrete, as an example in the MBE utilization by quarter spreadsheet
below.
In fiscal year 2018, COSB utilized two MBE firms in the greater than $75,000 spend matrix, one MBE firm
in the “$25,000 to $74,999” spend matrix band, one MBE in the $10,000 to $24,999, with four firms
represented in the $2,500 to $9,999 spend matrix band. The largest spend band with MBE
representation came in the less than $2,500 spend matrix
0
1
2
3
4
5
6
7
8
9
>$75,000 $25,000-$74,999 $10,000-$24,999 $2,500-$9,999 <$2,500
MBE Vendors by Spend Matrix
Q1 '18 Q2 '18 Q3 '18 Q4 '18
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This data list the 6 certified MBE firms that were awarded contracts this fiscal year, and roughly 9
examples of a non‐certified firms that are minority‐owned with which the city contracted in 2018.
MBE Q1 '18
Vendor
Vendor
City
Vendor
State
PO/Contract
Amount Gender/Race
DLZ Indiana South Bend IN $ 30,590.00 MBE-AIN
Total
Amount $ 30,590.00
MBE Q2 '18
Vendor
Vendor
City
Vendor
State
PO/Contract
Amount Gender/Race
JACKSON SERVICES Rochester IN $ - MBE-AFA
DIAMOND WIPES INTERNATIONAL
IN Chino CA $ 500.41 MBE-AIN
ALL AMERICAN POLY Piscataway NJ $ 1,263.00 MBE-AIN
NEAT BRANDS LLC Chatsworth CA $ 5,165.98 MBE-HIS
COLETTE HOLT & ASSOCIATES Oakland CA $ 275,000.00 MBE-AFA
Jevelyn Consulting South Bend IN $ 25,000.00 MBE-AFA
Antonius Northern South Bend IN $ 10,000.00 MBE-AFA
Total
Amount $ 316,929.39
MBE Q3 '18
Vendor
Vendor
City
Vendor
State
PO/Contract
Amount Gender/Race
JCI JONES CHEMICALS INC Sarasota FL $ 6,656.50 MBE-AIN
NCEPTION SOLUTIONS South Bend IN $ 450.00 MBE-AFA
Total
Amount $ 7,106.50
MBE Q4 '18
Vendor
Vendor
City
Vendor
State
PO/Contract
Amount Gender/Race
ORTIZ CONCRETE South Bend IN $ 300.00 MBE-HIS
SANCO DISTRIBUTING INC South Bend IN $ 655.00 MBE-AFA
MID STATES MINORITY SUPPLIER Indianapolis IN $ 3,000.00 MBE-AFA
DA DODD INC Rolling
Praire IN $ 7,416.83 MBE-AIN
Seven Generations Architecture Kalamazoo MI $ 19,800.00 MBE-AIN
DLZ INDIANA LLC South Bend IN $ 203,900.00 MBE-AIN
Jevelyn Consulting Services South Bend IN $ 2,400.00 MBE-AFA
Total
Amount $ 237,471.83
Total Q1-Q4 Spend $ 592,097.72
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WBE Utilization
The City of South Bend utilized a total of 22 certified WBE firms during the 2018 FY, and 15 non-certified
WBE firms. Based on a review of the 1,808 total vendors, there may be additional woman‐owned firms
that do business with the City of South Bend, but currently are not certified through IDOA. During
quarter one of this year, COSB utilized zero WBE firm in the “greater than $75,000” spend matrix band,
but had seven firms
represented in the “less than” $2,500, four firms represented in $2,500 to $9,999, three firms in $10,000
to $24,999, and one firm in $$25,000 to $74,999 spend matrix bands. Quarter two posted twelve firms
represented in “less than” $2,500, six firms in $2,500 to $9,999, two firms in $10,000 to $24,999, and
one firm above $25,000 spend. However, quarter four posted eight firms represented in “less than”
$2,500, three firms in $2,500 to $9,999, one firm in $25,000 to $74,999 and two firms represented in
“greater than” $75,000. Dudeck Roofing & Sheet Metal and Ritschard Brothers posted the largest WBE
spend amounts during the 2018 fiscal year.
Source: Naviline Purchasing Report. January 2018
Q1 '18 Q2 '18 Q3 '18 Q4 '18
<$2,500 7 12 15 8
$2,500-$9,999 4 6 5 3
$10,000-$24,999 3 2 2 0
$25,000-$74,999 1 1 0 1
>$75,000 0 0 0 2
0
5
10
15
20
25
Number of VendorsWBE VENDORS BY SPEND MATRIX
12
WBE Q1 '18
Vendor
Vendor
City
Vendor
State
PO/Contract
Amount
Gender/Rac
e
BOLT DOCUMENT MANAGEMENT Elkhart IN $ 2,090.00 WBE-CAU
FLOSOURCE INC Martinsville IN $ 9,734.20 WBE-CAU
STANZ FOOD SERVICES INC South Bend IN $ 28,454.25 WBE-CAU
AMERICAN SAFETY Osceola IN $ 1,879.39 WBE-CAU
FIGMENT GROUP INC LaPorte IN $ 595.00 WBE-CAU
GRIPP INC Westfield IN $ 1,376.64 WBE-CAU
DUDECK ROOFING & SHEET METAL I South Bend IN $ 11,665.00 WBE-CAU
SC SUPPLY COMPANY South Bend IN $ 16,255.60 WBE-CAU
CARPET SERVICE OUTLET INC South Bend IN $ 1,057.40 WBE-CAU
AFC INTERNATIONAL INC DeMotte IN $ 2,833.41 WBE-CAU
CLARK SAFETY INC Greenwood IN $ 3,000.00 WBE-CAU
ENVIROSOLUTIONS INC Westland MI $ 12,160.00 WBE-CAU
RESCUEGEAR INC Austin TX $ 2,496.93 WBE-CAU
SAFETY SERVICES INC Kalamazoo MI $ 8,367.70 WBE-CAU
SUMMIT SUPPLY Durango CO $ 1,693.17 WBE-CAU
Total
Amount $ 103,658.69
WBE Q2 '18
Vendor
Vendor
City
Vendor
State
PO/Contract
Amount
Gender/Rac
e
FLOSOURCE INC Martinsville IN $ 437.00 WBE-CAU
PERFORMANCE PLUS CO INC Hackettstow
n NJ $ 1,875.00 WBE-CAU
STANZ FOOD SERVICES INC South Bend IN $ 3,100.00 WBE-CAU
BOLT DOCUMENT MANAGEMENT Elkhart IN $ 4,180.00 WBE-CAU
AMERICAN SAFETY Osceola IN $ 558.60 WBE-CAU
AFC INTERNATIONAL INC DeMotte IN $ 1,634.51 WBE-CAU
CLARK SAFETY INC Greenwood IN $ 2,000.00 WBE-CAU
KERAMIDA ENVIRONMENTAL INC Indianapolis IN $ 4,700.00 WBE-CAU
SC SUPPLY COMPANY South Bend IN $ 8,640.00 WBE-CAU
MCCORMICK ENGINEERING LLC South Bend IN $ 20,000.00 WBE-CAU
GRIPP INC Westfield IN $ 22,631.00 WBE-CAU
DUDECK ROOFING & SHEET METAL I South Bend IN $ 25,993.25 WBE-CAU
FUN BY THE YARD South Bend IN $ 240.00 WBE-CAU
LINDCO EQUIPMENT SALES INC Merriville IN $ 307.44 WBE-CAU
RESCUEGEAR INC Austin TX $ 1,838.13 WBE-CAU
SUMMIT SUPPLY Durango CO $ 420.75 WBE-CAU
NUTOYS LEISURE PRODUCTS LaGrange IL $ 976.00 WBE-CAU
KABELIN ACE HARDWARE Michigan
City IN $ 2,900.46 WBE-CAU
SAFETY SERVICES INC Kalamazoo MI $ 5,902.40 WBE-CAU
DIAMOND WIPES INTERNATIONAL IN Chino CA $ 500.41 WBE-AIN
Total
Amount $ 108,834.95
13
WBE Q3 '18
Vendor
Vendor
City
Vendor
State
PO/Contract
Amount
Gender/Rac
e
AMERICAN SAFETY Osceola IN $ 994.23 WBE-CAU
GRIPP INC Westfield IN $ 6,082.50 WBE-CAU
DUDECK ROOFING & SHEET METAL I South Bend IN $ 2,450.00 WBE-CAU
BOLT DOCUMENT MANAGEMENT Elkhart IN $ 16,058.00 WBE-CAU
PERSONNEL PARTNERS South Bend IN $ 5,908.50 WBE-CAU
FLOSOURCE INC Martinsville IN $ 112.65 WBE-CAU
AFC INTERNATIONAL INC Demotte IN $ 737.95 WBE-CAU
CLARK SAFETY INC Greenwood IN $ 588.45 WBE-CAU
PREMIUM CONCRETE SERVICES INC Elkhart IN $ - WBE-CAU
STANZ FOOD SERVICES INC South Bend IN $ 907.10 WBE-CAU
KABELIN ACE HARDWARE South Bend IN $ 3,519.42 WBE-CAU
VALLEY SCREEN PROCESS CO INC Mishawaka IN $ 446.66 WBE-CAU
ALEXANDER CHEMICAL CORP Peru IL $ 23,006.95 WBE-CAU
KNOX COMPANY Phoenix AZ $ 2,201.00 WBE-CAU
POWELL TOOL SUPPLY INC South Bend IN $ 487.53 WBE-CAU
MOBILE CONCEPTS BY SCOTTY INC Mt. Pleasant PA $ 52.93 WBE-CAU
STAR UNIFORM Portage IN $ - WBE-CAU
SUMMIT SUPPLY Durango CO $ 553.00 WBE-CAU
WHITETAIL ACRES NURSERY &
LANDSCAPING INC Brookville IN $ 1,583.00 WBE-CAU
COMMUSA Escondido CA $ 3,827.00 WBE-CAU
NUTOYS LEISURE PRODUCTS LaGrange IL $ - WBE-CAU
SAFETY SERVICES INC Kalamazoo IL $ 278.00 WBE-CAU
Total
Amount $ 69,794.87
WBE Q4 '18
Vendor
Vendor
City
Vendor
State
PO/Contract
Amount
Gender/Rac
e
Jevelyn Consulting Services South Bend IN $ 2,400.00 WBE-AFA
AMERICAN SAFETY Osceola IN $ 29.55 WBE-CAU
STANZ FOOD SERVICE INC South Bend IN $ 357.90 WBE-CAU
SC SUPPLY COMPANY South Bend IN $ 1,255.10 WBE-CAU
GRIPP INC Westfield IN $ 1,850.00 WBE-CAU
CLARK SAFETY INC Greenwood IN $ 2,114.25 WBE-CAU
KERAMIDA ENVIRONMENTAL INC Indianapolis IN $ 2,350.00 WBE-CAU
ALEXANDREA ROWELL PRODUCTIONS South Bend IN $ 3,000.00 WBE-CAU
FLOSOURCE INC Martinsville IN $ 3,535.65 WBE-CAU
AFC INTERNATIONAL INC Demotte IN $ 7,376.13 WBE-CAU
BOLT DOCUMENT MANAGEMENT Elkhart IN $ 25,784.00 WBE-CAU
DUDECK ROOFING & SHEET METAL I South Bend IN $ 128,820.00 WBE-CAU
RITSCHARD BROS INC South Bend IN $ 371,181.50 WBE-CAU
Total
Amount $ 550,054.08
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Total Q1-Q4 Spend $ 832,342.59
DBE Utilization
Disadvantaged Business Enterprises are business that have been socially or economically disadvantaged.
During quarter one of this year, the City of South Bend utilized one DBE firm in the “greater than
$75,000” spend matrix band, and had eight firms represented in the “less than” $2,500, three firms
represented in $2,500 to $9,999, three firms in $10,000 to $24,999, and two firms in $25,000 to $74,999
spend matrix bands. Quarter two posted twelve firms represented in “less than” $2,500, five firms in
$2,500 to $9,999, four firms in $10,000 to $24,999, and three firms in the “greater than $75,000: spend
matrix. However, quarter four posted seven firms represented in “less than” $2,500, five firms in $2,500
to $9,999, one firm in $25,000 to $74,999 and zero firms represented in “greater than” $75,000. Alliance
Architects and Colette Holt and Associates posted the largest DBE spend amounts during the 2018 fiscal
year.
Q1 '18 Q2 '18 Q3 '18 Q4 '18
<$2,500 8 12 15 7
$2,500-$9,999 3 5 3 5
$10,000-$24,999 3 4 2 1
$25,000-$74,999 2 0 0 1
>$75,000 1 3 0 0
0
5
10
15
20
25
30
DBE Vendors by Metrix
15
DBE Q1 '18
Vendor
PO/Contract
Amount
JADE SCIENTIFIC INC $ 569.22 HYDRONIC & STEAM EQUIP CO INC $ 10,491.40 BUSINESS FURNSIHINGS $ 930.57 KOORSEN FIRE & SECURITY INC $ 24,304.24 OFFICE INTERIORS INC $ 6,794.45 CAROTHERS PRINTING CO $ 1,921.50 ALLIANCE ARCHITECTS INC $ 193,208.00 YOGA DIRECT $ - OFFICE 360 $ 1,249.60 RACO INDUSTRIES LLC $ 285.00 LOOKOUT SOFTWARE $ 1,652.70 RUBBERFORM RECYCLED PRODUCTS L $ 8,188.15 TROYER GROUP INC $ 36,251.73 BOLT DOCUMENT MANAGEMENT $ 2,090.00 FLOSOURCE INC $ 9,734.20 STANZ FOOD SERVICES INC $ 28,454.25 ENVIROSOLUTIONS INC $ 12,160.00 RESCUEGEAR INC $ 2,496.93
Total
Amount $ 340,781.94
DBE Q2 '18
Vendor
PO/Contract
Amount
COLETTE HOLT & ASSOCIATES $ 275,000.00 RESCUE SOUTH $ 14,587.93 KIESLER POLICE SUPPLY
INC Jeffersonville IN $ 13,223.79 PRO AIR MIDWEST $ 23.00 OFFICE INTERIORS INC $ 276.76 CAROTHERS PRINTING CO $ 736.50 LEWIS PAPER INTL INC $ 753.26 OFFICE 360 $ 799.42 HOOSIER CRANE SERVICES CO $ 903.00 COMMUNICATION COMPANY OF SOUTH BEND INC $ 3,151.00 BUSINESS FURNISHINGS $ 7,656.50 FITNESS & EXERCISE SOLUTIONS $ 9,140.00 UNDERGROUND PIPE & VALVE INC $ 15,246.00 KOORSEN FIRE & SECURITY INC $ 17,387.72 TROYER GROUP INC $ 90,920.00 ALLIANCE ARCHITECTS INC $ 895,292.00 ALL AMERICAN POLY $ 1,263.00 FLOSOURCE INC $ 437.00 PERFORMANCE PLUS CO INC $ 1,875.00
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STANZ FOOD SERVICES INC $ 3,100.00 BOLT DOCUMENT MANAGEMENT $ 4,180.00 FUN BY THE YARD $ 240.00 LINDCO EQUIPMENT SALES INC $ 307.44 RESCUEGEAR INC $ 1,838.13
Total
Amount $ 1,358,337.45
DBE Q3 '18
Vendor
PO/Contract
Amount
RESCUE SOUTH $ - JADE SCIENTIFIC INC $ - BOLT DOCUMENT MANAGEMENT $ 16,058.00 FLOSOURCE INC $ 112.65 STANZ FOOD SERVICES INC $ 907.10 STAR UNIFORM $ - WHITETAIL ACRES NURSERY & LANDSCAPING INC $ 1,583.00 NCEPTION SOLUTIONS $ 450.00
ORTMAN DRILLING INC $ - HOOSIER CRANE SERVICES CO $ 316.25 W A JONES $ 118.68 KOORSEN FIRE & SECURITY INC $ 723.10 COMMUNICATION COMPANY OF SOUTH BEND INC $ 108.00 AQUATIC TECHNOLOGY INC $ 596.80 PSA LABORATORY FURNITURE $ 5,682.32 SAVANT LEARNING SYSTEMS INC $ 14,160.00 TROYER GROUP INC $ - AUTOMATIONDIRECT COM INC $ 4,512.75 UTILITY ASSOCIATES INC $ 3,500.00 MUNICIPAL EMERGENCY SERVICES $ 100.00
Total
Amount $ 48,928.65
DBE Q4 '18
Vendor
PO/Contract
Amount
HYDRONIC & STEAM EQUIP CO INC $ 4,791.00 BUSINESS FURNSIHINGS $ 17,211.89 KOORSEN FIRE & SECURITY INC $ 4,801.90 OFFICE INTERIORS INC $ 6,339.29 CAROTHERS PRINTING CO $ 135.70 LINDCO EQUIPMENT SALES INC $ 624.74 OFFICE 360 $ 335.46 BOLT DOCUMENT MANAGEMENT $ 25,784.00 FLOSOURCE INC $ 3,535.65 STANZ FOOD SERVICES INC $ 357.90
17
RESCUEGEAR INC $ 2,774.70 PRO AIR MIDWEST $ 8.40 HOOSIER CRANE SERVICES CO $ 1,144.06 PERFORMANCE PLUS CO INC $ 1,875.00
Total
Amount $ 69,719.69
Total Q1-Q4 Spend $ 1,817,767.73
VBE Utilization
During quarter one of this year, the City of South Bend utilized one VBE firm in the “greater than
$75,000” spend matrix band, and had one firm represented in the “less than” $2,500, zero firms
represented in $2,500 to $9,999, one firm in $10,000 to $24,999, and zero firms in $25,000 to $74,999
spend matrix bands. Quarter two posted two firms represented in “less than” $2,500, zero firms in
$2,500 to $9,999, two firms in $10,000 to $24,999, and one firm in the “greater than $75,000 spend
matrix. However, quarter four posted one firm represented in “less than” $2,500, two firms in $2,500 to
$9,999, zero firms in $25,000 to $74,999 and zero firms represented in “greater than” $75,000.
Petroleum Traders Corporation and Aquitas Solutions Inc. posted the largest VBE spend amounts during
the 2018 fiscal year.
Q1 '18 Q2 '18 Q3 '18 Q4 '18
<$2,500 1 2 1 1
$2,500-$9,999 0 0 1 2
$10,000-$24,999 1 2 0 1
$25,000-$74,999 0 0 0 0
>$75,000 1 1 0 0
0
1
2
3
4
5
6
VBE Vendors by Matrix
18
VBE Q1 '18
Vendor
PO/Contract
Amount
HYDRONIC & STEAM EQUIP CO INC $ 10,491.40 BROWNELLS INC $ 2,099.44 PETROLEUM TRADERS CORPORATION $ 124,699.84
Total
Amount $ 137,290.68
VBE Q2 '18
Vendor
PO/Contract
Amount
RECREONICS INC $ 271.08 PETROLEUM TRADERS CORPORATION $ 19,878.95 AQUITAS SOLUTIONS INC $ 105,319.00 KIESLER POLICE SUPPLY
INC Jeffersonville IN $ 13,223.79 LIQUID ENGINEERING CORPORATION $ 1,950.00
Total
Amount $ 140,642.82
VBE Q3 '18
Vendor
PO/Contract
Amount
BROWNELLS INC $ 4,164.91 LIFESAVING SYSTEMS CORPORATION $ -
Total
Amount $ 4,164.91
VBE Q4 '18
Vendor
PO/Contract
Amount
HYDRONIC & STEAM EQUIP CO INC $ 4,791.00 BROWNELLS INC $ 3,048.64 PETROLEUM TRADERS CORPORATION $ 20,573.14 LIFESAVING SYSTEMS CORPORATION $ 1,751.21
Total
Amount $ 30,163.99
Total Q1-Q4 Spend $ 312,262.40
19
MBE AND WBE BUSINESS DEVELOPMENT, OUTREACH AND ENGAGEMENT
The Diversity, Inclusion and Compliance Officer continues to work with the Director of Purchasing to
further support the goals and vision of the Ordinance, Mayoral Executive Order, and Diversity Utilization
Board recommendations. The City of South Bend Purchasing Department continues to conduct “Doing
Business With the City” outreach sessions with local women and minority business organizations. We
will focus on tracking the number and type of WBE/MBE organization sessions we conduct and
outcomes—which businesses are successfully awarded bids with the City, and the amount of each
award based on the spend matrix.
The Office of Diversity and Inclusion, City Controller, Director of Purchasing, and the Legal Department
continue to review and revise internal procurement and contracting policy that more clearly reflects the
Citywide goals for inclusive procurement and contracting in compliance with our ordinances.
The Office of Diversity and Inclusion has partnered with the South Bend Housing Authority (SBHA) to
revise the monthly resident survey. The new survey includes new construction or construction-related
categories like lead worker or supervisor certifications. SBHA residents (Section 8 and Housing
Authority) that give their permission, are added to a Section 3 Workforce database that captures contact
information, information on individual resident skills, competencies, and education or training that may
match work opportunities on City projects or bids.
This list is updated biannually and may be made available to contractors and vendors looking for a local
workforce by zip code to complete local projects. The Office of Diversity and Inclusion may also direct
any SBHA residents interested in starting a business to local resources like the Westside Small Business
Resource Center at Project Impact, where they could learn how to become a Section 3 Business
Enterprise, and register to do business with the City.
The Office of Diversity and Inclusion is partnering with Department of Community Investment
Engagement and Economic Empowerment to research the possibility of becoming a Community
Development Financial Institution (CDFI) Friendly City. The CDFI-Friendly designation would support the
access to capital for local minority-owned businesses that struggle to finance business scaling, capital
equipment purchases, or just staying afloat in a slow pay business environment.
Internally, the City of South Bend Purchasing Department continues to refine an organizational redesign
to centralize bulk purchases for better pricing and process efficiency; reducing the number of city
“buyers” across departments and units from over 150 individuals to fewer than 25.
The City of South Bend has commissioned a disparity study for its utilization of Minority and
Women/Business Enterprises (MWBEs) due for completion in quarter 3 of 2019. The research will
examine whether firms have equal access to contracting opportunities on the City of South Bend’s prime
contracts and associated subcontracts and recommend strategies to ensure inclusion in future City
contracting.
We continue to refine and perfect our ability to track City spending by department to develop and
maintain a spending forecast report that could assist small local businesses, especially minority and
20
women businesses prepare for upcoming procurement and contracting opportunities within the City for
the upcoming fiscal year.
The Office of Diversity and Inclusion in partnership with Administration and Finance, and Innovation and
Technology are identifying software solutions to collect and maintain accurate procurement and
contracting data, as well as compliance data.
The City of South Bend continues to establish new partnerships with local organizations like the Alpha
Kappa Alpha Sorority to co-host annual Minority Business Fairs, and create and maintain a
comprehensive listing of all local minority owned businesses.
The City of South Bend will continue to partner with the Westside Small Business Resource Center at
Project Impact to serve as a local resource that encourages the creation, development and scaling of
local minority entrepreneurs. Other partners like IDOA, Latin American Chamber of Commerce, North
Central Indiana Small Business Center at Indiana University South Bend, the SPARK Program at Saint
Mary’s College, Mid-States Minority Supplier Diversity Council, Women’s Business Enterprise National
Council (WBENC), SCORE of Michiana, Indiana Small Business Administration (SBA), and the North
Central Indiana Business Conference
for Minority and Woman‐Owned Small Businesses which provides local and regional business owners
exposure to best practices, networking with procurement leadership from major organizations, and
financial resources for business stabilization and scaling.
South Bend will explore opportunities to identify other certifying agencies within our geographic
marketplace whose vetting requirements meet or exceed IDOA requirements and thus expand our list of
viable MBE/WBE firms for local, regional and national invitations to bid, quote or otherwise contract for
procurement opportunities with the City of South Bend.
21
A Look at City Spending by the Numbers: PROCUREMENT & PRIME CONTRACTING
2027
291
120 54 42
1648
198 92 36 43
1601
172 69 46 30
671
91 31 14 2
<$2500 $2500‐$9999 $10,000‐$24, 999 $25,000‐$74, 999 >$75,000
TOTAL NUMBER OF PO'S
Q1 '18 Q2 '18 Q3 '18 Q4 '18
$1,213,123.25 $1,423,686.29 $1,909,555.52 $2,162,476.98 $36,388,998.73 $980,098.59 $941,605.97 $1,505,277.59 $1,437,931.45 $17,221,763.13 $923,347.08 $836,805.05 $1,182,961.37 $1,876,017.26 $10,166,139.28 $310,543.15 $424,695.79 $468,902.38 $605,849.63 $419,279.95 <$2500 $2500‐$9999 $10,000‐$24, 999 $25,000‐$74, 999 >$75,000
TOTAL SPEND AMOUNTS
Q1 '18 Q2 '18 Q3 '18 Q4 '18
22
$598.48 $4,892.39 $15,912.96 $40,045.87 $866,404.73 $594.72 $4,755.59 $16,361.71 $39,942.54 $400,506.12 $576.73 $4,865.15 $17,144.37 $40,782.98 $338,871.31 $462.12 $4,666.99 $15,125.88 $43,274.97 $209,639.98 <$2500 $2500‐$9999 $10,000‐$24, 999 $25,000‐$74, 999 >$75,000
AVERAGE PO SPEND AMOUNT
Q1 '18 Q2 '18 Q3 '18 Q4 '18
23
A Look at City Spending by the Numbers: PROCUREMENT (GOODS, SERVICES,
PROFESSIONAL SERVICES)
$592,097.72
$832,342.59
$50,566,203.13
$50,566,203.13
$- $10,000,000.00 $20,000,000.00 $30,000,000.00 $40,000,000.00 $50,000,000.00 $60,000,000.00
Total MBE Q1-Q4 Spend
Total WBE Q1-Q4 Spend
WBE/MBE Share of Procurement Spend
Total Procurement Spend Amount of MWBE Spend
$592,097.72
$832,342.59
1.17%
1.65%
0.00%
0.20%
0.40%
0.60%
0.80%
1.00%
1.20%
1.40%
1.60%
1.80%
$-
$100,000.00
$200,000.00
$300,000.00
$400,000.00
$500,000.00
$600,000.00
$700,000.00
$800,000.00
$900,000.00
Total MBE Q1-Q4 Spend Total WBE Q1-Q4 Spend
MBE/WBE Procurement Spend Share
Amount of MWBE Spend Share Percentage
24
A Look at City Spending by the Numbers: CONTRACTING (CONSTRUCTION,
CONSTRUCTION-RELATED ACTIVITIES)
$50,130,137.73
$3,433,310.46
Total MBE/WBE Contracting Spend
Total Contracting Spend Total MBE/WBE Contracting Spend
46
37
Share of Contracting Bids
Total Number of Bids
Total Number of Bids with MBE/WBE
Primes or Subs
25
$50,130,137.73
$3,433,310.46
100%
6.85%
0%
20%
40%
60%
80%
100%
120%
$0.00
$10,000,000.00
$20,000,000.00
$30,000,000.00
$40,000,000.00
$50,000,000.00
$60,000,000.00
Total Contracting Spend Total MBE/WBE Contracting Spend
Share of Contracting Spend
Amount of Spend Share Percentage
26
TWO AND THREE YEAR COMPARISONS
In order to assess the City of South Bend’s progress towards a more inclusive procurement process, this
report reviews the two and three year comparisons of the number of available IDOA certified MBE and
WBE firms within St. Joseph County, the total number of purchase orders issued in a fiscal year, the total
spend amount in a fiscal year, and the total spend versus the MBE/WBE spend comparison.
St. Joseph County saw a increase in the number of MBE business services, goods or consulting services
certified through IDOA, with five or more Hispanic MBE/WBE commodities in 2018, and a decrease in
African
American MBE/WBE commodities from 12 in 2017 to 8 in 2018. However, according to IDOA, the
number of Caucasian WBE commodities offered rose from 104 in 2017 to 149 in 2018 in St. Joseph
County.
7161
5715
7189
0
1000
2000
3000
4000
5000
6000
7000
8000
Year 2016 Year 2017 Year 2018
Total Annual Purchase Orders Issued
27
$70,025,953
$101,702,744 $100,696,341
Year 2016 Year 2017 Year 2018
Total Annual Procurement and Contracting Spend
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
AFA APA CAU HIS NAM OTH TOTAL
TWO YEAR IDOA COMMODITIES AVAILABLE
COMPARISON
2017 2018
28
SECTION 3 WORKFORCE
The Office of Diversity and Inclusion has partnered with the South Bend Housing Authority (SBHA) to
revise the monthly resident survey. The new survey includes new construction or construction-related
categories like lead worker or supervisor certifications. SBHA residents (Section 8 and Housing
Authority) that give their permission, are added to a Section 3 Workforce database that captures contact
information, information on individual resident skills, competencies, and education or training that may
match work opportunities on City projects or bids.
This list is updated biannually and may be made available to contractors and vendors looking for a local
workforce by zip code to complete local projects. The Office of Diversity and Inclusion may also direct
any SBHA residents interested in starting a business to local resources like the Westside Small Business
Resource Center at Project Impact, where they could learn how to become a Section 3 Business
Enterprise, and register to do business with the City.
Section 3 Workforce Documents
*NOTE: At the time of this report, the attachment of Section 3 Workforce Documents had not been
submitted to or approved by H.U.D. This report is submitted by the Department of Community
Investments in March of every calendar year. An amended Annual Inclusive Procurement Report will be
submitted documenting those changes accordingly.
Department of Community Investment
James Mueller, Executive Director
Pam Meyer, Director Community Development
Alkeyna Aldridge, Director of Community Engagement
Lory Timmer, Analyst II
29
SUMMARY OF PROCUREMENT PROCESS
I. Summary of Purchasing Process
II. Purchasing Matrix Guidelines
III. City of South Bend Purchasing Policy
IV. Invitation to Quote (Boilerplate)
V. Invitation to Bid (Boilerplate)
30
CITY OF SOUTH BEND PURCHASING PROCESS SUMMARY
The procurement of supplies, equipment and services is governed by the City of South Bend Purchasing
Policy (attached). Pricing for supplies, equipment and services is obtained according to a matrix (Bid
Matrix) of the total cost. The Bid Matrix (attached) dictates the quote or bid process to be followed and
the approval levels required for purchasing approval. Exceptions are made for Special Purchases as
defined by Indiana Statutes. An emergency purchase is an example of a Special Purchase situation.
1. Obtaining Quotes
a. For purchases under $74,999, quotes are obtained from vendors specified by the City of
South Bend Departments requiring the respective supplies, equipment or services. The
following requirements apply;
i. Purchases between $25,000 and $74,999 require a formal quote process which
includes the completion of the Quote Package (attached)
ii. Purchases under $25,000 requires a simple quote process as defined in the Bid
Matrix. These written quotes can be obtained thru phone requests, email
request of written requests.
2. Evaluating Quotes
a. Simple quotes are first evaluated for content to assure that they represent the items or
services required at the correct terms and conditions specified by the department.
Simple quotes are sorted by price and awarded to lowest price.
b. The Formal Quotes are opened at a public Meeting by the Board governing the
Department. Formal Quotes are evaluated by the City of South Bend Legal Department
to assure the required forms are completed correctly. If the appropriate forms were not
correct or were omitted, and/or quoting instructions were not followed, the quote is
considered non- responsive. Responsible, responsive quotes are tabulated with the
award given to the lowest cost.
3. Obtaining Bids
a. Purchases of $75,000 or more require a formal bid process that includes public
advertising of the items or project. A sample bid package is attached.
4. Evaluating Bids
a. The bids are opened at a public meeting by the Board governing the Department. Bids
are evaluated by the City of South Bend Legal Department to assure the required forms
are completed correctly. If the appropriate forms were not correct or were omitted,
and or bidding instructions were not followed, the bid is considered non-responsive.
Responsible, responsive bids are tabulated with the award given to the lowest cost.
31
CITY OF SOUTH BEND PURCHASING MATRIX
Purchase Order
Dollar Value
Approvals Required Method Mode Comments/
Additional
Requirements
Less than $2500 Department
Approval Purchasing
Approval
Preferred Vendor or
Open Market
Phone, Fax, Mail Uses Central
Services/Contract
Vendor/State
QPA/Purchasing
Cooperative/Open
Market – No
Competitive
Quote
$2500 to $9999 Department
Approval Purchasing
Approval
Preferred Vendor or
Informal Quote on
Open Market
Phone, Fax, Mail Uses Central
Services/Contract
Vendor/State
QPA/Purchasing
Cooperative/Open
Market – w 2
Informal
Quotes
$10,000 to $24,000 Department
Approval Purchasing
Approval
Preferred Vendor or
Informal Quote on
Open Market
Phone, Fax, Mail Uses Central
Services/Contract
Vendor/State
QPA/Purchasing
Cooperative/Open
Market – w/ 3
Informal
Quotes
$25,000 to $74,999 Department
Approval Purchasing
Approval Approving
Board
Preferred Vendor or
Formal Quote
(Written) Quote
Process
Mailed at least
Seven Days prior
to Opening
Requires Minimum
of Three Written
Responses. Opened,
Read
at Public Meeting.
Award by Approving
Board
Special Purchase
Over $49,000
Department
Approval Purchasing
Approval
Approving Board
Special Purchase of
$50,000 or more
requires Legal
Review and
Board Approval
$75,000 or More Department Approval
Purchasing
Approval
Approving Board
Formal Bid Process
w/ Legal Review and
Formal Advertising
Submitted to
Clerk of Board of
Public Works
Formal Bid Process
Board opens
Responses and Makes
Final Award or
Rejection...
NOTE: Purchases may not be artificially divided to avoid policy thresholds. Additional Reviews required for Capital and IT items. All purchases are limited by
budget and appropriations. Approving Boards: Board of Public Works, Board of Parks Commissioners, Redevelopment Commission.
32
PURCHASING POLICY
33
IDOA CERTIFIED MBE/WBE FIRMS
34
Procurement Forecast Forms
HOW TO USE THIS PROCUREMENT FORECAST TEMPLATE
This forecast template should depict potential new contracting opportunities, to be let by the City of
South Bend during Fiscal Year 2020, which runs from January 1, 2020 to December 31, 2020. The plan
does not depict expected City spend against already existing agreements. The opportunities are listed by
City department.
Only City departments that anticipate expending public funds in Fiscal Year 2020 for new opportunities
are listed. Departments that do not anticipate creating any new procurement or contracting
opportunities are not listed here in this forecast. For the most up to date information about
procurement processes and upcoming solicitations, visit the Bid Opportunities page found under the
City’s Department of Purchasing website.
_________________________________________________________________________________
35
FY 2019 Annual Procurement Forecast
Administration and Finance
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
36
Building Department
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
37
Code Enforcement
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
38
Community Investment
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
39
Fire Department
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
40
Innovation and Information Technology
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
41
Legal Department
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
42
Police Department
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
43
Public Works
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
Sustainability Division
44
Venues, Parks and Arts
FY 2019 Annual Procurement Forecast
Commodity
Code
Project
Description
Estimated
Value
Estimated
Term
Target Ad
Date
Subcontracting
Opportunities
Parks and Facilities Division