FINANCE COMMITTEE NOTICE OF PUBLIC HEARING

FINANCE COMMITTEE
NOTICE OF PUBLIC HEARING

A Public Hearing on the following proposed Ordinances will be held before the Finance Committee on Monday, September 14, 2020 at 7:00 p.m. pursuant to Section 3.12 of the Charter via Zoom webinar.

You are invited to a Zoom webinar.
When: Sep 14, 2020 07:00 PM
Eastern Time (US and Canada)
Topic: Finance

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Complete copies of proposed Ordinances are available for public review at the City Clerk’s Office and the Cranston Central Library and can be viewed on the City’s website cranstonri.com under calendar by clicking on the meeting date.

“Individuals requesting interpreter services for the deaf or hard of hearing must notify the City Clerk’s Office at 461-1000 ext. 3197 seventy-two (72) hours in advance of the hearing date.”

Michael W. Favicchio, Chair Leanne Zarrella, JD
Finance Committee City Clerk

PROPOSED ORDINANCE
NO. 8-20-01 AUTHORIZING THE CITY TO UTILIZE WESTERN ROAD IMPACT FEES FOR THE
ENGINEERING FOR TRAFFIC IMPROVEMENTS AT TWO MAJOR INTERSECTIONS

It is ordained by the City Council of the City of Cranston as follows:

SECTION 1. The City of Cranston is hereby authorized under the authority vested in the Impact Fees Ordinance (No. 96-49, October 28, 1996) to utilize an amount not to exceed $100,000 of Western Cranston Road Impact Fees for the engineering of traffic improvements at the intersections of Natick/Wilbur, and Hope/Phenix/Wilbur. This project was approved as a FY21 capital expense.

SECTION 2. This Ordinance shall take effect upon its final adoption.

Fiscal Note:

I hereby certify that there are sufficient funds in this account for this appropriation.

_________________________
Robert Strom, Finance Director

Sponsored by: Mayor Fung

PROPOSED ORDINANCES
NO. 8-20-02 IN AMENDMENT OF CHAPTER 3.08 OF THE CODE OF THE CITY OF CRANSTON, 2005, ENTITLED “CONTRACTS AND PURCHASES”
(Creating the MINORITY OWNED BUSINESS ENTERPRISE, WOMEN MINORITY OWNED BUSINESS ENTERPRISE AND VETERAN OWNED BUSINESS ENTERPRISE)

It is ordained by the City Council of the City of Cranston as follows:

SECTION 1: Title 3, Chapter 3.08, is hereby amended by adding the following:

3.08.100 – Minority, Women, Veteran Business Enterprises

Definitions of Terms

(a) “Affirmative action” means taking specific steps to eliminate discrimination and its effects, to ensure nondiscriminatory results and practices in the future, and to involve minority business enterprises fully in contracts and programs funded by the state.

(b) “Bidder” means any individual, organization, corporation, partnership, sole proprietorship, joint stock company, joint venture, or any other legal entity through which business is conducted that is submitting a quite or bid in response to a solicitation by the City of Cranston Purchase Office or any other City of Cranston department.

(c) “Compliance” means the condition existing when a contractor has met and implemented the requirements of this chapter.

(d) “Contract” means a mutually binding legal relationship or any modification thereof obligating the seller to furnish supplies or services, including construction, and the buyer to pay for them. For purposes of this chapter, a lease is a contract.

(e) “Contractor” means one who participates, through a contract or subcontract, in any procurement or program covered by this chapter and includes lessees and material suppliers.

(f) “Certified” means an applicant firms which has been reviewed by the State of Rhode Island Department of Administration and found to have met the certification requirement provided in these regulations.

(g) “Construction” means construction, alteration, or repair (including dredging, excavating and painting) of buildings, structures, or other real property.

(h) “Minority” means a person who is a citizen or lawful permanent resident of the United States and who is:

(1) Black (a person having origins in any of the black racial groups of Africa);
(2) Hispanic (a person of Mexican, Puerto Rican, Cuban, Central or South American, or other Spanish culture or origin, regardless of race);
(3) Portuguese (a person of Portuguese, Brazilian, or other Portuguese culture or origin, regardless of race);
(4) Asian American (a person having origins in any of the original peoples of the Far East, Southeast Asia, the Indian subcontinent, or the Pacific Islands);
(5) American Indian and Alaskan Native (a person having origins in any of the original peoples of North America); or
(6) Members of other groups or other individuals found to be economically and socially disadvantaged by the Small Business Administration under § 8(a) of the Small Business Act, as amended, 15 U.S.C. § 637(a).

(i) “Minority Business Enterprise” or “MBE” means a small business concern, as defined pursuant to § 3 of the federal Small Business Act, 15 U.S.C. § 632, and implementing regulations, which is owned and controlled by one or more minorities or women. For the purposes of this chapter, owned and controlled means a business:

(1) Which is at least fifty-one percent (51%) owned by one or more minorities or women or, in the case of a publicly owned business, at least fifty-one percent (51%) of the stock of which is owned by one or more minorities or women; and
(2) Whose management and daily business operations are controlled by one or more such individuals.

(j) “Request for Proposals” or “RFP” means a solicitation for competitive offers where lowest price is not the sole or primary consideration to be used in determining an award or any other solicitation that is identified and classified by the City of Cranston as a request for proposals.

(k) “Request for Quotes” or “RFQ” means a solicitation for competitive offers where lowest price is the sole or primary consideration to be used in determining an award or any other solicitation that is identified and classified by the City of Cranston as a request for quotes.

(l) “Women Business Enterprise” or “WBE” means a small business concern, as defined pursuant to Section 3 of the Federal Small Business Act (15 USC Section 632) and implementing regulations, which is owned and controlled by one or more women.

(m) “Veteran Business Enterprise” or “VBE” small business which is at least:

(1) Fifty-one percent (51%) owned and controlled by one or more socially and economically disadvantaged veterans, or
(2) In the case of a publicly owned business, at least fifty-one percent (51%) of the stock of which is owned by one or more socially and economically disadvantaged veterans, and
(3) Whose management and daily business operations are controlled by those same socially and economically disadvantaged veteran owners. Ownership must be real, substantial, and continuing, and the veteran applicant must have and exercise the authority to independently control the business decisions of the enterprise.
(4) Be a small business concern as defined pursuant to the U.S. Small Business Administration criteria and size standard in 13.C.F. R. Part 121
(5) Owner(s) must be a veteran found to be economically disadvantages, in accordance with 49.C.F.R. Part 26.
(5) The business must be in operation a minimum of six (6) months prior to applying for certification.
(6) Existing businesses whose ownership and control have been transferred to veterans must be in the control of the veterans a minimum of six (6) months prior to applying for certification.

(n) “Veteran” means a person who served on active duty with the U.S. Army, Air Force, Navy, Marine Corps or Coast Guard, for a minimum of one hundred eighty (180) days and who was discharged or released under conditions other than dishonorable. Reservists or members of the National Guard called to federal active duty (for other than training) or disabled from a disease or injury incurred or aggravated in the line of duty or while in training also qualify as a veteran pursuant to 38 C.F.R. Part 74.

(o) “MBE coordinator” means the official and or purchasing agent designated to have overall responsibility for promotion of minority business enterprise in his or her departmental element.

(p) “Noncompliance” means the condition existing when a recipient or contractor has failed to implement the requirements of this chapter.

Section 2.
Purpose.
The purpose of this section is to increase and carry out the city’s and state policy of supporting the fullest possible participation of firms owned and controlled by minorities (MBEs), women (WBEs) and (VBEs) in city and state funded directed public construction programs and projects in municipal purchases of goods and services through solicitation of Request for Proposals (RFP) and/or Request for Proposals (RFP). This includes assisting MBEs, WBEs and VBEs throughout the life of contracts in which they participate. It is in the best interest of the city to promote the equitable utilization of MBEs, WBEs and VBEs in city contracting; that the requirements of this chapter are necessary to overcome the present effects of discrimination and are designed to achieve the goal of equitable utilization of MBEs, WBEs and VBEs while at the same time maintaining a high quality of goods and services provided to the city through competitive bidding as required by city ordinance.

Policy.
It is the policy of the City of Cranston that: minority business enterprises (MBEs), women business enterprises (WBEs), veteran business enterprises (VBEs) shall have the maximum opportunity to participate in the performance of procurements and projects as prime contractors and vendors. In addition, prime contractors shall utilize MBEs, WBEs and VBEs so as to enable the city, its purchasing department, and all its contracting departments to meet or exceed the goals set forth in this section. The utilization of MBEs, WBEs and VBEs as subcontractors and/or suppliers to the prime contractor, and/or the use of minority and women laborers, will be considered in determining the lowest possible bidder.

Applicability:
This chapter shall apply to any and all state and city reimbursement and funded projects, constructions and purchasing, but not limited to the procurement of goods, services, construction projects, or contracts funded in a whole or in part by state funds, city funds, or funds which, in accordance with federal grant or otherwise, the state expends or administers.

Discrimination Prohibited.
No person shall be excluded from participation in, denied the benefits of, or otherwise discriminated against in connection with the award and performance of any project or contract covered by this chapter, on the grounds of race, color, national origin or sex.

Minority Business Enterprises.
Minority Business Enterprise (MBE) shall be included in all requests for procurements under this chapter and the city shall strive to achieve each of the goals hereinafter established. Upon passage of this section, the city shall utilize the goal of ten (10) percent which is presently being used by the State of Rhode Island as found in P.L. 1986, Ch. 493, Section 1, as amended R.I.G.L. § 37-14.1 et seq. and the “Regulations Governing Participation by Minority Business Enterprises in State Funded and Directed Public Construction Projects, Construction Contracts and Procurement Contracts for Goods and Services” promulgated by the State of Rhode Island Department of Administration, where not inconsistent with this section. Upon completion of the so-called “predicate study” which will be undertaken, the goals for MBEs will be readjusted based upon the findings contained in said “predicate study” for the first year immediately following submission and acceptance of the said “predicate study” by the city council, increasing annually in each successive year by the recommended percentage contained in the said “predicate study” until either the final goal of participation of MBEs in all procurements for goods and services has been achieved or that the program created by this section terminates.

Women Business Enterprises.
Woman Business Enterprise (WBE) shall be included in all requests for procurements under this chapter and the city shall strive to achieve each of the goals hereinafter established. Upon passage of this section, the city shall utilize the goal of ten (10) percent which is presently being used by the State of Rhode Island as found in P.L. 1986, Ch. 493, Section 1, as amended R.I.G.L. § 37-14.1 et seq. and the “Regulations Governing Participation by Minority Business Enterprises in State Funded and Directed Public Construction Projects. Construction Contracts and Procurement Contracts for Goods and Services” promulgated by the State of Rhode Island Department of Administration, where not inconsistent with this section. Upon completion of the so-called “predicate study” which will be undertaken, the goals for WBEs will be readjusted based upon the findings contained in said “predicate study” for the first year immediately following submission and acceptance of the said “predicate study” by the city council, increasing annually in each successive year by the recommended percentage contained in the said “predicate study” until either the final goal of participation of WBEs in all procurements for goods and services has been achieved or that the program created by this section terminates.

Veteran Business Enterprise
(a) Per RIGL §37-14.3-4 Veterans-owned small business enterprise participation, the state’s annual goal for veteran-owned small business enterprises to participate in state procurements shall be no less than three percent (3%) of the total value of all contracts available to businesses in each fiscal year. The director of the department of administration is authorized and directed to establish by rules and regulations formulas for giving veteran-owned small business enterprises a preference in all procurements and public works projects and in contract and subcontract awards.

(b) The director of the department of administration is further authorized to establish, by rules and regulations adopted in accordance with chapter 35 of title 42, compliance formulas, procedures for implementation, and procedures for enforcement.

Review.
This section shall be reviewed by the city council every five (4) years starting in calendar year 2021 or when a Rhode Island General Law has been changed to ascertain the need for adjustments and/or termination of the program if its goals are being consistently met.

Sanctions.
The City of Cranston Board of Contract and Purchase shall have the power to impose sanctions upon contractors or vendors not in compliance with this section and shall include but not be limited to (1) suspension of payment; (2) termination of the contract; (3) recovery by the city of ten (10) percent of the contract award price as liquidated damages; and (4) denial of right to participate in future projects for up to three (3) years. Additional sanctions for non-compliance per Rhode Island General Law §37-14. 1-8, the Director of the Department of Administration shall have the power to impose sanctions upon vendors not in compliance with RIGL § 37-14-14.1.

Rules and Regulations.
It shall be the duty of the board of contract and purchase to adopt reasonable rules, regulations and procedures to ensure compliance with this section.

Process and Certification.
The City of Cranston, MBE/WMBE coordinator, purchasing agent, or such other appropriate person(s) shall request from bidders/vendors a official State of Rhode Island certification as an MBE, WBE or VBE pursuant to Rhode Island General Laws § 37-14.1-7 which relates to Minority Business Enterprise and Rhode Island General Laws § 42-35-1 relating to the Administrative Procedure Act, the Rhode Island Department of Administration, Diversity, Equity and Opportunity has developed Rules and Regulations governing the certification and decertification of small businesses that are owned and controlled by minorities, woman or disadvantage individuals to participate in state and federal programs administered by the State of Rhode Island. which must be complete and submitted to the City of Cranston Purchase Office. To qualify as Minority Business Enterprise (MBE) and Woman Minority Business Enterprise (WBE) a firm must first meet eligibility standards established in Chapter 37 -14-.1-7. To qualify as a Veteran Business Enterprise (VBE) a firm must first meet eligibility established in RIGL §37-14.3-4 Veterans-owned small business enterprise participation.

The City of Cranston does authorize and/or issue eligibility state certification for Minority Business Enterprise (MBE), Woman Business Enterprise (WBE) or Veteran Business Enterprise (VBE). All certification shall be done through the State of Rhode Island Department of Administration Office of Diversity, Equity & Opportunity, MBE Compliance Office.

Roll of Information.
The City of Cranston shall add language and/or hyperlink pertaining to this ordinance: 3.08.100 – Minority, Women, Veteran Business Enterprises - CHAPTER 3.08 OF THE CODE OF THE CITY OF CRANSTON, 2005, ENTITLED “CONTRACTS AND PURCHASES” on the official City of Cranston website within the Purchase Department webpage.

Sponsored by Councilmembers
Vargas, Donegan, Germain, Hopkins and Council President Farina

8/27/20