Office of the City Clerk - Record #: O2016-6411

• Record #: O2016-6411
• Type: Ordinance
• Status: Passed
• Intro date: 9/14/2016
• Current Controlling Legislative Body: Committee on Budget and Government Operations
• Final action: 10/5/2016
• Title: Amendment of Municipal Code Chapter 2-92 by adding new Section 2-92-525 regarding bid incentives for MBE and WBE contracts
• Sponsors: Austin, Carrie M., Villegas, Gilbert
• Topic: MUNICIPAL CODE AMENDMENTS - Title 2 - City Government & Administration - Ch. 92 Dept. of Purchases, Contracts & Supplies

Date	Journal Page Number	Action By	Action	Result
10/5/2016	33567	City Council	Passed	Pass
10/4/2016		Committee on Budget and Government Operations	Recommended to Pass	Pass
10/4/2016		Committee on Budget and Government Operations	Add Co-Sponsor(s)
9/14/2016	32486	City Council	Referred

ORDINANCE

BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CHICAGO:


SECTION 1. Chapter 2-92 of the Municipal Code of Chicago is hereby amended by adding a new Section 2-92-525, as follows:

2-92-525 Contracts - Bid incentive to encourage M.B.E. and W.B.E. utilization.
For purposes ofthis section, the following definitions shall apply:

"Bid incentive" means an amount deducted, for bid evaluation purposes only, from the contract base bid in order to calculate the bid price to be used to evaluate the bid on a competitively bid contract.
"Contract base bid" means the total dollar amount a contractor bids on a contract without factoring any bid incentive or percentage reductions to the bid amount.
(1) For any contract advertised after the effective date of this section, if such contract has no stated M.B.E. or W.B.E. participation goals, and where not otherwise prohibited by federal, state or local law, the chief procurement officer shall allocate to any qualified bidder the following bid incentive for utilization of: (i) M.B.E. or W.B.E. subcontractors in the performance of the contract, or (ii) M.B.E. or W.B.E. firms other than as a subcontractor during the performance of the contract:

M.B.E. or W.B.E. participation as a percentage of the estimated contract dollar amount Bid Incentive (as percentage of the contract base bid)
5% 0.75%
10% 1.00%
15% 1.25%
20% 1.50%
25% 1.75%
30% 2.00%

(2) For a bidder to qualify for an incentive under subsection (b)(1)(i) of this section, the M.B.E. or W.B.E. subcontractors that the bidder utilizes need not be certified in the area of specialty in which they are performing on the contract if: (i) such M.B.E. or W.B.E. subcontractors are certified in at least one area of specialty; and (ii) the bidder has entered into a written mentor-protege agreement approved by the chief procurement officer with such M.B.E. or W.B.E. subcontractors to develop their capacity in becoming self-sufficient, competitive and profitable business ...