Contract Compliance Division
Notice: Effective May 1, 2012 the employment goals for onsite labor on all City construction contracts are 6% female and 32% minority.
The Contract Compliance Division (CCD) monitors construction projects and goods and services contracts by enforcing various local and federal civil rights and wage laws and policies during the procurement and construction stages of contracts. The CCD monitors city contracts to ensure that workers are treated fairly, and paid appropriate wages, and that minorities, women and low income business owners and workers have access to employment and contracting opportunities.
Contract Compliance Division Responsibilities
Affirmative Action Plans
All companies doing $50,000 or more worth of business with the City, at one time, or cumulatively, during one calendar year must have on file, an approved Affirmative Action Plan, when requested. It includes information about EEO/AA policy statements, sexual harassment in the work place, complaint reporting procedures, labor goals for city projects, company work force diversity and future hiring goals, and project information.
Compliance Reporting
All construction related contractors are required to submit prevailing wage and labor participation by race and sex. Electronic reports should be submitted through the Twin City Compliance Network.
Disparity Study
The City commissioned a Disparity Study to examine evidence that would support the continuation of Minneapolis’ Small and Underutilized Business Program and see whether any modifications of that plan would be beneficial. This study, The State of Minority - and Women - Owned Business Enterprise: Evidence from Minneapolis which was completed in October 2010, supports setting goals for minority and women owned business participation in City contracts.
Equal Benefits Ordinance and a Living Wage Ordinance
This Ordinance has been passed by the Minneapolis City Council. All complaints are responded to by the CCD.
Good Faith Efforts
CCU evaluates contractors efforts to meet the Small and Underutilized Business Program goals, Section 3 and labor goals. Preconstruction booklets are reviewed as well as pre bid and bidding documents. Minority and Women owned Business Enterprises are certified thru the Minnesota Unified Certification Program (MNUCP). The web site is MNUCP.org.
New Employment Goals
The table below depicts a large shift in the availability in the minority workforce since the last construction goals were adjusted in 2006. These new goals should provide for increased opportunity for minority trade workers on City of Minneapolis projects.
Calculations for New Labor Goals
(Implemented May, 1 2012)
| MINORITIES | WOMEN | |||||
| Data Source | Initial Statistic | Weight Assigned | Weight Statistic | Initial Statistic | Weight Assigned | Weight Statistic |
| Labor Force | 31.4 | 0.06 | 1.9 | 49.1 | 0.06 | 2.9 |
| Construction Occupations | 32.4 | 0.94 | 30.5 | 3.5 | 0.94 | 3.3 |
| TOTAL | 32.4 | 6.2 | ||||
| Final Goal Number (rounded to a whole number) | 32 | 6 | ||||
Source of data: Tabulated from the Integrated Public Use Microdata Series, American Community Survey by the Minnesota State Demographic Center [Construction Data, Civilian Labor Force 16+, 2003-2010]. The 6% weight applied to the labor force statistic based on the estimated proportion of apprentices in the construction workforce provided by Minnesota Department of Labor and Industry.
Pre-Award Review
All contracts in excess of $50,000 or more with the City must submit to a pre-award compliance review. This review includes evaluating the contractor's intent to meet various labor and contracting goals.
Prevailing Wage/Davis Bacon Act
Companies working with construction contracts of $2,000 or more of Federal CDGB or HOME funds must comply with the Davis-Bacon Federal Employment Act.
Small & Underutilized Business Program
Professional services contracts in excess of $50,000, and construction project contracts in excess of $100,000 must comply with the Small & Underutilized Business Program. Participation goals for Women and Minority Owned-Business are calculated for each project.
The CCU is implementing a supplier diversity program to promote utilization of woman and minority owned businesses for public contracting. The intent of this model program is to provide City departments with the opportunity to engage local woman and minority owned businesses in providing goods and services via bids for city contracts of less than $50,000.
Each departmental unit within the city will have a unique percentage goal set, however the overall city goal for Minority Business Enterprise contracting will be initially set at 12% and Woman Business Enterprise contracting will be 13%. Departments will be held accountable for their efforts through regular reports to the City Council.
Last updated Mar. 8, 2013