New contract process begins in 2017; learn how the updates will affect the way you do business
A new program starting in 2017 will increase opportunities for small businesses competing for contracts with the City. The Target Market Program aims to diversify City suppliers by changing how the City handles contracts.
Beginning Jan. 1:
- All purchases of commodities, construction and professional services under $100,000 will be subject to the Target Market Program ordinance.
- The threshold for contracts using the City’s standard agreement form will increase from $50,000 to $100,000.
- Procurement will provide a list of eligible vendors to supply the goods or do the work for purchases subject to the Target Market Program.
Based on the scope of work, Procurement will send a list of suppliers to choose from who are independently owned and controlled, are located within the 13-county metro area, meet the federal Small Business Administration size standards, and have average annual gross receipts for the previous three fiscal years that do not exceed limits for their industry categories. The program is race and gender neutral.
The development of the program follows significant outreach work by the City’s Supplier Diversity Team to gather feedback from the small business community. Staff surveyed more than 200 businesses, held a focus group and attended vendor fairs to gather insights about how to increase awareness about contracting opportunities.
Of businesses surveyed, 45 percent had never done business with the City. Seventy-four percent of businesses said they were likely to participate in the new Target Market Program. The vast majority were businesses with gross receipts under $1 million and fewer than 20 employees.
Department contract managers, City leaders and any interested employees should sign up for training on the new contract process in COMET. The training, provided by Procurement, the City Attorney’s Office, Department of Civil Rights, Accounts Payable, Risk Management and expert contract managers from various departments, will be held in the training room at 330 S. Second Ave. (formerly the Towle Building) from 9 a.m. to noon Tuesday, Nov. 22.
9 a.m. to noon Tuesday, Nov. 22.
To sign up for the training:
- Log in to COMET-HR.
- Click on “Learning and Development.”
- Search for the keywords “Understanding Contract Management” in the “Search for Learning” box.
- Click “Enroll” then “Submit Enrollment.”
Look for workshops and labs on contract management coming in January.
Send Procurement your suppliers
Procurement is also working with Information Technology to create a webpage where small businesses can sign up to be reviewed for the program. A link to this webpage will be shared on CityTalk and in Minneapolis Matters when it is available. Please share that information with the businesses you work with.
Published Nov 15, 2016