maybe within the next 5 to 10 years. >> i'm sorry, in the next 5 to 10 years is when we'll get that on all departments? >> every single department, we have 52 departments right now. but [speaker not understood] department and public works department that we report, we have [speaker not understood] personnel in the department. >> if i can suggest, i think you probably appreciate that 5 to 10 years to get data, about [speaker not understood] seems like a long time. >> i appreciate that. we have been tracking manually. we do have manual tracking for the small departments such as the sheriff's department, the public defenders office and the library. we do have data, manual data, but we will have -- that's one of our goals. >> okay. and by the way i just want to say to the public i know we have in front of us a very hard working public servant and she is very short staffed within

her department. so, i do under the concern. this is an area many people want to get transparency in this area. i'm happy to work with you to hopefully work with mayor lee to get more transparency in this area because a lot of people want to know, again, how we spend our money, how the contract decisions are made. let me make a couple other observations about this chart. it does look as supervisor avalos suggested, the ratios awarded to lbes seems high. when i read the report, this is looking at the ratio of contracts that are awarded, but not at the contract dollar awards. for example, for the airport, while it says that 65% of the contracts are awarded to lbes, if i'm reading correctly, the actual contract dollars is -- in my mind, it is the dollars out to the community that is more important than the actual contracts. could you tell us why you didn't display percentage

dollar amounts as opposed to just contract numbers? it seems to me that there are probably a lot of smaller contracts that go to our local businesses, but the larger contracts that involve lots of dollars seem to not be going to our local either primes or subs. >> president chiu, i'm not sure how to answer that question that you posed, but we report it on our data because it was available to us. >> okay. so, i guess the point that i would make is i think it would be helpful to have numbers that let us know the dollars that are going out to our local communities as opposed to the number of contracts. and in particular, you also talk about the contracts that are awarded as opposed to what actually is getting paid to our

contractors. and i think having that information would be helpful as well, i guess my broughter point, this could be helpful to all of us a we analyze how 14b works. i'm happy to work with your office and other stakeholders to figure out the best way to prioritize what we need and in a way that shows us [speaker not understood]. it's difficult from the numbers you have we're making good progores. these numbers from my recollection a few years ago are different from what [speaker not understood] now. again, it's a murky picture. >> i agree. thank you, president chiu. >> yeah, i'm sorry you're at the very end of our long meeting, but i did want to say that looking at the lbe contracts over time would help me understand if we're making progress or not. and once you get more departments other than the five or so that are on here, i'd be

interested. i had a broader, perhaps more political question. i know the human rights commission was formed out of the civil rights movement and the asian american movement and it always had the commission that was overseeing kind of how we were ensuring equality, whether its was through affirmative action or other types of programs like those we developed after prop 209's passage. and i'm just hoping that since we switch over to the city administrator, is there still this kind of oversight? i would hope that the human rights commission or other bodies still have oversight, or is it through that new advisory committee that was just appointed by the mayor? and knowing more information about who is on that committee would help me understand if there's community oversight so that we ensure that there's equal opportunity and that we're not sliding back and that we're making progress for the micro enterprises to all the different new levels that we've had over the past few years. but that's just my 2 cents on that.

>> thank you. , supervisor mar. >> so, president chiu, were there any other presenters? >> i'm not sure if -- did you finish your presentation? >> i have another chart very quickly if you allow me, that would be okay. the data by contracts, that was what was reported on the annual contract -- in the annual report. and this is the [speaker not understood] which is something that the community is very much interested in. i wanted to just present that slide. there are three different types of 14 waivers and there are sole source [speaker not understood] contracting goal waiving. the idea of the waivers are sole source waivers and the pie chart on the left shows a breakdown of sole source waivers by type and the detail of this information is posted

on our website so it's specifically for that reason. going forward, we have -- we are going to -- four contract compliance officer vacancies by the fiscal year. the cmd has set up a process to guide our stakeholder input from 5 subcontractors to the agency staff and elected officials, and we have a community outreach rfp right now posted on our web and on the lca's website that we hope that this process that we will be holding several community outreach meetings and different communities in san francisco. these meetings will be chaired by the new lbe advisory committee and a report will come out of the process presented to the advisory

committee and we hope to have a legislated up to the board of supervisors by may. and that's about it. >> i had a couple of follow-up questions. one, just a comment after what supervisor mar had mentioned, which is part of the reason why i had called this hearing in december was a sense that there was just less accountability around our contracting process without the fact that there is a commission oversight structure over this. i called for this hearing in mid december, and i very much appreciate the fact that mayor lee in january had appointed i would be on the advisory committee. one thing i would say to the community that is here, i think we're all looking forward to seeing if that is a structure that is going to really ensure a connection and an accountability to the community. on a slightly different point, i know a lot of departments have often asked for more flexibility in meeting the rbe program. i think we under different

department work differently, but we also want to make sure departments are held accountable. could you, given that you suggested it's going to take awhile to get data from departments, are there any mechanisms to hold departments accountable for making progress in this area? what can we do to make sure the department heads or the management teams of different departments are helping us meet the goals of chapter 14b? >> president chiu, i think i misspoke. it's not that they're not participating in the program. they are. and they are tracking -- we are both -- the department and the cmd staff are tracking. what i meant to say is that to have them all on board in the lbeuts is going to take us that long to get -- i'm not sure how long it's going to take. i think it's once the pilot project, once we have about a year's worth of data, we're going to see how much turning it takes for the department to come on board. it may take less than five

years, it may take less than five years to get them all on board and tracking. the departments, they are very supportive. starting with seas, there is a mechanism that if somebody is going to publish an rfp and they have not come to cmd to look for lbe goals, there is a mandate that says if you have not contacted cmd, contact them now for a waiver or for [speaker not understood]. so, there is a mechanism there to catch any contracts or any departments that are not aware of the 14b ordinance. >> let me suggest i think five years is just not an acceptable time frame for us to be thinking about this. maybe five months would be more reasonable. and, again, i'm happy to discuss this with you afterwards. but one of the things i would like to suggest is we probably need to have another check in than a few months on these topics.

and the questions that arise from the committee and the public we can have a chance to check in. the fact of the matter is we've invested in this tracking system and we better put it to use to be able to figure out where we're goi. let me ask a different question, which is i often am alerted by small local businesses that let me know about allegations of violations in our local business enterprise law. one of the issues that continue to arise is a lot of these small businesses really are concerned about retaliation when they bring up issues with the contract ining process. ~ contracting process. they're worried if they bring this up to the department they'll get blacklisted and not receive a contract or future contract. what is your perspective on whether we need to build in more protections for so-called whistle blowers that raise these issues? and by the way, i'm raising this because i don't know if contractors here would feel

comfortable raising this so it's important for me to ask the question. >> president chiu, we have met with the community-based organizations and they have brought up that issue and we are aware of instances. going forward, we will address that, hopefully with your leadership. >> potentially with legislation or some policy changes? >> it may -- i'm not sure how the city attorney will rule or how we will work towards something that could work for everyone involved. >> okay. one last set of questions and then i do want to move to public comment because we do have a lot of folks here today. there has been a lot of discussion about whether right now 30 years after 14b has gone into effect whether we're really thinking aggressively enough in how we achieve our goals. there have been suggestions we ought to have city-wide goals

for lbe participation. so, for example, there have been some who have suggested a 40% goal of all city contracting dollars staying with local business he. there has been other suggestions that we ought to set aside at least 10% of our contracting dollars exclusively for local competition and other businesses. our ordinances should not apply to funded city contracts, but public lands that require approval. what are your thoughts on the various proposals that are floating around on how we can really put a little more teeth into our ordinance? because i think for many years there is just frustration that we're not making the progress we need to make. >> thank you, president chiu. we also did discuss that at length with the community based organizations -- sorry. the presentation from the community based organization is very innovative.

it's very, very good. i mean, we were very happy to hear about the different aspects of the presentation. they did mention that the 40/20 -- the 40% overall goal, it could be aspiration goal and we would be setting goal on an availability basis which is very detailed how we set goals based on the lbe availability so that the contracts, prime contractors will be able to meet that goal. but that would be something to also look into, the 40/20 aspirational goal. >> i think this is probably [speaker not understood] conversation and i want to hear from the members of the public on this. let me make one last comment, how 14b relates to other city laws and programs. for example, the local hiring ordinance that supervisor mar and i were happy to support supervisor avalos on moving. we know that impacts small

businesses in ways that are different from how it impacts larger businesses and we have to think about how the constellation of programs that we have sort of work in tandem. so, i just want to mention that. because the time is late, what i would like to do if it makes sense, colleagues, is to go to public comment. i have a list of about 18 members of the public that wish to speak on this topic. and, so, what i'd like to do is call them up in batches sw let me first call up doug chen -- >> forgive me. >> i'm sorry. >> just briefly. my name is megan keegan wallace. i am [speaker not understood]. i just wanted to clarify a couple pieces in the powerpoint. i know this is complex information and there's been a lot of back and forth about what data we have available, what it looks like, when it's going to be available to the public. so, just jumping back really quickly, it's been a long day, but on item number 14 you had a question about percentages by

department and dollar amount. so, there are dollar amounts on this sly. this was presented differently than when you had seen the hrc data before. there is a lot of data on this program and we were trying to package it in a way to attempt to simplify how you might see some of that information. so, the third column of percentages, the fourth column is contract award dollars to lbe prime -- >> i'm sorry, the third column where it says dollar amounts, that's actually percentages. >> i'm sorry. i'm sorry, 14 -- can i put it up? no, it's not up. let me see see if i can get back up to it. ~ it's on the screen now. the third column is percentages. the fourth is dollar amount of contracts awarded to lbe prime in million. and the dollar amount is the contract awarded to lbe sums. >> what percentage of all dollars for the airport have

gone to lbes? because that number is not on here. 65% of the contracts awarded went to lbe from what i can gather. only 26% of our dollars went from lbes from another part of your report. >> the 26%. i do not know where the 26% is from. >> i had pulled it from the report that you guys had issued at the end of last year. i don't know -- i mean, we can go into this, but i think what i'm interested in just under that 65%, 65% of our dollars, it's 5% of all contracts. yes, but you can take the 5.3% for lbe primes and compare that to the total on the bought many of 167 and i could do a percentage for you quickly to see what that would be. the other piece, and i'm happy to talk to you about that in greater detail. >> actually, as i just do the

back of the envelope calculation, [speaker not understood], and then it looks like the total -- actually, what is the total amount awarded to the airport? it's way more than -- >> it's about 3%. >> okay. so, if i could just pause for a second there, you're saying that the percentage awarded to lbes at the airport representative 3% of the total dollars? >> there is one caveat. this chart doesn't include contracts over 20 million. 14b has a capital of 20 million. there is one part that is a larger amount but doesn't fall under that threshold. the actual amount for the airport -- actually percentage, sorry, dollar wise is about

15%. >> okay. so, let's assume at 15%, that's i think the frustration that i'm experiencing right now. we're looking at you showing us percentage dollars, 65%, 81%, 74%, suggesting that a majority of these dollars are actually going to lbes but in reality 15% of the dollars are going to our community. by the way, i know i'm sorry you're in the position you are right now because i know you've been doing this very recently, you're crunching members not to make this point at this moment, what we're looking for is really a good understanding of what percentage of dollars are going to our local and small diverse communities and i think the numbers are far lower than what we have here. the frustration is not being able to get a snapshot of what that looks like. >> that is why we're excited to

be able to be here making the changes to 14 b, and for having this discussion. the other piece that i wanted to raise, the spa ~ timeline for getting all the departments on the six months. because it is a new data system i've been helping the contract monitoring system with the integration of the data system with other departments. i don't know if there was some confusion how the question was posed, but there will be a little bit of a lag in the kind of robust nature of the data that's available in the system because you have to get all the departments on board, entering all the information inaccurately, and we have a very strong process in place to kind of monitor and audit the number of contracts that are being entered into the system and making sure that is the actual number that is out in

the universe that should be in there. so, it will take a little while to get that process running smoothly. so, [speaker not understood], but within six months we'll have the contract [inaudible]. >> that's great news. that's better than five years. and my suggestion is that the faster you can get data out, even with the caveat that it may not be the most robust or the cleanest data, i think it will just help let us all know that transparency and accountability is coming. i do want to thank you for the work. i know this has been immensely challenging for the three of you to get a handle on, so, i look forward to supporting you with that work and hopefully getting you some more resources to do that work. >> why don't we now go to public comment. let me first ask mr. doug chan, and let me call up other speakers. ~ [speaker not understood]. fred jordan. diana [speaker not understood].

stanley chu. [speaker not understood]. and [speaker not understood]. and each member of the public will have two minutes for public comment. mr. chan. president chiu, members of the committee, thank you very much for this opportunity to address you. i'm here on behalf of the council of american asian byness associations it represents member asians and [speaker not understood] here in the bay area. today you're going to hear from diverse hard working byness owner how our city's contracting law serves as values, such as [speaker not understood] in procurement of goods and services and the promotion of smart economic development policies that not only keep our city's dollars closer to help but help to

[speaker not understood]. 35 years ago when my unemployed father had some years before started an auto parts business with a loan from the very pregnant wife of $132, one day he asked me to tag along with him to deliver some parts after a city-owned vehicle yard at third street. upon arrival, my dad exchanged mare antries with the fleet boss and then instructed me to hand over one pair of shock absorbers and two pairs of auto light spark plugs. right back, i asked my dad, dad, why is this delivery so small, what did we come out here for? he said, because that's all i can sell to the city. and, so, my dad never managed to breakthrough that barrier he himself described as a little boy's network. now, the notorious german

practices of the recent past are behind us. the overarching inquiry is whether or not the current law remains fit to assure not only equal opportunity and not the convenience of bureau cats, and also how you as supervisors can measure progress. how do you define progress? and what are the systems of public accountability to make sure that we don't have this big lapse that we've had? you know without data there is no accountability. so, what we're trying to do here is make the law work for everybody. this is a collaborative process and we look forward to working with you as well as the other members of the city family. so, thank you very much. >> thank you. i have called up a number of names. if folks could line up on the right-hand side of the chamber, and let me continue to call other names so that we can get the flow going. mr. president, you have a copy of extended opening statement, i'd like to lodge with the clerk. >> absolutely.

copies for you. >> okay. let's hear from our next speaker, mr. chiu thank you, president chiu. good afternoon, supervisors. my named is alex chu. i am the president of the american association of cpa firms, council of american business association. i'm here to talk about a couple of items that have been raised. first one is the need for an antiretaliation legislation. there have been many instances of city department heads and project managers retaliating against minority owned lbe firms for simply making inquiries into how decisions are made with respect to contract awards or making inquiries as to whether or not the lbe ordinance has been properly apply. in many retaliations, it has resulted in loss of income to

firms and owners. also, such retaliations have resulted in cutbacks in employees. because of the prevailance of such retaliation, individuals are afraid to speak up about the lack of opportunity. people are afraid to report the failures and refusal to apply the lbe ordinance on the part of department heads and project managers for fear of retaliation. people have even been afraid to come and testify at this hearing because of the fear of retaliation. such retaliation should not happen anywhere, and in particular, it should not happen here in san francisco. san francisco need an antiretaliation legislation to people eyes officers and employees who engage some such retaliation. such legislation may be modeled after the state statutes that protect whistle blowers. we will be happy to work with

you on such legislation. the next topic i would like to briefly talk about is the need for an oversight committee or oversight commission similar to the human rights commission. i don't think a advisory committee is sufficient. >> thank you. thank you. >> next speaker, please. hello, president chiu and board of supervisors. i'm stanley chan. i'm speaking on behalf of asian american contractor association as well as value fire protection. i'd like the city -- i want to say the city needs to set consistent policies and goals to keep san francisco's construction dollars here in san francisco. we need to set policies and goals so that all city

departments will strictly adhere to and make accountable -- be made accountable. i'd like to speak about my terrible experience with the sfmta, mta anyway. we teamed up with -- a first tier contractor to bid on the job on the subway, and we were successful bid to [speaker not understood]. but for some reason our contract was torn up. they kept the first tier prime and threw our bid out. we spent a lot of time working on the bid and it will take away a few years of work in the

future from us. we need to regard the importance of benefits for the local economy that can be generated from participants [speaker not understood]. the way we let it go the way it stands, this mta is about to award one of the largest contracts ever in san francisco. essentially no local business participation and no local minority business participation at all. this contract is worth upwards of $840 million. this -- without participation, this amounts to taxation without representation of all the san franciscans. the central is up way will be built and maintained by the

local monies for years to come. our local community should be derive some benefits throughout the project especially from the very beginning where it impacts the most. and this project, i must go by san francisco, what happened -- the concept of project san francisco built by san franciscans. i urge you to support the lbe community. thank you. >> thank you. next speaker, please. good afternoon. my name is spencer [speaker not understood]. i'm owner of baf specialty and i live here in san francisco. i think it's an important role for the byness enterprise program, un[speaker not understood] public works construction and service contracts.

when a nonlocal contractor is brought in without a true commitment to local businesses, he reluctantly and ungrudgingly unbundles those and can lead to a different experience. [speaker not understood] pier 27 cruise terminal, public safety building and san francisco general hospital. and a lot of time i've been in business, i have never encountered a company i've worked for a hostile as the one i've worked for on the project works currently. [speaker not understood] and troubleshoot on-site issues, misrepresented my company information on this, and taking [speaker not understood] over contracted to my company and try to s