you can be an l.b.e. or micro-l.b.e. and the definitions of which category rests on your annual revenues over a three-year period, average revenues, i should say. page 7 -- sorry, the power point is not numbers, but page 7 is entitled, "here are the numbers." it's very fun and prudent to point out that well over 50% of our l.b.e.s are minority or women-owned. it's a wonderful incubation program. so we can move forward about what we're here today to tack about a proposed labor agreement known as a p.l.a. i have commonly referred to as a p.l.a. i clipped on page 8 some highlights from the controller's report, controller's office provided a risk-benefit report when the legislation was first introduced by then-supervisor mark farrell's office. you could read the first bullet point, which is a definition of a product labor agreement. in that point, there were four main goals that the legislation was purporting to produce. and there have been amendments to the legislation. an amended version was submitted in the june 20 g.a.o.

i recommend strongly an l.b.e. exemption, period. >> president adams: we can make that part of our recommendation. >> vice-president dwight: aside from the embarrassing failure to bring this legislation to this commission that represents small business and chartered by the city to weigh in on issues like this, not only that, there -- they seem -- our legislators seem to be not heeding the expert advice of our financial people, not heeding the advice of departments that have alerted them that they will be adversely affected by this change in the law. and it's sort of unconscionable, that we would be proposing legislation when everyone around them is objecting to it and everyone, frankly, that they work for, is objecting to it. and that is sort of shocking to me. so it's a comment. it comes from here, though. as a small business commission, you have heard that we're distressed about the failure to consult us at all, especially when we have people on our commission that represent the very types of businesses that will

having labor supplied to us as an l.b.e. is critical. i find it ironic and sad that so many people of colour that are apprentices are in this room and not working. that should set off a big alarm. we work together to make sure we have a good good p.l.a. without l.b.e.s. without them you have no local higher. that program collapses. we carry the load when it comes to carrying l.b.e.s and local higher. never forget that. we employ people. they supply people. we drive the engine that makes it go. thank you. [applause] >> hello. i am the president of bacon plumbing. located in san francisco in the bayview area. my son is a plumber in local 38. currently in the process of starting our second generation of a family business. the p.l.a. agreement has created so many opportunities for us to capitalize and continue our success in this city. thank you. >> thank you. >> thank you supervisors. we have been in business for 40 years and i have been involved for 20. i'm also resident of san francisco. my father was an immigrant of the city with nothing

i think, personally, that we should be advocating for an unqualified exemption for l.b.e.'s. >> i would agree. would anybody like to make a motion for that? >> vice president dwight: i move -- >> go ahead. >> vice president dwight: i move we recommend an unqualified exemption for l.b.e.s. >> second. >> clerk: does that include micro-l.b.e.'s? >> yes. >> yes. >> all l.b.e.s. >> clerk: okay. and second was -- >> commissioner dooley. >> okay. we have a motion by commissioner dwight, seconded by commissioner dooley. are you ready for a vote? okay. roll call. commissioner adams? >> vice president adams: yes. >> clerk: commissioner -- one moment. corby? >> president adams -- i am requesting -- >> this is the vote. >> oh, yes. >> clerk: commissioner dooley? >> yes sk. >> clerk: commissioner zouzounis is absent, the motion passes with one absent. >> we will make sure this gets before the commissions. this is very unfair to you, and i just wanted to say kma commissioner -- what commissioner dwight says, you are the backbone of this city and what makes this city run, okay? and to me,

is an l.b.e., and the subcontractor they utilized to meet the l.b.e. requirement is also an l.b.e. >> just to put that in layman's terms, it's white owned firms. and one of the things, we've been working on this issue for sometime, as you know. i'm proud to say this commission -- i think this commission has more disclosure and conversation about diversity in contracting really than any other city commission, and i'm really proud that we're leading the way in having these conversations. we had -- i think in talking about what's available in the pipeline, there are definitely minority firms, m.b.e.'s that are certified in doing the work. for whatever reason, we have not reached out to them to find out why they did not do the bid. sometimes city work may be less preferred to private work, but there is a pipeline available. but in this instead, it was o.b.e. -- two o.b.e. firms that partnered to put in the responsible low bid. i will also make one other comment. today right before the commission, finbar and our chief harbor engineer, katie ficioni, were al

l.b.e. is not paying ten dollars an hour when they should be paying 7820. they maybe paying 76.25 an hour instead of 78.20. they maybe a dollar or two difference. they are honestly, most of the time, and you can check with ols e., these are jurisdictional issues. the contractors have a case opened up against them so there will be a case filed against us but they are often often times cap jurisdictional disputes. the label of cheat, it should not be put together with l.b.e. >> thank you. >> good afternoon members of the committee. as we raise in our may 7th letter, we have serious concerns that a low threshold will lead to disastrous consequences for mbe and businesses. we urge you to set the thresholds high. we also urge you to consider a total l.b.e. exemption from p.l.a. coverage. was a damage is done, it is harder to fix. starting with a higher threshold, seeing how things are going, and then lowering it is a much better way to go. thank you. >> thank you. >> good afternoon. my name is rachel mcintyre. i'm an owner of a certified women owned l.b.e. in th

i will do an overview of 14b, which is the l.b.e. policy in san francisco. i'm going to go -- i will do an overview of the project labor agreement, maybe a quick definition and then some possible impact that the l.b.e. community has advised may impact us. we can start off by first talking about

l.b.e. program account for an additional 38% of the direct spend. and in addition, 15% professional services work within the marketplace must be sub-contracted to l.b.e.s. the following slide will give you an indication of how much has been spent in the marketplace from october 2014 to the end of february 2018. the majority is concentrated in three of the vendors in this tier that now require contract increases so they can continue to compete for work inside of the marketplace over the next six months. and it is important to know that r.c.a. had an r.f.p. for a new marketplace framework and it was created after consultation with the department of technology, c.m.d., local 21, and the use of the departments with large i.t. needs. and the conference was held on july 9th and bids are currently due on august 1st. it's our hope and intention to have the new marketplace operational in january of 2019. the r.c.a. will present the new marketplace's tier one contracts to the board of supervisors later this year for their review and approval. to recap, we req

l.b.e. in san francisco's parking street. and i migrated to san francisco as an undocumented 3-year-old with my family from my home country of el salvador and fleeing the savage civil war that claimed several of my family members. as a child i aspired to achieve the american dream and while recall are other little girls dreamt of castles and ponies i dreamt of being a business owner to help to better provide for my family. by the grace of god and hard work and the help of family and friends and organizations like the mission economic development agency and i have fulfilled my dream. >> supervisor cohen: i have a couple questions for you here. how long has the company been around and established? >> since 2011. >> supervisor cohen: what other contracts do you have? >> well, we have our own parking management sites and we have the s.f.o. parking. >> supervisor cohen: so are you a san francisco-based business? >> yes. >> supervisor cohen: and -- and you said that you're the c.e.o.? >> the owner. >> supervisor cohen: the owner, okay, all right. and how many employees