Q&A
PEGs impact on Minority and Women-owned Business Enterprises (MWBEs) programs
0:28:27
·
137 sec
Council Member Feliz inquires about the impact of PEGs on MWBE programs. Commissioner Kim assures that there will be minimal to no impact on these programs.
- The $1 million PEG for MWBEs reflects savings from a disparity study that was completed more efficiently than budgeted
- SBS continues to offer robust support for MWBEs, including mentoring, contract mediation, legal services, and various programs
- The Contract Financing Loan Fund has been expanded, supporting an additional 350 vendors and $600 million in city contracting
Oswald Feliz
0:28:27
A few questions related to pegs, pegs related to MWDs.
0:28:32
So the preliminary plan includes a peg for almost 1,000,000.
0:28:37
Related to savings in the MWD program in fiscal 2024.
0:28:42
What programs within SPS's MWD division audio savings derived from.
Kevin Kim
0:28:50
Yeah.
0:28:50
There'll there'll almost be zero impact on our end there will be zero impact on our MWD program because that $1,000,000 reflects the original budget of 1,500,000 this year that was put into to have the disparity study done.
0:29:07
So every 2 years is it by law, we're supposed to have a disparity study, and so that money was designed for that.
0:29:15
But my team, we were able to partner up with CUNY.
0:29:19
And get this study done.
0:29:22
And so we wouldn't need this money going into next year.
Oswald Feliz
0:29:26
So is it safe to say that these programs will not be affected that one bit due to the pegs?
0:29:33
I
Kevin Kim
0:29:34
I I believe so.
0:29:35
We have and we'll continue to have such a robust support system for MWDs.
0:29:41
We've got MWD mentoring.
0:29:43
We've got our both contract mediation partnership.
0:29:47
We've got MWD free contract legal services.
0:29:50
We've got our construction ramp up program, the bond readiness program.
0:29:53
And as I mentioned in my testimony, we actually have a much larger pool of money available for the contract financing loan fund.
0:30:03
That fund oftentimes is what has helped a lot of smaller MWAEs who worried about capacity to perform on city contracts, people who would be shy to even apply for the contract, they once they knew that this program would allow up to $1,000,000 at 3% fixed Right?
0:30:25
Guaranteed by the city contract, we found many more MWBEs entering into this process and getting awards.
0:30:32
And so that program because of the increased amount of money has now been able to support, as I said, an additional 350 vendors $600,000,000 of Citi contracting.