It is the policy of the municipality to give aid and assistance to socially and economically disadvantaged business enterprises (DBEs) and woman-owned business enterprises (WBEs) located within the municipality and to encourage the provision to such businesses of an equitable opportunity to participate in municipal contracts funded by federal assistance.
It is the intent of the municipality in enacting this chapter to provide educational and informational assistance to DBEs and WBEs concerning bidding procedures, financing, bonding, management, contract administration and performance and other aspects of the operation of a business and to encourage the participation by DBEs and WBEs in federally assisted municipal contracts by requiring good-faith efforts by the municipality and municipal contractors to contract with DBEs and WBEs in fields of endeavor in which they exist and are certified.
(AO No. 79-161; AO No. 84-186; AO No. 90-62(S); AO No. 99-10, 2-9-1999)
Unless otherwise provided, the provisions in this chapter shall apply to any agreement for construction, goods, supplies or services to which the municipality is a party, and to all subcontracts and purchase orders issued thereunder when the funding for the contract is wholly or in part from assistance by any federal agency requiring a goal for DBE and/or WBE business participation. Contracts to which the Anchorage School District is a party and leases are included. Services relating to the purchase or provision of insurance or to anticipated or pending litigation in which the municipality is involved are exempt from this chapter.
(AR No. 79-182; AO No. 80-79; AR No. 80-131; AR No. 84-254; AO No. 90-62(S); AR No. 99-15, 2-9-1999; AO No. 2001-146, § 31, 8-28-2001; AO No. 2024-110(S), § 7, 11-26-2024)
There is in the office of federal compliance the disadvantaged and woman-owned business enterprise program office (D/WBE office), which shall administer this chapter.
(AO No. 79-161; AO No. 84-186; AO No. 90-62(S); AO No. 95-79, § 1, 3-28-1995; AO No. 99-10, 2-9-1999; AO No. 2001-146, § 32, 8-28-2001; AO No. 2024-110(S), § 7, 11-26-2024)
The D/WBE office shall be administered by the D/WBE officer, who shall have the following authority and responsibilities:
A. 
To develop and administer plans, procedures and techniques for aiding and assisting socially and economically disadvantaged business enterprises (DBEs) and woman-owned business enterprises (WBEs) within the municipality in accordance with the policy and intent of this chapter;
B. 
To develop and administer an affirmative action DBE and WBE plan for the municipality to implement the policy and intent of this chapter. As part of the D/WBE office's affirmative action plan, the D/WBE officer shall perform the following functions:
1. 
Make information available to qualified DBEs and WBEs concerning securing management and technical assistance for the establishment, expansion and overall development of DBEs and WBEs, and obtaining necessary financial support and service bonding.
2. 
Inform DBEs and WBEs of the disadvantaged and woman-owned business enterprise program and of bidding, contract and performance opportunities and requirements.
3. 
Make information available concerning the arrangement of joint ventures between DBEs and/or WBEs and non-DBE and non-WBE businesses, or between two or more DBEs and WBEs.
4. 
Assist in reviewing bids or proposals when appropriate.
5. 
Disseminate information concerning DBEs and WBEs and their utilization to municipal departments.
6. 
Maintain a directory of certified DBEs and WBEs and records of DBEs and WBE participation in federally assisted contracts.
7. 
Actively solicit bids from DBEs and WBEs, publicize opportunities in minority publications and identify subcontracting areas for DBE and WBE participation.
C. 
To propose goals for participation by DBEs and WBEs in federally funded municipal contracts in accordance with the policy and intent of this chapter;
D. 
To identify goals for DBE and WBE participation in federally assisted municipal contracts for those fields of endeavor in which DBEs and WBEs exist and are certified.
(AO No. 79-161; AO No. 84-186; AO No. 90-62(S); AO No. 99-10, 2-9-1999; AO No. 2001-146, § 33, 8-28-2001)
A. 
Municipal officers, employees, municipal contractors, and subcontractors may not discriminate against DBEs and WBEs in the award of municipal contracts or subcontracts.
B. 
To the extent required by any federal agency, the municipality and every business bidding on a federally assisted municipal contract, under contracts for which a DBE and/or WBE goal is identified, shall take affirmative action to ensure that DBEs and WBEs are given equal opportunity to bid or propose on projects and to be selected for work on those projects, and to assure that they are treated during their employment on projects without regard to the DBE and WBE status of such businesses.
(AO No. 79-161; AO No. 84-186; AO No. 90-62(S); AO No. 95-79, § 2, 3-28-1995; AO No. 99-10, 2-9-1999; AO No. 2001-146, § 34, 8-28-2001)
A. 
To the extent required by any federal agency, the D/WBE officer may identify goals for DBE and WBE participation in federally assisted contracts. Such goals may be expressed in terms of a percentage of the total dollar amount of the contract or as an obligation that the contractor or subcontractor provide an equal opportunity to DBEs and WBEs to participate on the project, and shall be included in the contract specifications. Separate goals may be established for DBEs and WBEs. Goals shall bear a direct relationship to the numbers of certified DBE and WBE businesses in various subcontracting areas and to the total dollar expenditure in projects having those subcontracting areas. The goals established will be such to assure inasmuch as possible that the overall goal for the municipality established or approved by the specific funding federal agency is met.
B. 
If a percentage goals, as described in subsection A of this section, is contained in contract specifications, the municipality and bidders on the contract shall use good-faith efforts to solicit bids from and contract with competitive and certified DBEs and WBEs. Bidders on such contracts shall keep records of all such efforts.
C. 
Where percentage goals are specified for a project, the bidder shall submit a completed disadvantaged/woman-owned business enterprise statement as part of the proposal or bid. Then the apparent successful bidder shall submit such forms as are required by the specifications for the contract in the manner and in the timeframes stated in the specification.
D. 
If, after bid opening, the successful bidder has not met the goals established for the contract in the manner and timeframes shown in the specifications for the contract, the successful bidder shall demonstrate that he or she or she has made all of the good-faith efforts to have met the goals as stated in the specifications.
E. 
If a successful bidder for a contract which contains DBE and/or WBE business participation goals, at any time after award of contract, proposes to remove or make substitutions for DBE and/or WBE subcontractors or joint venture partners under the contract, a written notice of such removal or substitution shall be submitted to the D/WBE officer prior to substitution or removal, with the names, addresses and phone numbers of the subcontractors or joint venture partners to be removed or substituted for and an explanation of the reasons for the removal or substitution. Where such removal or replacement would cause the DBE or WBE percentage, if applicable, to fall below the goal set for the project, the successful bidder shall make good-faith efforts to utilize another DBE or WBE subcontractor as the replacement. These efforts shall be documented and the circumstances fully explained in writing, and approval obtained from the D/WBE officer prior to such replacement. The D/WBE officer shall, within seven days of receipt of such notice, approve said notice of removal and substitution where it is shown that the requested action is for good cause, and not for discriminatory purposes.
F. 
The percentage goal requirements of this section may be satisfied by the formation of a joint venture, for purposes of performing under the contract between a non-DBE or non-WBE business and one or more certified DBEs and/or WBEs. Where a joint venture is formed for purposes of performing under a municipal contract in order to meet the DBE and/or WBE goals on the contract, the joint venture must be certified by the D/WBE officer prior to bid opening. The partners in the joint venture must file with the D/WBE officer a Schedule B joint venture certification application obtained from the D/WBE officer along with any other information requested by the D/WBE officer, which is necessary to understand the relationship between the joint venture partners and their various responsibilities and remunerations for review and approval prior to opening of bids.
G. 
Where goals have been identified, each prime contractor will file periodic and other reports regarding DBE and WBE utilization on the contract as required by this chapter.
(AO No. 79-161; AO No. 84-186; AO No. 90-62(S); AO No. 95-79, § 3, 3-28-1995; AO No. 99-10, 2-9-1999; AO No. 2001-146, § 35, 8-28-2001)
A. 
A business entity, to be certified by the municipality as a DBE or WBE, must submit to the D/WBE officer sufficient proof to establish that it is a small independent business, at least 51 percent of which is owned, for DBE certification, by one or more socially and economically disadvantaged persons, and, for WBE certification, by one or more women; that the disadvantaged or woman owners control the management and operations of the company; and that the company is an independent company.
To establish that the applicant company meets these requirements, the disadvantaged or woman owners must show that:
1. 
The company is a small business;
2. 
The company is owned at least 51 percent by socially and economically disadvantaged individuals or women and that the ownership is real and substantial and more than pro forma as shown on the ownership documents; the disadvantaged or women owners made real and substantial personal contributions to obtain their ownership interest in the company; the disadvantaged or women owners enjoy the customary incidents of ownership and share in the risks and profits commensurate with their ownership interests. Recognition of a business as a separate entity for tax or corporate purposes is not necessarily sufficient for recognition as a DBE or WBE;
3. 
The disadvantaged or woman owners have the power to control the management and policies of the company and that they exercise that power; and there are no restrictions that prevent the disadvantaged or woman owners, without the cooperation or vote of other individuals who are not disadvantaged or women, from making a business decision for the company;
4. 
The disadvantaged or woman owners have the power, including the technical expertise and experience, to manage the overall as well as the day-to-day operations of the company and that they exercise that power; and
5. 
The company is independent. In determining whether a potential DBE or WBE is an independent business, the D/WBE officer shall consider all relevant factors, including the date the business was established, the adequacy of its resources to provide the services it offers, and the degree to which financial, equipment leasing, and other relationships with firms which are not DBEs or WBEs vary from industry practice.
B. 
The proof required by subsection A of this section may include any or all of the following, but is not limited to:
1. 
The Schedule A certification application, obtained from the D/WBE officer, and completed by the disadvantaged or woman owners of the applicant company;
2. 
The support documents called for on the Schedule A certification application;
3. 
Evidence of certifications from other agencies, including current participation in the U.S. Small Business Administration's 8(a) program, if applicable.
C. 
An applicant for certification as a DBE or WBE company shall cooperate with the D/WBE officer in providing additional information requested in order to make a determination regarding certification.
D. 
Any business certified as a DBE or WBE must report, to the D/WBE office, in writing within 30 days, any changes in ownership of the stock or assets of the business, changes in the officers, directors or management of the business, or any other significant changes within the business which may affect the ownership, control or management of the business, or the way in which profits or losses are divided or of any changes in physical location, mailing address, and telephone number.
E. 
A business certified as a DBE or WBE shall file annual applications for recertification, provided by the D/WBE office, along with the support documents called for on the application, prior to the expiration of its current certification.
F. 
The D/WBE officer shall designate places within the Municipality of Anchorage where lists of DBE and WBE businesses certified by the municipality shall be kept for inspection by bidders and contractors. Such lists shall be updated by the D/WBE officer from time to time as new DBEs and WBEs exist and are certified and as DBEs and WBEs which no longer qualify for certification are removed.
(AO No. 79-161; AR No. 79-182; AO No. 80-79; AR No. 80-131; AO No. 84-186; AR No. 84-254; AO No. 90-62(S); AR No. 95-63, § 3, 3-28-1995; AO No. 99-10, 2-9-1999; AR No. 99-15, 2-9-1999; AO No. 2001-146, § 36, 8-28-2001)
Unless otherwise forbidden by law, during normal business hours, every municipal contractor and subcontractor shall allow the D/WBE officer or designee full and complete access to records of the contractor or subcontractor pertaining to its certification as a DBE or WBE or to its utilization of DBEs and WBEs under the municipal contract, for the purpose of determining the contractor's or subcontractor's compliance with this chapter.
(AO No. 79-161; AO No. 84-186; AO No. 90-62(S); AO No. 99-10, 2-9-1999; AO No. 2001-146, § 37, 8-28-2001)
A. 
Upon receipt of an allegation that a violation of this chapter has occurred, or upon his or her own initiative, the D/WBE officer may conduct an impartial investigation of the administration of a federally assisted municipal contract involving DBEs or WBEs, contractors, or subcontractors and develop and preserve a complete record of such investigation. The purpose of such an investigation is to verify whether or not a violation exists. In aid of its investigation, the disadvantages and woman-owned business enterprise program office may issue subpoenas to compel the attendance of witnesses and the production of books and records.
B. 
If an investigation establishes probable cause to believe that a violation of this chapter has occurred, the D/WBE officer shall attempt to resolve the matter by informal means. Such informal means may include a conference at which the person or representative of the business charged with a violation may present such testimony, statements, documents or other evidence in his or her, her or its behalf as he or she may wish. If no probable cause to support an alleged violation is found to exist, the complaint shall be dismissed.
C. 
If an investigation cannot be resolved by informal means, the D/WBE officer shall proceed in accordance with section 7.60.100 below.
D. 
For reasonable cause shown, the D/WBE officer may reconsider or cause to be reconsidered any matter.
(AO No. 79-161; AR No. 79-182; AO No. 80-79; AR No. 80-131; AO No. 84-186; AR No. 84-254; AO No. 90-62(S); AR No. 95-63, § 5, 3-28-1995; AO No. 97-52, § 1, 4-29-1997; AO No. 99-10, 2-9-1999; AR No. 99-15, 2-9-1999; AO No. 2001-146, § 38, 8-28-2001)
A. 
Any of the following constitutes a violation for which sanctions may be imposed under this chapter:
1. 
Any act in violation of or contrary to the requirements of Anchorage Municipal Code 7.60;
2. 
Falsifying a sworn statement or any other statements or information contained in either the bid forms or certification information or any reports required under this chapter;
3. 
Failure to file any form or information required by this chapter;
4. 
Refusal to allow or cooperate in an investigation conducted under this chapter.
B. 
If the D/WBE officer finds that a violation exists, and that violation is not resolved through informal means, the D/WBE officer may take any of the following actions:
1. 
If the violator is a municipal contractor, the D/WBE officer may recommend to the mayor that the purchasing officer be directed to suspend, limit or terminate the contract or that the contractor be directed to provide such assurances of future compliance as the D/WBE officer deems appropriate. In addition, the D/WBE officer may recommend that the violator be disqualified from bidding on municipal contracts for one year.
2. 
If the violator is a DBE or WBE, certified under this chapter, in addition to the sanctions listed in subsection B.1 above, the D/WBE officer may recommend to the mayor that the certification be taken away from the business.
3. 
If the violator is a municipal officer or employee, the D/WBE officer may recommend that the mayor initiate appropriate disciplinary action against such officer or employee.
4. 
If a bid or proposal has been evaluated in violation of this chapter, the D/WBE officer may recommend to the mayor that the bid or proposal be disregarded in awarding the contract.
C. 
The mayor shall accept, reject or modify the action recommended by the D/WBE officer in writing within 15 days of receipt of such recommendation. Upon receipt of the mayor's decision accepting in whole or in part the recommendations of the D/WBE officer, a notice of violation describing the sanctions to be imposed and informing the violator of the procedures for appeal shall be served by mail or in person on the violator.
D. 
A violation of this chapter can be cured if the violator proves to the satisfaction of the D/WBE officer that the violator has taken steps and completed actions necessary to remedy the violation and to assure that similar violations do not occur in the future. The opportunity to cure pursuant to this section must be exercised within three municipal working days upon receipt of the notice of violation but cannot be exercised if the alleged violation occurred before the award of the contract sought by the contractor. The requirement in this chapter that the D/WBE officer attempt resolution by informal means does not apply if the alleged violation occurred before the award of the contract sought by the contractor.
(AO No. 79-161; AR No. 79-182; AO No. 80-79; AR No. 80-131; AO No. 84-186; AR No. 84-254; AO No. 90-62(S); AR No. 95-63, § 6, 3-28-1995; AR No. 97-49, § 1, 4-29-1997; AO No. 99-10, 2-9-1999; AR No. 99-15, 2-9-1999; AO No. 2001-146, § 39, 8-28-2001)
A. 
Application for hearing. Any party against whom action is taken under this chapter or regulations promulgated under this chapter may, within seven days of receiving notice of the mayor's decision, apply to the purchasing officer for a hearing on that decision.
B. 
Conduct of hearing; decision. Upon timely application under subsection A of this section, a hearing shall be held before the mayor or mayor's designee pursuant to chapter 3.60. The hearing shall be limited to the issue of whether the party violated this chapter or regulations promulgated under this chapter, as found by the D/WBE officer. The decision of the mayor or mayor's designee on this issue shall be final.
(AO No. 79-161; AO No. 84-186; AO No. 90-62(S); AO No. 99-10, 2-9-1999; AO No. 2001-146, § 40, 8-28-2001)
The requirements of this chapter shall not apply to contracts under any of the following circumstances:
A. 
Where the materials, supplies or services are being secured through another governmental agency, association of governmental agencies or governmental officials.
B. 
Where the materials, supplies or services can be procured from only one source.
C. 
Where an emergency requires the immediate procurement of materials, supplies or services.
D. 
Where the D/WBE officer determines for good cause that a waiver of the requirements of this chapter or regulations promulgated under this chapter is justified and in the best interests of the municipality.
E. 
Where the services relating to the purchase or provision of insurance or to anticipated or pending litigation in which the municipality is involved.
(AO No. 79-161; AO No. 84-186; AO No. 90-62(S); AO No. 91-173(S); AO No. 99-10, 2-9-1999; AO No. 2001-146, § 41, 8-28-2001)