The City of Chicago seeks to provide a level playing field and equal access for all contractors and subcontractors to participate in city contracting.
The City wants to understand how diverse firms are being utilized on both City contracts and non-City contracts and make the private sector an equal and accountable partner in building a more diverse Chicago.
The first major component of the Executive Order is to require contractors to submit projections as to when and to what extent in the schedule of contract performance the certified firms are expected to be used on contracts that contain certified firm participation goals.
- Relatedly, contractors will also be required to submit quarterly reports on the usage of certified firms throughout the duration of the contract, comparing actual usage with projected usage, and including an explanation and recovery plan if participation is materially below the projected usage.
- For the second major component of the Executive Order, contractors that have agreements with the City (including redevelopment agreements) will be required to submit annual reports that contain a description of the Contractor’s Business Diversity Program, or report the lack thereof, and include any available information as to its expenditure on goods and services from minority-owned firms and women-owned firms during the prior calendar year.
- Contractors shall submit their reports to the City office designated by the Mayor from time to time by July 1st of each year.
- Additionally, for reports due this year, information shall be provided regarding expenditures in calendar years 2019 as well as 2020.
VENDOR IMPACT FUND – $25 Million
Since the onset of the COVID-19 pandemic, Mayor Lori E. Lightfoot has worked to ensure that all businesses have access to emergency capital to assist in the current economic downturn.
Among those who have difficulty accessing capital are minority-owned, women-owned, and other underserved certified vendors and contractors of the City of Chicago.
To combat these long-standing structural inequities and give disadvantaged firms better access to affordable financing, Mayor Lightfoot is launching a new City of Chicago Vendor Impact Fund.
PROMPT PAYMENT INITIATIVE
The City of Chicago is committed to ensuring that all vendors are paid in an efficient and timely manner for all services rendered and goods delivered.
Most importantly for our small, mid-sized, minority- and women-owned businesses, prompt payment is essential to encouraging participation on City projects and to continued business growth.
In order to address this need, Mayor Lori E. Lightfoot has directed the City’s Department of Finance (DOF) and Department of Procurement Services (DPS) to form a Prompt Payment Working Group to develop a comprehensive set of recommendations to improve the City’s payment processes and ensure timely payment to our vendor community.