Making the Grade

Department of Small Business Services,

October 30, 2018

M/WBE Letter Grade

Letter Grade Overview

The Department of Small Business Services had $5.5 million in total M/WBE-eligible spending, with 1% on construction, 5% on goods, 60% on professional services, and 35% on standard services. SBS received a C grade, earning an A grade with African American and women-owned firms and an F grade with Asian Americans and Hispanic Americans. In FY 18, SBS spent $3.3 million with M/WBEs, an additional $1.7 million since FY 2017. This represents 59.8% M/WBE spending, a 24.6% increase in its M/WBE share since FY 17.

About SBS

The Department of Small Business Services (SBS) makes it easier for businesses in New York City to form, operate, and grow by providing direct assistance to business owners, fostering neighborhood development in commercial districts, and linking employers to a skilled and qualified workforce.

https://www1.nyc.gov/site/sbs/about/doing-business-with-sbs.page

Agency Fiscal Year 2018 Spending within Local Law 174*

  African American Asian American Hispanic American Women Non M/WBE
  $ % $ % $ % $ % $
Construction $0 0.00% $0 0.00% $0 0.00% $0 0.00% $44,383
Professional Services $595,789 151.60% $524,291 No Goal $6,830 2.61% $794,291 142.67% $1,353,724
Standard Services $305,356 133.69% $0 0.00% $0 0.00% $1,006,309 528.71% $591,666
Goods < $100K $8,509 43.90% $505 2.28% $29,178 210.75% $15,700 22.68% $223,004
Total LL174 Spending $909,653 $524,796 $36,008 $1,816,301 $2,212,778
Weighted Grade A F F A N/A

$ = the dollar amount spent in the Local Law 174 eligible category. % = the percentage of the Local Law 174 target that was achieved.

* Letter grades are calculated using a weighted average of agency spending across population groups and sectors. All dollars and percents are based on Local Law 174 and exclude categories described in Appendix D: Methodology. For a complete worksheet detailing how this agency grade was calculated, see Appendix B: Worksheets.

M/WBE Letter Grade Worksheet

Reference: Local Law 174 Target Spending Percent

Category C PS SS G
African American (AFA) 8% 12% 12% 7%
Asian American (AA) 8% No Goal 3% 8%
Hispanic American (HA) 4% 8% 6% 5%
Women (W) 18% 17% 10% 25%
C: Construction  PS: Professional Services. SS: Standard Services G: Goods

Reference: Grade Scale

Weighted % Score Avg. Score Grade
> 80 5 > 4.25 A
> 60 4 > 3.25 B
> 40 3 > 2.25 C
> 20 2 > 1.25 D
< 20 1 < 1.25 F

Step 1: Total Eligible Spending Per Industry

Total Eligible Spending C PS SS G
$5,499,536 $44,383 $3,274,925 $1,903,331 $276,896

Step 2: Weighted Matrix (Industry Spending/Total Eligible Spending)

Category C PS SS G
AFA, HA, W 0.81% 59.55% 34.61% 5.03%
AA No Goal

Step 3: Actual LL174 M/WBE Spending

Category C PS SS G
African American $0 $595,789 $305,356 $8,509
Asian American $0 $524,291 $0 $505
Hispanic American $0 $6,830 $0 $29,178
Women $0 $794,291 $1,006,309 $15,700

Step 4: Actual Spending Percentage (Actual LL174 M/WBE Spending/Industry Spending)

Category C PS SS G
African American 0.00% 18.19% 16.04% 3.07%
Asian American 0.00% 16.01% 0.00% 0.18%
Hispanic American 0.00% 0.21% 0.00% 10.54%
Women 0.00% 24.25% 52.87% 5.67%

Step 5: LL174 M/WBE Spending as Percentage of Target Achieved (Actual Spending Percentage/LL174 Target)

Category C PS SS G
African American 0.00% 151.60% 133.69% 43.90%
Asian American 0.00% No Goal 0.00% 2.28%
Hispanic American 0.00% 2.61% 0.00% 210.75%
Women 0.00% 142.67% 528.71% 22.68%

Step 6: Final Score

Category C PS SS G
African American 138.76% A 5 3
Asian American 0.28% F 1
Hispanic American 12.16% F 1
Women 269.08% A 5

Subcontract Data

Department of Small Business Services, FY 2018

Total Reported Spending LL174 Eligible Spending Non Eligible Spending
$37,500 $0 $37,500
LL174 Sub Spending Construction Goods Professional Services Standard Services M/WBE Total
African American $0 $0 $0 $0 $0
Asian American $0 $0 $0 $0 $0
Hispanic American $0 $0 $0 $0 $0
Women $0 $0 $0 $0 $0
Industry Total $0 $0 $0 $0 $37,500
$242 billion
Aug
2022