Making the Grade

Department of Small Business Services,

November 17, 2019

M/WBE Letter Grade

Letter Grade Overview

The Department of Small Business Services had $6.6 million in total M/WBE-eligible spending, with 2% on construction, 55% on professional services, 40% on standard services, and 3% on goods. SBS received a B grade, earning an A grade with African Americans, a C grade with Asian Americans, a D grade with Hispanic Americans, and an A grade with women-owned firms. In FY19, SBS spent $3.3 million with M/WBEs, an additional $12,075 since FY 2018. This represents 49.6% M/WBE spending, a 10.1% decrease in its M/WBE share since FY18.

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.

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

Agency Fiscal Year 2019 Spending within Local Law 174*

  African American Asian American Hispanic American Women Non M/WBE
  $ % $ % $ % $ % $
Construction $64,750 675.86% $0 0.00% $0 0.00% $0 0.00% $55,005
Professional Services $793,416 180.10% $1,346,439 No Goal $14,180 4.83% $284,185 45.54% $1,232,963
Standard Services $230,290 71.99% $43,647 54.58% $0 0.00% $367,170 137.73% $2,024,696
Goods < $100K $28,624 217.42% $13,481 89.59% $83,454 887.42% $29,197 62.09% $33,326
Total LL174 Spending $1,117,080 $1,403,567 $97,634 $680,551 $3,345,990
Weighted Grade A C D 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
$6,644,822 $119,755 $3,671,183 $2,665,802 $188,082

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

Category C PS SS G
AFA, HA, W 1.80% 55.25% 40.12% 2.83%
AA No Goal

Step 3: Actual LL174 M/WBE Spending

Category C PS SS G
African American $64,750 $793,416 $230,290 $28,624
Asian American $0 $1,346,439 $43,647 $13,481
Hispanic American $0 $14,180 $0 $83,454
Women $0 $284,185 $367,170 $29,197

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

Category C PS SS G
African American 54.07% 21.61% 8.64% 15.22%
Asian American 0.00% 36.68% 1.64% 7.17%
Hispanic American 0.00% 0.39% 0.00% 44.37%
Women 0.00% 7.74% 13.77% 15.52%

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

Category C PS SS G
African American 675.86% 180.10% 71.99% 217.42%
Asian American 0.00% No Goal 54.58% 89.59%
Hispanic American 0.00% 4.83% 0.00% 887.42%
Women 0.00% 45.54% 137.73% 62.09%

Step 6: Final Score

Category C PS SS G
African American 146.72% A 5 3.75
Asian American 54.59% C 3
Hispanic American 27.79% D 2
Women 82.17% A 5

Subcontract Data

Department of Small Business Services, FY 2019

Total Reported Spending LL174 Eligible Spending Non Eligible Spending
$96,875 $26,000 $70,875
LL174 Sub Spending Construction Goods Professional Services Standard Services M/WBE Total
African American $0 $0 $26,000 $0 $26,000
Asian American $0 $0 $0 $0 $0
Hispanic American $0 $0 $0 $0 $0
Women $0 $0 $0 $0 $0
Industry Total $0 $0 $26,000 $0 $96,875
$242 billion
Aug
2022