STRATEGIC PRIORITY: Government Performance and Financial Management
AGENDA DATE: May 27, 2020
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Elizabeth Reich
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SUBJECT
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A policy resolution finding that the City of Dallas should maximize economic return in the procurement of goods and services and directing the City Manager to develop a procurement program that considers contributions to the Dallas economy - Financing: No cost consideration to the City
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BACKGROUND
The City of Dallas receives the bulk of its revenues from property, sales, hotel occupancy, and other taxes and relies on those funds to deliver City services.
On March 11, 2020, the World Health Organization declared COVID-19 a global pandemic. The City and the world continue to actively respond to the pandemic, including the worldwide economic contraction COVID-19 has caused.
Locally, for the remainder of Fiscal Year 2020, the City is forecasting revenue losses of about: $34 million to the General Fund, $40 million to the Department of Aviation, $48 million to the Department of Convention and Event Services, $68 million to the Department of Dallas Water Utilities, and $6 million to Sustainable Development and Construction. The City has also furloughed almost 500 employees.
The procurement of City contracts provides an opportunity for direct economic stimulus. In the procurement of goods and services, the City may consider multiple factors that are relevant and necessary in making a contract award when utilizing a best value award or proposal method.
A relevant and necessary factor is maximizing economic return and value to City taxpayers. Maximizing economic return may include, but is not limited to, employment of Dallas residents, production of goods or principal place of business in Dallas, philanthropic work, or other activities that create an economic benefit for Dallas residents or increases the City’s tax revenues. Collectively, these factors have been referred to as “Dallas First.”
By this resolution, the City Council would make a finding that the City should maximize economic return in the procurement of goods and services and would direct the City Manager to develop a procurement program that includes Dallas First for goods and services contracts.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
The Government Performance and Financial Management Committee will be briefed regarding this matter on May 26, 2020.
FISCAL INFORMATION
No cost consideration to the City.