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County pushes small‑business procurement goal, expands labor protections and enforcement tools
Summary
County staff described the EPIC initiative aiming for 25% of contract dollars to go to small/local firms, a 15% bid preference for recognized small local businesses, and new labor‑compliance tools including a Wage Theft Judgment Dashboard and a Workplace Justice Fund that advances $3,000 to workers with judgments.
San Diego County officials outlined plans to steer more contracting dollars to small and local firms while strengthening worker protections embedded in county procurement.
Steve Lockett, deputy director for economic development, described the Economic Prosperity Through Innovative Contracting (EPIC) initiative and said the county set a goal that at least 25% of annual contract spend go to small local businesses and nonprofits. Lockett said staff broadened the definition of qualifying firms to include small nonprofits, certified veteran‑owned firms, entities with other public certifications and a new Social Equity Enterprise (SEE) designation for organizations advancing equity and headquartered in designated disadvantaged zones.
"It marks a shift using purchasing power to help create a more inclusive and equitable local economy," Lockett said.
Under the program, recognized small local businesses receive a 15% preference adjustment so their bids are scored as if 15% cheaper; prime contractors on many contracts over $1 million will be required to subcontract at least 3% to small local businesses and submit utilization plans. Staff also described support and capacity‑building programs—STEP, CORE, BUILD and BEST—expanded procurement forecasting and increased use of simpler procurement methods (RFQs) to lower barriers to entry.
On enforcement and worker protections, Brandon Butler of the Office of Labor Standards Enforcement (OLSE) described steps to integrate labor compliance into contracting templates, including anti‑wage‑theft representations and certifications and the Working Families Ordinance and Subcontractors Transparency Ordinance that require disclosures and protections on covered projects. Butler highlighted the Wage Theft Judgment Dashboard as a public compliance tool and explained the Workplace Justice Fund pilot that advances $3,000 to workers with civil wage‑theft judgments while the county pursues collection to replenish the fund. Butler cited program outputs: more than 600 inquiries, 30+ investigations, roughly $103,000 referenced as recovered or adjudicated funds and nearly $60,000 recovered via the county fund and collection activity.
"This initiative helps align our procurement practices with our values as a county, protecting workers while promoting ethical and responsible business practices," Butler said.
Supervisors asked for more regular reporting on the county’s progress toward the 25% local‑spend goal; staff said that as of January, enacted contracts in the current fiscal year represented about 21% local spend and that the figure will be monitored quarterly.
Ending: Staff said they will continue outreach and training, produce quarterly tracking on local spend, and return to the subcommittee with more detailed metrics and recommendations.
