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MGT Consulting Group Alaska Department of Transportation & Public Facilities DBE Disparity Study May 22, 2020 Virtual Community Engagement Meeting

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Page 1: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Alaska Department of Transportation & Public Facilities

DBE Disparity Study

May 22, 2020Virtual Community Engagement Meeting

Page 2: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group MGT Consulting Group

AGENDA

Alaska DOT & Public Facilities DBE Disparity Study

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Welcome and Introduction

Purpose of A Study

Study Objectives

Study Work Plan Tasks

Meeting Purpose

Page 3: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Welcome and Introduction

SECTION 1

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Page 4: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group MGT Consulting Group

Thousands of projectsdelivered successfully

across the globe

12,000k

Almost half a century of experience providing public sector consulting

45+ years We are nationally respected leaders in public sector management consulting who equip our clients with thorough, innovative solutions so they can better

serve their agency, stakeholders, and community.

We power the work of the public professional to advance the lives of the citizens they serve.

Nationally recognized public sector consultants

Page 5: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Largest

225+

10/11

Disparity studies conducted in country for City

of New York And State of Texas

Hundreds of disparity studies completed for

public sector

Conducted disparity studies in nearly all

judicial districts

Of our completed disparity studies, none of the M/WBE programs where the client followed MGT’s recommendations have been suspended. We’ve conducted more unchallenged studies than any other consultant in the country based on the thoroughness and quality of our work.

Our team of experts evaluate and examine contracting, procurement, and workforce inequalities to bring our clients answers and remedies that are legally defensible and objective. We have helped clients navigate the complexities and challenges involved in producing accurate and valid disparity assessments so everyone has a greater path to economic opportunity and prosperity.

• Quality Control• Project Scope Management• Effective Time/Schedule Management• Communications Management• Cost Control• Project Risk Control

Our State-of-the-Art Project Management Tools Ensure:

BACKGROUND & RELATED EXPERIENCE

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Page 6: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Disparity Study Team

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Executive Project Leaders Reggie Smith

Project Manager/Qualitative Research

Kim StewartData Collection

Quantitative Research

Lara OpheimQuantitative ResearchQualitative Research

Brett SwendigQuantitative Research

Will FioritoQuantitative Research

Suzanne DonaldsonDonaldson Enterprises

Research

Anneliese OppenheimOppenheim Research

Research

Fred Seamon, Ph.D.Executive-In-Charge

Andres Bernal, J.D.Quantitative ResearchLegal/Policy Research

Page 7: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

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Purpose of a Study

SECTION 2

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Page 8: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Purpose of a Study

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Disparity Studies are commissioned by an agency to determine if there is disparity between the availability of firms owned by minorities, women and disadvantaged businesses in a market area and the utilization of those firms by an agency.

Determine if DBE participation is representative of the availability of DBEs that are ready, willing and able to participate in federally assisted DOT contracts. And if not, then why?

Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study.

What is aDisparity Study...

Why did the ADOT&PFdecide to conductthis study...

Page 9: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

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What is Disparity?

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What statisticalevidence of disparity are identified by thestudy...

Example: 10% BA firms utilized/20% BA firms available = 50% X 100 = 50 Disparity Index Substantial Underutilization

Disparity is calculated in the form of an index. The disparity index is a ratio of the percentage of utilization and the percentage of availability of MWDBE firms.

▪ If the disparity index is 100, the utilization of MWDBEs is equal with the availability of MWDBEs in the market area.

▪ If the index is less than or equal to 80, it indicates that MWDBEs are substantially underutilized by an agency based on availability of MWDBEs in the market area.

▪ An index between 80 and 100 – which is close to full participation –indicates underutilization, though not substantial.

▪ An index over 100 indicates overutilization of MWDBEs compared with the availability of MWDBEs in the market area.

Page 10: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Study Framework

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Study Period: Federal Fiscal Years 2015-2019 (October 1, 2014 – September 30, 2019)

Industry categories included in the study:

− Construction

− Professional Services

Business Ownership Classifications− Black Americans, Hispanic American, Native Americans, Asian-Pacific Americans,

Subcontinent Asian Americans, Nonminority Woman, and Nonminority Male.

Page 11: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Study Objectives

SECTION 3

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Page 12: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Study Objectives

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▪ Determine the extent to which DBEs participate in the procurement of USDOT federally assisted highway/airport/transit contracts in general construction services and professional services;

▪ Determine if DBE participation is representative of the availability of DBEs that are ready, willing and able to participate in federally assisted DOT contracts;

▪ Determine whether discrimination exists, and if found, identify, by DOT modal group and individually, by race, ethnicity and gender all groups affected;

▪ Identify presumed disadvantaged groups that are over- or underutilized for federally assisted DOT contracts based on their availability;

▪ Quantify the magnitude of differences between DBE availability (based on capacity) and DBE participation on federally assisted DOT contracts; and

▪ Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and current methodological requirements.

Page 13: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

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Work Plan Tasks

SECTION 4

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Page 14: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

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Key Work Plan Tasks

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TASK A – Project Management Objectives

TASK B –Initiate Project and Finalize Work Plan

TASK 1.0 – Conduct Detailed Legal Review

TASK 2.0 – Review Policies, Procedures, and Programs

TASK 3.0 & 4.0 – Assess, Collect, and Clean Data

TASK 5.0 – Identify Geographical Market Area

TASK 6.0 – Determine Availability of Qualified Firms

TASK 7.0 – Conduct Utilization Analysis

TASK 8.0 – Analyze Utilization and Availability Data for Disparity and Statistical Significance Testing

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Key Work Plan Tasks

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TASK 9.0 – Conduct Survey of Vendors

TASK 10.0 – Collect and Analyze Anecdotal Information

TASK 11.0 – Conduct Nongoal Analysis

TASK 12.0 – Review Effectiveness Race and Gender-Neutral Remedies

TASK 13.0 – Identify Narrowly Tailored Race- and Gender-Neutral & Race- and Gender-Based Remedies

TASK 14.0 – Prepare and Present Availability and Disparity Reports

Page 16: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

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Anecdotal Data Collection

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Along with the Community Engagement Meetings, MGT will collection anecdotal data through:

In-depth interviews*

Surveys*

Stakeholder interviews

Focus Groups

Online Comments – www.alaskadotpfdisparitystudy.com

*Business owners are randomly selected to

participate.

Page 17: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

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Meeting Purpose

SECTION 5

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Page 18: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Purpose of the Public Meeting

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To receive input from business owners, prime contractors, service providers,vendors, and subcontractors about their experiences doing business with orattempting to do business with ADOT&PF and firms contracted with theDepartment.

Page 19: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Meeting Procedures

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Comments limited to 3 minutes

State and spell your name

State the name of your company

State how long you’ve been in business

State your company’s primary line of business

Give the nature of your comments:

1. Explain the extent of any discrimination you have experienced in public contracting.

2. Whether you believe this incident occurred because of your race, gender, disability, etc.

3. The businesses or entities involved in the incident(s)

4. The date and location of the incident(s)

Page 20: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Questions & Answers

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MGT Consulting Group

850.386.3191

www.mgtconsulting.com

For more information about the disparity study visit: www.alaskadotpfdisparitystudy.com

NEXT VIRTUAL COMMUNITY ENGAGEMENT MEETING

Friday, June 19, 20209:00am to 11:00am

Page 21: Alaska Department of Transportation & Public Facilities ...€¦ · Update the results of the 2014 Alaska Disadvantaged Business Enterprise Study in light of more recent data and

MGT Consulting Group

Any Questions?

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