Central Subway has a strong First Source Hiring program including these San Francisco residents currently supporting the project.
The SFMTA is committed to doing everything within its power to ensure that San Francisco residents, particularly those from the impacted areas, are provided the opportunity to work on this important project.
The project has been working with the City’s First Source Hiring program and City Build to provide employment to economically disadvantaged individuals. Applicants that the project has hired are from San Francisco, and we are very proud of their work and look forward to working with more individuals through the City’s programs.
An article was published yesterday, March 3, on SF Appeal that discussed the issue of local hiring for the project and concerns that San Francisco residents might have limited opportunities to seek employment on upcoming contracts. However, the SFMTA issued a Notice to Bidders which states that the successful bidder, prior to commencing construction work, will be required to submit to SFMTA a Workforce Development Plan that includes local hiring practices. The letter of response to Mr. Arce from SFMTA Executive Director/CEO Nathaniel P. Ford Sr. is quoted below:
Dear Mr. Arce,
Thank you for your letter of March 2, 2011 concerning the issue of local hiring on the Central Subway Project. SFMTA is committed to doing everything within its power to ensure that San Francisco residents, particularly those from the impacted areas, are provided every opportunity to work on this important project.
I. Tunneling Contract
I would first like to clarify that I did not state at the meeting of the SFMTA Board that there would be a delay in advertising the tunnel contract. I also want to impress upon you that the advertisement that has since appeared was not “hastily-crafted”, nor in response to anything related to local hire issues. Rather, SFMTA is proceeding pursuant to timelines related to Federal Transit Administration (“FTA”) grant requirements.
As you noted in your letter SFMTA has advertised the Invitation for Proposals for the tunnel contract, with no reference made to “local hiring, First Source, or any plan to advance community workforce opportunities.” Indeed, all of the various regulatory requirements, including employment-related regulatory requirements, are contained in the Bid specifications.
However, in order to clarify our commitment to San Francisco residents, please be advised that SFMTA issued a Notice to Bidders (a copy of which is attached) which states that the successful bidder, prior to commencing construction work, will be required to submit to SFMTA a Workforce Development Plan (“Plan”).
The required Plan will detail the successful bidder’s strategy for meeting the employment-related regulatory requirements that are contained in the bid specifications, including compliance with Federal, State and Local Equal Employment Opportunity laws and regulations, the utilization of the First Source Referral Program for economically disadvantaged individuals, the Federal employment goals for minorities and women and the State requirements for hiring apprentices.
II. Local Hiring Requirements
The Notice to Bidders makes no reference to a local hiring requirement or to the Local Hire Ordinance (“Ordinance”). SFMTA has had discussions with FTA regarding the possibility of including local hiring provisions in Central Subway contracts, but the clear response from FTA is that such provisions would be in violation of the conditions of the grant. FTA has also made clear that its grants and applicable conditions cover projects, not individual contracts. In other words, the provisions of the Ordinance calling for segregation of grant and local funds, and applying the Ordinance to the locally-funded portion of a project, is not permissible if FTA grant funds are involved.
I am unfamiliar with the facts concerning the Bayview Library project, cited in your letter. However, the likelihood is that the project is locally funded so that the provisions of the Ordinance apply. I must reiterate that such is not the case with any of the contracts that comprise the Central Subway Project.
III. SFMTA’s Commitment
Finally, let me assure you that SFMTA strongly supports the Ordinance and its purpose, and will fully enforce its requirements on our locally funded construction contracts. And even in those instances where, as with the Central Subway Project, SFMTA is prohibited from implementing local hiring provisions, our staff is committed to helping San Franciscans find work on such projects.
As an example of our long standing commitment to San Francisco, for the several contracts that made up Phase I of the Third Street Light Rail Project, 36.1% of total workforce hours were performed by San Francisco residents. That percentage exceeds what would be required under the Ordinance. Additionally, 17.9% of total workforce hours were performed by residents from the impacted areas (zip codes 94107, 94124 and 94134). SFMTA is hopeful that similar success can be achieved with the Central Subway Project.
I would again like to thank you for your letter, and I hope that my response has addressed your concerns.
Sincerely,
Nathaniel P. Ford Sr.
Executive Director/CEO