IV (B)(5) BOS Website Consultant/ Small Business Study. [Action]
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1 IV (B)(5) BOS Website Consultant/ Small Business Study [Action]
2 work opp unity j future FINANCE AGENDA: ITEM: IV (B) 5 Memorandum 5 sueces5 =-.:-~_=...:...:.-.c-=--=...:...::.._.:.._= =...:_ TO: work2future Finance Committee / / FROM: BJ. Sims, Business Services Manager SUBJECT: Approved BusinessOw erspace.com (BOS) Website C sultant R 0 tlation DATE: June 9, 2010 Date RECOMMEN Approve staff. recommendation to contract with NIA Creative, Inc, (NIA) in an amount not to exceed $ as stated in NIA's Proposal to provide additional tools, information, and enhancemen s to the BOS website. The Executive Committee approved the recommendation at its meetings of June 3,2010. recommendation will be presented to the work2future Board at its meeting on June 17,2010. The BACKGROUND A RFP was released by work2future with a deadline ofmarch 26, 2010 for a qualified consultant to provide website consulting, design, development, and implementation service in support ofthe BOS website. The RFP was posted on the City of San Jose's BidSync, an online procurement portal, through the Department of Finance and the BOS website. BOS Steering Committee and work2future Board members were made aware ofthe issuance ofthis solicitation. The BOS website enhancement was funded through a Small Business Administration grant to work2future for $245,643 to enhance the website and update outreach and marketing materials to small businesses. All proposals were evaluated upon the best value ofthe total project proposed. The chosen proposal is within the limits budget assigned by the RPF. The current BOS website is composed of information gathered from a network of partner organizations and administered by the City of San Jose. The website serves small businesses in the greater Silicon Valley region. With enhancements, updates, and new tools added, the BOS website will be a more accessible, comprehensive, and useful one-stop resource for launching and growing a business in the greater Silicon Valley metropolitan area. The objective of this RFP is to update and improve the technical architecture ofbusinessownerspace.com.
3 Subject: BusinessOwnerSpace.com (BOS) Website Consultant Recommendation Page 2 RFPPROCESS work2future received 20 proposals that were subsequently screened for compliance with basic format and completeness requirements as stated in the RFP. Based on this Phase I evaluation, three proposals were disqualified: two proposals due to late submission and one proposal was disqualified due to failure to submit ADA website accessibility requirements. The remaining 17 proposals were then reviewed and scored in Phase II evaluation. The proposals were reviewed by an evaluation team that included the following individuals: a representative from the BOS Steering Committee, two work2future staff, and one staff member from the City of San Jose Office of Economic Development. A work2future Board Member served as a facilitator during the evaluation sessions. Evaluation team members scored the proposals according to the three substantive criteria outlined in the RFP: Proposer's technical capabilities and experience (45 points possible) Proposed budget and costs to complete the scope ofwork (30 points possible) Proposer's references and ability to show reliability and responsiveness (10 points possible) In order to qualify for Phase III of the evaluation, proposals must first have met a pre-determined minimum score of 65 points out of the 85 points possible and then must be one of the top three scores. Fourteen proposals did not meet this threshold and therefore did not qualify for Phase III consideration. work2future staff also checked the proposers' references to seek feedback regarding customer satisfaction as it relates to the proposers' ability to provide quality services and timely product delivery. According to City procurement guidelines, proposers were awarded 5 additional points each if they met the guidelines in each of the following categories: Enviromnental Stewardship, Local and Small Business Preference. The three highest scoring proposers were invited to attend Phase III for oral interviews on April 12, During the interview, each proposer answered seven identical questions. Each interview question related directly to the same scoring criteria within Phase II: (1) Technical Capabilities and Experience (45 points possible), (2) Budget (30 points possible), and (3) Responsiveness and Reliability (10 points possible). Following each interview, the evaluation panel discussed each proposer's responses and scored them accordingly. NIA's proposal received the greatest number of combined Phase II and Phase III points. Their proposal offered a comprehensive approach and workplan that exceeded expectations stated in the RFP's Scope of Work. NIA has strong, relevant experience with website architecture and compatibility, and database development. Additionally, NIA's proposal clearly identified methods to provide training, training materials, and technical support to work2future staff and
4 Subject: BusinessOwnerSpace.com (BOS) Website Consultant Recommendation Page 3 BOS partner organizations during development and upon completion of the website enhancements. NIA has a clear understanding of how to improve the delivery of business resources through the BOS website. NIA's workplan offered a comprehensive approach to integrate the existing website with new tools that will help business access information with more ease. Examples of these enhancements include an Online Survey Tool, a newsletter template, a new Online Resources Library, and a redesigned Discussion Form. The RFP scope of work requested the development of several new dynamic web pages, such as content about green resources, procurement opportunities, and information about access to capital. Finally NIA's proposal stated a timely workplan to address key improvement requested in the RFP, including website printability, ability to search for the website and website for information, and overall capacity to track, analyze and generate reports about website traffic and use. Moreover, NIA has a clear understanding ofthe objectives ofwork2future and other BOS partner organizations. The budget range for this RFP was between $100,000 and $175,000. NIA's proposed budget to complete the RFP scope of work was $97,700. The RFJ;' allowed proposals to offer additional suggestions to improve the overall effectiveness of the BOS website for its users. NIA has proposed the additional following additional enhancement, such as a Virtual Job Fair, an online Resume Builder, a Searchable Resume Database, and a BOS Partner Video Library. These additional enhancements could total as much as $60,450. It is recommended that the Board authorize staff to contract with NIA for an amount not to exceed $158,150 as stated in NIA's Proposal. The contract end date to complete the scope of work is December 31, 20 IO. BJ. Sims Business Services Manager work2future cc: Amy Chan Chris Donnelly
5 FINANCE AGENDA: ITEM: IV (B) 5 work future p unity j bs success Memorandum TO: work2future Finance Committee FROM: B.J. Sims, Business Services Manager SUBJECT: Approved Small Business Study Consultant Recommendation / DATE: June 9, 2010 Date RECOMME Approve staffs recommendation to contract with BBC Research and Consulting (BBC), in an amount not to exceed $75,000 from American Recovery and Reinvestment Act (ARRA) Rapid Response funds, to provide a small business study to include a trend analysis, BusinessOwnerSpace.com (BOS) Small Business Vibrancy Index, and an assessment to identify areas for encouraging small business start-up and growth. The Executive Committee approved the recommendation at its meetings of June 3, The recommendation will be presented to the work2future Board at its meeting on June 17,2010. BACKGROUND A Request for Proposal (RFP) was released by work2future to select a qualified consultant to research, analyze, and assess the small business community in the San Jose Metropolitan Statistical Area (MSA). The RFP was posted on the City of San Jose's BidSync, an online procurement portal, through the Department of Finance, and on the BOS website. The deadline for receipt of proposals was April 9, RFPProcess work2future received 15 proposals that were subsequently screened for compliance with basic format and completeness requirements as stated in the RFP. Based on this Phase 1 evaluation, eight proposals were disqualified due to failure to submit specific documents required in the RFP. The remaining seven proposals were then reviewed and scored in Phase II evaluation. The proposals were reviewed by an evaluation team that included a representative from the BOS
6 Subject: Small Business Study Consultant Recommendation Page 2 Steering Committee and San Jose City staff from work2future, the Redevelopment Agency, Finance, and Planning, Building and Code Enforcement (PBCE). Additionally, a work2future staff member served as a facilitator during the evaluation sessions. Evaluation team members scored the proposals according to the three substantive criteria outlined in the RFP: Proposer's technical capabilities and experience (50 points possible) Proposer's planned approach and workplan (40 points possible) Proposed budget and costs to complete the scope of work (10 points possible) In order to qualify for Phase III of the evaluation, proposals must first have met a pre-determined minimum score of 65 points. Three proposers met that threshold and were invited to attend inperson interviews on April 23, During the Phase III interview, each proposer answered identical clarifying questions related directly to the same scoring criteria used for Phase II. The evaluation panel issued final scores based on Phase II as modified by Phase III interview results. BBC's proposal received the highest overall score and offered a comprehensive approach and workplan that exceeded expectations stated in the RFP's Scope of Work. BBC has strong, relevant experience with data analysis, market research, and effective outreach methods. BBC's proposal clearly identified methods to develop an analytical framework to create a Small Business Index for surveys of local businesses. BBC has a clear understanding of how to improve the delivery of business resources through City departments and the BaS network. Since its founding in 1970, BBC has successfully undertaken more than 5,000 studies on a wide range of subjects. BBC has assisted a number of local and governments to design ways to improve the climate for small business start-up and growth, including the City of Austin, Texas and the Colorado Economic Development Strategic Plan. SCOPE OF WORK During the curreilt economic downturn, work2future would like to better serve the small business community by understanding the role small businesses play, key indicators and overall vibrancy, and access to resources to grow and expand. The RFP, supported by federal Workforce Investment Act funding, centered upon the following deliverables: I. ANALYSIS - Provide an analysis of the current profile (e.g., industry sector, age of finn, employee size) and trends within the San Jose MSA small business community. It would also include a spatial analysis to identify where small businesses are located. The trend analysis will seek to capture how small business has been impacted and what role they have played during various economic downturns and in the subsequent economic recoveries within the past twenty-five years ( I0). This component will include development of an analytical framework to assist in appropriately categorizing the different types of small business (sole proprietorships, family-owned, growth oriented, etc.) in order to assist staff and other key stakeholders in thinking about and developing appropriate interventions to support the wide variety of small businesses in San Jose.
7 Subject: Small Business Study Consultant Recommendation Page 3 BBC plans to examine the economic structure of the San Jose MSA economy, with a focus on the relative importance of small businesses to overall employment, job creation, innovation and long-term business health. It will provide a profile of the small business community to include the number of businesses and employment by sector over time, an analysis of race/ethnicity/gender ownership, and a spatial analysis of business location within the MSA (to be integrated into GIS systems). Additionally, BBC will segment the small business community by key aspect, including type and stage in the growth cycle, and will describe long-term trends in the small business component of the local economy overall. 2. BOS SMALL BUSINESS VIBRANCY INDEX - Design and assist in initial implementation of an index that measures the overall vibrancy and impact of small business in the San Jose MSA. As currently envisioned, the BOS Small Business Vibrancy Index would consist of a composite of key indicators, including birth and death rates of small business, bankruptcies, defaults and foreclosures by small business, access to capital (debt, equity, and other), job creation and tax generation, and other relevant indicators that demonstrate and highlight the trends and current status of the impact of, and impediments faced by, small business within our local area. The index will need to be adaptable and available in a variety of formats (to be specified by staff). The index would be implemented annually by work2future staff to inform other City staff and relevant stakeholders of the opportunities and challenges confronting small business in our local community. BBC will work closely with work2future and City staffto explore, design and produce an initial index of small business health for the San Jose MSA. Part of BBC's approach to development of the index will involve new telephone surveys with households and business owners, which will support index development and provide data for related tasks. 3. ASSESSMENT - Provide an assessment of the economic development impact of small business within our local area. Among other things, this should include such factors as job creation, tax/revenue generation, and innovation. Subject to information availability, it will also include an examination of how successful small businesses are in growing over time into medium or large businesses. In addition, the study will identify areas for encouraging small business start-up and growth. This may include better business planning support, enhancing access to capital, and other factors to stimulate small business formation. BBC will coordinate with City staff, including members from the RFP evaluation team, to develop focus groups to assess where potential enhancements to permitting, licensing, and zoning, may be implemented. Additionally, recommendations from this study will be shared among City departments and committees in order to help identify areas to improve delivery of services while resources and personnel may be severely reduced due to current budget impacts. BBC will quantify the economic development impact of small businesses within the MSA. Initially, BBC will consult with the City and work2future staff to identify metrics
8 Subject: Small Business Study Consultant Recommendation Page 4 with which to measure this impact, which would subsequently be used to assess the impact in order to identify opportunities to foster the start-up and growth of small business. 4. RECOMMENDATIONS - Provide appropriate recommendations to staff in order to make policy recommendations to address the challenges, impediments and opportunities regarding small business formation and growth within our local area. The recommendations will include conclusions from the analysis detailed above. Recommendations will also include suggestions to improve City programs and relevant service delivery models, and may additionally include suggestions to improve the permitting, zoning, and licensing processes. This component will also include an examination of incentives and other support provided by communities' outside the San Jose MSA and the State of California to support small business starts and growth, as well as proposed mechanisms to formulate systematic approaches to enhanced partnerships with the financial sector (e.g., Community Reinvestment Act lenders). BBC will identify programs that serve small business in the San Jose MSA as well as in similar communities, and will conduct case studies ofthe support for small businesses in competing communities. BBC will also provide an analysis of partnerships with the financial sector, to be initiated by discussing general types of incentives and programs with City and work2future staff, and followed up through focus groups with local small business owners and business organizations, lenders, and service providers. BBC will be responsible for developing and presenting its methodology, findings and policy recommendations as described for the deliverables above, and will present their report to various organizations and entities such as the San Jose City Council, work2future Board of Directors, relevant subcommittees, and the BOS steering committee. It is recommended that the Finance Committee authorize staff to contract with BBC for an amount not to exceed $75,000 as stated in the RFl' and BBe's proposal. The scope of work is anticipated to be completed by August 30, 20 IO. ~;::J cilcvf/t -Por BJ'SiY>1S B.1. Sims Business Services Manager cc: Christopher Donnelly Amy Chan
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