Pushes for Oakland-based Firms to Provide Repair for City-Operated Vehicles
Part 1
Concerned about how Oakland-based and/or minority firms have been “systematically omitted from bidding on millions of dollars of city work through the ‘waiver process’ and through neglect,” Oakland City Councilmember Ken Houston challenged an agenda item at Tuesday’s council meeting that would have awarded more than $6 million to suburban contractors for body and fender work on City vehicles.
Houston said, “I was concerned that, of the contracts presented, only one was awarded to a small, homegrown Oakland business — Quality Body & Fender located on Martin Luther King Jr. Way. The remaining contracts—with the exception of one additional contract added—were awarded to vendors located outside of the City of Oakland (Dixon, Concord and San Leandro), leaving out certified Oakland businesses, some of whom have been here for over 30 years.
“As both a City Councilmember and someone who was born and raised in Oakland, I believe we have a responsibility to invest in the businesses that invest in our community. When qualified local companies have the expertise and capacity to perform the work, they deserve a fair opportunity to compete for City contracts.
“I am proud to see Oakland’s Quality Body & Fender receive a $1.05 million City contract. This award recognizes a longstanding Oakland business and reflects the values that local companies bring to our community. Supporting qualified local vendors helps strengthen our local economy, creates opportunities for Oakland jobs and businesses, and keeps public investment circulating within our city,” he said.
Houston’s comments bring to mind the recent disparity study by Mason Tillman Associates for Oakland, which concluded that African American and women-owned businesses did not receive contracts comparable to their populations, but moreover nearly 65% of the city’s prime contracts were awarded to non-Oakland businesses.
“Supporting local businesses means investing in our own economy,” Houston said. “When we keep Oakland City dollars local, we strengthen small businesses, create jobs, and build long-term economic prosperity for our community.”
A procurement process that values Local and Small Business Enterprise (L/SBE) participation should recognize the broader economic benefits of awarding contracts to qualified Oakland businesses, he said.
Houston introduced Enoch Shin, operator of an automobile repair company at 1722 International Blvd., as an example of a business owner who is losing money, employees, and opportunities to generate revenues for Oakland.
Shin said he has lost $6 million in the last two years and laid off 19 employees, a workforce that consisted of African Americans, Asians, Indians, and many others.
Houston noted that the issue will come up for further consideration this fall before the full City Council.
“I will continue advocating for a procurement process that gives qualified, local vendors meaningful opportunities to compete while recognizing the long-term value of keeping Oakland’s investments in Oakland.
Houston encouraged all Oaklanders to participate in the upcoming City Council hearing. “Your voice matters, and together we can ensure our city’s investments benefit the people and businesses that call our community home,” Houston said.
He also announced that he will accept an invitation to join a citywide town hall with the Post Impact Foundation, inviting the Metropolitan Chamber of Commerce to lead the Oakland business community and the Port of Oakland to join with other business advocates from the Black, Asian and Hispanic communities. “A lot of these decisions to exclude Oakland-based businesses are being made by city staff who don’’ live here,” Houston said.
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