CONTRACT PERCENTAGES – DIVERSITY
Design Contracts Only:
Step 1 – Sum the Total design contracts.
- (TC) = total cost.
Step 2 – Sum the Total qualified contracts.
- (TQ) = total cost of all contracts that are held by organizations meeting at least one of the identified diversity designations.
Step 3 – Calculate the Percent of qualified contracts.
- (QC%) = the total qualified contracts divided by the total contracts.
- QC% = TQ / TC
- If QC% is 20 or greater, requirements have been met.
Example Calculation: Design
Step 1:
TOTAL CONTRACTS (TC) | |
Architect | $75,000 |
Structural Engineer | $8,000 |
Civil Engineer | $5,000 |
Mechanical, Electrical, Plumbing (MEP) | $7,000 |
Landscape Architect | $5,000 |
TOTAL CONTRACTS (TC) | $100,000 |
Step 2:
TOTAL QUALIFIED CONTRACTS (TQ) | |
Structural Engineer | $8,000 |
Civil Engineer | $5,000 |
Mechanical, Electrical, Plumbing (MEP) | $7,000 |
TOTAL QUALIFIED CONTRACTS (TQ) | $20,000 |
Step 3:
TQ / TC = QC%
$20,000 / $100,000 = 20%
QC% is 20 or greater, so requirements have been met.
Construction Contracts Only:
Step 1 – Sum the Total contracts.
- (TC) = total cost, including labor OR labor plus materials, of all contracts per phase.
Step 2 – Sum the Total qualified contracts.
- (TQ) = total cost of all contracts – labor OR labor plus materials (must be consistent with TC above) that are held by organizations meeting at least one of the identified diversity designations.
Step 3 – Calculate the Percent of qualified contracts.
- (QC%) = the total qualified contracts divided by the total contracts.
- QC% = TQ / TC
- If QC% is 20 or greater, requirements have been met.
Example Calculation: Construction
Step 1:
TOTAL CONTRACTS (TC) | |
Site, Structural, and Framing | $750,0000 |
Plumbing | $50,000 |
Mechanical | $80,000 |
Glazing | $70,000 |
Fire | $50,000 |
TOTAL CONTRACTS (TC) | $1,000,000 |
Step 2:
TOTAL QUALIFIED CONTRACTS (TQ) | |
Glazing | $70,000 |
Mechanical | $80,000 |
Fire | $50,000 |
TOTAL QUALIFIED CONTRACTS (TQ) | $200,000 |
Step 3:
TQ / TC = QC%
$200,000 / $1,000,000 = 20%
QC% is 20 or greater, so requirements have been met.
Combined Design and Construction Contracts:
Step 1 – Sum the Total contracts.
- (TC) = total cost, including labor only, of all design AND construction contracts per phase.
Step 2 – Sum the Total qualified contracts.
- (TQ) = total cost of all design and construction contracts, labor only, that are held by organizations meeting at least one of the identified diversity designations.
Step 3 – Calculate the Percent of qualified contracts.
- (QC%) = the total qualified contracts divided by the total contracts.
- QC% = TQ / TC
- If QC% is 20 or greater, requirements have been met.
Example Calculation: Combined Design and Construction
Step 1:
- Design total contracts (TC): assume Design TC = $75,000
- Construction total labor-only contracts (TC): assume Construction TC = $500,000
- TC = $500,000 + $75,000 = $575,000
Step 2:
- Design qualified contracts (TQ): assume Design TQ = $20,000
- Construction labor-only qualified contracts (TQ): assume Construction TQ = $95,000
- TQ = $20,000 + $95,000 = $115,000
Step 3:
- TQ / TC = QC%
- $115,000 / $575,000 = 20%
- QC% is 20 or greater, so requirements have been met.
NOTE: Organizations meeting two or more designations (for example a business that is both Minority and Women owned), may be counted for double-value towards compliance.
CONTRACT PERCENTAGES – WORKFORCE TRAINING
To calculate contract percentages by person-hours, sum up all person-hours worked during the construction of the project by individuals participating in the Registered Apprenticeship Programs, or other workforce development equivalents. Divide that number by the total person-hours worked during the construction phase. The resulting percentage must be greater than 10%.
For example, if a sub-contractor holds a contract for 2000 labor hours, and 10% of their workforce is enrolled in a Registered Apprenticeship Program, then their contract counts for 200 hours toward compliance.
CONTRACT PERCENTAGES – DONATION AMOUNT
Calculate the donation amount as follows:
- Soft Costs + Hard Costs + Systems Furniture Costs = Total Project Cost
- Total Project Cost x 0.001 = Donation amount required