Addendum One - Questions and Answers - Social Media.pdf

Date: September 10, 2026

RFP Title: Social Media Agency

Opportunity #21260720133440

Addendum ONE Cover Sheet

TO ALL PROPOSERS:

You are hereby notified of the following changes and additions to the above RFP:

1) Questions and Answers attached.

Please sign, date, and attach this cover sheet with your proposal. This addendum and any attachments are now incorporated into the RFP.

AUTHORIZED SIGNATURE NAME (Print)

COMPANY NAME TITLE (Print)

DATE

# Question Answer 1 Paid media spend. Is the cost of paid social media placements (ad spend paid to Meta, TikTok, LinkedIn, etc.) included within the $225,000 not-to-exceed amount, or will platform ad spend be funded separately by the

Department? If included, can the Department share the anticipated annual paid social budget?

No. Unsure, but up to $500,000

2 Scope of Section 2.1 versus Section 3. Section 2.1 references advertising strategy, media planning and buying, influencer engagement, and on-call graphic design, while the Work Summary, Problem Statement, and

Section 3 describe day-to-day paid and organic social media execution across five channels. Should Applicants scope and price their proposals to Section 3 only, or are the Section 2.1 services also expected under this contract?

Both

3 Insurance limits. Appendix D requires $5,000,000 in Professional

Liability/Technology E&O, $5,000,000 in Media Liability, $5,000,000 in Cyber Liability, and a $3,000,000 Umbrella. Given the $225,000 contract value, would the City's Risk Management Division consider reduced limits (for example, $2,000,000 per category) for this engagement, either at the outset or through the Requested Exceptions process?

You would have to submit an exception and it would have to be approved by the Risk and Law Departments.

4 Small and Local Business Plan. Appendix C references Appendix 1, Participation Range Memo, which was not included in the posted RFP package. Can the Department post Appendix 1 and confirm the SBE and

LBE participation ranges for this project? Separately, will a Small

Business Enterprise certification issued by a state agency outside

Pennsylvania be accepted by OEO for purposes of self-performance credit, provided the firm is listed in the OEO Registry at the time of award?

See Appendix 1 posted under the Opportunity City Of Philadelphia -

Department of Finance (v2.7.3.1)

5 On-site expectations. For the Onsite Content Support tasks

(photography, videography, short-form capture at PHL), how frequently does the Department anticipate requesting on-site presence, and is there an expectation that any Applicant personnel be located in the

Philadelphia region on a standing basis?

Rarely, and always planned. We have in-house on-the-ground people.

6 Incumbent and volume. Is there an incumbent provider for these services, and can the Department share approximate current activity levels (for example, average posts per week across the five channels and

No. Once a day.

https://philawx.phila.gov/ECONTRACT/ https://philawx.phila.gov/ECONTRACT/ number of paid campaigns per year) to help Applicants estimate hours accurately?

7 The RFP states that the maximum annual contract value will not exceed

$225,000, inclusive of all expenses. However, it does not specifically indicate whether paid digital advertising costs are included within that amount. If paid advertising is included, has a media budget been established, and if so, what is the anticipated allocation?

Not included.

8 The RFP states that the contractor shall provide onsite visual content support as requested by Philadelphia International Airport. Is there an anticipated cadence or volume of onsite content collection? For example, should respondents expect onsite support multiple times per week, weekly, bi-monthly, or on another schedule?

Rarely, and always planned. We have in-house on-the-ground people.

9 Appendix 1 establishes a Total SBE Participation Range of 19%. Please confirm whether the 19% represents the participation goal applicable to this procurement and whether an Applicant that does not fully meet the

19% at proposal submission may remain responsive by submitting the required Request for Reduction/Waiver and documentation demonstrating Best and Good Faith Efforts in accordance with Appendix

C.

See attachment and read carefully for guidance, especially Section 5.

10 Appendix C and Appendix 2 state that SBE/LBE participants must be certified at the time of contract award. Please confirm whether a proposed SBE participant that is actively pursuing an approved certification and OEO Registry listing, but is not yet certified or listed at the September 17 proposal deadline, may be identified for SBE participation credit in Appendix 2, provided certification and Registry requirements are satisfied by contract award.

See attachment and read carefully for guidance, especially Section 5.

11 For purposes of staffing and cost planning, can the Department clarify which types of contractor personnel are anticipated to require Airport identification badges, background checks, and fingerprinting? For example, would these requirements generally apply only to personnel requiring unescorted access to controlled areas, or to all contractor personnel providing onsite services?

They would be escorted.

12 Will the selected agency partner work with the Department of Aviation internal team in developing overarching strategy and messaging, or will that be provided solely by the internal team?

Collaboration

13 Would all organic content be created by the selected agency partner, or does the airport team provide content?

If so, what percentage of the content would be created internally?

Collaboration

14 What is the current approval process for pre-planned content? How does the team envision that changing with the addition of an agency partner?

New team. Director/Manger/Coordinator

15 What is the current approval process for real-time or time-sensitive content? How does the team envision that changing with the addition of an agency partner?

The VP of Strategy moves fast, this won’t be a problem

16 Would the selected agency partner be responsible for monitoring and community management outside of standard business hours?

Maybe on certain occasions, but not regularly

17 How often does the airport team anticipate requiring on-site content support?

Rarely

18 Is the $225,000 annual budget inclusive of direct media placement cost? No

19 How many paid media campaigns does the airport run annually, and what is the average budget for those campaigns?

Three-four continuously running, under $500,000

20 Are all five social media platforms listed on the airport’s website (X, Facebook, Instagram, YouTube and LinkedIn) utilized to run paid media campaigns?

No just meta and google are paid

21 Would the selected agency be responsible for creating all paid media assets?

If not, how many variations of creative are typically provided?

No. 2-3

22 Does the City intend for the awarded scope to include advertising strategy, broader media planning/buying, and influencer engagement beyond the five social channels described in Section 3?

No

23 If Section 3 is the controlling scope, can the City confirm that influencer engagement and traditional advertising/media planning are out of scope for this contract?

Yes

24 Does the $225,000 NTE cover the agency's labor/fees only, with paid media spend funded and paid separately by the City?

Yes

25 If ad spend is included in the $225,000, what is the City's expected annual paid media budget?

$500,000

26 Does PHL currently use a social media management/scheduling platform, listening tool, or analytics suite (e.g., Sprout Social, Sprinklr, Hootsuite) that the agency would be expected to use or integrate with, or should the agency provide its own?

Sprout Social, open to change

27 Is there an existing live reporting dashboard/tool in place today that needs to be maintained, replaced, or rebuilt?

No

28 The RFP specifies a not-to-exceed budget of $225,000. Can you confirm whether this amount is expected to cover both agency service fees and paid media spend, or if paid media will be funded separately by the

Airport?

Not paid media, just retainer

29 For paid campaigns, will the Airport provide media plans and budgets, or should the vendor propose targeting strategies, placements, and allocations within the contract ceiling?

Yes

30 The scope references onsite content support (photography/videography).

Can you clarify the anticipated frequency of onsite requirements and whether travel costs should be included in the proposal budget?

Rarely

31 Regarding reporting, does the City expect vendors to provide a live dashboard plus weekly and monthly reports, or will a single consolidated reporting format be acceptable?

Yes

32 For staffing, the RFP requires resumes and hourly rates by role. Can subcontractors be used for specialized creative or production tasks, and if so, should their resumes also be included?

Yes

33 The RFP mentions compliance with TSA security and badging requirements. Should vendors budget for background checks and badging costs within the $225,000 ceiling?

No

34 For proposal formatting, are appendices (e.g., case studies, sample creative work) permitted outside the page limits, or must all supporting materials be included within the main proposal sections?

Yes

35 The contract term is one year with up to four renewals. Should vendors propose multi-year pricing models now, or only Year 1 pricing with renewals negotiated later?

One year

36 Appendix D (b) requires commercial general liability with $1,000,000 personal and advertising injury. Most general liability policies written for marketing, public relations, and design firms exclude the personal and advertising injury grant for the insured's own professional services, and place that exposure in a professional or media liability policy instead.

1. Will the Department accept a professional and media liability policy carrying the advertising-injury grant in satisfaction of the Appendix D

(b) personal and advertising injury requirement, where the general liability policy excludes it for the firm's occupation class?

2. Must the full Appendix D schedule be in force at the time of proposal submission, or is a broker's letter of insurability at submission, with binding required before Notice to Proceed, acceptable?

See #3 answer.

37 APPENDIX D — INSURANCE REQUIREMENTS

Appendix D provides that the stated coverages apply "unless otherwise approved by the City's Risk Management Division in writing," and requires Professional Liability / Technology Errors and Omissions at

$5,000,000, Media Liability at $5,000,000, Cyber Liability at

$5,000,000, and Umbrella Liability at $3,000,000, in addition to

Workers' Compensation and Employers' Liability, General Liability, and

Automobile Liability.

See #3 answer.

(a) Will the City's Risk Management Division consider approving reduced limits for a micro-small business applicant on a contract with a

$225,000 not-to-exceed amount — for example, $1,000,000 per claim /

$2,000,000 aggregate on Professional Liability / Technology E&O, Media Liability, and Cyber Liability?

(b) Will the City consider waiving the $3,000,000 Umbrella Liability requirement where the underlying General Liability, Automobile

Liability, and Employers' Liability limits are met at the stated amounts?

(c) If reduced limits or a waiver may be approved, what is the process and timing for obtaining that written approval from Risk Management, and may an applicant request it before contract execution so that coverage can be bound in time for the January 1, 2027 commencement date?

(d) Appendix D requires Workers' Compensation with Employers'

Liability limits of $500,000/$500,000/$500,000. Will the City accept a sole-member limited liability company with no employees providing evidence of its statutory exemption in lieu of a Workers' Compensation policy, or is a policy required regardless of employee count?

(e) Please confirm that evidence of insurance is required to be delivered to the Division of Risk Management at least ten days before work begins, and is not required at the time of proposal submission.

38 PAID MEDIA SPEND AND THE NOT-TO-EXCEED AMOUNT

Section 2.5 states that maximum compensation, inclusive of all expenses, will not exceed $225,000, and that the Cost Proposal Type is a

Monthly Retainer. Section 3.1 requires the successful Applicant to execute paid social media campaigns and to configure campaign budgets.

(a) Is paid social media advertising spend (amounts paid to the platforms) included within the $225,000 not-to-exceed amount, or is media funded separately by the Department outside this contract?

(b) If media spend is outside the not-to-exceed amount, will PHL retain its own advertising accounts and payment method, with the successful

Applicant granted agency or partner access to manage campaigns?

(c) If media spend is inside the not-to-exceed amount, what annual media budget should Applicants assume for planning purposes, so that cost proposals are prepared on a comparable basis?

No, outside

Not decided

$500,000

39 REFERENCES

Section 4.1, item 6 requires at least three references, "preferably for projects that are similar to the work sought by this RFP."

(a) Will references from private-sector and non-profit clients be accepted, where the work performed is directly similar in scope to this

Yes

Yes

Evaluation factor

RFP, if an Applicant does not have three local government references?

(b) Will the City accept a reference for an engagement that is currently active and in progress, rather than completed?

(c) Is a proposal with fewer than three references deemed non-responsive, or is the number of references treated as an evaluation factor?

40 ORGANIZATION AND PERSONNEL REQUIREMENTS

Section 3 states that "the successful Applicant(s) shall employ on its staff permanent, experienced professionals to manage the work of this contract," and also that "Subcontractors may be used for a portion of the work; however, the successful Applicant(s) must demonstrate the technical leadership and overall responsibility for each assignment."

(a) Does a single-member firm whose owner is its permanent professional staff, supplemented by named subcontractors for specified portions of the work, satisfy this requirement, provided the firm demonstrates technical leadership and overall responsibility for each assignment?

(b) Is there a minimum number of employees, or a minimum proportion of the work that must be self-performed by the prime?

(c) Are resumes required for subcontractor personnel as well as for the

Applicant's own personnel?

Yes

No

41 THE FIVE SOCIAL MEDIA CHANNELS

The Work Summary and Section 3.1 refer throughout to "the organization's five social media channels."

(a) Please identify the five channels.

(b) Are all five in scope for both organic publishing and paid advertising, or are some organic only?

(c) Does the Department maintain additional social media accounts — for example separate accounts for Northeast Philadelphia Airport (PNE), for careers or recruitment, or in languages other than English — that are outside this scope?

(d) Does PHL currently use a social media management or scheduling platform that the successful Applicant will be expected to work within, or is the Applicant expected to provide one?

LinkedIn, Instagram, YouTube, Facebook, X

Some are just organic

No

Currently using Sprout Social, open to suggestions

42 ONSITE CONTENT SUPPORT AND BADGING

Section 3.1 includes Onsite Content Support "as requested," covering photography, videography, and short-form video capture. Section 3 states that background check, fingerprinting ($32), and badging ($33) costs are the Applicant's responsibility, if required.

(a) What onsite frequency should Applicants assume for planning and pricing purposes — for example, an approximate number of capture

Rarely. We will escort.

Public

Escort, real id

Will escort

No days per month or per year?

(b) Will onsite work be conducted primarily in publicly accessible landside areas, or should Applicants assume regular access to sterile, secured, or airfield areas?

(c) What level of Aviation-issued credential will be required — escorted visitor access, or a SIDA or other unescorted-access badge requiring a

Security Threat Assessment — and what is the typical processing time from application to issuance?

(d) Will the Department escort the Applicant's personnel and subcontracted photography or videography personnel, or must all onsite personnel hold unescorted access?

(e) Is drone or unmanned aircraft operation contemplated within this scope?

43 OEO CERTIFICATION AND REGISTRY TIMING

Appendix C provides that SBEs and LBEs listed on the Solicitation and

Participation Form must be certified by an OEO-approved Certifying

Agency and listed in the OEO Registry at the time of contract award.

Appendix 1 establishes a Total SBE participation range of 19%.

(a) Please confirm that certification and OEO Registry listing are required at the time of contract award, and not at the time of proposal submission — so that an Applicant may list a firm whose certification application is pending, provided certification is in place at award.

(b) Where a Respondent itself meets the size definition of a Micro-Small

Business Enterprise under Appendix C but is not currently certified and is not listed in the OEO Registry, may it obtain certification after proposal submission and receive self-performance credit against the participation range at award? What is the typical processing time for certification?

(c) May a business located outside Philadelphia and outside

Pennsylvania be certified as an SBE by an OEO-approved Certifying

Agency, or is the SBE program limited to firms with a Philadelphia or regional presence?

(d) Is a directory of currently certified SBE and LBE firms available to

Applicants for the purpose of documenting solicitation efforts, and is there a NAICS or service category under which photography, videography, and creative production firms are listed?

The link is attached for the list of certifying agencies, OEO does not certify and as such cannot give an estimate of the time frame; please contact approved certifying agencies listed in OEO registry.

https://gcc02.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.p hila.gov%2Fdepartments%2Foffice-of-business-impact-and-economic-advancement%2Fdivisions%2Foffice-of-economic-opportunity%2F%23certification-agencies&data=05%7C02%7CShannon.Clark%40phl.org%7Cb1aa503f29f34b f94e5308df0e76c7fe%7C2182f890679042acab9758afd4eb2b6d%7C0%7C0%

7C639245575871461180%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1h cGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWF pbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&sdata=xczfh5tos%2FbxQ4S

X6RGgLgoGkmqeZc6%2Foq3qyugB6H4%3D&reserved=0

See attached and read carefully for guidance, especially Section 5

44 CONTRACT ADMINISTRATION

(a) What is the amount of the Contract Preparation Fee referenced in

Section 6 for a contract of this value?

(b) Section 6 requires the successful Applicant to maintain an active

Business Income and Receipts Tax Account Number and Commercial

The Contract Prep Fee is $500.00

You would be required to have all city accounts set up if you would be awarded the contract https://gcc02.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.phila.gov%2Fdepartments%2Foffice-of-business-impact-and-economic-advancement%2Fdivisions%2Foffice-of-economic-opportunity%2F%23certification-agencies&data=05%7C02%7CShannon.Clark%40phl.org%7Cb1aa503f29f34bf94e5308df0e76c7fe%7C2182f890679042acab9758afd4eb2b6d%7C0%7C0%7C639245575871461180%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&sdata=xczfh5tos%2FbxQ4SX6RGgLgoGkmqeZc6%2Foq3qyugB6H4%3D&reserved=0 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Activity License. For an Applicant with no current Philadelphia economic presence, is registration required before contract execution, and is there a required sequence relative to obtaining the Tax Clearance

Certificate referenced in Section 4.1, item 9?

(c) How should an Applicant with no Philadelphia tax account obtain the

Tax Clearance Certificate required by Section 4.1, item 9, and what is the typical processing time?

45 OPTION TERMS AND THE NOT-TO-EXCEED AMOUNT

Section 2.5 states that the initial term runs from on or about January 1, 2027 to on or about December 31, 2027, that the City may add up to four additional one-year terms, and that maximum compensation will not exceed $225,000.

(a) Is the $225,000 not-to-exceed amount the maximum for the initial one-year term, with a separate not-to-exceed amount to be established for each option term, or is $225,000 the aggregate maximum across the initial term and all four option terms?

(b) Should Applicants state pricing for the option terms in their cost proposals, and if so, in what form?

One year

No

46 PERFORMANCE EXPECTATIONS AND BASELINE DATA

(a) What approximate monthly volume of published content across the five channels should Applicants assume for planning purposes?

(b) What monitoring hours does the Department expect — standard business hours, extended hours, or seven-day coverage?

(c) Will historical performance data for the five channels be made available to the successful Applicant at the start of the term, and will any baseline data be provided to Applicants during this solicitation?

(d) Does the Department have an established digital accessibility standard for public-facing content, such as WCAG 2.1 or 2.2 Level AA, that content produced under this contract must meet?

(e) Section 3.1 requires monthly reports summarizing overall performance and return on investment. How does the Department define return on investment for this scope, and are values assigned to specific conversion actions?

Daily

Standard

Yes

No

Engagment, etc.

47 For applicants that are not certified Local Business Entities (LBEs), can the City clarify how the lack of LBE certification will affect proposal evaluation and award consideration? Specifically, can a non-local applicant remain fully competitive by demonstrating meaningful local economic impact through its proposed approach and/or use of local subcontractors, or does LBE certification receive a distinct evaluation preference that cannot be offset through other local-impact commitments?

This is not part of the Evaluation Criteria

48 Please clarify whether paid social media advertising/media spend is included within the $225,000 not-to-exceed contract amount or will be funded separately by the Department of Aviation. If media spend is included within the contract amount, can the Department provide the anticipated annual paid media budget?

Not included

49 Can the Department provide an estimate of the anticipated number of paid social campaigns annually and/or concurrently, including typical campaign duration and the approximate volume of paid creative assets expected?

Varies, TBD

50 Can the Department provide an approximate anticipated volume of organic social media content per week or month across the five social media channels?

daily

51 Please identify the five social media platforms currently included within the scope of work.

Linkedin, Youtube, Facebook, X, Instagrm

52 Can the Department provide an approximate anticipated monthly volume of original creative assets, including static graphics, motion graphics, short-form video, carousels, Stories/vertical formats and other platform-specific creative?

Daily posts

53 Can the Department provide an estimate of the anticipated frequency and duration of onsite photography, videography and short-form content support during the contract term?

We have inside people

54 Please clarify the anticipated expectations for social media monitoring and support outside of standard business hours, including evenings, weekends, holidays and crisis or emergency situations. Is the selected agency expected to provide continuous monitoring, on-call coverage when requested, or another defined level of support?

Rarely, crisis situations obviously

When requested

55 During crisis or time-sensitive communications, will the selected agency primarily be responsible for publishing approved messaging and monitoring/escalating audience activity, or will the agency also be expected to develop crisis communications strategy and messaging?

Publishing, we have a comms dept and pr agency

56 Does the Department currently utilize a social media analytics/reporting platform or live dashboard that the selected agency will be expected to maintain, or should applicants propose and price a new reporting/dashboard solution?

Open to new

57 Would a Denver-based firm be evaluated normally if we meet the 19%

SBE participation requirement through a qualified subcontractor, or is a

Philadelphia preferred

Philadelphia/local prime materially preferred beyond the published local-impact criteria?

Ekpenyong Oji 8/21/26

SLBP

Rev. Date: August 2026

CITY OF PHILADELPHIA

OFFICE OF ECONOMIC OPPORTUNITY

SMALL & LOCAL BUSINESS PLAN

Forms, Instructions and Special Contract Provisions Social Media Services

1. INTRODUCTION

Under the authority of Executive Order No. 06-25, the City of Philadelphia (the “City”) has established a Policy for the City of Philadelphia Small Business Program (the “SBE Policy”) relating to the participation of Small Business Enterprises (“SBE”) in City contracts. The Policy is administered by the Office of Economic Opportunity (“OEO”).

The City is committed to fostering economic opportunity for all and enabling all businesses to compete for City contracts without the impediments of discrimination. The goal of the SBE Policy is to ensure that all purchasing and contracting activities are conducted in a fair and equitable manner with increased emphasis on SBE outreach, solicitation and participation. This includes implementation of effective strategies to document and monitor prime contractors’ compliance with, and commitments to, sub-contract work with SBEs.

The City’s local businesses supply vital goods and services, offer important employment opportunities, and can help to build wealth and innovate commercial change. The City seeks to increase local economic impact by redirecting a greater share of City spending toward local businesses through the Local Business Entity Program (“LBE Program”), administered by the City’s Procurement Department. The LBE Program can generate substantial economic returns through increased local spending.

In furtherance of the goals of Executive Order No. 06-25 and the SBE Policy, this Small & Local Business Plan (“SLBP”) outlines the City’s requirements for the participation of small and local businesses on this particular Project.

Further clarification of OEO’s Small Business Program, along with assistance in completing forms, can be obtained by phone at (215) 683-2071 or by email at oeophila@phila.gov. More information on Procurement’s Local Business Program can be obtained by phone at (215) 686-5940 or by email at LBEcertification@phila.gov.

2. DEFINITIONS

A. Availability. The percentage of SBEs and LBEs that are ready, willing, and able to perform specific types of government contracts or procurements, compared to all businesses in the market that are capable of performing the same type of work.

B. Best and Good Faith Efforts. Efforts undertaken in good faith in furtherance of the participation goals required under this SLBP and which a reasonable person would perceive to be of a nature and scope likely to achieve such goals, regardless of whether the goals are in fact met.

C. Certifying Agency. A recognized certification agency that verifies a business meets specific size and revenue standards. Approved Certifying Agencies are identified on OEO’s website at Certifying Agencies | Office of Economic Opportunity | City of Philadelphia.

D. Commercially Acceptable Function. A business or contractor performs a Commercially Acceptable Function when it is responsible for executing the work of a contract and is carrying out its responsibilities by directly performing, managing, and supervising the work involved. To perform a Commercially Acceptable Function the business or contractor must mailto:oeophila@phila.gov https://www.phila.gov/departments/office-of-business-impact-and-economic-advancement/divisions/office-of-economic-opportunity/#certification-agencies

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Rev. Date: August 2026 perform a distinct element of the work required by, and commensurate with the dollar amount set forth for such work in, the contract or subcontract.

E. Contract. The contract awarded by the City for the Project whether as a result of a competitive bid or request for proposals

F. Dominant in Its Field of Operation. A company that holds significant control and influence over their specific industries or markets, allowing them to shape prices, set standards, and operate with minimal competitive pressure.

G. Local Business Entity (LBE). A business that has been certified as a Local Business Entity, consistent with the City’s requirements governing eligibility for such certification.

More information about the LBE Program can be found on the City’s webpage at Procurement Department | Local Preference.

H. OEO Registry. OEO maintains a registry of businesses that have been certified as SBE by a Certifying Agency. Information about OEO’s Registry can be found on OEO’s website at OEO Registry | Office of Economic Opportunity | City of Philadelphia.

I. Participant. Any SBE or LBE engaged to perform work on the Project either as a prime contractor or as a subcontractor.

J. Project. The work to be completed under the Contract and as defined in Appendix 1:

Participation Range Memo.

K. Respondent. Any person or entity responding to a City contracting opportunity for the Project, whether by bid or proposal.

L. Small Business Enterprise (SBE). Any for-profit, independently-owned business that is domiciled in the United States that is not Dominant in Its Field, employs one hundred (100) or fewer employees, and earns forty-seven million dollars ($47,000,000) or less in average annual revenue over a three-year period. SBEs are subdivided into the following tiers according to revenue and employee number criteria, as may be updated from time to time at the sole discretion of the City:

1. “Micro-Small Business” is an SBE with one million dollars ($1,000,000) or less in average annual revenue over a three-year period and has ten (10) or fewer employees.

2. “Emerging Small Business” is an SBE with more than one million dollars ($1,000,000) but less than ten million dollars ($10,000,000) in average annual revenue over a three-year period and has twenty-five (25) or fewer employees.

3. “Midsize Business” is an SBE with more than ten million dollars ($10,000,000) but less than twenty-three million five hundred thousand dollars ($23,500,000) in average annual revenue over a three-year period with fifty (50) or fewer employees.

4. “Macro Business” is an SBE with more than twenty-three million five hundred thousand dollars ($23,500,000) but less than forty-seven million dollars ($47,000,000) in average annual revenue over a three-year period with one hundred (100) or fewer full-time employees.

To account for differences in industry, the City will use the United States Small Business Administration’s (“SBA”) method of identifying SBEs for industries with high value, low volume products—such as wholesale/distribution/manufacturing firms, and heavy equipment or vehicle sales—by counting employees rather than revenue, to avoid disqualifying small firms that generate high revenue with minimal staff. This system ensures a fair and consistent method for determining SBE eligibility across industries.

The SBA regularly updates these standards to align with economic conditions, industry trends, inflation, and federal contracting needs. Businesses must identify the correct https://www.phila.gov/departments/procurement-department/local-preference/ https://www.phila.gov/departments/office-of-business-impact-and-economic-advancement/divisions/office-of-economic-opportunity/#oeo-registry

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Rev. Date: August 2026

NAICS code, confirm they meet the applicable size metric, and maintain documentation supporting ownership, control, receipts, and workforce levels.

M. S/LBE. An entity that qualifies as both a Small Business Enterprise and Local Business Entity.

N. Submission. A Respondent’s response to the City contracting opportunity for the Project, whether by bid or proposal.

O. Utilization. The percentage of contract dollars awarded to SBEs or LBEs over a given reporting period.

3. SBE PARTICIPATION GOALS & REQUIREMENTS

A. SBE GOALS

OEO has calculated SBE participation goals based upon the Availability of SBEs for the scope of work identified for the Project, the total dollar value of the Project, and an assessment of past performance of similar work. The SBE participation goals for this Project are set forth in Appendix 1: Participation Range Memo. If OEO has not set participation ranges, then the Respondent is still required to exercise Best and Good Faith Efforts to include SBEs in its Submission.

These goals represent the level of participation that should be attained by SBEs from business opportunities existing in the available market through the exercise of Best and Good Faith Efforts and in the absence of discrimination in the solicitation.

B. SBE REQUIREMENTS

1. SBE Participant Credit

If Respondent is an SBE and will self-perform work on the Project, the SBE Respondent will be credited for the participation range for its certification category.

Participation will be credited to SBE Participants only if the following conditions are met:

a) SBE Participant is certified by a Certifying Agency at the time of contract award;

b) SBE Participant is in the OEO Registry at the time of contract award; and

c) SBE Participant performs a Commercially Acceptable Function.

2. SBE Joint Venture Partner Participation Credit

If an SBE is a partner in a joint venture created for purposes of performing work on the Project, that SBE partner will be credited for the participation ranges only to the extent of the SBE partner’s ownership interest in the joint venture and only if the SBE partner meets the following criteria:

a) SBE partner is certified by a Certifying Agency at the time of contract award;

b) SBE partner is identified in the OEO Registry at the time of contract award;

c) SBE partner derives a “substantial benefit” from the Contract;

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Rev. Date: August 2026

d) SBE partner is substantially involved in all phases of the Contract including planning, staffing, and daily management; and

e) The business arrangement is customary (i.e., each partner shares in the risk and profits of the joint venture commensurate with their ownership interest, contributes working capital, and other resources, etc.).

4. LBE PARTICIPATION GOALS & REQUIREMENTS

A. LBE GOALS

The City may calculate LBE or S/LBE participation goals based upon the Availability of LBEs for the scope of work identified for the Project, the total dollar value of the Project, and an assessment of past performance of similar work. If applicable, the LBE participation goals for this Project are set forth in Appendix 1: Participation Range Memo.

If the Project does not have participation goals for LBEs, note that the City may consider Respondent’s intent to utilize LBEs when evaluating local impact criteria, if applicable. The City strongly encourages the use of LBEs at all tiers of the Project when feasible.

B. LBE REQUIREMENTS

If Respondent is an LBE and will self-perform work on the Project, the LBE Respondent will be credited for the participation range for its certification category. Participation will be credited to LBE Participants only if the following conditions are met:

1. LBE Participant is certified as an LBE by the Procurement Department at the time of contract award; and

2. LBE Participant performs a Commercially Acceptable Function.

5. SUBMISSION REQUIREMENTS

A. Responsiveness

1. Respondent’s compliance with this SLBP, including the submission of any required forms and supporting documentation, is an element of responsiveness to the contract opportunity for the Project and failure to submit the required forms and documentation may result in rejection of Respondent’s Submission.

2. To be deemed responsive, Respondent’s Submission must contain documentary evidence of any Participants that have been solicited and will be used by Respondent on the Contract, if awarded. Documentary evidence must be submitted in accordance with the instructions outlined in this SLBP and in response to each of the participation ranges included in Appendix 1, as applicable.

3. After reviewing the Respondent’s Submission and any other information OEO deems relevant to its evaluation, OEO will make a written determination as to Respondent’s responsiveness that will be forwarded to the awarding City Department. If Respondent is determined non-responsive by OEO, Respondent will be notified and may file a written appeal with the Deputy Director of OEO within forty-eight (48) hours of the date of notification. The decision of the Deputy Director of OEO shall be final.

SLBP

Rev. Date: August 2026

4. Respondent must verify that all forms, information, and documentation submitted to the City are true and correct and acknowledge that the submission of false information by Respondent is subject to the penalties of 18 Pa.C.S. §4904 relating to unsworn falsification to authorities, which may include payment of a fine of at least $1,000 and a term of imprisonment of not more than two years.

B. Solicitation & Participation Form

1. Respondent must complete Appendix 2: Solicitation & Participation Form (“S&P

Form”) to document all solicitations and commitments made by Respondent. A completed S&P Form must be included in Respondent’s Submission regardless of whether commitments resulted.

a) Respondent should only make actual solicitations of Participants whose services or materials are within the scope of the Project. Mass mailing of a general nature or similar methods to Participants will not be deemed as solicitation but rather will be treated as informational notification only.

b) A reasonable period of time should be given to all solicited Participants to ensure there is sufficient time to adequately prepare quotes/subproposals.

c) Respondent’s listing of a commitment with a Participant constitutes a representation that Respondent has made a legally binding commitment to contract with such Participant upon award of a Contract by the City (“Contract Commitment(s)”).

2. Failure to Submit S&P Form. Failure to submit a completed S&P Form may result in rejection of Respondent’s Submission as nonresponsive. The City, at its sole discretion, may allow Respondents to submit or amend Submissions at any time prior to award which may result in revision to Respondent’s participation commitments.

3. Joint Venture Eligibility Information Form. If Respondent has entered into a joint venture with a partner, Respondent must also submit the “Joint Venture Eligibility Information Form,” available by request from OEO, for the City’s review and approval of the joint venture arrangement.

C. Best and Good Faith Efforts

1. Respondents are required to use Best and Good Faith Efforts in the solicitation and recruitment of SBE or LBE Participants to work on the Project, even if OEO has not established participation ranges for the Project.

a. If Respondent does not fully meet each of the participation goals established for the Project, Respondent must demonstrate that it exercised Best and Good Faith Efforts to achieve the participation goals and submit a written request, on letterhead, for the reduction of part or all of the participation goals (“Request For Reduction/Waiver”).

b. If OEO has not established participation ranges for the Project, Respondent must demonstrate that it exercised Best and Good Faith Efforts to solicit and recruit SBEs and/or LBEs for the Project.

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Rev. Date: August 2026

2. Respondent’s documentary evidence must show that Respondent took all necessary steps and made reasonable efforts to achieve the participation goals or to include SBEs and/or LBEs in the Project, even if these efforts were not fully successful.

3. Failure to provide such documentary evidence may result in rejection of the

Submission as nonresponsive. The City, at its sole discretion, may allow Respondent to submit or amend its Submission at any time prior to award which may result in revision to Respondent’s participation commitments.

4. OEO will evaluate the scope, intensity, and appropriateness of these efforts to ascertain whether they could reasonably be expected to achieve participation commensurate with the goals range taking into account the Availability of SBEs and LBEs.

5. Documentation of Best and Good Faith Efforts undertaken may include, but is not limited to:

a) Types and amount of work made available to Participants

b) Solicitation of certified Participants

c) Any and all quotes received from any Participant and firm selection process notes

d) Reasons for not committing with any Participants that submitted a quote/subproposal, regardless of whether the quote/subproposal was solicited by Respondent

e) Advertisements for participation

f) The extent to which Respondent sought assistance from government agencies to facilitate solicitation of Participants

g) Information provided by Respondent to Participants regarding the Project

h) Assistance with bonding, financing and resources

i) Any additional supporting data and documentation or other relevant information

j) Where Respondent intends to perform services itself, without subcontracting, an explanation of the rationale for doing so

6. Respondent's documentary evidence will be reviewed by OEO to determine, at its sole discretion, whether Respondent exercised Best and Good Faith Efforts to achieve the Project’s participation goals or to include SBEs and/or LBEs in the Project.

7. OEO’s review may include, without limitation:

a) Whether Participants were treated at least as favorably as other businesses in the solicitation and commitment process. For example, OEO may investigate whether Participants were given the same information, access to the plans and requirements of the Contract and given adequate amount of time to prepare a quote/subproposal as others who were solicited by Respondent.

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Rev. Date: August 2026

b) Whether all eligible Participants were accorded the same level of outreach as other similarly situated Participants and whether Participants received outreach at least as favorable as outreach to non-Participant entities. For example, OEO may investigate whether Respondent short-listed any Participants for participation or solicited any Participants at any pre-proposal meetings.

c) Whether Respondent's contracting decisions were based upon policies which disparately affect Participants. OEO may consider whether Respondent employs policies which facilitate the participation of Participants on City contracts such as segmentation of the Contract or prompt payment practices.

d) Whether Respondent’s selected portions of work or material needs are consistent with the capacity of available Participant subcontractors and suppliers.

6. SPECIAL CONTRACT PROVISIONS

A. Contract Requirements

1. Contract Documents. This SLBP, including Appendix 1 as applicable, Respondent’s completed S&P Form and any accompanying documents regarding the solicitation of and commitments with Participants, shall be considered a part of the Contract and will be expressly incorporated into the Contract upon award. Respondent agrees to provide any additional information and to complete any additional forms required by OEO prior to execution of the Contract.

2. Participant Subcontracts. Upon award of the Contract, the successful Respondent is required to enter into legally binding agreement(s) with Participants (“Participant Subcontract(s)”) for the services and in the dollar amount(s) and percentage(s) as so committed pursuant to the Contract Commitment(s).

3. Changes to Contract Commitments. Participation commitments are to be maintained throughout the term of the Contract and shall apply to the total value of the Contract (including any increase/change orders). Any change in Contract Commitments, including but not limited to, substitutions for the listed Participants, changes or reductions in the work to be performed by Participants, and/or listed dollar/percentage amounts to be paid to Participants, must be pre-approved in writing by OEO.

4. Prompt Payment. The successful Respondent is required to pay any Participant subcontractors or suppliers promptly for services performed pursuant to the Contract (including the supply of materials) in an amount of its proportionate share.

5. Reports. On a monthly basis, the successful Respondent shall submit to OEO all required information, including but not limited to Participant data, certified payroll, and demographic data. When applicable, the successful Respondent shall submit workforce demographic data to the City’s Labor Standards Unit (“LSU”) in accordance with LSU’s requirements.

6. Electronic Payment Systems. In connection with the payment of Participants, the successful Respondent is required to use…