After months of discussion and work behind the scenes, Erie County officially has a new standard for small business utilization.
The local law signed into effect Thursday by County Executive Mark Poloncarz guarantees priority for Erie County-based small businesses on contracts worth less than $35,000.
The priority now is getting businesses comfortable with the proposal process, according to Legislator Taisha St. Jean Tard, who first proposed the bill.
“They want to learn how to get through this process. If they've never got a $5,000 contract. How are you expecting them to get $100,000 contract?," she said. "Having the ability of to teach them in a smaller way and ... having them get these contracts is just a smart move.”
The policy is specific to non-franchise businesses with less than 50 employees and had less than $5 million in revenue the previous year. County leaders estimate more than 20,000 qualifying businesses in the county.
The newly signed law will ensure local entities get a fair chance to secure contracts, because even small deals can have a significant impact for businesses, Poloncarz said.
“Small businesses are at the core of our economy in Erie County, and there are some small businesses who could use a little assistance when it comes to obtaining contracts from Erie County," he said. "And they should have an opportunity for small businesses to be able to engage in a process and to receive contracts.”
St. Jean Tard expects that spending more at local businesses will compound the impact, because that contributes to local employment and the tax base.
"People were worried more about making sure small businesses were actually paid after this got through, but we thought about this," she said. "We had conversations, and obviously, people agreed with my train of thought. We agreed with the process. We know that we have to have invoices, there's certain processes that have to happen."