SB872 is the companion bill to HB1634 which reported out of this same committee on January 12, 2025. The need to address disparity in contracting in the City of Portsmouth was suspected, but verifiied after compleing disparity studies in 2015 which showed tht Minority/Women Business Enterprises utilization was less than one percent between 2008 and 2013. In 2016 Portsmouth City Council amended Section 12-176 of the City Code to authorize our Purchasing Administrator to establish a program to facilitate participation by small businesses and businesses owned by women and minorities in City procurement transactions, including the use of appropriate enhancement or remedial measures. Resolution R-16-29 adopted by Portsmouth City Council on 10/11/16, formally established the Minority and Business Enterprise Inclusion Policy. This Charter amendment is narrowlyy tailored to track the current law found in the Public Procurement Act that governs State agencies. The concept of annual reporting applies to State agencies under 2.2-4310(B) through a requirement to provide annual reports to the Department of Small Businesss and Supplier Diversity. This Charter change is intended to provide the City Manager the tools and authority to improve the utilization of small businesses, minority businesses and women owned businesses in our city contracting, By making this Charter change, the City is signalng to all its stakeholders that impartial opportunities exist in city contracting and it is a fundamental and continuing priortiy for Portsmouth. Please support.