Published on May 25, 2022

Henry Mayo Newhall Supplier Diversity Policy

I. Purpose:

Henry Mayo Newhall Hospital (“HMNH”) is committed to provide equal access and opportunity to all suppliers and to facilitate nondiscriminatory business relationships by promoting and increasing the diversity of vendors within its supply chain. This Supplier Diversity Policy has been developed to encompass all activities of HMNH associated with outreach, identification and participation of Small and Historically Underutilized Businesses (S/UBs), including Minority-, Women-, Veteran- and/or Service Disabled Veteran-owned businesses in Contracting Opportunities for construction, architectural and engineering services and other goods and services (including professional services).

II. Procedure:

A.) Non-Discrimination and Diversity and Inclusion Commitment.

This Supplier Diversity Policy is based on and consistent with the commitments to non-discrimination and diversity and inclusion in all contracting practices.

1. Diversity and Inclusion Commitment - As an economic engine and major employer in Los Angeles County, HMNH is proud of its inclusive hiring practices and broadly diverse workforce. Contractors and vendors must actively support Henry Mayo’s commitment to diversity and inclusion and reflect their support in their teams performing work for the community. We expect that contractors will work to achieve diversity in Henry Mayo contracts by employing diverse work forces, engaging diverse development teams, hiring subcontractors with diverse ownership and workforces, and employing locally based SBEs (Small Business Enterprises) and employees reflective of the racial, gender and ethnic diversity of Los Angeles County. Contractors and vendors are encouraged to actively dialogue with HMNH about our policies and practices associated with achieving diversity and inclusion in our procurement processes.

2. Non-Discrimination Commitment – HMNH requires that suppliers, which is intended to include contractors and vendors, shall not discriminate on the basis of race, color, gender, pregnancy, marital status, familial status, sexual orientation, gender identity and/or expression, religion, ancestry, national origin, disability, or age except that programs may target services for specific participant groups. Additionally, suppliers shall demonstrate the standards, policies, and practices necessary to render services in a manner that respects the worth of the individual and protects and preserves the dignity of people of diverse cultures, classes, races, religions, sexual orientation, gender identity and/or expression and ethnic backgrounds. It is expressly understood that upon receipt of evidence of discrimination, Henry Mayo Newhall Hospital reserves the right to review vendor performance and contract termination options

B.) Supplier Diversity Policy Statement

HMNH purchasing practices are designed to provide equal access and opportunity to all suppliers and prohibit discriminatory business relationships. It is the aim of HMNH to provide all segments of Los Angeles County with a full, fair and meaningful opportunity to participate in our contracts regardless of race, gender or ethnic origin. We are committed to creating a cadre of suppliers in our supply chain that represent the diversity in the communities we serve. HMNH encourages and supports the participation of historically underutilized businesses that can successfully compete for prime or sub-contracting opportunities.

C.) Scope and Intent

1. This policy shall apply to all purchases of goods and services, including professional services, and contracts for construction and construction related services, made by Henry Mayo Newhall Hospital consistent with AB 962.

2. Although not covered by the requirements of AB 962, opportunities for S/UB participation in excluded categories (as defined in the Regulation) may arise from time to time. The spirit and intent of this policy requires all HMNH departments to, whenever practicable, seek the counsel of the Supply Chain Department in using available strategies and options that could afford opportunities for S/UBs to participate.

D.) HMNH Responsibilities

The Supplier Diversity Policy and programs that support it will be administered and managed by HMNH’s Supply Chain office and the contract coordinator. Each department within HMNH will endeavor to promote, support, and assist in carrying out the Supplier Diversity Policy. All departments are expected to be familiar with and support the Supplier Diversity Policy.

E.) Outreach Efforts

Key components of HMNH’s Supplier Diversity initiatives are the formal efforts to identify, solicit and ensure S/UB participation in applicable HMNH contracting opportunities. HMNH’s commitment to the achievement of equitable contracting opportunities is the driving force behind establishing such outreach initiatives. S/UB outreach practices are established to inform, solicit and prepare potential S/UB contractors for success in the procurement process. Outreach communications are both HMNH system-wide and external (contractors, potential contractors, government agencies, community stakeholders).

1. Internal Outreach Communication Efforts

As detailed in the “Responsibilities” Section of this Policy, all HMNH departments have a responsibility to support and assist in promoting and carrying out the Supplier Diversity Policy. Ongoing efforts will encourage practices to enhance qualifications, competitiveness, and opportunities for S/UB involvement.

2. External Outreach Communication Efforts

HMNH will continue to develop formal practices to ensure communication and participation by external S/UB-related organizations and agencies in assisting with objectives for identification and participation. Outreach to these organizations and agencies will continue to be focused on establishing communications that inform, facilitate networking, and assist in the overall development and management of system goals.

F.) Electronic Procurement and Vendor Registration

All current and proposed vendors/contractors are required to register with Henry Mayo Newhall Hospital Supply Chain office. Current and proposed vendors must complete a Vendor Registration Application prior to receiving an award or renewing a contract.

G.) SBE Certification Efforts

HMNH shall ensure that all current and proposed vendors/contractors interested in participating in SBE solicitation or contract measures are appropriately certified by Los Angeles County’s Internal Services Department, Division of Small Business Development (SBD). SBD is responsible for certifying, decertifying and recertifying applicants for the SBE Program. HMNH shall continue to refer interested vendors who are not currently certified to SBD for assistance with certification.

H.) Listings of Underutilized Businesses

The HMNH Supply Chain Office shall maintain a listing of all underutilized businesses Supply Chain Office (i.e., construction, professional services, architects and engineers, other goods and services, etc.). This listing of underutilized businesses may be used to notify firms of business opportunities, as well as provide information for interested HMNH bidders/proposers and contractors. The office shall have access to listings from other state agencies and organizations that can be used to supplement sourcing activities by various HMNH departments, as appropriate.

Underutilized businesses may provide evidence of certification related to their bona-fide ethnic, gender and/or military veteran status from appropriate certifying organizations. A sample of acceptable certifying agencies include, but are not limited to, State of California Office of Supplier Diversity, California State Minority Supplier Development Council, and the Women's Business Enterprise National Council.

I.) Strategic Procurement Initiatives

1. Authorized Initiatives: The Supply Chain office may utilize any of several authorized strategic initiatives, in accordance with Los Angeles County SBE Code requirements, and as defined in AB 962 to further supplier diversity results.

2. Other Best Practice Initiatives and Solutions: Various HMNH departments shall work collaboratively in determining and developing strategic initiatives, to be used in support of the Supplier Diversity Policy

J.) Reporting Requirements

AB 962 requires an annual reporting to OSHPD explaining HMNH’s supplier diversity statement and expressing our goals regarding certified minority, LGBT, and disabled veteran business enterprises as specified in AB 962 by July 1, 2021, and then updated annually thereafter. Henry Mayo Newhall Hospital’s Supply Chain office is able to provide OPSHPD with data, measures and routine reporting on diverse supplier activity. Specifically:

1. Appropriate performance metrics to determine progress of the SBE Program as well as efforts to encourage participation of more historically underutilized businesses in the HMNH procurement process.

2. An annual report of program progress, indicating progress of incorporating small and historically underutilized businesses in all aspects of procurement. The annual report should incorporate a mix of qualitative and quantitative discussions in the areas of procurement (e.g., # suppliers, dollars spent, direct and sub-contract percentages); supplier development (e.g., initiatives to assist S/UBs in building capabilities) and program quality measurements (e.g., # RFPs with S/UB participation in bid process; # outreach events)

K.) Adherence with the Supplier Diversity Policy

All employees of HMNH and contracted vendors including, but not limited to, those specifically identified in this Policy, are directed to advance the Supplier Diversity policy AB 962. For reference, see separate contract management policy.