The bottom line on social procurement

DAC May 2016

Denise Andrea Campbell
Director, Social Policy, Analysis and Research
City of Toronto

As the City of Toronto’s Director of Social Policy, Analysis and Research, Denise Andrea Campbell  has worked tirelessly to champion poverty reduction and youth success strategies in priority neighbourhoods. She has advised on strategy for leading foundations including The J.W. McConnell Family Foundation and has also worked internationally on race and gender policies in numerous United Nations forums. In her guest blog post, Denise discusses how the City’s new social procurement program is helping create pathways to prosperity.

In 2006, community leaders in Flemingdon Park asked me why the City couldn’t hire young people through its procurement process.

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Community leaders knew that youth employment was key to neighbourhood development in Toronto. They knew that the City, together with United Way was committed to taking action on neighbourhood improvement with the recent launch of the first Strong Neighbourhoods Strategy. And they saw City construction projects—part of the City’s annual budget of $1.8 billion for goods and services—as a perfect opportunity to train and hire under-employed young people.

They believed the City could make it happen.

We did. It took us 10 years.

Procurement in a large institution like the City is often inflexible, governed by policies, laws, and decades-long industry practices that create seemingly insurmountable barriers to targeted spending.

But we also knew, as the community knew, that social procurement could be a game-changer.

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Social procurement has the power to create pathways to prosperity. Research indicates that Aboriginal and minority-owned businesses create jobs in their communities. The social enterprise business model  is all about creating social and economic benefits for marginalized groups. So if even 5% of our annual procurement were leveraged to create economic opportunities for those in poverty, that could be a $75 million investment towards inclusive economic development.

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Hawthorne Food & Drink, a social enterprise supported by the Toronto Enterprise Fund—a partnership between United Way and all three levels of government—employs individuals facing barriers including poverty and homelessness.

So we continued to push.

Working closely with partners, we began pilot initiatives to train and hire youth in a Weston-Mount Dennis youth space renovation in 2008, thanks to United Way funding. The City also worked with Toronto Community Housing and the Daniels Corporation to embed workforce development into the supply chain of the Regent Park Revitalization. And given my division’s focus on social development, we made sure to set an example, procuring from social enterprises whenever possible. A big win came in 2013 when City Council adopted a Framework for Social Procurement to move us from one-off successes to institutional practice.

Researching other jurisdictions, piloting approaches in City contracts, and building partnerships allowed us to have the evidence, the workable model, and a solid policy for Council to consider.

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United Way–supported social enterprises like Interpreter Services Toronto, which trains and employs newcomer and refugee women—are now in a better position to compete for, and benefit from, City contracts as diverse suppliers through the Toronto Social Procurement Program.

Three years and nine pilot projects later, on May 3, 2016, Toronto City Council unanimously adopted the Toronto Social Procurement Program. The program drives inclusive economic growth in Toronto by encouraging buyers and vendors to do business with certified diverse suppliers, including those owned by people from equity-seeking communities and social enterprises in all City procurement. A particular focus will be on contracts below $50,000 for which smaller businesses like social enterprises are better able to compete.

This 10-year journey has been long, and isn’t over yet. We’re taking steps to build a broader social procurement ecosystem. We want to create a climate that allows businesses owned by equity-seeking communities—women, racialized and Aboriginal peoples and newcomers—and social enterprises to compete for City contracts on their own or as part of a partnership. With the support of the Atkinson Foundation and with the participation of the United Way, we are also leading the AnchorTO Network to spread social procurement practices across all of Toronto’s public sector institutions.

So the next time community leaders ask us to create economic opportunities for their residents, we know we have built the foundation to now answer ‘yes.’

Your social media cheat sheet: February edition

Good_Act_to_Follow_HomePage_SlideWe know you care about the big issues. Things like poverty, youth unemployment and neighbourhood inequality.

That’s why we do our best here at Imagine a City to keep you up-to-date with the latest on social issues that affect us all—and what we’re doing to tackle these challenges.

A big part of this discussion happens online—right here on our own blog and in countless other social media forums where community partners, thought leaders, journalists and other influencers weigh in on important issues.

Here’s our list of some of our favourite blogs, websites and social media accounts we think are worth checking out.

1. Sara Mojtehedzadeh (@SaraMojtehedz)

Sara Mojtehedzadeh

Sara Mojtehedzadeh
Work & Wealth Reporter, Toronto Star

Are you in-the-know when it comes to poverty and labour issues in our community? If so, Sara Mojtehedzadeh probably has something to do with it. The Toronto Star Work and Wealth reporter is a leading authority on precarious employment and equity issues across the province—and a total must-follow on Twitter. We’re a huge fan of Sara because of her tireless efforts to give some of the most vulnerable residents in our community a voice and because she’s a champion of change. She’s also helped shine a light on our groundbreaking research into precarious employment that revealed more than 40% of people in the Hamilton-GTA experience some degree of insecurity in their work. “It’s important to acknowledge how absolutely fundamental work is not just to income and wealth, but to our sense of purpose, identity and well being,” Sara explained in a recent interview with the Canadian Media Guild. And with a background in conflict and peace studies and comparative politics, it’s evident that covering the work and wealth beat is more than just a job for Sara—it’s her passion.

2. Kwame McKenzie: Wellesley Institute blog

Dr. Kwame McKenzie

Kwame McKenzie
CEO, Wellesley Institute

How are health and poverty related? Kwame McKenzie, CEO of the Wellesley Institute, and a regular blogger for the organization, recently wrote this compelling post on the importance of ensuring everyone has equal access to healthcare, regardless of the barriers they face. Kwame is also a United Way board trustee and a CAMH psychiatrist who is considered a leading expert on the social causes of mental illness, suicide and the development of effective, equitable health systems. He argues that socioeconomic challenges such as income inequality, poor housing, stress and access to nutritious food drive disparities in health, making it more difficult for low-income individuals to be healthy and to access health services. Kwame believes that all three levels of government and multiple partners across the city need to work together to ensure that health and policy go hand-in-hand.

3. Furniture Bank (@furniture_bank)

Furniture Bank

We think Furniture Bank is a really great example of an innovative social enterprise. This socially-driven business, supported by United Way, helps individuals and families who are newcomers or are transitioning out of homelessness or abusive situations turn a new house into a home by providing furniture at no cost. It also provides training and work opportunities to people facing barriers to employment. Visit Furniture Bank’s Instagram account for photos of funky furniture items they receive for donation and inspiring stories of lives changed—including one Syrian refugee family whose home was furnished just in time for the holidays.

Want to learn more about social enterprise? Then be sure to check out the upcoming Social Enterprise Toronto Conference on March 10.

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