ADMINISTRATIVE ORDER NO. 86
OFFICE OF THE GOVERNOR
March 4, 1986
In furtherance of the State of Alaska's commitment to human
rights as expressed in art. I of the Alaska Constitution and
Alaska Statute 18.80.200, in particular in connection with
construction projects of the Alaska Power Authority, I, Bill
Sheffield, Governor of the State of Alaska, under the authority
granted by art. III, sec. 1, of the Alaska Constitution, order
1. Purpose. The purpose of this order is (1) to assure
that there is no unconstitutional or otherwise unlawful discrimination
in the award of contracts and subcontracts for public works projects
undertaken by the Alaska Power Authority; (2) to overcome the
effects of past discrimination against minorities, women, and
other classes of persons protected by AS 18.80.200; and (3) to
promote the economic health and well-being of the state through
taking positive measures to ensure equal business opportunities
for minorities, women, and other classes of persons protected
by AS 18.80.200.
2. Minorities and Women in Business Enterprises; Affirmative
Action; Supplement to Earlier Orders. This order supplements
Administrative Order No. 59, dated June 20, 1980, by Governor
Jay Hammond; Administrative Order No. 75, dated April 7, 1983,
by me; and Administrative Order No. 76, dated May 23, 1983, by
me; by adding provisions for affirmative action in state contracting.
3. Findings. (a) The historical and continuing high
rate of unemployment among Alaska residents poses serious social
and economic consequences that are chronic in nature.
These consequences include, but are certainly not limited to,
high rates of alcoholism, poverty, broken families, violent crimes,
and personal and commercial insolvencies and bankruptcies.
(b) A significant and contributing factor to this high rate
of unemployment, particularly in certain industries such as construction,
is the disproportionate award of construction contracts and
construction procurement contracts to male non- minorities,
even though minority and female contractors are available and
qualified to perform the work.
(c) The Alaska legislature is presently considering a model
procurement code that would ensure the fair and equitable treatment
of all persons who deal with the procurement system of the state
and eliminate and prevent discrimination in state contracting
because of race, religion, color, national origin, sex, age,
marital status, pregnancy, or parenthood. This measure might
not be enacted and take effect until January 1, 1987. The bill
in its present form, however, provides that parties to a contract
may agree to the application of the procurement code for contracts
solicited or entered into before that date.
(d) A number of state-funded and energy-related public works
projects will be put out to bid by the Alaska Power Authority
and might be awarded before the effective date of any new legislation
that might be adopted to ensure fair and equitable treatment
of the targeted groups.
(e) In order to maximize the coverage and benefits of any
new affirmative action legislation that might be included in
the model procurement code at the time of its adoption, it is
in the public interest to ensure that all state-funded and energy-related
public works construction projects awarded by the Alaska Power
Authority after the date of this administrative order and before
the effective date of any procurement legislation that might
be enacted incorporate a provision securing the contractors'
agreement and commitment to comply with any applicable affirmative
action legislation that might subsequently take effect
during the term of the contract.
4. Alaska Power Authority Public Works Bid Documents
and Contracts. In light of the findings set out in sec.
3 above, I direct that language substantially as follows be included
in any public works bid document issued or public works contract
awarded by the Alaska Power Authority after the date of this
order and before the effective date of any applicable procurement
legislation that might be enacted:
Contractor shall comply with all applicable laws and regulations
regarding the fair and equitable treatment of minority and female
contractors and subcontractors now in effect or that might subsequently
take effect during the term of this contract. In order to ensure
that contractor's subcontractors. will comply with all applicable
laws and regulations regarding the fair and equitable treatment
of minority and female contractors and subcontractors now in
effect or that might subsequently take effect, contractor
shall include in its contracts with subcontractors under
this contract language that is substantially the same as the
first sentence of this paragraph.
5. Public Funds; Alaska Power Authority Construction,
(a) An overwhelming share of public funds spent for energy-related
public construction projects is spent by the Alaska Power Authority
on contracts awarded to competitive bidders. In addition, a majority
of the construction contracts awarded by the Alaska Power Authority
is carried out with significant use of subcontractors. Consequently,
a preponderant share of state funds spent on energy-related
public construction carried out by the Alaska Power Authority
goes to contractors and subcontractors under contracts with the
Alaska Power Authority.
(b) In light of (a) of this section, the Alaska Power Authority
shall take positive, aggressive measures to help assure that
business enterprises owned or controlled by minorities, women,
or other classes of persons protected by AS 18.80.200 are
not discriminated against in the award of contracts and subcontracts.
The Alaska Power Authority shall take all possible affirmative
action that will help (1) to overcome effects of past discrimination
in the contracting business against minorities, women, and other
classes of persons protected by AS 18.80.200; and (2) to promote
full and equal opportunity for business enterprises owned or
controlled by minorities, women, or other classes of persons
protected by AS 18.80.200, to receive public construction funds.
6. Definition of "Minority"; Administrative
Order No. 18 Definition Superseded. The definition of
"minority" in Administrative Order No. 18 dated November
22, 1972, by Governor Egan is superseded. For purposes of this
order and Administrative Order No. 18, "minority"
includes a person from the following groups: Black American,
Hispanic American, Asian American, Pacific Islander, American
Indian, or Alaska Native.
This order takes effect immediately
DATED at Juneau, Alaska, this 4th day of March, 1986.
S/S Bill Sheffield
Governor of the State of Alaska