City staff told the Dallas City Council on Oct. 1 that they have paused some city policies, reviewed more than 100 departmental programs and begun a public engagement process to respond to federal executive orders affecting grant compliance, contracting, and diversity programs.

Assistant City Manager Liz Sidio Pereira and other staff described a work stream that reviews the city’s Business Inclusion and Development (BID) policy, the Racial Equity Plan (REP) and HUD‑related program guidance. Staff said they will propose a replacement framework called DRIVE (Developing Regional and Inclusive Vendor Enterprise) to shift the emphasis toward capacity building, regional alignment and measurable outcomes, while preserving compliance with federal directives.

Why it matters
The briefing put before council matters that affect how federal housing and community development funds are prioritized and how the city encourages small and local business participation. The city receives HUD block grants and other federal funds for housing, homelessness, and related services; those programs must align with federal guidance to remain eligible for funding.

What staff presented
Deputy director of Housing and Community Empowerment and Budget staff outlined the HUD Consolidated Plan process: the city approved a consolidated‑plan budget on Aug. 6 so HUD deadlines would be met; any subsequent changes after council approval require a HUD substantial amendment process. Staff told council they started that public process on Aug. 27 and that — to avoid acting before committee review of new policy proposals — they may time final consolidated‑plan amendments to follow committee briefings and a December council vote if council prefers.

The DRIVE proposal, explained by procurement and community staff, focuses on:
- Replacing rigid participation goals with a mix of small‑business certification, capacity building, mentor‑protégé programs, regional reciprocity for small‑business certifications, and an inclusion score that measures past on‑contract performance.
- Prioritizing “opportunity‑rich neighborhoods” and measurable drivers of opportunity such as gainful employment, healthy environments, and access to housing and transportation.
- Establishing an accountability regime that includes reporting, forecasting upcoming administrative procurements, and audit sampling.

Community engagement and timeline
Staff reported seven public engagement sessions in August and September with more than 200 attendees and roughly 700 unique visits to the project website. Feedback emphasized local jobs, grocery and health access, safety and housing. Procurement staff also held five vendor/stakeholder sessions and a government‑to‑government session (regional partners including Dallas County, DISD, DART, Dallas College and others) to explore vendor reciprocity and collaborative purchasing.

Next steps and committee schedule
Staff advised council of the following steps:
- Oct. 8: public hearing and possible action on a HUD substantial amendment related to administrative changes (staff said council can postpone the HUD action to December if it prefers to have committee review first).
- Oct. 21: expanded DRIVE stakeholder session.
- Nov. 3: economic development committee briefing and discussion of DRIVE details and options.
- November: quality of life committee briefing on Drivers of Opportunity.
- December: council consideration of final DRIVE and Drivers of Opportunity policies.

Council questions and concerns
Councilmembers widely praised staff’s outreach but asked for greater clarity on (1) which specific consolidated‑plan amendments staff will ask council to adopt on Oct. 8, (2) how outcome measures and departmental progress measures from the earlier Racial Equity Plan map to the new Drivers of Opportunity metrics, (3) whether any work or positions adopted under prior plans must be undone to satisfy federal guidance, and (4) how the city will preserve trust with immigrant communities while complying with federal directives. Staff said legal review was proceeding, that many departmental measures remain usable, and that they will bring detailed mappings and metrics to committee so council can weigh adoption before any HUD plan changes are finalized.

Ending
Staff committed to more detailed committee briefings, a forecast of changes, and a December target for council adoption of DR IVE and Drivers of Opportunity if council and committees direct that path; staff also offered to delay required HUD procedural steps until the committee review is complete if council prefers.