Responsible supplier and contractor guidelines
Overview
Puget Sound Energy's Responsible Supplier and Contractor Guidelines provide the Company's expectations of entities with which we do business. The guidelines provide direction in the selection of contractors that is consistent with the Company's commitments to safety, compliance with all applicable laws, and fiduciary responsibilities.
Contractors are expected to do what is necessary to operate within these guidelines. Contractors are expected to be familiar with the business practices of their suppliers and subcontractors and ensure that they operate within the guidelines. Failure to comply with these standards may result in the discontinuance of business relationships.
General Guidelines
PSE expects all contractors and subcontractors to comply with all applicable laws and regulations, such as those pertaining to the environment, safety and employment, and child labor laws. In the process for selection of qualified contractors, the following factors may be taken into account:
- PSE is committed to ensure that minority, women, veteran‐owned and small business enterprises have the opportunity to compete for contracts awarded by the Company. PSE is a strong supporter of the Northwest Mountain Minority Supplier Development Council. PSE may consider whether the prospective contractor is a diverse owned (including woman, minority, veteran‐owned) business enterprise in its contract award decisions.
- PSE supports diversity and equal opportunity in employment. Unlawful discrimination in the workplace is not tolerated. Contractors and subcontractors shall comply with all applicable laws concerning discrimination in hiring and employment practices.
- PSE respects the environment and conducts its operations in compliance with applicable laws and regulations. Contractors shall conduct their operations in a way that protects the environment. Contractors shall comply with all applicable environmental laws and regulations in the regions in which they operate.
- PSE conducts its business honestly, fairly and ethically as outlined in its corporate ethics and compliance code. PSE will consider whether the prospective contractor has a record of demonstrated compliance, i.e., the prospective contractor has no record of significant violations of laws, rules or regulations pertinent to the work to be performed. PSE’s contracting process aims to select the contractor which provides the best value overall. Considerations include Supplier and Contractor qualifications, safety, experience, customer service, cost, ability to meet schedule, financial health, and related risks.
- PSE is committed to the safety and health of its employees and conducts its operations in compliance with applicable laws and regulations. Contractors shall provide a safe working environment that supports accident prevention and minimizes exposure to health risks. Contractors shall comply with all applicable safety and health laws and regulations in the regions in which they operate. PSE monitors Supplier and Contractor performance and has the contractual right to perform operational, compliance and financial audits as deemed appropriate, including, for instance, safety program corrective plans and payments to subcontractors.
- PSE is a good neighbor in the regions in which it does business. PSE will endeavor, when feasible, to hire local labor when working in smaller communities.
- Contractors shall comply with all applicable wage and hour labor laws and regulations governing employee compensation and working hours.
In addition, the following guidelines also will be taken into consideration when awarding service contracts for large construction projects (e.g., more than $5 million for contracts, $1 million for subcontracts) of a non‐emergency nature.
- PSE is interested in ensuring trained and qualified personnel are available for the future and in building a durable partnership with key skilled craft stakeholders. We will notify key entities to assist us in identifying potential bidders: (1) when we are developing lists of preferred providers; and (2) when contracted services are needed for construction contracts in excess of $5 million.
Competitive Wages and Benefits
PSE supports and encourages its contractors to compensate its employees based on their experience, track record of safety, training, quality and professionalism, and commensurate with market conditions.
Revised January 2020