African-American businesses’ slice of Chicago contracts jumps to 21%

Chitownheadbusa

♏|God|♏
BGOL Investor
This is what its about! Opening doors so we can get out of the pot that we helped fill. Usually when you hear about Black folks asking for doors to be open like theyre opened for everyone else......we usually get accused for begging for handouts; Especially by those Black folks that get angry we demand from the current Admin.

When you get the right people in office....then theyll work for you. And thats what happened with this situation right here.


African-American businesses’ slice of city contracts jumps to 21%



African-American businesses got 21 percent of the $1.2 billion in city contracts awarded through Aug. 31, compared with just 8 percent during the same period a year ago, putting out a perennial political firestorm.

Every year, the Department of Procurement Services gets hammered during budget hearings by African-American aldermen furious about the city’s dismal black contracting numbers.

No matter who the chief procurement officer is — and it’s been a revolving door — the numbers never seem to climb out of the single digits.

The reception for the testimony before aldermen by Chief Procurement Officer Jamie Rhee on Friday was warmer.

Although the black contracting surge sounds too good to be true, Rhee said it’s a product of the mayor’s decision to reform the scandal-scarred minority business program, return certification and compliance to the Department of Procurement Services and “really get out there and aggressively talk to people” about upcoming opportunities.

“The city historically did not have a buying plan, which forecasted what we were gonna be purchasing over the next year. We’ve updated that now three times under Mayor Emanuel. Every quarter, we go out and make sure people have those opportunities in advance,” she said.

“What is very important, especially for smaller firms, is that they have adequate time to prepare for bids. When you don’t have a published plan, they’re reading about it in the paper and having to scramble. Some of the larger firms have a whole wing of folks to prepare a bid. Small businesses, especially minority- and women- owned business, kind of have to drop everything and try to put a bid together.”

Pressed to explain the drop for Hispanic contractors, she said, “Every year, there’s so much contracting and we do low-bid. I always say, every time I open a bid, I’ve got one very happy person and I’ve got four or five that are unhappy and I’ve got subs underneath of that. All of that goes into that participation.”

Ald. Carrie Austin (34th), chairman of the City Council’s Budget Committee, credited Mayor Rahm Emanuel for delivering for black voters who helped put him in office.

Through the first eight months of this year, the city spent $1.2 billion on goods and services and awarded $193 million of those contracts to companies owned by African-Americans. That’s a 21 percent piece of the pie, compared with $96 million and 8 percent during the same period a year ago.

Some of the black gains apparently came at the expense of Hispanics and “non-minority” women.

Hispanics got $118 million or 13 percent of city spending, compared with $201 million or 16 percent a year ago. Companies owned by white women got $26 million or 3 percent, down from 5 percent and $14 million through Aug. 31, 2011.

Asian-Americans held steady at a 4 percent share of city contracts, but it translated into $35 million, compared with $52 million a year ago.



http://www.suntimes.com/news/cityha...sses-slice-of-city-contracts-jumps-to-21.html
 
Unfortunately, this will work to "put out a perennial political firestorm."

People will be quite satisfied with 21% in a town with 35% black and the last few years of contracts in the low teens to single digits. Isn't there some backpay owed?
 
Unfortunately, this will work to "put out a perennial political firestorm."





Yeah...I know they did it for votes....but at least the business owners got a nice cut for a year. Stay diligent and follow up with your candidates after you leave your polling stations then maybe you can get much more. Obviously there was fear this year that wasnt there before. Whateva those business owners did to get the job done they obviously need to do it over and over again.
 
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Yeah...I know they did it for votes....but at the business owners got a nice cut for a year. Stay diligent and follow up with your candidates after you leave your polling stations then maybe you can get much more. Obviously there was fear this year that wasnt there before. Whateva those business owners did to get the job done they obviously need to do it over and over again.

Of course they did it for votes. That and money is what people offer to politicians.
I'm with you, this is a good first step and now the locals should push for more.
 
Red Line Reconstruction: A Model for Minority Inclusion

Red Line Reconstruction: A Model for Minority Inclusion
Andrea L. Zopp - President and CEO
, Chicago Urban League
Posted: 04/29/2013

In a few weeks the Chicago Transit Authority (CTA) will begin the Red Line South Reconstruction Project. This comprehensive project, which stretches from Cermak Road to 95th Street, will make much needed improvements to the Red Line. While this effort will force riders to use alternative routes for five long months, it is long overdue and worth the inconvenience. And, unlike some other major construction projects in recent history, there will be a strong African American presence from start to finish. That is good news, especially given the history of minority inclusion in Chicago.

When major construction projects are announced -- especially ones that impact the South and West sides -- the community questions that get asked first include: "Will this bring jobs? Will there be opportunities for black entrepreneurs?" These concerns are rooted in decades of women and minority -owned businesses being left out of the equation when it comes to major construction projects. It is not without merit.

Historically, African American workers and business owners have been given little to no access to economic opportunities when major construction projects are planned in the communities where the majority of us live. The most recent example was the Metra Flyover project in Englewood where the fact the African American contractors got less than one percent of the work when the contract was awarded last spring led to protest rallies and marches.

From the start, CTA was committed to ensuring that the communities impacted by the Red Line Reconstruction Project also benefited from the resources invested in the effort. To make this happen, they sought the help of the Chicago Urban League and other community organizations to work with them to ensure that African Americans had access to jobs and business opportunities.

On the jobs front, we've helped the community gain access to the jobs that have been created by the project including construction workers, bus drivers and traffic control aides. Already many people from the community have been hired and more are on track for employment. In addition, we've been a clearinghouse for contractor hiring and we have created a database of nearly 2,000 qualified workers and contractors for future projects.

We've also worked to ensure that African American entrepreneurs are connected to the subcontracting opportunities presented by the project. Since last spring the Chicago Urban League has worked with CTA to ensure that African American and women business owners could compete for the millions of dollars in construction contracts created by the system reconstruction. Through our Entrepreneurship Center, we worked with CTA to prepare and connect many African American and women-owned companies, or Disadvantaged Business Enterprises (DBE) to the prime contractors on the track and station work.

The effort and focus paid off and we've got the numbers to prove it. For track work, total DBE contracts are $66.5 million with $40 million going to African American firms. For station work, DBE firms secured more than $17.5 million in contracts. Of those contracts 92 percent went to African American firms.

While the prime contractors are majority-owned firms, connecting African American subcontractors to this project gives those businesses the opportunity to grow their capacity so that they eventually will be able to compete as a prime contractor.

Among the Chicago-area African American firms with significant Red Line Reconstruction Project contracts are: Trim's Trucking, E. King Construction, Terrell Materials, LiveWire Electrical Systems and security firm Kates Detective. Some of these companies are graduates of our Entrepreneurship Center programs that have prepared them to compete for, win and properly execute these lucrative opportunities. Another one of our program grads, LaGrange Crane Services, a woman-owned crane operating business, also scored a significant contract on this project.

These companies are proof positive that the right skills and preparation mixed with a commitment to diversity from those who issue government contracts, plus key community partnerships, makes a good formula for access, opportunity and community investment.

So, as we make our way through the inconvenience of the Red Line South being shut down for five months, let's remember that money spent on this major project will be reinvested in our community. Critically important to the Chicago Urban League, the success of this collaboration will not begin and end with this one project.

The work done here to create economic opportunity in our community will be used as a model for others to follow. Already, the City Colleges of Chicago and the Public Building Commission, are considering similar efforts to insure minority participation in the jobs and work generated by their upcoming large construction projects. Let's hope this trend, that is a step in the right direction, becomes the rule and not the exception.

http://www.huffingtonpost.com/andrea-l-zopp/red-line-reconstruction-a_b_3156140.html
 
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