Promoting Minority-Owned Construction Companies

The West Michigan Minority Contractors Association (WMMCA) is primarily dedicated to promoting minority- and women-owned businesses in the construction industry through networking, training, education, and advocacy.

Established in 1982, the non-profit organization boasts nearly 25 regular, associate and corporate members. Just about every construction niche is represented in the membership, including concrete, electrical, brick, plumbing, heating and cooling, excavating, trucking, sand and gravel, carpentry, and, of course, general construction and many more.

The group represents a good cross-section of skilled minority- and female-owned construction professionals in addition to organizations and non-minority-owned corporations that support WMMCA's goals, such as the city of Grand Rapids.

"For some of our members, this offers them a communication avenue where they can find out what's going on," said Amy Floyd, WMMCA secretary. Floyd, co-owner of SysTech Electric Co. in Grand Rapids with her husband Tom, believes the group is "a great networking tool for some members to get to know each other, share experiences and work together."

WMMCA helps its members meet and socialize with larger players in the construction industry by co-sponsoring events, such as a golf outing, workshops, forums and picnics. For example, on February 25, WMMCA will partner with Grand Rapids Community College to sponsor a workshop called "Change is on the Horizon: Thriving in a Race/Gender/Neutral Environment," Floyd said.

The sessions were designed for small businesses owned by minorities or women who are looking for strategies to grow their business, said Floyd. Last summer WMMCA was involved in a local golf outing that put large general contractors and minority business leaders on the same fairways where they could discuss everything from their struggles on the green to their struggles in the construction industry. The event drew about 100 golfers.

Floyd said that historically, the group has primarily worked with the city government but it's expanding its mission to include large general contractors in hopes of landing more work in the private sector.

Members enjoy the benefits of peer mentoring and counseling, monthly meetings throughout most of the year, guest speakers, a quarterly newsletter, and copies of "Member Alerts" which are issued when important civic matters related to minorities and women-owned businesses are being decided. In addition, members have access to contract financing and micro loans, city drawings and specification packages, city bid results, training opportunities, and a directory of WMMCA members.

Some WMMCA members, including Floyd, have also played an active role in efforts by the city of Grand Rapids to reward contractors who hire minorities and women for city public works projects. Floyd is among approximately 20 members of a task force called "The Monday Group" that meet on Mondays to develop recommendations for the Grand Rapids City Commission.

Last year, the task force composed of local contractors and city officials, proposed a new "race- and gender-neutral" policy that took effect this January to replace a 22-year-old system aimed at helping minority contractors win city business. The old system was rescinded after a consultant concluded the race-conscious program was vulnerable to challenges under recent Supreme Court rulings.

The new "race-neutral" plan, crafted by the task force over two years, rewards contractors with a discount if they hire minority subcontractors or make other efforts to promote diversity. The plan allows up to a 5-percent or a $100,000 discount — whichever is less — on bids from participating contractors. For example, 95 percent of a bid might be considered for a project in order for the bidder to win the project, but 100 percent of the bid amount would be paid. Having a diverse workforce could earn the contractor another 1-percent discount.

The old policy tried to ensure that at least 11 percent of the total dollar amount of the city's public works projects were completed by minority contractors and 1 percent were completed by female-owned businesses.

Floyd hopes the discount program will bring in more minority participation than the old program.

Besides Floyd, WMMCA's other board officers include president, Terrell Daniels, owner of Modern Fire & Security Systems. Todd Cross, owner of Renew Property Services, is the group's vice president and Marilyn Shoemaker, owner of Marjo Construction Services, serves as WMMCA's treasurer.