Thursday, April 24, 2008

Bowie increases business contracts awarded to minorities

New legislation may encourage more bids

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The number of contracts awarded by the city of Bowie to minority-owned businesses has seen a gradual increase over the last four years, according to a report by the city’s Diversity Committee.

Between 2004 and 2006, minority-awarded contracts increased from five to nine.

In 2004, one contract was awarded to a business certified under the Minority Business Enterprise and four were awarded to minority-owned businesses. In 2006, contracts were awarded to eight MBEs and one minority-owned business. In each year, 51 contracts were awarded.

Businesses owned and controlled by at least 5l percent minorities can apply to the state for MBE certification. Blacks, Hispanic-Americans, Asian-Americans, American Indians, women and the disabled are considered minorities.

Data compiled through June 2007, the last month for which statistics are available, show an increase in the percentage of minority-awarded contracts compared to previous years. Of the 27 contracts approved in the first six months of the year, seven were to MBEs and two to minorities.

‘‘I think we are making progress,” said Una Cooper, the city’s communications coordinator.

Demographic changes in the city could account for the increase, said chairwoman of the Diversity Committee Elveeda Dixon, but committee members were unsure what might have prompted the slight increase.

Members of the Diversity Committee also say they believe new state legislation will encourage more minority-owned businesses to enter contract bids for city projects or as suppliers by streamlining the application process.

Contractors looking for work will soon be able to access jobs available from all Maryland municipalities on the state’s eMaryland Marketplace Web site. A bill passed in the last General Assembly session will require all municipalities to post bids starting in June.

Established in 2000 by the Maryland Department of General Services Procurement Division, eMaryland Marketplace allows government agencies to receive bids and post openings on the Web site and communicate with vendors. The new procurement law will require all counties, municipalities, multicounty agencies, public schools, institutions of higher education and special tax districts to post openings on the site. State government agencies are already required to do so.

‘‘What you want to do is ensure full participation in the process,” Dixon said. ‘‘You want to make sure [minority-owned businesses] have the same opportunities to participate as everyone else.”

Bowie-based minority business owner Joseph Bahanag said the online posting of openings will allow more minority businesses to at least get a foot in the door.

‘‘It’s good to give us a chance to get in the system,” said Bahanag, who has operated Bahanag Construction Group for five years but has yet to secure any county contracts.

Cooper said with the impending redesign of the city’s Web site, the city will have an online bid page that will allow contractors and businesses to upload their information into the city’s database.

For Bowie’s most expensive project to date, the $31.5 million City Hall now under planning, four MBE businesses have been hired as subcontractors. In addition, a firm that falls under the Women’s Business Enterprise was awarded a contract in January. WBE’s are certified by the state as businesses owned and operated by at least 51 percent women. So far eight firms have been awarded contracts for the city hall project, said Assistant City Manager John Fitzwater.

The Diversity Committee began a review of contracts awarded to minorities April 16 to determine if the city was awarding a fair number of contracts to minorities and if there were any additional ways to encourage more minorities to enter the city’s bidding process. The committee plans to present its report and recommendations to the City Council on a date yet to be announced.

E-mail Andrea Noble at anoble@gazette.net.

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