BTEA steps up for minority and women-owned firms.

On the heels of a City Council report detailing significant racial and gender disparities in the distribution of City construction contracts, The Building Trades Employers' Association (BTEA) has recommended a number of ways to increase the market share of minority and women-owned construction firms.

In a report entitled "A Blueprint for the Successful Growth of Minority and Women-owned Construction Companies," the BTEA recommends establishing a targeted growth fund for MWBE firms and tax incentives for prime contractors who use them.

Other recommendations include supplying information on public certification applications about minority and women owned companies by specific trade, project type and size.

Louis J. Coletti, president of the BTEA, New York's largest contractor association, said, "Our goal is for minority and women-owned businesses to gain a larger share of the market."

"Projects like the Freedom Tower, the new PATH Transportation Station, the Farley Post Office and the West Side development can provide the opportunity to accelerate new contract awards for small, minority and women-owned businesses in the construction industry.

"Such firms can play an integral part of the construction and economic renaissance in New York City, and provide a standard of living, which will strengthen the middle-class of this City."

Recommendations include:

* Establish a centralized database for the certification of Disadvantaged Business Enterprise (DBE) as a well as M/ WBE firms within the Regional Alliance for Small Contractors.

* Establish a Targeted Growth Fund for companies awarded public sector or private sector projects using public funds. Financial institutions doing business with City or State agencies should be required to contribute a minimum of $1 million per institution to the fund.

* Create a New York City Construction Council of Colleges. Forming this linkage with New York City's colleges and universities would provide an opportunity to establish internships and to identity students interested in working for construction companies.

* Information about minority and women owned company experience by specific trade, project type and size must be included on public certification applications to increase contract opportunities in both public and private sectors.

In addition to the recommendations, the report offered an overview of the construction industry and an analysis of the characteristics of successful contractors.

Significant findings include: Construction companies have had the highest business failure rate of any other sector in the economy since 1988; Over 90% of New York construction companies employ less than 25 employees; Financially successful contractors in New York City tend to be union contractors.

"Several decades of public policy have resulted in limited successes in the growth of minority and women-owned contractor firms," added Coletti. "This report will hopefully initiate a realistic discussion on how to best achieve the goals we all share in strengthening New York City."