CALL TO ACTION: Houston METROPOLITAN TRANSIT AUTHORITY by the Numbers

frankwilson

“[Houston] METRO has a proud record of issuing PROFESSIONAL SERVICES Prime-Contracts to Black-Male owned businesses.” – Frank Wilson, President of the Houston Metropolitan Transit Authority

BACK-STORY: As many of you are aware, I went before the Board of Directors of the Houston Metropolitan (METRO) Transit Authority to voice my concerns, and those shared by others in our group, regarding ineffectiveness of the agency’s Race-Neutral approach and overall Procurement Policy {Ref: http://tinyurl.com/cejbm5 }. Specifically, our contention was that our research of current information indicates that, over the last 10 years, an average of less than 1% of PROFESSIONAL SERVICES Prime Contracting opportunities have been awarded to Black-Male owned businesses located and registered in the Houston Metropolitan area.

Let me emphasize that there is an ample pool of ready, willing, and able Black-Male owned businesses that provide Professional Services within the verticals historically and currently procured by Houston METRO.

However, when this claim was made to the METRO Board of Directors, including Chairman, Mr. David S. Wolff; Vice Chairman, Mr. Gerald B. Smith; and President Mr. Frank Wilson; Mr. Wilson stated in defense of METRO’s accomplishments to date that:

METRO has a proud record of issuing PROFESSIONAL SERVICES Prime-Contracts to Black-Male owned businesses.”

On that same day, I wrote that detail statistics and a formal report from the FTA will be posted regarding this story within 30 days; and that further analysis would follow. What follows is the detail statistics from METRO’s own records as verified against FTA records – the FTA report will be provided in a separate post.

NOTE: I am no bleeding-heart liberal; I am, and always have been, an unapologetic capitalist. However, the numbers don’t lie. Moreover, our research shows that the following numbers are correlative to other transit authorities across the country. We are therefore enlisting our colleagues in the Veteran and Woman – owned business communities to lock arms with the Black-Male Owned business community as we attempt to level the playing field between this group and Large-Cap firms who dominate the PPROFESSIONAL SERVICES arena in the Transit-Industry Vertical; starting with Houston METRO.

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FRAMEWORK: Houston METRO does not maintain records prior to 2004; therefore, for the purpose of consistency the scope of our analysis is 2004 thru 2008. Houston METRO reports bi-annually to the FTA in regards to such statistics; June 1 and December 1. Metro has maintained a cumulative Race-Neutral goal of awarding 21% of its contracts to Minority and Non-Minority Woman-owned businesses from 2004 thru 2008.

2004

Total Contracts Awarded
Jun 1 $             31,443,874
Dec 1 $             27,562,670
Total $             59,006,544
Black Male-Owned Business
Percentage Prime

0%

2005

Total Contracts Awarded
Jun 1 $             13,204,244
Dec 1 $             75,305,997
Total $             88,510,241
Black Male-Owned Business
Percentage Prime

0%

2006

Total Contracts Awarded
Jun 1 $             15,581,382
Dec 1 $             70,605,348
Total $             86,186,730
Black Male-Owned Business
Percentage Prime

0%

2007

Total Contracts Awarded
Jun 1 $               5,467,720
Dec 1 $             78,065,750
Total $             83,533,470
Black Male-Owned Business
Percentage Prime

0%

2008

Total Contracts Awarded
Jun 1 $             67,527,000
Dec 1 $               2,835,000
Total $             70,362,000
Black Male-Owned Business
Percentage Prime

0%

Five-year Total
Total Contracts Awarded $ 387,598,985
Black Male-Owned Business
Percentage Prime

0%

As always, if you are apprehensive in sharing your thoughts and concerns as a comment on the blog, please email me in confidence @ 8vsb@aljucar.com.

Rudy Sutherland, 8-PAC Editor

8(a) Serial Entrepreneur & Small Business Evangelist

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