Box 7, Folder 12, Document 19

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Box 7, Folder 12, Document 19

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National Minority Contractors InstI'tute



Background: Historically, minority group construction contractors
have been outside the mainstreah of the uinatenabion industry.
Although the nation has approximately 870,000 general and specialty
contractors, fewer than 2,000 or twoskenine of one percent are black-
While a reliable estimate of the number of contractors among other
minorities is not available, it seems safe to assume that they too

have little representation.

The development of minority contractors'in the past has not kept
pace with the industry's growth and there is no reason to assume

that without assistance the gap between minority contractors and

other contractors will not continue to drastically widen.

The pressing need is for a program to develop athordiy contractors
and to enable them to develop the entrepreneurial skills required
to sustain a major construction program. In this way, we can begin
to create opportunities not only for entrance into the construction
industry as general and sub-contractors, but also for the develop-

ment of skilled craft job and union membership opportunities.

The Proposal: To establish a National uinentey Contractors
Institute which will promote and facilitate the development of
minority construction contractors in the major urban areas and
enhance opportunities for minority entrepreneurship and employment

in this industry.
Specific Goals: 1) To increase the pactioipation of minority
group contractors +H the building and construction industry;

2) to multiply at all skill levels the minority group work force
in that industry; and 3) to assist core city residents' partici-

‘pation in the rebuilding process in their communities.

Methods: These goals will be achieved by: 1) informing relevant ;
institutions of the problems of minority contractors and stimulating
solutions essential for their greater participation in the con-
struction industry; 2) serving as a focal point and source for
getting technical assistance to local contractor associations and/or
contractors; 3) providing for dissemination of information to con-
tractors and exchanges of experience; 4) assisting, as needed, the
National Minority Contractors Association; 5) assisting in the
development of local minority contractors associations wherever the
demands indicate; 6) aid in developing funding sources to provide
resources necessary for local staff support and local working
capital needs of association members; 7) development of manpower

programs relevant to the needs of the contractors and to the

communities which they serve.

Operations of the Institute: The three major components will be
a) Revolving Capital Fund, b) Technical Assistance, and c) Manpower.
A working’ capital revolving fund will help minority contractors

overcome critical financing and bonding obstacles. Technical
assistance will help minority contractors develop the business

and management skills necessary to soupete more effectively for
a greater share of the nation's construction business. Manpower
training programs will be developed -- in close cooperation with

the building trades unions -- to develop and upgrade craftsmen at

all skill levels.

Urban Coalition role: The Coalition will assume a catalyst role



in the establishment of the Institute with the goal of spinning it
off as a separate non-profit organization as soon as feasible.

The Coalition's effort will include fund-raising, locating private
sector representatives willing to assist Institute prograns, dis-
seminating information about the thebieuie, and helping identity

local communities for priority attention.

Organization: The Board of Directors of the Institute will reflect
a partnership between minority-contractors and those committed ‘to

assisting them.

Staffing: The Institute staff will consist initially of a Director
and a secretary. As programs reach the development and implemen-
tation stage -- and as funding resources become avyatlebrs ==
additional staff will be added to administer the revolving capital

fund, technical assistance, and manpower programs of the Institute.

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