Research Design Empowering Communities: Minority Business Interests and the Providence First Source Hiring Ordinance Nadesha Mijoba School of Community Economic Development Southern New Hampshire University May, 2005 2 Submitted in partial fulfillment of requirements for the Masters of Science in Community Economic Development Approved by Professor Yoel Camayd-Freixas Table of Content— Abstract _____________________________________________________________________ 4 Executive Summary____________________________________________________________ 5 I. Community Needs Assessment _____________________________________________ 8 II. Problem Identification/Solution____________________________________________ 11 Problem Statement__________________________________________________________ 11 Project Target Community____________________________________________________ 12 General Objective __________________________________________________________ 13 Specific Objectives _________________________________________________________ 13 III. Project Design _________________________________________________________ 13 Literature Review___________________________________________________________ 13 What other cities are doing ___________________________________________________ 17 Project ___________________________________________________________________ 18 Host Organization __________________________________________________________ 21 Timetable to Meet Objectives _________________________________________________ 21 Staffing___________________________________________________________________ 24 Francisco Cruz, MPA______________________________________________________ 24 Nadesha Mijoba __________________________________________________________ 25 Reuben T. Spitz, Ph.D _____________________________________________________ 25 IV. Budget _______________________________________________________________ 26 V. Implementation Plan _______________________________________________________ 27 VI. Monitoring/Evaluation _____________________________________________________ 31 Gathering Credible Evidence__________________________________________________ 31 Data Analysis______________________________________________________________ 31 Evaluation Use_____________________________________________________________ 32 VII. Communicating research results ___________________________________________ 34 3 Recommendations ________________________________________________________ 35 VIII. Conclusions and Recommendations ______________________________________ 36 Recommendations __________________________________________________________ 37 Policies_________________________________________________________________ 38 Organizational Change programs ____________________________________________ 39 Institutionalization ________________________________________________________ 40 Acronyms and Definitions______________________________________________________ 42 References __________________________________________________________________ 44 Attachment “A” ______________________________________________________________ 46 Minority Business Interests and the Providence First Source Hiring Ordinance Survey Tool 46 Attachment “B” ______________________________________________________________ 50 Hiring Attitude Assessment Inventory (HAAI)____________________________________ 50 4 Abstract Empowering Communities: Minority Business Interests and the Providence First Source Hiring Ordinance By: Nadesha Mijoba This project is for the purpose of analyzing and assessing the consequences and successes of implementing The First Source Hiring Ordinance (FSHO) for Providence, Rhode Island, signed into law nearly 20 years ago. The stated purpose of the policy is to support the fullest possible participation of firms owned and controlled by minorities or women in city funded and directed public construction programs and projects in municipal purchases of goods and services. This project will be organized and directed by Mijoba Communications— a multi-faceted consultation firm specializing in cultural and ethnic diversity as such issues are manifest in social, health, educational and business environments. Mijoba Communications has designated the necessary resources for the purpose of analyzing and defining the problem, identifying the barriers that obstruct the implementation of the First Source Hiring Ordinance as well as the barriers hindering minority/women owned businesses/contractors in accessing the First Source Hiring Ordinance, design policies to overcome these barriers, and to identify and design new FSHO implementation proposals. This seven-month project provides a strategic plan with a market and organizational analysis, conclusions, recommended objectives and strategies to achieve the objectives. The purpose of the strategic plan is to provide a blueprint to the minority/women owned business community for the formulation of policies, the development of operating procedures and the management of the Providence First Source Hiring Ordinance. 5 Executive Summary The goal of this research project is to review the effectiveness of the First Source Hiring Ordinance as well as barriers that prevent its implementation in order to make recommendations as to how current hiring/contracting practices may be improved to fulfill the ordinance’s original objective and spirit. The City of Providence is comprised of 54% people of color, while the city’s workforce is only 15.4% non-white. Similarly, women occupy an estimated 23.1% of positions within the City while they make up 52.2% of the Providence population. Many of the residents as well as small minority/women owned businesses in Providence’s neighborhoods have a vested interest in the implementation and management of the First Source Hiring Ordinance. The City has for many years operated under the “who you know” system of patronage rather than openly advertising positions, projects, request for proposals and assessing the qualifications of a broad and open application pool. The lack of diversity in the current City Government does not reflect the racial and ethnic diversity of the community of Providence’s residents. The ordinance stated that the City must embark on an aggressive hiring/contracting policy that corrects biases in hiring, promoting/advancement and awarding contracts. At the time FHSO became law, the ordinance required that $250,000 be allocated annually to fund all related initiatives. Nonetheless, this money has never been allocated in full, and the FSHO has never been enforced. Providence grew by 8% from 1990 to 2000, the largest increase of the ten urban communities in Rhode Island. The Hispanic population more than doubled, and now accounts for 30% of the city total. Meanwhile, the city’s non-Hispanic White population dropped to less than 6 half of the overall population, so “minorities” now comprise a majority of the population (Cities Count, 2002). Enforcement of FSHO should have had an immediate effect on the minority population in the city. Minority business enterprises were supposed to be included in all procurements and construction projects under this chapter and shall be awarded a minimum of ten percent (10%) of the dollar value of the entire procurement or project. The objectives of this research are: 1. To analyze and define the problem 2. To identify the barriers which hinder the minority/women businesses/contractors in accessing the First Source Hiring Ordinance 3. To design policies to overcome these barriers 4. To identify the consequences of proposed policies. 5. To evaluate those consequences in terms of certain broad social goals. 6. To summarize the above findings in conjunction with presentation of suggestions and recommendations for implementation of First Source Hiring Ordinance proposals. 7. To publicize the findings of this study, with the goal of increasing awareness within the population of the First Source Hiring Ordinance, specifically targeting community organizations that may be in the position to establish relevant intervention programs. For sustainable changes to occur within the City of Providence and its hiring/contracting practices, it is important to have a thorough awareness of the existing knowledge and understanding among the minority/women-owned businesses as well as having a clear understanding of the prevailing social sentiment acting as a barrier to implementation and continued progress of the FSHO in order to prevent a return to past hiring/contracting practices. The City of Providence will benefit from this information because it will enable its policies to 7 better meet the needs of its minority communities. Furthermore, including local minority communities in the decision-making process will translate into greater trust between the city and its residents. Also, the will and commitment to change has to come from the top down. Any good-faith effort should start with more minority representation in government leadership positions. Those in the policy-making positions should be more representative of Providence’s demographics. In addition, those making the decisions must have a commitment to increasing its expenditures with minority/women-owned businesses and to meeting its annual expenditure goals with these businesses. In order to achieve this goal, procurement and payment strategies should be as follows: 1. Ensure its procurement officers are active participants in minority/women owned businesses/contractors outreach organizations and events in order to develop business relationships and to identify additional minority sources of supply; 2. Demonstrate a commitment to providing business opportunities to minority/women- owned businesses/contractors; 3. Explicitly encourage major contractors to subcontract to minority/women-owned businesses/contractors on construction contracts; 4. Evaluate the performance of buyers on involving minority/women-owned businesses in procurement opportunities. It is also important to understand that enforcing FSHO is not a panacea. Minority/women owned businesses/contractors need more training and skill development that will help them expand their business opportunities. 8 I. Community Needs Assessment Rhode Island is the smallest state in the United States, located in New England; bounded by Massachusetts (North and East), the Atlantic Ocean (South), and Connecticut (West). As of April 1, 2000, Providence’s population was 173,618 (U.S. Census Bureau, 2000). Population according to race/ethnicity: 163,063 were Caucasian; 94,666 of African-American descent; 25,243, American Indian; 1,975, Alaska native; 10,432, Asian; 270, native Hawaiian and other Pacific islands; 30,477 were of other ethnicity; total population of two or more races 10,555. Hispanic or Latino in 2000, 52,146 persons of Hispanic origin resided in Providence. (RI Economic, 2004). Providence grew by 8.2% from 1990 to 2000, the largest increase of the ten urban communities—12,890 persons from the 1990 population of 160,728. The Hispanic population more than doubled, and now accounts for 30% of the city total. Meanwhile, the city’s non- Hispanic White population dropped to less than half of the overall population, so “minorities” now comprise a majority of the population (Cities Count, 2002). The side graph is a representation of the diversity that exists in one specific neighborhood within Providence, namely, the Upper South Providence neighborhood. 9 Healthcare and education are the largest drivers of the economy of Providence, while manufacturing is also an important sector. Providence’s largest employer is the City of Providence followed by Lifespan Corporate Services with more than 9,400 employees, then by the Roman Catholic Diocese of Providence with 5,400 employees and Brown University with 4,450 employees (Rhode Island, 2004). The median family income declined sharply (in real dollars) since 1989, and a greater number of families are living in poverty—40% of all children now have poverty status. Nearly half of all households have incomes less than $25,000, and 82% of all public school students are eligible for free or reduced price lunch (Cities Count, 2002). The above illustrates the current situation in a city in which an ordinance was created and signed into law in 1985 that could have significantly influenced such conditions. At that time, Mayor Vincent Cianci signed the First Source Hiring Ordinance (FSHO) into law mandating that all new jobs created as a consequence of city-funded or city-subsidized projects, including those receiving tax concessions, go to qualified Providence residents, unless there is nobody in the city who is qualified to fill the job. Additionally, the FSHO established goals for training and hiring women, minorities and the disabled, including allocation of funds for advertising of this effort and job training programs. At the time this ordinance became law, it required that $250,000 be allocated annually to fund all initiatives related to its implementation. Nonetheless, this money has never been allocated in full, and to date, the FSHO has never been enforced. 10 CHANGES OVER A DECADE 1990 to 2000 CITY Since ‘90 STATE Since ‘90 Population1 173,618 8% 1,048,319 4% Households 62,389 6% 408,424 8% Families 35,859 1% 265,398 2% Public School Enrollment2 26,859 31% 157,347 17% 1989 to 1999 CITY Since ‘89 STATE Since ‘89 Median Family Income* $32,058 -13% $52,781 3% Families Below Poverty 8,642 34% 23,608 32% 1994 to 2001 CITY Since ‘94 STATE Since ‘94 Private Employment 3,4 101,026 2% 405,051 10% * Change in Median Family Income incorporates an inflation adjustment, using the Bureau of Labor Statistics’ Consumer Price Index. According to the latest US Conference of Mayors-Sodexho Hunger and Homelessness Survey, published in December 2003, poverty continued to rise in major US cities during 2003. As the overall economy remained weak, requests for emergency food assistance increased by an average of 17 per cent during the past year, and requests for emergency shelter assistance increased by an average of 13 per cent in the 25 cities surveyed, including Providence. For Providence, there was no foreseeable change in the employment or housing situation (Fecht, 2004). In addition, Rhode Island General law § 37-14.1-6 Minority business enterprise participation reads as follows: Minority business enterprises shall be included in all 11 procurements and construction projects under this chapter and shall be awarded a minimum of ten percent (10%) of the dollar value of the entire procurement or project. The director of the department of administration is further authorized to establish rules and regulation formulas for giving minority business enterprises a preference in contract and subcontract awards. Many of the residents as well as small minority/women owned businesses in Providence’s neighborhoods have a vested interest in the implementation and management of the First Source Hiring Ordinance. The City of Providence will benefit from this information because it will enable its policies to better meet the needs of its minority communities. Furthermore, including local minority communities in the decision-making process will translate into greater trust between the city and its residents. II. Problem Identification/Solution Problem Statement The lack of diversity in the current hiring/contracting practices by the City of Providence government does not reflect the racial and ethnic diversity of the community of Providence’s residents despite the fact that an ordinance to address such disparities was signed into law approximately 20 years ago. To date, the Providence First Source Hiring Ordinance has not been implemented. Full implementation of FSHO would go a long way towards remedying the above inequities. However, it is important to point out that the FSHO is simply one instrument for addressing such problems and should ideally be utilized in the context of a more comprehensive approach. The first step in addressing these long standing inequities, the City must embark on an aggressive hiring/contracting policy that corrects biases in hiring, promoting/advancing and 12 awarding contracts. Historically, the City has operated under the “who you know” system of patronage. Its current system does not openly advertise positions, development projects, request for proposals and it fails to assess the qualifications of a broad application pool. Project Target Community Given the nature of the research being conducted in this project, namely, the Providence First Source Hiring Ordinance and its impact, there are two groups this research seeks to target. The minority/women owned businesses and contractors that directly benefit from requiring each department with substantial procurement or grant-making authority to develop a FSHO implementation plan. The purpose of such plan is intended to encourage minority/women owned businesses and contractors to be able to compete for city contracts. All firms Firms with paid employees Group Firms (number) Sales and Receipts ($1,000) Firms (number) Sales and Receipts ($1,000) Employees Payroll ($1,000) Universe (All Firms) 43,517 33,222,992 14,138 32,066,536 246,523 6,685,862 Total minorities 3,465 377,868 738 296,902 4,897 74,660 Black 1,028 89,241 133 72,988 1,619 17,584 Hispanic 1,780 166,984 370 124,172 1,538 23,894 American Indian and Alaska Natives 238 38,469 44 31,224 191 4,863 Asian and Pacific Islander 745 115,032 231 91,708 1,634 29,802 Women 10,243 1,521,854 2,251 1,354,576 17,147 302,977 Source: 1997 Economic Census Minority- and Women-Owned Businesses Providence County, Rhode Island http://www.census.gov/epcd/mwb97/ri/RI007.html The other group of individuals this research seeks to target is the city officials—the people in charge of hiring/contracting minority/women owned businesses and individuals. This project also seeks to target the managers/supervisors who are the individuals that will be implementing the FSHO. 13 General Objective The goal of this research project is to review the effectiveness of the First Source Hiring Ordinance as well as barriers that prevent its implementation in order to make recommendations as to how current hiring/contracting practices may be improved to fulfill the ordinance’s original objective and spirit. Specific Objectives To meet the general objectives of this research, the following specific objectives will be carried out: 1. To analyze and define the problem 2. To identify the barriers which hinder the minority/women businesses/contractors in accessing the First Source Hiring Ordinance 3. To design policies to overcome these barriers 4. To identify the consequences of proposed policies. 5. To evaluate those consequences in terms of certain broad social goals. 6. To summarize the above findings in conjunction with presentation of suggestions and recommendations for implementation of First Source Hiring Ordinance proposals. 7. To publicize the findings of this study, with the goal of increasing awareness within the community of the FSHO, specifically targeting community organizations that may be in the position to establish relevant intervention programs. III. Project Design Literature Review 14 Extensive research has demonstrated that societal conditions in the United States have historically imposed attitudinal and institutional barriers that prevent minority and women- owned businesses/contractors access to federal, state and local public contracts. Attitudinal barriers may be described as that system of beliefs held by non-minority individuals about persons belonging to minority groups while barriers that are institutionalized include policies, practices, and procedures adopted by entities such as employers, finance institutions, businesses, and public and governmental agencies. Discrimination against an individual may be based on overall assumptions about members of a disadvantaged racial group that are assumed to apply to that individual (i.e., statistical discrimination or profiling). Discrimination may also occur as the result of institutional procedures rather than individual behaviors (CNSTAT, 2004). According to the Aspen Institute, “the institutional component of structural racism - what many call "institutional racism" - is the actual "infrastructure" of historically accumulated white privilege. Political, economic and civic institutions (the courts, legislatures, the "free" market, the media, the criminal justice system, etc.) actively maintain racial inequality even though this may not be their conscious intent. Unequal outcomes are produced because these institutions operate on the basis of "universal" values (e.g., individualism, one-person-one-vote, merit) that are actually deeply racialized in the American context. In other words, these values were constructed in a "universe" that was itself racist and unequal (2004). Additionally, many firms hire more through word-of-mouth recommendations from their existing employees than through external advertising (Waldinger and Lichter, 2003). By itself such a practice is racially neutral, but if existing (white) employees recommend their friends and neighbors, new hires will replicate the racial patterns in the firm, systematically excluding nonwhites. Such practices do not necessarily 15 entail intentional discrimination, but they provide a basis for legal action when the outcome is the exclusion of certain groups, namely, minority/women owned businesses. Minority-owned businesses grew more than four times as fast as U.S. firms overall between 1992 and 1997, increasing from 2.1 million to about 2.8 million firms, according to a report released by the Commerce Department's Census Bureau (Economic Census, 1997). Minority Business Enterprise programs are a response to specific executive and congressional findings that widespread discrimination, especially in access to financial credit, has been an impediment to the ability of minority owned businesses to have an equal chance at development in our economy. Economic growth cannot be sustained without the inclusion of minority businesses and an infusion of capital into those businesses (Yago and Pankratz, 2000). When attempting to identify problems affecting small businesses, those who seek to improve these problems through legislation must consider the most appropriate and politically means available. There are laws that affect small businesses and these can be arranged into the following general categories: civil rights statutes, entitlement programs, regulatory statutes, and other provisions that include tax legislation, appropriations and loans. One law that has had some relative success in employment, education, and government contracting is Affirmative Action. However, government contracting is perhaps the least studied, despite its importance for the economic progress of minority communities. The Urban Institute carried out a study to assess the extent to which minority-owned firms receive a representative share of state and local government contract dollars. This analysis reveals substantial disparities between the share of contract dollars received by minority-owned firms and the share of all firms that they represent. Based on their number, minority-owned firms 16 received only 57 cents for every dollar they would be expected to receive (Enchautegui, et al, 1997). Research has confirmed disparities in entry and mobility of small businesses based on owner characteristics. In a study of small firms, Bates (1995) found that (while controlling for age, marital status, education, experience, and wealth) minorities, particularly African- Americans and Hispanics, are much less likely to enter self-employment than non-minorities. MacManus (1990) argued that the preponderance of evidence indicates that mobility in public procurement, in terms of market penetration, differs across racial and ethnic groups. In 1998, small businesses were contracted to provide $41 billion dollars worth of work to the U.S. government—approximately 21 percent of the $195 billion in procurement money awarded to all businesses. However, minority-owned businesses were awarded just 5.8 percent of all procurement—$11.3 billion in procurement money. This amount is nearly the same as the 5.5 percent of the total procurement amount that minority businesses were awarded in 1996 (Yago and Pankratz, 2000). The Urban Institute further states that the potential value of using procurement policies to promote minority entrepreneurship is limited given the number and size of minority firms. Minority-owned businesses are a smaller percentage of all businesses than the percentage of minorities in the population. African-Americans constituted 12 percent of the population in 1992, although they owned only 3 percent of U.S. businesses. Similarly, Latinos represented 9 percent of the population, but owned only 5 percent of businesses. Women-owned firms were also underrepresented compared to population share. Asian and "other minority business owners," however, were over-represented, given their share of the population (Enchautegui, et al, 1997). 17 What other cities are doing In response to disparities in minority/women owned contracting, many cities across the U.S. have signed into law ordinances similar to the FSHO. The following is just a small example of such policies and the results of having implemented such policies: Baltimore—Mayor Martin O'Malley's issued Executive Order 211 in September 2001, and was implemented during that same month. A strategy for implementing such Order is contained in a document entitled “COMMITMENT TO MINORITY INCLUSION IN THE DEVELOPMENT OF THE DIGITAL HARBOR AND THE WEST SIDE” that was released in March 2001. The results of that implementation have been that in 2000 the city spent $45 million with minority-owned and women-owned firms, by the end of 2004 the City spent almost $100 million with minority-owned and women-owned firms (Garris, 2005). The breakdown of the numbers relative to the composition of the minority businesses receiving contracts was not available from the report. Fort Worth—effective June 1, 2003, the City of Fort Worth approved Ordinance 15530 repealing all previous minority and women businesses ordinances, in an attempt to provide a remedy for past under-utilization of qualified minority and women businesses and prevent ongoing underutilization of minority and women business enterprises in the City's contracting process by ensuring the full and equitable participation of minority and women business enterprises in the provision of goods and services to the City on a contractual basis. The ultimate goal of this ordinance is to remedy the effects of past under-utilization in the Marketplace by increasing the use of minority and women business enterprises above the present low level to, based upon availability, thirteen percent (13%) for minority businesses and twelve percent (12%) for women businesses. These goals are not quotas (City of Fort Worth, 2005). 18 Chicago—on January 30, 1991, the Board of Education of the City of Chicago (the "Board") adopted the Revised Remedial Plan for Minority and Women Business Enterprise Economic Participation ("M/WBE Plan"). The M/WBE Plan is the governing document establishing and explaining requirements concerning Minority and Women Business Enterprise participation and its terms are incorporated into the contract. Compliance with the provisions of the M/WBE Plan is an element of bidder/proposer responsibility for award of the contract. One goal for MBE participation, with sub-goals for Black, Hispanic, and Asian participation, to insure that the minority groups that are the principal discrimination victims will, in fact, receive the principal portion of the remedy, with a separate WBE participation goal. For purposes of meeting the WBE goal, businesses owned by Minority Women may be counted on a particular contract as an MBE or WBE, but not both (City of Chicago, 2005). Project The project’s strategies and activities are guided by three core values—community participation, learning by doing, and creating diversity in city hiring and contracting. Participation of community organizations, managers/supervisors, and minority/women owned businesses is essential for developing appropriate strategies for strengthening local capacity and building a sense of ownership and common commitment to achieving the desired goals of the FSHO. The manner in which this project has been designed and the way it will ultimately be evaluated reflects the previously mentioned core values. 1. The first step is to do an overview of the major components of the City of Providence First Source Hiring Ordinance, including: • Statement of Findings and Rationale 19 • Principle and Overarching Goals • Definitions • Core Policies • Methods of Administration • Program Support • Methods of Evaluation Using the information described in Part 1, which includes general questions for analyzing the extent to which minority/women business specific programs or policies reflect the principles, goals, definitions, core policies, methods of administration, and program supports set out in the City of Providence First Source Hiring Ordinance. Answering these questions may entail, among other things, reviewing previous studies and reports, reviewing data, conducting analyses of proposed and final policy pronouncements, and conducting surveys of stakeholders. A questionnaire (Attachment “A”) sent to a representative sample of minority/women owned business owners/contractors to assess the existing awareness of the FSHO as well as perceived obstacles and barriers to the fulfillment of their business goals within the Providence area. A report providing analysis of data obtained from questionnaires received back from minority/women owned businesses/ contractors should be provided to the City in support of outreach strategies. Participation of minority/women owned businesses and other stakeholders is essential in the evaluation of the FSHO. These businesses and stakeholders possess an understanding of the realities facing the minority/women owned businesses that external evaluators need to take into consideration. Therefore, all those ultimately affected by the design of strategies for the implementation of the FSHO should be involved at various points in the design, 20 implementation and evaluation of the FSHO process. The degree of stakeholder involvement may potentially affect the understanding and acceptance of such interventions. 2. In order to increase the understanding of the prevailing social sentiment acting as a barrier to implementation of the FSHO, a “Hiring Attitude Assessment Inventory (HAAI)” survey (Attachment “B”) has been designed to determine prevailing attitudes among city employers receiving public funds. This information will assist in developing the necessary education measures to prevent a return to past hiring/contracting practices. The purpose of this survey is to assess prevailing attitudes among the City of Providence hiring personnel and business owners/contractors that receive public funds, in regards to the hiring and or sub-contracting of minorities. Much research has demonstrated that the phenomenon of "social categorization" is an important force governing many types of interaction within the social world (Tajfel et al., 1971). Studies have shown that the perception of others as belonging to "in-groups" (one's own) versus "out-groups" (those not one's own) can have a significant impact upon judgments made of others qualities and capabilities (Judd et al., 1995). Furthermore, among the problems in addressing such biases is the observation that those making these judgments are oftentimes unaware of their propensities to discriminate. Imposition of social categorization is a pattern of behavior found among all ethnic groups and all education and SES levels. Nonetheless, in order to begin to promote an environment of equitability in the hiring and employment process, exposure of existing attitudes and prejudices is an important starting point. From the information gathered through this survey, it is hoped that a greater awareness will be achieved of social forces that may be an obstacle to the hiring of minorities and/or contracting of minority/women owned businesses. Only at 21 that point, recommendations to reduce the impact of such influences should be presented in order to have true sustainable change. 3. A Strategic Plan with a market and organizational analysis, conclusions, recommended objectives and strategies to achieve the objectives. The purpose of the strategic plan is to provide a blueprint to minority/women owned business community for the formulation of policies, the development of operating procedures and the management of the FSHO. Host Organization Mijoba Communications has been in operation since July of 1997 and is a multi-faceted consulting firm with a special focus upon cultural and ethnic diversity as such issues are manifest in social, health, educational and business environments. Our philosophy is based on the idea that attention to culture, ethnicity and global diversity is essential to success in the rapidly changing world of the 21st century. As reflected in the services provided, it is no longer acceptable to consider any population or market as isolated from the rest of the world. Whether in healthcare, business, marketing, educational programs or any other professional venture, the world is now an interconnected web in which effective communication on all levels is vital to social and economic survival and success. Timetable to Meet Objectives • First four months of research project—Complete analysis of the Providence First Source Hiring Ordinance by reviewing the existing literature as well as the approaches other cities have undertaken in implementing similar ordinances/laws and the results of said implementations. Interview and survey the FSHO intended target groups, namely, 22 minority/women owned businesses/contractors and individuals. Identify and design new FSHO implementation proposals, including identifying the consequences of proposed policies, and the evaluation of those consequences in terms of certain broad social goals. • Last three months of research project—Complete a Strategic Plan with a market and organizational analysis, conclusions, recommended objectives and strategies to achieving the objectives. • Monitoring progress throughout the life of the project will be done. 23 24 Staffing The principal investigator taffing this research project will be Nadesha Mijoba. Ms. Mijoba in her efforts to complete this project will receive assistance from Francisco Cruz, MPA and by Reuben Spitz, PhD—both have volunteered their time for the exclusive purpose of completing this research project. Francisco Cruz, MPA Mr. Cruz brings an extensive expertise in the areas of community, business and economic development. As a former community business liaison officer with the City of Providence, Mr. Cruz assisted with the development of a support system for the growth of successful businesses in the Broad Street marketplace. Presently, as Board Secretary for Urban Ventures, Mr. Cruz is active in the administration of an urban business incubator currently housing four minority- owned businesses. Mr. Cruz has a Masters in Public Administration from Harvard University. 25 Nadesha Mijoba Ms. Mijoba’s administrative and organizational experience spans fifteen years, including legal, private, government and private non-profit organizations. Ms. Mijoba has been a team member on various community projects such as the Rhode Island Hispanic Chamber of Commerce of which she was the President during its first year of operation and a member and founder of Power-Up Women in Business in Rhode Island. She heads the Education Committee of the American Society of Public Administrators Rhode Island Chapter as well as a member of the Rhode Island and Connecticut Chapters. Ms. Mijoba has a BS from Roger Williams University in Public Administration with a minor in Business Administration and is currently working on her Master in Science in Community Economic Development from Southern New Hampshire University as well as a Master in Public Health from Boston University. Reuben T. Spitz, Ph.D Dr. Spitz is a Connecticut licensed psychologist. Dr. Spitz is also affiliated with the Department of Psychiatry at Lawrence & Memorial Hospital in New London and currently serves as consulting psychologist with GPG Consulting in Waterford, CT. Dr. Spitz has an M.A. in General Psychology from Connecticut College, New London, CT, and a Ph.D. in Clinical Health Psychology from Yeshiva University and Albert Einstein College of Medicine, Bronx, NY. He has been a visiting/adjunct professor at Central Connecticut State University, New Britain, CT, Connecticut College, New London, CT, and Yeshiva University, Bronx, NY. He is also an Assistant Clinical Professor, Department of Epidemiology and Population Health, Albert Einstein College of Medicine, Bronx, NY. 26 IV. Budget Funds from the general account will be utilized to begin the research and analysis of the First Source Ordinance as well as providing all necessary supplies and materials. First Source Hiring Ordinance Research Project Project Budget 12/1/04 - 6/30/05 Personnel Costs Consultant—Nadesha Mijoba In-kind Consultant—Francisco Cruz, MPA In-kind Consultant—Reuben T. Spitz, PhD In-kind Total Personnel $0 Non-Personnel Costs Printing costs for surveys, questionnaires, etc. $700 Postage $250 Materials and Supplies (Paper, Disks, CDs, Markers, Easel Pads, etc.) $200 Refreshments for meetings with minority/women owned businesses $700 Total Non-Personnel $1,850 Total Project Cost $1,850 27 V. Implementation Plan Activities / Tasks Responsible Party Status Required Resources/Procedures Objective: Administration of project Monitor project progress Nadesha Mijoba Ongoing Objective: To analyze and define the problem and to identify the barriers which hinder the minority/women businesses/contractors in accessing the First Source Hiring Ordinance Complete literature review and best hiring practices research Nadesha Mijoba Completed Look at what other cities nationwide have done to address the issue of contracting/hiring minority/women owned businesses. For this access to the internet and library will be necessary. Interview small minority/women businesses regarding FSHO Nadesha Mijoba Completed Spoke to eleven minority/women owned businesses Design questionnaire to assess perceived obstacles/barriers to the fulfillment of minority business goals within the City Nadesha Mijoba and Francisco Cruz Completed Designed a baseline document to be tested in order to assess its effectiveness in gathering necessary data. Test above-mentioned questionnaire Nadesha Mijoba Completed Tested the questionnaire on 10 subjects for its effectiveness. Subsequent changes were made to the instrument. Finish the design of such instrument. Send questionnaire to a representative sample of minority/women owned businesses and contractors Nadesha Mijoba Pending A mailing list of existing minority/women owned businesses/contractors. Postage. Objective: To assess and understand the prevailing social sentiment acting as a barrier to implementation of the FSHO Design of “Hiring Attitude Assessment Inventory (HAAI)” survey Nadesha Mijoba Completed Review much of the social and behavioral literature regarding this issue as well 28 as principles of organizational change Have “Hiring Attitude Assessment Inventory (HAAI)” finalized by behavioral psychologist Reuben T. Spitz, PhD Completed The primary goal of this inventory is to learn about individual and team practices as well as the organization in order to design the appropriate change program. Pro-bono work by a psychologist Test “Hiring Attitude Assessment Inventory” Survey Nadesha Mijoba and Reuben T. Spitz Pending This would necessitate the assistance of city government as well as major contractors/vendors Prepare proposal to City of Providence to apply the “HAAI” survey and to provide the City with a report with the results of the survey as well as recommendations Nadesha Mijoba and Francisco Cruz Proposal is in the process of being drafted Objective: To summarize the above findings in conjunction with presentation of suggestions and recommendations for implementation of First Source Hiring Ordinance proposals. Engage in strategic plan focusing on market and organizational analysis, conclusions, recommended objectives and strategies to achieve the objectives. Nadesha Mijoba Pending Objective: To inform the public with the goal of increasing awareness of the First Source Hiring Ordinance. Publicize the findings and strategies for implementation Nadesha Mijoba Pending completion of the project Work in partnership with community-based organizations to conduct public meetings, to distribute relevant information, etc. Create a package of essential information regarding minority business certification and the FSHO Nadesha Mijoba and Francisco Cruz In the works Design software. Mijoba Communications will utilize in-house designers to create these informational tools. We will attempt to secure donations for the costs of paper stock, printing and 29 delivering all the materials to the community Get above information out to the community Nadesha Mijoba Pending Obtain the collaboration of community-based organizations to get the information out to the people they serve The City of Providence recently hired Robert Leaver of New Commons, a professional consulting firm to design strategies for implementing the FSHO. Apparently, due to an agreement with the city, New Commons has recently made it clear that they are unable to release any information regarding their plan for implementation of the FSHO until the City itself releases the plan. This writer feels it necessary to state that the process by which the grant (i.e., $20,000.00) that was awarded has not been made entirely clear to date. In fact, it appears to have been through the customary practices—the same practices that the FSHO seeks to address. Furthermore, it should also be stated that this research project had originally begun by the principal investigator under the direction of Urban Ventures but that all such efforts have been now forwarded to the New Commons group. In fact, the executive director of Urban Ventures stated he was not in a position to answer the questions raised relative to the review and implementation FSHO. Conversations are now taking place with the President of the Board of Directors of Urban Ventures regarding this matter. In addition, while an admittedly sensitive issue, it needs to be noted at this time that the consultant (i.e., Robert Leaver) who has been hired by the City of Providence is not a representative of any minority group intended to be addressed by the FSHO. Although this may be construed as a seemingly superficial observation, all aspects of public presentation are critical in reducing the level of demoralization historically present among this, and most, minority communities. It is the opinion of this writer that every effort should be made to regain the trust of 30 those to whom the FSHO is directed, particularly in light of the strong probability that the presentation of the implementation plan will involve a significant participation by local and state media representatives. Thus, further consideration should be given to cultural sensitivity issues at every stage, especially early on when establishment of trust can eliminate unnecessary barriers to success. In short, a consistent and direct involvement of minorities at every stage in the FSHO implementation process is strongly recommended. Many of the businesses approached by the investigator have expressed reservations about the process being undertaken by the City in addressing the FSHO. It has been expressed that very little is expected to come out of this, if anything at all. “Business as usual, the gold old boys’ club” is often what is expressed. Given the concerns expressed above, the decision was made to continue this research project under the auspices of Mijoba Communications thus permitting the ability to express any and all concerns regarding this issue. There appears to be some resistance to having a truly transparent process to the design and implementation of the FSHO. It is, however, the recommendation of this writer that upon release of the New Commons implementation plan by the City, Urban Ventures, and other such community-based organizations with similar missions, should engage in strategic planning to implement the recommendations of the Providence First Source Hiring Implementation Plan through a six-step process. Community-based organizations interested in the growth of minority/women owned businesses and the well being of the community in general, always with the input from the members of the community it serves, should determine appropriate timelines for accomplishing each of these steps. This recommended six-step process consist of: 31 1. Identifying and prioritizing implementation goals; 2. Developing initial strategies to implement the FSHO; 3. Identifying barriers within the organization to implementation; 4. Identifying action steps to overcome these barriers; 5. Implementing the Plan recommendations as prioritized; and 6. Evaluating and revising the process as necessary. VI. Monitoring/Evaluation It is strongly recommended that regular evaluation and monitoring of the First Source Hiring Ordinance implementation strategies will be critical to its success, and to ensuring its responsiveness to the conditions that exist in the community, the economy, and its impact over time. The purpose of evaluating this process is to document the progress being made toward meeting the objectives as well as monitoring the procedures being used to accomplish the goals of the Providence First Source Hiring Ordinance. Establishing a good monitoring/evaluation system will not only demonstrate results, but it should assist in developing strategies for continued evaluation and improvements. Gathering Credible Evidence All data should be recorded carefully in order to tabulate and summarize during the analysis stage. Standardized procedures should be implemented and followed to insure that the data are dependable and accurate. Data Analysis The data must be tabulated, summarized, and interpreted to answer the evaluation questions. Appropriate descriptive measures and inferential techniques should be used to analyze the data. 32 Reports should be generated in order to communicate the results to the public and appropriate decision makers. The writer of the report will take into account the target audience and need to know about the results of the evaluation and the best way to present the results. Evaluation Use An evaluation report should be the result of the use of multiple methods adopted collaboratively by the evaluators and by those affected by the FSHO. It should include the results of self-assessments by project participants, various types of interviews, comparisons over time, surveys, and in-person as well as phone interviews. Both quantitative and qualitative data should be collected and analyzed. The results of the evaluation will be used to measure the success of the First Source Hiring Ordinance and its strategic plan for implementation. For example, the report may indicate that a particular department within the city has not reached its stated goal of contracting with minority/women owned businesses or has had difficulty in implementing its strategies correctly. If so, then changes to remedy the situation need to be established. In addition, the evaluation will also provide critical information of lessons learned to all others that may want to adopt such strategies. The overall success of the City of Providence First Source Hiring Ordinance will be determined by the total number of individuals belonging to minority groups and minority/women owned businesses that are hired/contracted through the City. The objectives that the FSHO seeks to achieve and the performance indicators that should be measured and assessed to determine the effectiveness of such ordinance are: The objectives of the First Source Hiring Ordinance (FSHO) analysis should include the following: • Assessment of the appropriateness of the ordinance in addressing Providence’s economic development problems; 33 • Definition of suitable indicators and quantification of objectives; • Analysis of how adequate the implementation and monitoring strategies are; • Assess the number of reports of city employee-based discrimination in the procurement of goods and services; • Assess the legal challenges on race- and gender-based procurement; and • Assessment of FSHO’s overall impact 1. Assessment of Appropriateness • What are the lessons learned from past experiences? • What are the barriers, difficulties, and other issues experienced that need to be addressed? • How to assess the validity of the data used and obtained from other programs? 2. Specification of Strategies • Are the strategic objectives well specified? • Do the strategic objectives sufficiently respond to the needs identified in the analysis? • Are the proposed measures justified by the strategy? 3. Implementation Suitability • Is the city spending proportionally more each year with minority/women businesses? • Who is responsible for the management and implementation? • How transparent is the process? • What about accountability? • Who are the partners in the programming and monitoring process? • Should a monitoring committee be set up? • Has appropriate training and guidelines for monitoring been supplied? 4. Impact assessment • What are the effects of FSHO (i.e. increase in minorities hired within the city government in dollars and percentages)? • Are minority/women business satisfaction surveys utilized to provide feedback on doing business with the city? 34 VII. Communicating research results The research into the effectiveness of the FSHO is expected to produce important new qualitative data that will clarify the factors leading to the existing hiring/contracting practices of the minority/women owned businesses, ultimately being the basis for mobilizing government and private support. Since the results of this research may have a potential impact on existing hiring/contracting policies and interventions, communication between researchers, policy- makers, community leaders, and the public in general is vital to the outcome of a successful implementation plan. Communicating the results of this research and proposed interventions will be a difficult challenge, since simply presenting the findings will not automatically impact practices that have been in place for many years. Influencing decisions regarding the hiring/contracting practices will require a major change in philosophy by community stakeholders and policy makers. When presenting the findings, it is vital for stakeholders and policy makers to develop a good understanding of the underlying factors contributing to the existing hiring/contracting practices and their implications. It is also important that stakeholders and policy makers develop a sense of confidence that the public will accept reasonable and appropriate interventions, given the fact that the public is oftentimes extremely sensitive to these issues. The communication of research results must be done in a broad manner, taking advantage of the wide range of media and other means of disseminating such information. Furthermore, opportunities for the public to have some input during the decision making process are essential. Ideally, effective communication of the results from this research should promote better public understanding and acceptance of designed implementation of the FSHO. 35 Recommendations The FSHO implementation plan should have two main goals for communicating the research results: • Develop a public communication approach based on principles of social and behavioral science research. The following issues should be taken into consideration when developing approaches to disseminating information and how the public will respond to such information: (1) public perceptions of the potential benefits of such ordinances; (2) the perceived importance of the activities and conditions that will prevent past hiring/contracting practices; (3) trust and confidence in regulators and decision makers; (4) the role of the media in characterizing minority/women owned businesses; (5) the role of advocacy groups; and (6) the process by which decisions are made. Presentation of the results of this research to the public should be done in a form that is useful and easily understood. The information can be disseminated through web pages, written resources for business development centers, community and faith-based organizations, public meetings, along with a coordination of multimedia coverage of research results and proposed implementation strategies. Public meetings would provide opportunities for the public to meet with community leaders and regulators involved in policy-making thus allowing the public to have an active role in the decision-making process. • Develop a communication network between policy makers and all stakeholders. The successful implementation of the FSHO policies and interventions is highly dependent on the effective interactions and collaborations among community leaders, different organizations, regulators, decision makers, minority/women owned businesses and the 36 public. It is essential to develop a communication network that will ensure the continuation of adequate dissemination of information relative to such ordinances. VIII. Conclusions and Recommendations The conclusions of this writer relative to the Providence First Source Hiring Ordinance and its implementation should be considered preliminary and may change slightly with additional data and analyses. This is a representation of the most basic and complete analyses. For sustainable changes to occur within the City of Providence and its hiring/contracting practices, it is important to have a thorough awareness of the existing knowledge and understanding among the minority/women-owned businesses relative to the FSHO and the best vehicles to disseminate this information out into the community as well as the appropriate design of outreach materials. It is also important to have a clear understanding of the prevailing social sentiment acting as a barrier to implementation and continued progress of the FSHO. This information will assist in developing the necessary education measures to prevent a return to past hiring/contracting practices. The City of Providence will benefit from this information because it will enable its policies to better meet the needs of its minority communities. Furthermore, including local minority communities in the decision-making process will translate into greater trust between the city and its residents. However, the will and commitment to change has to come from the top down. Any good-faith effort should start with more minority representation in government leadership positions. Those in the policy-making positions should be more representative of Providence’s demographics. In addition, those making the decisions must have a commitment to increasing its expenditures with minority/women-owned businesses and to meeting its annual expenditure 37 goals with these businesses. In order to achieve this goal, procurement and payment strategies should be as follows: In order to achieve this goal, procurement and payment strategies should be as follows: 1. Ensure its procurement officers are active participants in minority/women owned businesses/contractors outreach organizations and events in order to develop business relationships and to identify additional minority sources of supply; 2. Demonstrate a commitment to providing business opportunities to minority/women-owned businesses/contractors; 3. Explicitly encourage major contractors to subcontract to minority/women-owned businesses/contractors on construction contracts; 4. Evaluate the performance of buyers on involving minority/women-owned businesses in procurement opportunities. It is also important to understand that enforcing FSHO is not a panacea. Minority/women owned businesses/contractors need more training and skill development that will help them expand their business opportunities. Recommendations It is the opinion of this writer that four components should be integrated in the design of any strategy to implement the FSHO—policies that will encourage the hiring/contracting of members of minority groups as well as minority/women owned businesses, organizational change programs, and institutionalization of FSHO implementation strategies. Based on the review of the literature and the approaches for implementing similar ordinances used by other cities, the preliminary results of the Minority Business Interests and the Providence First Source Hiring Ordinance (FSHO) Survey Tool, the following recommendations are made: 38 Policies • All city departments should have a mechanism for verifying sub-contractor expenditures, (i.e. copies of cancelled checks, or a subcontractor utilization form, as well as a system to track minority business spending by neighborhood in order to detect geographical spending imbalances). • The City should focus on expanding minority participation in the contractual services, for example, legal services, auditors, consultants and information technology companies. • Analytical data should be presented in the percentage awarded to minority vendors with a breakdown of specific minority groups as well as the percentage awarded to non-minority vendors. This will assist in verifying that there is, in fact, an increase in spending with minority- and women-owned businesses. • The city working in partnership with other organizations should expand its efforts to certify minority- and women-owned businesses and expand education efforts to explain the process of how minority- and women-owned businesses receive contract work. • The city should provide customer satisfaction surveys to minority- and women-owned businesses in an effort to measure the effectiveness and success of the First Source Hiring Ordinance. • The city should seek greater diversity among its purchasing agents, purchasing directors, and contract administrators, as well as all other employees involved in the procurement of goods and services. • The city should adopt enforcement policies to address the failure of prime contractors to deliver on the subcontracting of minority businesses promised at the time the contract was awarded. 39 • The city should ensure that all its purchasing employees are fully trained in the importance of diversity and informed about minority business sourcing. • Diversity among suppliers should be a formal part of the performance evaluation process for agency heads and purchasing agents. • Diversity among suppliers’ efforts should be adequately funded in the city budget to insure the continued growth of minority business spending. Organizational Change programs It is not enough to provide the physical, financial, human resources, new information or other tools for organizational change, but how to effectively use all these things to change an existing problem and to actually bring about change in the procedures of an organization. A number of critical success factors are associated with fundamental organizational change: • Management’s commitment to change • The support from key community stakeholders • Support within the organization • Appropriate institutional innovations • The necessary resources for implementing change • Qualified management of the organizational change process Many organizational change programs fail because they focus on a single success factor while other complementary factors are ignored. If one is to create sustainable change, it is essential to work simultaneously on both technical and political factors at different organizational levels—ranging from top managers/supervisors and key community stakeholders 40 who must lead, approve, and support change, to operational staff members who must design and implement new management systems. Those that will be implementing the new interventions and its intended beneficiaries should play a major role in designing and managing organizational change programs. Many programs are often designed and implemented by external organizations. The results are often disappointing since oftentimes the recommended approaches are inappropriate, underutilized, or unsustainable. Involving the intended beneficiaries in all phases of program design, implementation and evaluation can be very valuable. Participation of managers/supervisors from all departments may contribute to the relevance of activities, guidelines, and services. It also enhances ownership of the project and its results. Institutionalization Unless there has been an institutionalization of operating attitudes, procedures and culture, when the rules and norms for a new organizational system have been established (i.e. new procedures, guides, manual, etc.) and staff has been trained in their use - little more can be said to have occurred other than a reorganization of the system. Not until the users of the system accept and value and use it routinely, meaning it becomes part of standard operating procedures and the new culture of the organization, can one say that the system is now institutionalized. To Practitioners of CED • It is important to realize that one must spend time with the target community to determine and understand its needs and desires—not what one perceives they need and desire. In addition, it takes time to build relationships within the community in order to gain its commitment to organized and sustainable involvement. 41 • All CED practitioners need to have some understanding of the attitudes and motivations underlying behavior change within communities. Social science research has demonstrated that numerous factors contribute to individuals, and communities, ultimate commitment to change and the dynamics that serve to sustain growth and future-oriented thinking. It is thus important for the CED practitioner to broaden their theoretical focus when seeking to promote positive change in any project setting. • It is also important to realize that an essential but often neglected component of public involvement is ascertaining public consensus, or lack of consensus, about a particular project or intervention in question. As a CED practitioner, follow-up reports should be provided on a timely basis after every significant public hearing or meeting. • As a practitioner, one cannot do it alone—building partnerships with other community organizations can be an invaluable asset. 42 Acronyms and Definitions Acronyms: CED —Community Economic Development FSHO —First Source Hiring Ordinance HAAI —Hiring Attitude Assessment Inventory MBE —Minority Business Enterprise UV —Urban Ventures WBE —Women Business Enterprise Definitions: According to the race categories used in the U.S. Census in 2000, minority means a person who is a citizen or lawful permanent resident who is: • “Black or African American” refers to people having origins in any of the Black racial groups of Africa. It includes people who indicated their race or races as “Black, African- American, or Negro,” or wrote in entries such as African-American, Afro-American, Nigerian, or Haitian. • “American Indian and Alaska Native” refers to people having origins in any of the original peoples of North and South America (including Central America), and who maintain tribal affiliation or community attachment. • “Asian” refers to people having origins in any of the original peoples of the Far East, Southeast Asia, or the Indian subcontinent, i.e. “Asian Indian,” “Chinese,” “Filipino,” “Korean,” “Japanese,” “Vietnamese,” or “Other Asian.” • “Native Hawaiian and Other Pacific Islander” refers to people having origins in any of the original peoples of Hawaii, Guam, Samoa, or other Pacific Islands. • The Office of Management and Budget defines Hispanic or Latino as “a person of Cuban, Mexican, Puerto Rican, South or Central American, or other Spanish culture or origin regardless of race.” In data collection and presentation, federal agencies are required to use a minimum of two ethnicities: “Hispanic or Latino” and “Not Hispanic or Latino.” “White” refers to people having origins in any of the original peoples of Europe, the Middle East, or North Africa. It includes people who indicated their race or races as “White” or wrote in entries such as Irish, German, Italian, Lebanese, Near Easterner, Arab, or Polish. 43 Minority Business Enterprise or MBE means a small business as defined pursuant to Section 3 of the Federal Small Business Act (15 USC Section 632) and implementing regulations, which is owned and controlled1 by one or more minorities (Title 37). Women Business Enterprise or WBE means a small business as defined pursuant to Section 3 of the Federal Small Business Act (15 USC Section 632) and implementing regulations, which is owned and controlled1 by one or more women (Title 37). 1 Owned or controlled means a small business concern which is at least fifty-one percent (51%) owned and controlled by one or more socially and economically disadvantaged individuals or in the case of a publicly owned business, at least fifty-one (51%) of the stock of which is owned by one or more socially and economically disadvantaged individuals; and whose management and daily business operations are controlled by one or more such individuals. 44 References 1997 Economic Census Minority- and Women-Owned Businesses Providence County, Rhode Island http://www.census.gov/epcd/mwb97/ri/RI007.html 1997 Economic Census. Survey of Minority-Owned Business Enterprises Company Statistics Series. U.S. Department of Commerce. Economics and Statistics Administration U.S. Census Bureau. Available: http://www.census.gov/prod/ec97/e97cs-7.pdf. Accessed: 11/04. Bates, T. (1995). Self employment entry across industry groups. Journal of Business Venturing, 10, 143-157. Cities Count. Profiles of Urban Rhode Island “Providence”. Available: http://www.ripec.com/pdf/cc_urban_41_44.pdf. Accessed: 11/04. City of Fort Worth Official Website at http://www.fortworthgov.org/mwbe/pdf/42203PreambleOrd15530.pdf Accessed: 1/05 City of Chicago Board of Education. REVISED REMEDIAL PLAN FOR MINORITY AND WOMEN BUSINESS ENTERPRISE ECONOMIC PARTICIPATION http://www.csc.cps.k12.il.us/purchasing/pdfs/MWBEInstructions.pdf Accessed: 1/05 Committee on National Statistics. Measuring Racial Discrimination (2004) Available: http://books.nap.edu/books/0309091268/html/56.html#pagetop. Accessed: 1/05. Enchautegui, M. E.; Fix, M. E.; Loprest, P. J.; von der Lippe, S. C.; Wissoker, D. A. (1997). Do Minority-Owned Businesses Get a Fair Share of Government Contracts? Available: http://www.urban.org/url.cfm?ID=307416. Accessed: 11/04 Fecht, Josh. Hunger and homelessness still on the rise in US cities. Available: http://www.citymayors.com/features/uscity_poverty.html. Accessed 11/04. Garris, Andrea. E-mail correspondence from the Mayor's Office of Minority Business Development. 2/05. Judd, C.M., Park, B., Ryan, C.S., Brauer, M., & Kraus, S. (1995). Stereotypes and ethnocentrism: Diverging interethnic perceptions of African-American and White American youth. Journal of Personality and Social Psychology, 69, 460-48. MacManus, S.A. (1990). Minority business contracting with local government. Urban Affairs Quarterly 25, 455-473. 45 Rhode Island Economic Development Corporation Official Website. The Cities and Towns of Blue Sky. Available: http://www.riedc.com/riedc/ri_databank/31/266/. Accessed: 11/04. Rhode Island’s Top 100 Employers. Rhode Island Economic Development Corporation. June, 2004. Available at: http://www.riedc.com/files/1Top_Employers_2004.pdf. Accessed: 11/04. Tajfel, H., Flament, C., Billig, M.G., & Bundy, R.F. (1971). Social categorization and intergroup behaviour. European Journal of Social Psychology, 1, 149-177. The Aspen Institute, Project on Structural Racism and Community Revitalization. Available: http://www.aspeninstitute.org/Programt1.asp?bid=13013&i=83 Accessed: 2/05. Title 37 Public Property and Works, CHAPTER 37-14.1 Minority Business Enterprise, SECTION 37- 14.1-3 Available: http://www.rilin.state.ri.us/Statutes/TITLE37/37-14.1/37-14.1-3.HTM Accessed: 2/05. U.S. Census Bureau, Overview of Race & Hispanic Origin. Census 2000 Brief. Issue March 2001. http://www.census.gov/prod/2001pubs/c2kbr01-1.pdf Accessed: 1/05. U.S. Census Bureau, American Community Survey Office. Population and Housing Profile: Providence County, Rhode Island. Last revised: Friday August 27, 2004. Available: http://www.census.gov/acs/www/Products/Profiles/Single/2003/ACS/Narrative/050/NP05000US 44007.htm. Accessed: 11/04. Waldinger, R., and Lichter, M.I. (2003) How the Other Half Works: Immigration and the Social Organization of Labor. Berkeley: University of California Press. Yago, G. and Pankratz, A. (2000) Minority Business Challenge Research Report. Democratizing Capital for Emerging Domestic Markets. Milken Institute. Available at: http://www.mbda.gov/documents/democratizing.pdf. Accessed: 11/04. Websites U.S. Census 2000 Briefs and Special Reports http://www.census.gov/population/www/cen2000/briefs.html 46 Attachment “A” FOR OFFICE USE ONLY Minority Business Interests and the Providence First Source Hiring Ordinance Survey Tool The Providence First Source Hiring Ordinance (FSHO) survey tool is designed to give decision- makers within the City of Providence information on perceptions and/or knowledge that business owners have about the FSHO and the community’s small business climate. With this information, it may be possible to identify areas that need attention to enhance the climate for minority and women small business growth. Please answer the following questions based upon your experiences in the community. Privacy Statement This survey is completely confidential. Do not place any identifying marks on the survey form or envelope. There is no way for anyone to know your individual responses. The survey envelope will not be open until it is received at the processing center. Your Participation is Voluntary Your participation in this survey is voluntary. If you do not wish to answer a question, just leave it blank. If you do not wish to participate in this survey, you may: Return the entire survey form blank in the enclosed self-addressed envelope. We do, however, value and welcome your participation. The most accurate result will depend on getting as many minority/women businesses/contractors to participate in this survey as possible. Your help is important to this effort. Thank you for your assistance. Information about you 1. Gender: ? Female ? Male 2. How old are you? __________ years old 3. Ethnic Origin ? White or Caucasian ? Native American 47 ? Black or African-American ? Hispanic (all races) ? Asian or Asian-American ? Other__________________________ 4. Is English your native language? ? Yes ? No 5. Highest level of education (please check one): ? 8th grade or lower ? High school graduate ? 1 or more years of college ? Undergraduate degree ? Graduate degree ? Professional training and license 6. Do you have access to a computer? ?Yes ?No 7. Where do you have access to a computer? (check all that apply) ?Home ?Office ? Library ?Friend’s house ?Other_________________________ 8. Do you have access to the internet? ?Yes ?No 9. Do you have a valid driver’s license? ?Yes ?No 10. Are you currently in school, skill development or job training? ?Yes ?No 11. Are you currently planning in going to school, skill development or job training? ?Yes ?No Information about your business 12. Type of business ? Corporation ? LLC ? Sole Proprietorship ? Other_________________________ 13. Years business has been in operation? __________ years 14. Primary business activity (check all that apply) ? Retail ? Wholesale ? Service ? Other_________________________ 48 15. Current number of full-time employees Full-time______ Part-time ______ 16. Ethnic origin of employees with actual number of individuals currently employed (check all that apply) ? White or Caucasian ? Native American ? Black or African-American ? Hispanic (all races) ? Asian or Asian-American ? Other ____ # employees ____ # employees ____ # employees ____ # employees ____ # employees ____ # employees 17. Ethnic origin of clients with approximate percentage (check all that apply) ? White or Caucasian ? Native American ? Black or African-American ? Hispanic (all races) ? Asian or Asian-American ? Other ____ % clients ____ % clients ____ % clients ____ % clients ____ % clients ____ % clients 18. What is the primary ethnic group served by your business? ? White or Caucasian ? Native American ? Black or African-American ? Hispanic (all races) ? Asian or Asian-American ? Other 19. Does your business direct advertising/marketing towards this specific group? ?Yes ?No 20. Is a language other than English readily available to potential or existing clients? ?Yes ?No 21. Are you a: (check all that apply): a. Certified Minority Business Enterprise (MBE) b. Woman-Owned Business Enterprise (WBE) c. Certified Small Business Enterprise (SBE) ?Yes ?No ?Yes ?No ?Yes ?No 22. Are you currently planning on keeping your business in the Providence area? ?Yes ?No Information about the Providence First Source Hiring Ordinance 23. Are you aware of the First Source Hiring Ordinance (FSHO)? ?Yes ?No ? Go to question 31 24. Do you feel that you completely understand the purpose of this law? ?Yes ?No 25. Are you in favor of the FSHO? ?Yes ?No 26. Do you believe that other minority business owners are supportive of the FSHO? ?Yes ?No 49 27. Do you believe that the FSHO has the support of non-minority business owners? ?Yes ?No 28. Do you believe that minority business owners have benefited by the FSHO? ?Yes ?No 29. If FSHO were fully enforced, would it improve the success of your business? ?Yes ?No 30. Do you believe that enforcement of the FSHO could create positive or negative feelings towards minority business interests? ?Yes ?No 31. Do you believe that equal opportunity for access to public funds and contracts for minority-owned businesses will improve the local business economy? ?Yes ?No 32. Do you believe ethnic diversity is accepted in this city government? ?Yes ?No 33. Do you feel that there is support in the community, such as counseling or resource materials, sufficient to support small businesses? ?Yes ?No 34. Do you feel city government is responsive to those starting a new business? ?Yes ?No 35. Do you feel that your business is currently successful? ?Yes ?No If No, can you briefly describe any significant changes or problems it has undergone in recent years? _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ 36. Are you optimistic about the future of your business? ?Yes ?No If No, Why? _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ You have come to the end of the survey. Thank you very much for your cooperation. 50 Attachment “B” FOR OFFICE USE ONLY Hiring Attitude Assessment Inventory (HAAI) Privacy Statement This survey is completely confidential. Do not place any identifying marks on the survey form or envelope. There is no way for anyone to know your individual responses. The survey envelope will not be opened until it is received at the processing center. Your Participation is Voluntary Your participation in this survey is voluntary. If you do not wish to answer a question, just leave it blank. If you do not wish to participate in this survey, you may: Return the entire survey form blank in the enclosed self-addressed envelope. We do, however, value and welcome your participation. The most accurate result will depend on getting as many managers, supervisors, business owners to participate in this confidential survey as possible. Your help is important to this effort. Thank you for your assistance. Information about you 35. Gender: ? Female ? Male 36. How old are you? __________ years old 37. Ethnic Origin ? White or Caucasian ? Native American ? Black or African-American ? Hispanic (all races) ? Asian or Asian-American ? Other 51 38. Is English your native language? ? Yes ? No 39. Highest level of education (please check one): ? 8th grade or lower ? High school graduate ? 1 or more years of college ? Undergraduate degree ? Graduate degree ? Professional training and license Please rate your answers on a 1-7 scale, with “1” being strongly disagree and “7” being strongly agree. Check only one answer per question. 1 2 3 4 5 40. I believe that people should be hired based only on their qualifications for the job in question. 1 2 3 4 5 41. I have never rejected a qualified individual because they belonged to an ethnic/racial group different from mine. 1 2 3 4 5 42. When hiring someone, it gives a feeling of power. 1 2 3 4 5 43. I think that an employer can be “friends” with an employee. 1 2 3 4 5 44. A Hispanic or black employee is as easy to work with as a white employee. 1 2 3 4 5 45. I have never hired a friend or a relative. 1 2 3 4 5 46. People of your own ethnic/racial background are easier to trust. 1 2 3 4 5 47. I would change my hiring practices if I could get away with it. 1 2 3 4 5 48. I would prefer to hire an attractive male or female than one I am not attracted to. 1 2 3 4 5 49. Minority groups deserve preferential treatment in the hiring process. 1 2 3 4 5 50. Having a sexual relationship with an employee or co-worker is not appropriate 1 2 3 4 5 51. Hispanics and blacks have a different “work ethic” than most white employees. 1 2 3 4 5 52. I have never invited an employee to my home. 1 2 3 4 5 53. A workplace will usually be more efficient if its members come from similar backgrounds. 1 2 3 4 5 54. It does not usually bother me to fire someone. 1 2 3 4 5 52 55. All things being equal, I would prefer to hire someone from my own ethnic/racial group 1 2 3 4 5 56. I would expect that a black or a Hispanic employee would quit their job sooner than a white employee. 1 2 3 4 5 57. I have equal expectations of job performance for all my employees. 1 2 3 4 5 58. Hispanic or black employees tend to be fired more often than white employees. 1 2 3 4 5 59. In conversation, it is more difficult to understand a Hispanic or black than a white person. 1 2 3 4 5 60. It would bother me more to fire someone from my own ethnic/racial group or background. 1 2 3 4 5 61. I believe that Affirmative Action is a good policy in the workplace. 1 2 3 4 5 62. I would not want to have someone from a different ethnic/racial group as a family member. 1 2 3 4 5 63. I prefer to live in an area or community made up of people from my own ethnic/racial background. 1 2 3 4 5 64. I am as comfortable speaking with a Hispanic or black employee as a white employee. 1 2 3 4 5 65. All individuals are entitled to equal opportunity in the workplace. 1 2 3 4 5 66. I am familiar with the First Source Hiring Ordinance 1 2 3 4 5 67. I am in favor with the First Source Hiring Ordinance purpose 1 2 3 4 5 You have come to the end of the survey. Thank you very much for your cooperation.