Construction Workforce and Contracting Inclusion: 2012 3rd Quarter Update

November 28, 2012

The Central Corridor Funders Collaborative believes that one way to build a Strong Local Economy is to ensure that all individuals and businesses benefit from the construction job opportunities of the Central Corridor Light Rail Transit project.

All major companies working on construction of the line have contractual requirements for 1) working with Disadvantaged Business Enterprises (DBE) as subcontractors and 2) hiring minorities and women on their workforce. 

The work of achieving these goals is overseen by a working group known as the Joint Committee on Equal Opportunity and Disadvantaged Business Enterprises.  The Committee, which is comprised of individuals from the construction firms, unions, construction training organizations, community advocates, and local, state and federal governmental units meet monthly to monitor progress and work collectively to find solutions to achieving the goals. 

Workforce Inclusion

All construction companies working on the CCLRT project have the same workforce inclusion goals set in their contract:

–        to hire minorities to work at least 18% of the hours worked on the contract and
–        to hire women to work at least 6% of the hours worked on the contract. 

As shown in Table 1 below, three out of the four primary contractors are exceeding these workforce inclusion goals.  Aldridge/Collisys is the exception; however, this firm has only completed 30% of their work while the remaining firms have completed between 74% and 82% of their contracts. 

Table 1

Contractor

Hours worked by minorities as % of total hours (18% goal)

Hours worked by women as % of total hours (6% goal)

Cumulative work done through

Ames/McCrossan

20.90%

8.20%

10/31/2012

Walsh

18.81%

 6.19%

10/31/2012

Aldridge/Collisys

12.72%

8.05%

10/31/2012

PCL

18.84%

7.96%

10/31/2012

                             

Disadvantaged Business Enterprise (DBE)

DBEs are small businesses that are owned at least 51% by women or minorities.  All construction companies working on the CCLRT project have individual requirements for DBE participation in their contracts, based on the type of work performed and the availability of contractors.  These individual requirements vary and add up to an overall project goal of 15% of total project value.

Current progress towards individual goals is shown in Table 2 below:

Table 2

Contractor

% of contract to DBEs – GOAL

% of contract paid to DBEs to date

Cumulative work done through

Ames/McCrossan

15%

15.47%

9/15/2012

Walsh

15%

17.55%

9 /25/2012

Aldridge/Collisys

15%

 11.34%

8/31/2012

PCL

5.9%

6.25%

8/25/2012

The last column in both tables shows the date for which work performed is included in the percentages.  There is a noticeable lag between the current date and the reported dates for both DBE and workforce inclusion percentages.  This is because there is a considerable vetting process to be followed before these numbers are certified.  As noted above, the only firm not exceeding DBE goals, Aldridge/Collisys, has only completed 30% of their work.