Equal business opportunity programs in the construction industry: A framework for development and implementation

Previous studies on minority businesses identified problems that faced minority contractors and prevented them from being full participants in the U.S. construction industry. Federal and local government programs designed to assist minority contractors were evaluated. Generally, these evaluations concluded that current programs must be reorganized because they create operational problems in the construction industry and do not bring minority contractors into the mainstream of the construction industry.

The objective of this research is to develop a framework for new policy development that fosters the use of minority contractors while lessening the problems created by the status quo. Specifically, the policy will address the growth of black minority contractors and subcontractors on commercial construction projects in Atlanta.

The research was conducted by first reviewing the literature to better understand the current policy, the political environment, and the problems created in the construction industry. Then, the various interest groups in the Atlanta construction market were interviewed in order to assess what an acceptable solution would involve.

The policy developed to solve this social problem is unique as it involves the private sector. The policy is also innovative as it uses an incentive that acts as a catalyst for its implementation. Finally, the policy made the awarding of a project more flexible.

The proposed policy has been reviewed by the various interest groups. Four bases have been used to review the policy, including technical feasibility, political viability, economic feasibility, and administrative operability.