Struever targets minorities, women for contracts

New coordinator hired to build partnerships

A month and a half ago, the phrase “us and them” marked an ugly moment in Struever Bros. Eccles & Rouse’s involvement in Rhode Island.

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The words, spoken by a then-leasing agent for the firm’s Rising Sun Mills and captured by a filmmaker purporting to be a potential tenant, exemplified what some in the Olneyville section of Providence had feared – that the developer was creating a wedge between the existing community and the residents of its projects.

But now, with a new hire and a new outreach program, the Baltimore-based company is showing what it says is its true attitude: support and respect for the community.
Starting this summer, Struever Bros. says it will host quarterly “open houses” to help woman- and minority-owned companies learn about contract opportunities on Struever projects in Rhode Island. The meetings will be modeled after similar ones held in Baltimore.

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In addition, Struever Bros. has hired a new “community outreach coordinator,” Molly Lee, to assist with the open houses and “other matters of community relations, including issues of local hiring and affordable housing,” according to a company news release.

Charles C. Newton, director of the R.I. Minority Business Enterprise Program, said it’s “typical” for projects as large as Struever Bros.’ proposed $33 million American Locomotive Works to have someone dedicated to reaching out to minority and women contractors.

Having regular “open houses” takes the effort further, Newton said, “so I think that’s very positive.” Baltimore is “very aggressive” about contractors including women and minorities, Newton said, so Struever Bros. has plenty of experience on that front.

Ultimately, however, the contractors’ ability to work on the ALCO project will depend on the requirements imposed by Struever Bros., he added. A project labor agreement, for example, which requires unionized labor, might shut out small non-union shops, unless there’s a clause allowing them to participate. Similarly, high insurance and bonding requirements – even if appropriate – could create obstacles, Newton said.

On the other hand, a broader definition of contracts that minority- and woman-owned companies are invited to seek would help, Newton said. He emphasized “intellectual” contracts, such as for architecture, real estate brokerage, etc.

“I think that’s going to be critical so that all the different types of businesses that make up Rhode Island and Providence have the ability to participate,” Newton said.

Struever Bros. is involved in several projects in Rhode Island, including the Rising Sun Mills in Providence, Royal Mills in West Warwick and the 22.5-acre ALCO development in Olneyville, which last month got master plan approval from the City Plan Commission, but still requires further permitting.

It is the latter project that has catalyzed community opposition to Struever Bros.

The news release about the new hire and outreach effort made no mention of the conflict, however. Instead, Kate McShane, director of community partnerships at Struever Bros., was quoted stressing that outreach to woman- and minority-owned businesses “and support for local contractors are part of the Struever Bros. philosophy of building better neighborhoods by creating a project that is an economic generator for the area and ensuring that those companies unique to the area benefit from its existence.”
In an interview, McShane said the latest move was not a reaction to any recent criticism.

The open house series was implemented in Baltimore several years ago, she said, and it has proven successful in connecting local firms to project managers, she said.

“The networking events are effective because what we do is make sure that our guests – our contractors – get access to project managers,” McShane said, adding that the events will often be followed up with more personal meetings.

Even before implementing the program, Struever Bros. says, its record in Rhode Island is already strong. At Rising Sun, 20.2 percent of the subcontractors hired were either minority- or woman-run, according to the company, representing more than $8.35 million in work.

Lee, for her part, said her position is not fully defined yet, but she will work to find ways that Struever can partner with community groups and explore affordable housing needs, and also for volunteering opportunities.

McShane said Struever Bros. is always doing pro bono construction projects, recently constructing a firehouse and a science lab in a middle school in other parts of the country.

Lee – who has an architecture degree from Syracuse University and has worked on construction projects in Rhode Island and New Jersey – said that she sought out Struever Bros. for employment because of her interest in affordable housing and creating a “lively, solid community.”

“I came to Struever because they – as a company – have a commitment to the community,” Lee said.

McShane said that Lee’s hiring and the implementation of the outreach program come at a time when the company has already made a substantial investment in the state and needs to formalize its commitment to its outreach efforts.

“We’ve reached a size where we need a member of our staff” dedicated to this, she said.

“There’s so much opportunity, and we just need a person to focus on it.”

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