Community Benefits Agreement is Final – NAACP is the First Signatory

Community Benefits Agreement is Final – NAACP is the First Signatory

MSD has had a well-recognized diversity program in place for several years, marked by its success in helping build minority and women owned businesses in our St. Louis community. Since early 2011 – and in light of an impending multi-billion dollar agreement with EPA – we have been engaged in a community-wide dialogue on how we might improve our inclusion efforts. As then MSD Executive Director, Jeff Theerman, stated in January 2012: “While MSD is proud of the diversity program we have today, we by no means claim perfection… As we begin an unparalleled construction program, we should strive to have an unparalleled program of inclusion for minorities, women, and disadvantaged businesses. Not just in-terms of contracts alone, but in-terms of workforce diversity as well.” Earlier this year, we published a Disparity Study (click here), which is an evaluation of MSD’s procurement and contracting practices. The study focused on our utilization of African American, Asian American, Hispanic American, Native American, and women owned firms. Aside from utilization, the study examined the tools and processes we use to support our inclusion efforts, and takes a holistic approach in reviewing different facets of the program. This review resulted in 56 recommendations, which have been implemented or are being considered for future implementation. Lastly, the study also established appropriate workforce goals, to help ensure those working on MSD projects – not just the owners of the companies we contract with – reflect the ethnic and gender makeup of the community we serve. The Disparity Study was implemented on August 1. While the Disparity Study and updating of MSD’s inclusion program is significant in of itself, an outcome of our community-wide dialogue was the idea of a Community Benefits Agreement or CBA. In layman’s terms, the proposed CBA would be a formal agreement between MSD and community organizations that establishes a framework for addressing issues in workforce training, business development, and other areas that often act as obstacles in developing a diverse labor pool and contracting community. In short, it’s one thing to have inclusion goals, but it’s another to have a program that helps develop the capacity to the meet those goals. And that’s what the CBA is, a program to develop diverse capacity. It’s a new concept for our St. Louis community – to our knowledge, this would be the first such agreement in the region – but we believe it offers an opportunity to address these important issues in a new and collaborative way. We are pleased to announce that on Thursday, October 11, MSD’s Board of Trustees granted authorization for MSD to enter into the Community Benefits Agreement. (Click here for the Community Benefits Agreement.) We are equally pleased, if not honored, by the statement read at last night’s meeting on behalf of Adolphus Pruitt, President of the St. Louis National Association for the Advancement of Colored People (NAACP). While Mr. Pruitt is very kind in his words toward MSD – and we are humbled by the acknowledgment – we are deeply gratified that the NAACP has announced they will be the first signatory to the CBA. (Click here for NACCP Statement.) Going forward, there is still much to be done in terms of inclusion and diversity in our community. As we have often stated, this is a continuous journey. However, we believe the CBA – and the NAACP announcement – are significant milestones that represent new opportunities. We offer our sincere thanks and appreciation to Mr. Pruitt and the NAACP for their leadership with the CBA and being the first signatory. This is just one signatory and there is much more work to be done. Over the coming weeks and months, we look forward to talking to other organizations about signing the CBA. Participants in the CBA and resulting initiatives should reflect the makeup of our entire community. Our efforts to build capacity need to be – and will be – inclusive of African Americans, Asian Americans, Hispanic Americans, Native Americans, and women.  Thus, we will cast a wide net for future signatories. As Mr. Theerman also stated back in early 2012: “When it comes to diversity and inclusion… MSD can help create the path forward – a path that isn’t just about numbers, but about substance. A path that brings all St. Lousians together – not for the benefit of a few, but for the benefit of an entire region.” We hope that other groups will consider joining us on this path and consider signing the CBA.