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Black Contractors Call the City of Oakland’s Proposed Project Labor Agreement a Form of Modern-Day Slavery!

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The City of Oakland held a workshop Aug. 10 at the West Oakland Youth Center. to seek input on the potential impacts of a proposed citywide Proj­ect Labor Agreement (PLA), which is attached to a proposed, Surplus Land Ordinance.

The discussion also includ­ed a Community Workforce Agreement.

Darlene Flynn

Darlene Flynn, director of the City’s Race and Equity Department, provided a sta­tistical analysis of the current landscape in the city and Junious Williams was the moderator.

Unlike the previous work­shop held in East Oakland, union representatives were notice­ably absent. But Brigitte J. Cook, chief of staff for Coun­cil Member Lynette Gibson McElhaney was present to wit­ness an audience of predomi­nantly Black contractors who were opposed the concept of a blanket PLA.

Willie McGary, a 30-year Black contractor and owner of Hercules Builders, said, “(A) Project Labor Agreement is a form of modern-day slavery. Just like crop sharing unions, they force you to pay union dues and give you nothing in return. If you don’t pay, they boycott your business and make it difficult for you to get work.”

The workshop created 25 rec­ommendations to the City Coun­cil for action pri­or to adoption of a Project Labor Agreement.

City staff as­sured participants that their concerns would be relayed to the full Council and not altered.

The Black contractors re­quested an education meeting with City Council members.

Monsa Nitoto

“A policy decision of this magnitude deserves the Coun­cil’s full participation, not lip service. This issue is just as im­portant as the homeless crisis,” said Monsa Nitoto, executive director of the Workforce Col­laborative.

When the late Ray Dones set up the National Association of Minority Contractors in the 1960s, there were 350 Black construction firms in Oakland. Now there are less than 100. Black contractors are on a path to ex­tinction.

Community Ac­tivist Gene Haz­zard said, “It is a falsehood that Oakland Blacks are not skilled enough to get work in the construction industry. These white general contrac­tors import workers from out­side Oakland and put them up in local hotels and claim them as Oakland residents.

Gene Hazard

“With the office of Contract Compliance having one person to monitor 80+ projects, no one verifies compliance of lo­cal hire. You look at the 15 plus large projects in Downtown Oakland with large cranes, and you will see none of them have Black contractor participa­tion. A majority have no Black workers on the job site.”

Jonathan Dumas, employ­ment services supervisor of the city’s Contracts and Compli­ance department, stated, “The (City) cannot require local hire or local business participation on privately financed proj­ects”.

Louis Summerhill, a 25-year electrical contractor, said, “(Union) policies are designed to discriminate against Black contractors and Black work­ers.

“The unions have by design moved all their certified, state-approved apprenticeship train­ing programs out of Oakland. They have set up training pro­grams in Pleasanton, Fairfield, Benicia, Sacramento, Concord and San Jose; locations that are difficult for Oakland residents to access.

“I believe that unless and until unions agree and dem­onstrate an adjustment to their policies and practices, we should not give them the privilege of having a dedicated Project Labor Agreement on City-sponsored projects.”

Jabari Herbert, Focon Con­struction, a 20-year Black general contractor, said, “The only way

Jabari Herbert

to ad­dress this issue of developers and general con­tractors not be­ing inclusive of local and minor­ity participation on privately financed projects is by amend­ing the Building Permit code to require any project which requires a conditional or un­conditional use permit by the Oakland Planning Commis­sion, to comply with the City of Oakland’s 50 percent resident, and local hire requirement.

“There are three ways this can be done; 1) voluntarily by the applicant for the permit, 2) by direction of the City Coun­cil, and 3) by Oakland ballot approval”.

He further stated, “In ad­dition, developers and prime contractors should be fined a substantial amount for non-compliance with local hire goals. If they choose to pay a minimal fee for noncompli­ance, they should be barred from future city contracts.”.

Bernida Reagan

Bernida Reagan, an execu­tive with Merriwether and Wil­liams Insurance Services, stated, “Black contrac­tors need help because they cannot get the performance bonds required to work on Public Works projects. There needs to be a technical as­sistance provision in the pro­posed Project Labor Agree­ment to address this barrier for small, minority and woman owned businesses.”

Currently, the City issues less than 5 percent of its con­tracts to African American businesses. The City is con­ducting a voter-mandated Dis­parity Study to identify areas of discrimination and potential recommendations to remedy the disparities. The Surplus Lands policy should not be adopted prior to the release of this very important Disparity Study.

The third and final commu­nity engagement workshop will be held on Monday, Aug. 19 at the San Antonio Senior Center, 3301 E. 12th St. in Oakland from 7 p.m. to 9 p.m.

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Black History

Report Examines Link Between Low Earnings and Incarceration Rates

Researchers found that low earnings were common throughout the employment histories they examined. Only 28% of people employed before incarceration earned more than the federal poverty threshold in at least one year. Although that share rose to 45% after release, many workers continued to earn too little to achieve lasting financial stability. 

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By Bo Tefu, California Black Media

Low earnings and unstable employment before incarceration may play a larger role in the cycle of imprisonment than previously understood, according to a new report from the Public Policy Institute of California (PPIC) that tracks the work histories of nearly 170,000 people released from state prisons.

The report, Employment Before, During, and After Prison in California, found that many people entering prison had weak ties to the labor market, often working temporary, low-paying jobs that failed to lift them above the federal poverty line. Researchers said the findings underscore the need for stronger education, workforce development and employment programs to improve long-term economic outcomes and reduce barriers to successful reentry.

The study analyzed employment records for people released from California prisons between 2015 and 2019, examining their work histories before incarceration, jobs held while in prison and employment after release. Researchers found that nearly half of those studied never held a job outside prison during the period examined, while one in four had no recorded employment before, during or after incarceration.

“Policymakers have long sought to promote employment among released prisoners through policies and programs that reduce incarceration and broaden access to the labor market,” researcher Heather Harris stated. “This descriptive report provides previously unavailable information about employment before, during, and after incarceration among released prisoners with the aim of highlighting opportunities for improvement.”

Before incarceration, about one-third of employed individuals worked temporary jobs. After release, that share increased to 42%, suggesting employment remained unstable even after returning to the community. The report also found that prison jobs generally paid about 40% less than the national average, and nearly one-third of incarcerated workers received no wages at all.

Researchers found that low earnings were common throughout the employment histories they examined. Only 28% of people employed before incarceration earned more than the federal poverty threshold in at least one year. Although that share rose to 45% after release, many workers continued to earn too little to achieve lasting financial stability.

The report also identified significant disparities, with Black workers earning an average of 38% less than White workers and women earning about 20% less than men.

Despite those challenges, the report identified several factors associated with stronger employment outcomes. Individuals who worked before incarceration were nine times more likely to find employment after release, while prison jobs, vocational education, college coursework and substance use disorder treatment were all linked to improved employment prospects.

“Our findings suggest that improving access to education, job training and employment opportunities before, during and after incarceration could strengthen labor market outcomes for formerly incarcerated Californians,” Harris stated.

The researchers said expanding evidence-based workforce and education programs could help break the connection between persistent low earnings and incarceration, while improving economic mobility and reducing the likelihood of future justice system involvement.

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Activism

Newsom, Legislature Reach Deal on $355.9 Billion Budget That Protects Health Care; Averts Deficits for Two Years

Other major investments include a record $2.4 billion in ongoing funding for special education, $5 billion for TK-12 schools, $500 million in Low-Income Housing Tax Credits, $200 million for affordable multifamily housing, a $100 million Disaster Rebuilding Fund, and new funding to strengthen election security, voter outreach and protections against misinformation. The agreement also preserves free school meals, universal transitional kindergarten, universal preschool, summer school programs and childcare slots. 

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Photo courtesy of Gov. Gavin Newsom’s Facebook page.
Photo courtesy of Gov. Gavin Newsom’s Facebook page.

By Bo Tefu, California Black Media

Gov. Gavin Newsom and Democratic legislative leaders announced a final agreement June 26 on California’s $355.9 billion 2026–27 state budget, saying the spending plan preserves health care and other essential services while eliminating projected deficits through the next two fiscal years.

The agreement between Newsom, Senate President Pro Tempore Monique Limón (D-Santa Barbara), and Assembly Speaker Robert Rivas (D-Hollister) balances the budget while maintaining investments in health care, education, housing, public safety and other priorities despite continued economic uncertainty and federal funding challenges.

“A balanced budget isn’t an end in itself — it’s how we deliver for Californians,” Newsom said. “This budget demonstrates responsible choices that protect our fiscal strength while continuing to invest in what matters most. In California, we support working families, create more opportunity, and build safer, healthier communities.”

The budget includes $300 million to lower health care costs, preserves $0 monthly health plans for many lower-income Californians, and helps offset higher insurance premiums resulting from the expiration of enhanced federal Affordable Care Act subsidies. It also protects funding for behavioral health programs and continues implementation of Proposition 1.

Other major investments include a record $2.4 billion in ongoing funding for special education, $5 billion for TK-12 schools, $500 million in Low-Income Housing Tax Credits, $200 million for affordable multifamily housing, a $100 million Disaster Rebuilding Fund, and new funding to strengthen election security, voter outreach and protections against misinformation. The agreement also preserves free school meals, universal transitional kindergarten, universal preschool, summer school programs and childcare slots.

Limón said lawmakers worked to shield Californians from federal spending reductions while strengthening the state’s finances.

“Today’s budget agreement reflects our commitment to protect core programs and address our short and long-term financial future by building up our rainy-day fund and making responsible budgeting choices,” Limón said. “I am also proud that the Senate was able to secure critical funding for childcare slots, safeguard access to care, and take significant steps toward ensuring large corporations pay their fair share.”

Rivas said the budget “protects health care, preserves food programs, invests in housing at record levels and builds reserves to fight back no matter what Trump and Republicans throw at us.”

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Activism

At the event, 16 entities signed the EIP pledge, vowing to take steps to increase public contracting opportunities in their spheres for small and historically underutilized businesses.  The pledge signees included Hub International, the Port of San Francisco, the San Francisco Public Utilities Commission, California High-Speed Rail Authority, the Port of Oakland, Robert Graham of Webcor Builders, Holder Construction, the Weitz Company, Sky Blue Builders, Hornblower, Swinerton, Luster National, Talson Solutions, Center for Community Wealth Building, and the Construction Contractors Alliance.

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Toks Omishakin, secretary of the California State Transportation Agency, was one of the speakers at the event. Photo by Shellee Fisher Photography and Design.
Toks Omishakin, secretary of the California State Transportation Agency, was one of the speakers at the event. Photo by Shellee Fisher Photography and Design.

By Calvin Naito, Special to The Post

On June 4, a national nonprofit named the Equity in Infrastructure Project (EIP) – which aims to increase public construction contracting opportunities for small and historically underutilized businesses – held a day-long event in downtown San Francisco to rally supporters and build momentum to its cause.

It was attended by more than 100 individuals from public agencies, private firms, and other organizations committed to increasing contracting opportunities with governmental agencies, thereby creating more competition and lowering public costs.

The EIP event was held the Hyatt Regency San Francisco in conjunction with BuildIT, which aims to increase contracting opportunities for LGBT-owned businesses.

At the event, 16 entities signed the EIP pledge, vowing to take steps to increase public contracting opportunities in their spheres for small and historically underutilized businesses.

The pledge signees included Hub International, the Port of San Francisco, the San Francisco Public Utilities Commission, California High-Speed Rail Authority, the Port of Oakland, Robert Graham of Webcor Builders, Holder Construction, the Weitz Company, Sky Blue Builders, Hornblower, Swinerton, Luster National, Talson Solutions, Center for Community Wealth Building, and the Construction Contractors Alliance.

Following the workshop, BuildIT hosted a VIP evening reception honoring EIP, whose principals – Phil Washington, John Procari, and Rick Jacobs – accepted the award.

The event also set in motion the coalition’s efforts to implement recommendations from EIP’s “Procurement for Prosperity: A Playbook.”

The Playbook is a practical guide for public agency leaders and procurement and contracting practitioners to grow the capacity of small and first-time contractors, strengthen competition, and deliver better value for taxpayers.

Toks Omishakin, Secretary of the California State Transportation Agency (CalSTA), a long-time EIP supporter, also told attendees, “This is about commitment.  This has been a life’s work. This is a tailwind moment.”

The event’s presenting sponsor was Hub International, one of the largest insurance brokerages in the nation, which was joined by partners Travelers Insurance and the State Compensation Insurance Fund.

After the pledge-signing ceremony, attendees participated in a workshop in which they examined the policies, practices, and programs needed to meet EIP goals, learned from practitioners, and identified next steps toward utilizing the Playbook.

Ingrid Meriwether, formerly of Merriwether & Williams Insurance Services (MWIS) and current president of Hub International’s Aligned Risk Management, MWIS, described the hard-fought lessons she and her MWIS team have learned over the last three decades administering contractor development programs (CDPs) for the City and County of San Francisco, Alameda County, City of Los Angeles, LA Metro, and other municipalities.

The CDPs help small and local construction firms win public infrastructure contracts with these government agencies.  The program provides bonding assistance, contract financing, technical support, training, and other services to underrepresented businesses funded by public agencies who seek greater contracting participation with these firms.

Merriwether said programs like these “break down systemic barriers, create greater fairness, and save taxpayers money by enabling more competition.  The contractor development programs have, cumulatively, over two decades, helped contractors access over $1 billion in bonding, supporting over $380 million in awarded contracts, and maintaining a loss ratio 250 times lower than the industry average – while saving participating municipalities more than $27 million in contracting costs as a result of enabling more competition.”

Rick Jacobs, EIP co-founder and co-chair urged attendees make plans to meet again in the near future “to continue building on this work, share progress on organizational commitments, and discuss how we can collectively advance the goals of the EIP pledge.”

For more information on the EIP and to access a copy of the Playbook, go online to https://equityininfrastructure.org/

Calvin Naito is communications manager for Equity in Infrastructure Project.

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