TO: Illinois Legislative Black Caucus MembersFROM: Larry Luster, Minority Outreach Coordinator RE: Overview, explanation of Gov. Rauner news conference

Gov. Rauner Press Conference – 1/19/2016

Overview:Gov. Rauner held an hour-long press conference this afternoon to announce the creation of a new program that aims to improve the economic climate for minority and women-owned businesses in Illinois. The program is called the Advancing the Development of Minority Entrepreneurship (ADME) program. The governor claims the program is a direct result of an executive order he issued earlier this year. An executive order he issued around the same time last year requires state agencies, labor unions and contractors to report how many minorities and veterans are in training and apprentice programs.

Media Coverage:

The initial media reports refer to Rauner’s poor choice of words regarding why minorities are in Chicago.

Exerts from a Tribune article:

Gov. Bruce Rauner unveiled a new program Tuesday aimed at helping minority and women entrepreneurs grow their businesses, saying African Americans didn't come to Chicago "because we had a great welfare system or a great minimum wage," but because they were seeking opportunity that has since "bled away."

Billed as a mostly volunteer effort overseen by the Illinois Department of Commerce and Economic Opportunity

"The money follows the opportunity and that's what we got to get across," Rauner said. "Here's what's happening. African Americans are in Chicago in massive numbers. They didn't come here because we had a great welfare system or a great minimum wage. That's not why they're here. That's not why the people of Illinois are here. We're here for opportunity."

“That's why our families are here. That opportunity is being bled away. It's not about a government program. It's not about more government money.”

http://www.chicagotribune.com/news/local/politics/ct-bruce-rauner-minority-businesses-met-0120-20160119-story.html

Program Details: (from the Rauner admin)

ADME aims to identify high-potential minority entrepreneurs and provide them with resources that will help them from start to finish. ADME will provide individuals and companies with the knowledge, tools, funding and support system they need to grow.

The first year of the program will focus on minority communities in Chicago, Peoria and Rockford with the goal of expanding statewide. The Illinois Department of Commerce and Economic Opportunity (DCEO) will oversee ADME by creating a system of community partners for a tailored experience with the goal of long term support.

The ADME program resembles legislation Senator Napoleon Harris introduced (SB 1939) that would have created a Minority Enterprise Small Business investment program to assist minority entrepreneurs develop startups throughout Illinois.

ADME has a council of members who serve on the Minority Economic Development Council and other Community partners. Below is a member list:

• Jimmy Odom, DCEO Senior Policy Adviser of Minority Business Development• Julio Rodriguez, DCEO Office of Employment Training Deputy Director• State Representative Ken Dunkin – 5th District • Emilia Deminco, Women's Business Development Center President and CEO• Terrance Hall, Metropolitan Planner at Rockford Metropolitan Agency for Planning• Eva Brown, U.S. Bank, Vice President and Regional Community Development Manager• Steve Hall, Accion, Vice President of Small Business Development• Erica King, Vice President of Lending, Chicago Neighborhood Initiatives Micro Finance

Group• George Burciaga, Elevate Digital, Founder and CEO• Denise Moore, Peoria City Council • William Busch III, Gallup, Inc.

What we’ve done:

Senate Bill 1334 – PA 99- 0462

• Requires each state agency and public institution of higher education to adopt policies to increase participation of disadvantaged businesses in professional services contracts to no less than 20 percent of all state contracts, regardless of the source of funding

House Bill 3497 – PA 99 – 0257

• Lowers the threshold to bid on projects, lowers capacity to allow more contractors to compete for state projects.

House Bill 3485 – PA 99 - 0451

• Creates a task force to study the participation of African-American-owned businesses in state procurement and research solutions and methods to address the disparity in procurement awards.

Messaging:

Some aspects of the governor’s plan seemed modeled after Black Caucus initiatives. The timing of the proposal a year into office and just before the state-of-the-state address seems a little suspect.

It’s a fair question to ask why it took the governor a year to form what appears to be a volunteer-based program that claims to address the needs and priorities of the minority business community. If it was a priority, shouldn’t he have done it sooner? Minority businesses didn’t just start needing help.

Last year on MLK day, Rauner offered the above stated executive order about employee reporting. Are we going to have a new “black initiative” generously handed down to the black community every year? The governor is pandering to black community on a holiday used to recognize one of the greatest civil rights leader in modern history.