Minority Businesses Prepare For Multi-million Dollar Gaming Industry In Maryland

Featured speakers were Luwanda Jenkins (Special Secretary, Governor's Office of Minority Affairs), Cathy Svoboda (Certification Manager, Maryland Department of Transportation), James Benjamin (Attornery, Hodes, Pessin & Katz, P.A.), Robert Howells (Director of Procurement, Maryland State Lottery Agency), Paul Dorsey (Director of Policy & Development, Maryland State Lottery Agency), Chris Llinas (HR/Collections/Risk Management, Royal Plus, Inc.), Gary Shpritz (VP Design & Construction, The Cordish Company / Power Plant Entertainment Casino Resorts), Carroll Hynson (President/CEO, Image Power, Inc.), and Kirby Fowler (Chairman, Maryland State Lottery Agency). Report and photos by Ibrahim Dabo.
Featured speakers were Luwanda Jenkins (Special Secretary, Governor's Office of Minority Affairs), Cathy Svoboda (Certification Manager, Maryland Department of Transportation), James Benjamin (Attornery, Hodes, Pessin & Katz, P.A.), Robert Howells (Director of Procurement, Maryland State Lottery Agency), Paul Dorsey (Director of Policy & Development, Maryland State Lottery Agency), Chris Llinas (HR/Collections/Risk Management, Royal Plus, Inc.), Gary Shpritz (VP Design & Construction, The Cordish Company / Power Plant Entertainment Casino Resorts), Carroll Hynson (President/CEO, Image Power, Inc.), and Kirby Fowler (Chairman, Maryland State Lottery Agency). Report and photos by Ibrahim Dabo.

The BWI Hilton, Baltimore, Maryland, was home to more than 150 participants who attended the 1st Gaming Workshop for Minority Businesses in the State. Organization by the Maryland Washington Minority Contractors’ Association, Inc., (MWMCA) the workshop featured officials from the private sector, the gaming industry and the State of Maryland.

Wayne Frazier
Wayne Frazier, Sr. (president, MWMCA) said minority businesses can win opportunities in the Gaming Industry but NAICS Codes must be upgraded

Wayne Frazier, Sr., president of MWMCA, served as Master of Ceremonies and said Maryland is the first state in the Union to adopt minority business goals in the gaming industry, commending Governor Martin O’Malley for having the vision to do that.  

He said the purpose of the seminar was to help figure out how to engage minority businesses so that they can win opportunities.

“In order to take advantage of the opportunities in gaming, you need to upgrade your certifications, the North American Industry Classification System (NAICS) Codes,” Frazier said. 

Luwanda Jenkins, Special Secretary, Governor’s Office of Minority Affairs (GOMA) spoke about the legislation that was passed in 2008 for Gaming in the state of Maryland and said the second provision in Senate Bill 3 encourages minority business equity ownership.

“It encourages the minority business ownership by allowing the licensees—at the time that they submitted their proposals—to receive extra points in the evaluation of their proposals. It included minority business equity ownership as part of their ownership structure,” Jenkins said.

Representing the Maryland Department of Transportation was Certification Manager, Cathy Svoboda, who spoke on “Expanding and/or Adding to Your NAICS Codes.” She said business owners who want to expand their services should understand that they will have to undergo the same eligibility requirements as the certification.  

“You must have the ability to critically evaluate the services that your firm performs,” Svoboda said. 

James Benjamin
James Benjamin (attorney, Hodes, Pessin & Katz) spoke about teaming agreement and joint venture

James Benjamin, attorney, Hodes, Pessin & Katz, P.A., said there are some important things Minority Business Enterprises (MBEs) and WBEs (Women’s Business Enterprises) should keep in mind when structuring a joint venture. These include shares in the ownership control and management responsibilities, financial responsibilities, and the ability to exercise independent judgment, all which should be adequately represented in the joint venture.

Benjamin said a teaming agreement generally involves two or more companies that combine resources to bid on sharing government contracts, typically involving a larger company acting as a prime contractor and the smaller company acting as a subcontractor.

How do you structure teaming agreements? Benjamin said: “You want to make sure that you properly define the… scope of the proposal or bid and what each person/company’s role will be in the process,” adding that it is important to state what both the prime and subcontractor’s role will be.

Participants
More than 150 participants gathered to learn more about opportunities in Maryland gaming

The Maryland State Lottery Agency was represented by Robert Howells and Paul Dorsey, director of procurement, and director of policy & development, respectively.

Howells said Maryland has very strict procurement requirement and procurement laws, and a very aggressive MBE program.

“The [Maryland State] Lottery is also charged with procuring and operating the entire VLT (Video Lottery Terminal) system—the central computer system that operates all the VLTs, the machines themselves and all the support structures that goes behind that,” Howell said, adding that the VLT has started to get a lot of publicity over the past few months.

Howells
Robert Howells (director of procurement, Maryland State Lottery Agency) said his organization is taking MBE participation seriously

He said his agency awarded five contracts worth $6.6 million over the past several months for things such as document imaging services that are needed to process all the licensees applications; background investigation services for licensee background investigations on the facility operators, manufacturers, and employees who will work in these facilities; and professional consulting firms to help with the RFP process.

“With all that, as I said, was six-and-a-half million dollars, and all of those contracts carry a 25% MBE participation goal,” Howells said, adding that the agency is very serious about MBE participation, meeting those requirements, and making sure that goals that are reasonable are included in all of the agency’s contracts.

Chris Llinas, HR/Collections/Risk Management, Royal Plus, Inc., discussed on Ocean Downs Facility while Gary Shpritz, vice president design and construction, The Cordish Company/Power Plant Entertainment Casino Resorts, discussed on Power Plant Casino Resorts Maryland.

Carroll Hynson, president and CEO, Image Power, Inc., gave a testimony on how his company ventured into gaming.

Hynson and Dabo
Carroll Hynson, Jr. (president and CEO, Image Power, Inc.) and Ibrahim Dabo. Hynson said "our future is now."

He said there are many opportunities as Maryland prepares for video slots. “The opportunities are vast,” Hynson said. “There is acceptance and opportunity for creativity in all areas—construction, advertising, machine maintenance, and most of all, I should emphasize, employment.”

He urged minority business to be persistent and get involved in their area of expertise and remembered them that, “our future is now.”

Dabo
Ibrahim Dabo and Dennis Gilbert (president, Progressive Commercial Finance). For Gilbert, the Gaming Workshop was more than just "informational."

“The Workshop to me was far more than just ‘informational,’” Dennis Gilbert, president of Progressive Commercial Finance, told Ib’s Blog. “It served as a critical component in the ‘symbiosis’, the need and reliance if you will, on all parties involved: That is to say, Government, Primes and Developers, Minority Contractors and Funding sources; We all need each other, and the Workshop served to reinforce and remind us all of that integral relationship.”

Donna L. Lenhart, president of Skyline Construction Services, Inc., came from Harrisburg, P.A. to attend the workshop which she said was critical in providing her with timely information.

“It highlighted the significant opportunities for WBEs and MBEs and will afford us the opportunity to follow these projects and get involved right from the beginning.  In addition to giving us full advantage to pursue these upcoming opportunities, the event has afforded us the additional opportunity to support the casino projects in an effort to help ensure their necessary approvals are received,” Lenhart told Ib’s Blog in an exclusive interview. 

She said the casinos will stimulate the economy and provide people with numerous faucets of employment for years to come.

“For us personally, it will bring new jobs early on to the construction industry, which has been hit particularly hard in this recession. The workshop afforded us the ability to network and to understand where we are in the process toward bringing this exciting new industry into Maryland. It provided a unique ray of optimism for 2010,” Lenhart said.

Sylvester Okere, president and CEO of Watchman Protective Services, Inc, told Ib’s Blog that he not only enjoyed the workshop, but it was the best of its kind—well organized, straight to the point, and no time wasting.

See event photos by clicking album below. Photo credit: Ibrahim Dabo

Maryland Gaming Workshop for Minority Businesses

Also see:
· Find Out How The Minority Business Development Agency Can Help Your Business Grow
· CBCF’s “Economic Recovery Forum” Lays The Basics On “Preparing To Start Your Business”
· Maryland State Officials and Business Leaders Gather To Discuss New Business Strategies
· Our Economy Is Growing Again, Obama Says In Thanksgiving Message

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