Invest Newark, the City of Newark’s Economic Development Corporation, recently announced a partnership with New Jersey Community Capital (NJCC), the state’s largest Community Development Financial Institution, to launch the Invest Newark Infrastructure Fund (INIF), initially capitalized with $2 million. INIF’s purpose is to stimulate economic development and infrastructure activities throughout the City of Newark, with the primary focus of providing capital and back-office support to Newark-based Minority and Women-Owned businesses (MWBE’s) that acquire government or quasi-government contracts for infrastructure projects in Newark and other municipalities. INIF’s immediate attention will be directed to the local MWBE subcontractors that are participating in the City of Newark’s $120 Million Lead Pipe Replacement Project.
Invest Newark (IN) and NJCC are committed to strengthening the City of Newark’s global economic position by enhancing local, small, MWBE businesses. This strategic partnership will provide a significant benefit to Newark-based MWBE’s by providing back office support and financial assistance for business mobilization. Invest Newark Infrastructure Fund will assist Newark-based MWBE contractors and subcontractors in four key areas:
- Contract Pre-Bid – Helping MWBE businesses identify government contract opportunities via Invest Newark’s new procurement portal https://investnewark.org/procurement-portal/
- Contract Qualification – Assisting local MWBE companies in the preparation of fulfilling the requirements to close on contracts.
- Financing – Providing MWBE’s with financing for mobilization, working capital, purchase of equipment and other business needs that will assist with fulfilling its government contract needs.
- Compliance/Reporting – Working with MWBE’s to stay in compliance with their government contracts, monitor their costs and to meet contractual deadlines.
“Newark’s economic growth is based on the strength and power of its talented and diverse businesses. Separately and together, in various fields, they build our prosperity both now and for the future,” Mayor Ras J. Baraka said. “That places a moral and economic duty upon our administration and our partners to provide businesses with growth opportunities, particularly MWBE contractors. We are doing so through the INIF program, which will link MWBE contractors with the chance to work on major projects awarded by the City, the Port Authority, and other municipalities, including our critical Lead Service Line Replacement Program. The result will be a stronger economy and more job and career opportunities for our residents, creating a more equitable Newark for the future.”
“As a mission-driven organization, New Jersey Community Capital cares deeply for the health and vitality of local residents and communities as well as local entrepreneurs and business enterprises,” said Wayne Meyer, President of NJCC. “NJCC fosters equitable opportunities that strengthen and empower small businesses. By financing infrastructure improvements, NJCC is investing in Newark—its neighborhoods, its people, its small businesses and its future.”
“Our partnership with the state’s leading Community Development Financial Institution allows us to further our charge by removing some of the economic barriers for our local contractors and subcontractors. We are establishing sustainable economic growth tools, building stronger workforce catalysts and aligning local MWBE’s with wealth generating mechanisms,” said Ladell Robbins, Chief Financial Officer & Chief Investment Officer of Invest Newark. “We look forward to moving our contractors and subcontractors past some of the obstacles that traditionally stop them from gaining access to the various government infrastructure improvement projects in Newark.”
