Black Chamber, Alaska 8(a)’s Make Peace Harry Alford, president of the National Black Chamber of Commerce, has called Alaska Native Corporations “predators” and “vultures.” Now he calls them partners. The Chamber has signed a memorandum of understanding with the National 8(a) Association, which represents many Alaska firms. They agreed to work together on teaming and joint ventures, and to stop fighting each other in Congress. “Who would have thought it?” Alford wrote in a message to his members. Alford has been one of the leading minority business voices fighting the Alaska Native Corporations’ procurement preferences. By law, ANCs can be awarded sole source contracts in unlimited amounts, while other 8(a) firms’ sole source awards are limited to $3 million, or $5 million for manufacturing. The Alaska companies can also create an unlimited number of 8(a) subsidiaries. In recent years awards to ANCs have been growing exponentially, including many worth hundreds of millions of dollars. In 2006 the Government Accountability Office found agencies were steering large sole source deals to ANCs “as a quick, easy and legal method of awarding contracts of any value.” ANCs received 17% of 8(a) contracts, worth $1.9 billion, in 2005, according to the Native American Contractors Association. Alford says “the back breaker” was the ANCs’ heavy involvement in rebuilding after Hurricane Katrina; he charged that African American firms along the Gulf Coast were being shut out. Some Chamber members successfully partnered with ANCs on Katrina reconstruction, and they urged Alford to talk with the Alaskans. The two organizations began meeting in January, according to Jessica Morales, executive director of the National 8(a) Association. More than 20 Chamber members went to Anchorage last month to meet with ANC executives and explore teaming opportunities – with a little halibut fishing thrown in. The memorandum was signed at that meeting. Alford said, “We are no longer enemies but allies with the mission of working together and joining our mutual interests. ” “…Multi-million dollar joint ventures and multi-year teaming agreements are going down. We have learned that working together makes both sides healthy and no one really has to suffer.” Alford invited ANC executives to the Chamber’s annual meeting in New Orleans next month. Ron Perry, an Alaska Native business owner who heads the 8(a) Association, told the Anchorage Daily News the strategic alliances between the minority groups will help them compete against the largest corporations and may relieve the political pressure to rein in ANC contracting. In addition to grumbling by some Congress members, SBA has been exploring possible changes in the rules for ANCs. SBA officials went to Alaska for a “tribal consultation” in October to discuss potential changes. Alford told the Daily News at least a dozen of his members received commitments for partnerships with ANCs at the Anchorage meeting. The 8(a) Association signed a similar agreement with the Alaska Veterans Business Alliance. It is reaching out to other groups. Morales told Set-Aside Alert, “We’re going to seek out Hispanic, Asian and women’s organizations…Instead of fighting, we need to set aside our differences and figure out how we can work together to help everyone.” She said ANCs need partners and subcontractors who can fill niches in their large contracts.