Latinos Seek Share of Hospital Contract : Economy: Coalition criticizes plan to give a major design job on a new county facility to an out-of-state firm. Members say the money should stay in the community.

A coalition of Latino community and business groups on Monday criticized a proposal to give a major design contract for a new $700-million County-USC Medical Center in East Los Angeles to an out-of-state firm, saying local companies are not receiving a fair share of the business.

With many firms struggling because of the recession, the Latino leaders said the county should steer such a major Eastside contract to Los Angeles bidders, particularly those proposing to share a significant part of the work with Latino firms.

“This is a bread-and-butter issue,” said Xavier Hermosillo, a spokesman for the group, which includes the Latin Business Assn., the Society of Hispanic Engineering Professionals and the Los Angeles County Chicano Employees Assn. “They are using tax dollars to further economic problems.”

At a news conference, the group called on the Board of Supervisors to reject a proposal to award a $60-million engineering job to a team led by St. Louis-based Hellmuth, Obata & Kassabaum, one of the nation’s largest design and engineering firms. Hermosillo said no Latino firms are listed as part of the proposed design team, which “makes a sham” of the county’s program to encourage minority and disadvantaged businesses.

Later, a spokesman for Supervisor Gloria Molina said she had requested a review of minority business participation.

“Some of the points made by the groups would probably merit further investigation,” said Molina aide Robert Alaniz. He said a report is expected from Department of Health Services auditors before supervisors consider the recommendation this month.

Officials in the county Department of Health Services defended the recommendation, saying they are taking steps to keep jobs in Los Angeles County and to involve minority firms.

Carl Williams, director of hospitals, said whoever wins the contract for the new 950-bed facility in Boyle Heights will be required to have the design work done locally. “We also have made it clear . . . that we expected them to augment their teams with additional minorities, where appropriate,” he said.

Michael Fejes, a principal manager in Los Angeles for Hellmuth, Obata & Kassabaum, said the firm will have the design work done locally. He also noted that the firm qualifies as a minority business because a Japanese-American owns more than 50% of the stock.

“There are a host of consulting firms, both named and unamed, that will be part of the team when it is fully configured,” Fejes said.

He declined to say which Latino- or black-owned firms might be involved. County officials said at least one Latino firm, Santa Monica-based Cummings Design Partnership, is expected to be involved with Hellmuth, Obata. Owner Michael Cummings is Mexican-American, the spokeswoman said.

Carol Salva, a Molina aide monitoring the hospital project, said Cummings Design’s participation was not a significant part of the overall contract.

Hermosillo said the Latino groups want the Board of Supervisors to grant the job to one of two other design teams led by major local firms, with Latino subcontractors.