For years, many people across the St. Louis architecture, engineering and construction industry have worked to create a more equitable marketplace—one in which qualified minority- and women-owned firms have a fair opportunity to compete, grow and lead.

Recent legal challenges, federal policy changes and local administrative decisions have created understandable uncertainty. Some organizations have become quieter about diversity, equity and inclusion. Others are reconsidering the language they use, the programs they maintain and the methods through which participation goals are established.

But quieter does not mean the need has disappeared.

The question facing our industry is no longer simply, “Do we still support inclusion?” It is: How do we continue advancing opportunity in a changing legal and procurement environment?

In St. Louis, the emerging answer is more localized, more project-specific and increasingly grounded in documented market data.

One Region, Different Procurement Environments

AEC firms should not assume that one inclusion policy applies throughout the St. Louis metropolitan area. The City of St. Louis, St. Louis County, state agencies, federal programs and private institutions may each operate under different requirements.

City of St. Louis: The Program Has Resumed

After temporarily pausing portions of its Minority- and Women-Owned Business Enterprise program in August 2025, the City resumed M/WBE certification and contracting activity through Mayor Cara Spencer’s Executive Order 91.

The executive order directed the St. Louis Development Corporation and City departments to establish M/WBE subcontracting goals on a contract-by-contract basis, using findings from the City’s 2024 Disparity Study and the availability of qualified firms within the relevant work categories. 

This is an important distinction. The familiar 25% MBE and 5% WBE benchmarks remain part of earlier City frameworks and continue to appear in some development requirements, but Executive Order 91 does not simply apply one flat percentage to every new City contract. Firms must review the requirements established for the individual solicitation.

Ordinance 72161 subsequently extended the City’s M/WBE program through December 31, 2026, providing additional time for stakeholders and City leaders to develop the next legislative framework. 

For the AEC community, the practical message is clear: The City’s program is active, but compliance must be evaluated one project at a time.

St. Louis County: Uncertainty Remains

The County’s situation is more complicated.

County Executive Sam Page’s administration has taken the position that the County’s M/WBE ordinance reached its sunset date in May 2026 and must be reestablished through County Council legislation. Some Council members dispute that interpretation, arguing that the ordinance’s 2022 repeal and reenactment may have restarted the sunset period.

That disagreement has created uncertainty rather than a simple, settled conclusion that the program no longer exists. The County’s website also continues to describe M/WBE monitoring, goal achievement, good-faith efforts and workforce utilization as active program functions. 

The County’s 2024 Disparity Study adds urgency to the discussion. According to information presented to the County Council, M/WBE firms represented approximately 44% of available businesses for contracts covered by the study but received roughly 17% of the associated contract dollars. On contracts where the program did not apply, their share reportedly fell to approximately 5%. 

Until the legal and legislative questions are resolved, firms should review each County solicitation carefully and seek written clarification when participation or reporting requirements are unclear.

The Shift Away From One-Size-Fits-All Goals

The most significant operational change is the move toward narrowly tailored, project-specific goals.

Under the City’s framework, officials consider the scope of a contract and the availability of certified firms capable of performing the relevant work. An electrical engineering contract, roofing package, civil infrastructure project and vertical building project may therefore carry very different participation expectations.

This approach is intended to connect goals to actual marketplace conditions and the disparities documented within specific industries.

For owners and procurement teams, this means inclusion planning must begin before an RFP is released. The organization needs to understand the project’s work categories, available firms and applicable legal requirements.

For prime consultants and contractors, it means past experience is no substitute for reading the current solicitation. A participation plan that worked on one project may not satisfy the requirements of another.

For M/WBE firms, certification, service classifications and directory information become even more important. If a qualified firm is missing from the certification database—or listed under incomplete or inaccurate work categories—it may not be counted when agencies measure availability.

The Private and Institutional Market Still Matters

Public policy may establish minimum requirements, but owners do not need to view compliance as the ceiling of their commitment.

Private developers, nonprofit organizations, healthcare systems, universities and corporations can continue expanding access through supplier outreach, transparent procurement, mentorship, joint ventures, prompt-payment practices, capacity building and inclusive bid lists—provided their programs are structured appropriately and reviewed by legal counsel.

Cortex offers a visible local example. Its published construction requirements reference 25% MBE and 5% WBE participation goals, along with workforce goals of 25% minority labor hours, 5% women labor hours, 20% City-resident labor hours and 15% apprentice labor hours for qualifying projects. These requirements are connected to applicable City ordinances and development obligations, rather than operating entirely apart from government policy. 

The broader lesson is that inclusion is not limited to subcontracting percentages. Owners can also examine:

• Who is invited to compete 
• Whether large packages can reasonably be unbundled 
• Whether smaller firms receive adequate notice and project information 
• How quickly subcontractors and consultants are paid 
• Whether emerging firms have access to bonding, financing and technical assistance 
• Who performs the work and gains experience on the jobsite 
• Whether diverse firms are repeatedly confined to minor roles or given opportunities to lead 

The Growing Role of Race-Neutral Measures

As public agencies respond to legal scrutiny, many are giving greater attention to measures that expand competition without relying exclusively on race- or gender-conscious classifications.

These strategies can include:

• Small Business Enterprise and Local Business Enterprise participation 
• Breaking large contracts into competitively viable packages 
• Simplifying prequalification requirements when appropriate 
• Improving forecasts of upcoming contracting opportunities 
• Offering technical assistance and procurement education 
• Strengthening prompt-payment enforcement 
• Expanding access to bonding and working capital 
• Encouraging mentor-protégé and joint-venture relationships 
• Tracking participation, awards and actual dollars paid 

These measures are not replacements for every legally supported M/WBE program. They are additional tools that can remove structural barriers and help more qualified firms compete successfully.

What AEC Organizations Should Do Now

Owners and institutional buyers: Review procurement policies with legal counsel, use current availability data and begin inclusion planning during project development—not after the RFP is issued.

Prime contractors and consultants: Read every solicitation carefully. Confirm the applicable goals, documentation, reporting procedures and good-faith-effort requirements rather than assuming the standards are the same as the previous project.

M/WBE firms: Keep certifications, contact information and work classifications current. Make sure procurement officials and prime firms can accurately identify what your company is qualified and prepared to perform.

All industry organizations: Continue building meaningful relationships before a bid opportunity is released. Inclusion is weakened when outreach begins only after the project team is already established.

What Now?

The language surrounding DEI may be changing. The legal structure of public contracting may continue to evolve. Programs may be revised, renamed or more narrowly designed

As the construction industry looks toward 2027, the outlook is neither a traditional boom nor a broad downturn. Instead, the market is following what economists describe as a K-shaped path—some sectors are expanding rapidly while others remain flat or continue to contract.

Total U.S. construction spending is expected to remain above $2.2 trillion, demonstrating the industry’s enormous scale. Yet that headline number does not tell the full story. Opportunities will differ dramatically depending on what is being built, where it is located and how the project is financed.

The American Institute of Architects’ July 2026 Consensus Construction Forecast projects that nonresidential building spending will increase approximately 3.0% in 2027. That represents an improvement from the weaker conditions experienced in 2026, but the growth is concentrated in only a handful of markets.

For owners and AEC firms, the message is clear: The market may grow in 2027, but it will not lift every sector equally.

The Sectors Driving the Market

Data Centers and AI Infrastructure: The Dominant Growth Engine

Few sectors illustrate the upper arm of the “K” more clearly than data centers.

The AIA forecasts data center construction spending will grow another 25% in 2027, following an estimated 33% increase in 2026. By 2027, data centers could represent approximately 8% of all nonresidential building spending.

This activity is influencing the broader commercial forecast, which is projected to grow 5.8% in 2027. However, without data centers, commercial construction would grow by only about 1%.

That distinction matters. While the commercial category may appear strong on paper, traditional office, retail and other privately financed projects are not experiencing the same momentum.

Data centers also create opportunities beyond the building itself. They require substantial electrical capacity, cooling infrastructure, backup power, telecommunications, security, controls and specialized construction expertise. At the same time, their energy, water and infrastructure demands require early coordination among owners, utilities, design teams, contractors and public agencies.

Healthcare: A Dependable Anchor

Healthcare continues to offer one of the more stable construction pipelines. Spending is forecast to increase approximately 4.4% in 2027, driven by an aging population and continued demand for hospitals, outpatient facilities, specialized treatment centers, senior care environments and medical renovations.

For the St. Louis region—with its significant healthcare, research and institutional presence—this sector should remain an important source of opportunity. Firms with experience navigating occupied facilities, infection-control requirements, complex building systems and phased construction may be especially well positioned.

Hospitality and Recreation: Selective Strength

Hotel construction is projected to grow approximately 5.2% in 2027, while amusement and recreation construction is forecast to increase about 3.0%.

These markets are still selective, but investment in sports facilities, entertainment venues, performance spaces, hotels and visitor experiences could generate opportunities in communities seeking economic development and tourism growth.

Education and Retail: Modest Movement

Education construction is forecast to grow just 0.9% in 2027, while retail and other commercial construction may increase approximately 2.7%.

These markets are not disappearing, but much of the work may center on modernization, renovation, adaptive reuse and improvements to existing facilities rather than large waves of new construction.

Manufacturing: Stabilizing After a Historic Surge

Manufacturing construction reached extraordinary levels following major investments in semiconductor, battery and advanced-manufacturing facilities. That expansion is now cooling.

The AIA forecasts manufacturing construction spending will decline 0.6% in 2027, following a much sharper contraction in 2026. This should be viewed as a normalization after an unprecedented investment cycle—not the disappearance of industrial work.

Opportunities may increasingly shift toward facility improvements, utility upgrades, automation, process changes and expansions within existing operations.

Traditional Office Construction: Continued Pressure

Traditional office construction remains one of the weakest sectors. Spending is projected to decline another 4.5% in 2027as organizations continue evaluating space needs, hybrid work arrangements and existing vacancies.

For design and construction firms, the greater opportunity may be in repositioning older buildings, consolidating workplaces, modernizing amenities and converting underused properties to new purposes.

Your email notification pops up.

You look.

A Teams message comes in.

You answer.

Someone texts.

You respond.

Then you return to what you were doing and try to remember exactly where you left off.

Sound familiar?

One of the biggest drains on our capacity isn’t necessarily the amount of work we have. It’s the constant interruption of that work.

And somewhere along the way, many of us started confusing something new with something urgent.

Incoming Doesn’t Mean Important

When a message arrives, it immediately gets our attention simply because it’s new.

But ask yourself:

Is this actually urgent—or did it just arrive?

Those are two very different things.

Some things absolutely require an immediate response. A jobsite issue affecting safety, a client emergency or a decision holding up a project can’t necessarily wait.

But that doesn’t describe every email in your inbox.

Yet when we treat every incoming request with the same urgency, we’re allowing other people to continuously rearrange our priorities.

The Cost of “Just Checking”

We often tell ourselves:

“I’ll just check my email really quickly.”



But checking rarely ends with checking.

Risk Management: Solving Tomorrow’s Problems Before They Happen

Every construction project carries risk. The difference between successful projects and struggling ones often isn’t the number of risks—they all have them. The difference is how early those risks are identified and managed.

The Construction Industry Institute (CII) recognizes Risk Management as a Best Practice because proactive planning consistently delivers better outcomes than reacting to problems after they occur.

Today’s construction environment presents more uncertainty than ever. Labor shortages, volatile material pricing, supply chain disruptions, permitting delays, weather events, and evolving regulations all have the potential to impact project success. Waiting until these issues surface in the field often results in costly schedule delays and budget overruns.

Leading owners are shifting from asking, “What went wrong?” to “What could go wrong, and how do we prepare for it?”

Effective risk management begins early by identifying potential challenges, evaluating their likelihood and impact, assigning ownership, and developing mitigation strategies before construction begins.



Questions Every Project Team Should Be Asking

• What are the greatest threats to our schedule?
• Which materials or equipment present procurement risks?
• Are there labor shortages for critical trades?
• What site conditions could impact construction?
• What contingency plans are in place if key assumptions change?

Projects that openly discuss risks at the beginning create fewer surprises later. They also make better decisions because everyone understands where the greatest vulnerabilities exist.

Perhaps most importantly, risk management should not be a one-time exercise. The strongest project teams revisit their risk register throughout design and construction, adjusting as conditions evolve.

The construction industry has always trained people to do their jobs better. But there is a new question worth asking:

Are we training people for the jobs they have today, or for the jobs those roles are becoming?

The distinction matters.

A project manager’s job is changing. So is the work of an estimator, superintendent, architect, engineer, safety professional, marketer and owner representative.

Technology is part of that change, but this conversation is bigger than software.

Today’s AEC professionals are being asked to interpret more information, coordinate across more disciplines, make decisions faster, communicate with increasingly complex project teams and adapt to tools that may not have existed when they entered the industry.

That means continuing education has to evolve, too.

Technical Knowledge Is Still Essential. It Just Isn’t Enough.

Knowing your discipline remains the foundation. The industry still needs people who understand how buildings go together, how projects are delivered, how risk is managed and how quality and safety are maintained.

But technical knowledge increasingly sits alongside another set of capabilities.

The professionals positioned to grow over the next several years will need to know how to:

• Use technology intelligently, not simply operate it.
• Evaluate information and recognize when something doesn’t look right.
• Communicate risk before it becomes a crisis.
• Work effectively across generations and disciplines.
• Understand the business behind the project, not only their piece of it.
• Learn new tools without abandoning sound judgment.
• Lead conversations even when they aren’t the person with the highest title.

Those aren’t “soft skills.” On a complicated project, they are performance skills.

Some of the most valuable construction knowledge has never appeared in a manual.

It lives in the superintendent who can walk onto a project and immediately sense that sequencing is going to become a problem.

It's in the project manager who knows which questions to ask before approving a change.

It's in the estimator who remembers what went wrong on a similar project ten years ago.

And it's in the owner, engineer, architect, safety professional or craft worker who has learned hundreds of small lessons through years of experience.

We call it experience.

Organizations should also think of it as knowledge that needs to be transferred.

When Someone Leaves, What Leaves With Them?

The AEC industry spends significant time talking about recruiting the next generation. That's important.

But recruiting someone into the industry and preparing that person to succeed are two different challenges.

As experienced professionals retire, change companies or move into different roles, organizations can lose knowledge that took decades to build.

The problem is that much of it isn't written down.

Think about what an experienced employee knows:

• Why a certain process exists.
• Which early warning signs deserve attention.
• Which questions should be asked before construction begins.
• Where projects have historically gotten into trouble.
• How to navigate difficult conversations.
• Which shortcuts aren't worth taking.
• When to stop and ask for another opinion.
• How a decision made today may affect someone six months from now.

You won't find all of that in an employee handbook.

We measure training in familiar ways.

How many people attended?

Did they like the speaker?

How did they rate the program?

Did they receive a professional development hour or learning unit?

Those measurements matter.

But there is another question that may matter even more:

What did anyone do differently afterward?

That's where education becomes performance.

A Full Room Isn't the Finish Line

The AEC industry has no shortage of information.

There are conferences, webinars, safety meetings, lunch-and-learns, leadership programs, technology demonstrations, professional development courses and online resources available on nearly every topic imaginable.

The challenge isn't always access to information.

Increasingly, the challenge is turning information into behavior.

Someone can attend an excellent session on communication Monday morning and handle a difficult conversation exactly the same way Tuesday afternoon.

A project manager can attend technology training and return to the spreadsheet they have used for ten years.

A leadership team can hear an outstanding presentation on developing employees and never discuss it again.

The training wasn't necessarily unsuccessful.

The learning simply stopped too soon.

Try the 48-Hour Rule

What if every professional development program ended with one simple expectation?

Use something you learned within 48 hours.

Not five things.

One.

After a training session, ask participants to identify:

1. One idea worth remembering.
2. One behavior worth changing.
3. One person who needs to hear what they learned.
4. One action they can take within 48 hours.

That last step matters.

Application strengthens learning.