NCDOT continues to pay millions to company it found discriminated against minority-owned subcontractor

A federal lawsuit accuses a contractor with nearly $200 million worth of contracts with the North Carolina Department of Transportation of creating a racially hostile work environment.

The lawsuit also claims the state agency knew about the discrimination but is failing to do anything about it.

“I took my concerns regarding the racial discrimination,” Shiron Vick, the owner of Vick Companies, told WRAL Investigates.

Vick said his employees were targeted during construction of a state-funded megasite to attract businesses in Randolph County.

Dwight Armbrush, Jr. said he was one of those workers.

“Staff and management were openly referring to me as a half breed or the N-word,” Armbrush said. “This experience is, by far, the worst display of racism I’ve ever encountered in a professional setting."

Vick's company was hired as a subcontractor to oversee safety issues on the site. The lawsuit says when Vick employees started reporting safety issues, as they were hired to do, the racial animus and retaliation began.  In the summer of 2022, Vick started reporting the discriminatory behavior.

“All of this was reported to NCDOT, and nothing was ever done with that," Vick said.

The state department of transportation awarded the contractor who hired Vick, Ames Construction, Inc. a $17 million contract to do various jobs around the site.

“That’s North Carolina taxpayer money,” said attorney Nick Sanservino, who filed this lawsuit against Ames and the DOT for failing to protect Vick's employees.

Sanservino said the proof is in the DOT's own investigation.

“They’ve already concluded, as the report says, there was unlawful discrimination based upon race,” he said.

Sanservino is referring to an investigative document the NCDOT provided to Vick. That investigation was finished in the summer of 2023, about one year ago.

The findings included "... Ames Construction, Inc., acting as an agent for the ... North Carolina Department of Transportation, racially discriminated against ... Vick, his company and his employees" and "NCDOT employees were informed of racially discriminatory behavior ... and failed to act within their obligations."

WRAL Investigates found the state still hasn't taken any action, despite DOT's recommendations that Ames Construction and one of its employees be sanctioned. According to the lawsuit, the employee was aware of the accusations.

“It almost seems like this is giving them a chance to be on really good super behavior then this will all go away,” Sanservino said.

WRAL Investigates asked the DOT about the lawsuit and received the standard response: "The NCDOT does not generally comment on active litigation."

The DOT didn't answer our other questions, including, "Why are the recommendations [from the NCDOT's investigation] taking so long to approve?"

An online search found Ames won two NCDOT bids after complaints were made. The company won a $167 million contract last year after the agency’s investigation was complete. The company also received another $1.7 million in 2022 after Vick says he first told the DOT about the abusive actions by Ames’ employees.

“That is very disappointing as a taxpayer having a government entity that’s supposed to be protecting North Carolina businesses taking so long to do anything of note,” Sanservino said of the lack of action.

After finding those other bids awarded to Ames, WRAL Investigates also asked the DOT whether the recommended probationary status would have prevented them from being awarded another contract. WRAL Investigates did not receive a response.

Armbrush said the entire incident is trouble, especially since the DOT encourages contractors to hire minority-owned or disadvantaged businesses.

“Based on the hiring, coming in as a minority worker, we came to a conclusion that this was a safe space," Armbrush said. "That we were going to be judged on our work performance and not our race.”

WRAL Investigates also reached out to Ames Construction. An attorney representing Ames sent the following statement to WRAL Investigates.

"In late 2021, the State of North Carolina hired Ames Construction as the general contractor for the Greensboro-Randolph Mega Site (Mega Site). To complete the project, which has employed more than 400 workers from the region, we entered into agreements with 33 subcontractors, and the Project has employed 28 certified Women and Minority Business Entities (W/MBEs).

"Last month, one of our subcontractors, Vick Companies, filed a lawsuit against Ames. In the strongest of terms, Ames denies the allegations in the lawsuit.

"Ames signed a short-term agreement for Vick Companies to provide interim safety services until the full Ames safety team mobilized to the site, which occurred in October 2022. Ames then provided Vick Companies with 60-days’ notice in advance of the completion of the agreement. The non-extension of the agreement was in no way retaliatory.

"Ames does not tolerate racial harassment at any of its sites or offices and takes appropriate action upon receiving reports of such misconduct. All of our employees and partners deserve to feel safe and respected at all times, and we expect everyone on the Ames’ team to adhere to our culture of respect and collaboration.

"We are aware that the North Carolina Department of Transportation (NCDOT) is conducting an investigation into the allegations of Vick Companies; however, Ames has not yet been interviewed by NCDOT. Ames is prepared to fully cooperate with the investigation.

"We would not be successful without community support, and the skilled, local workforce we have on the Mega Site project. We are committed to being a valuable and trustworthy community partner, which includes providing a respectful and safe work environment. Ames is dedicated to creating this workplace for all of its employees, partners, clients and communities."

The DOT’s internal investigation also recommended the case be turned over to the agency’s general counsel. Considering this is now a matter of a lawsuit, those attorneys may have to provide answers to the open questions in court.