[Congressional Record Volume 147, Number 12 (Tuesday, January 30, 2001)]
[Extensions of Remarks]
[Page E39]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




    IN HONOR OF WATSON RICE LLP ON THE OCCASION OF THE FIRM'S 30TH 
                              ANNIVERSARY

                                 ______
                                 

                        HON. CAROLYN B. MALONEY

                              of new york

                    in the house of representatives

                       Tuesday, January 30, 2001

  Mrs. MALONEY of New York. Mr. Speaker, this year marks the 30th 
anniversary of Watson Rice LLP, an accounting and consulting firm in 
the heart of my district that exemplifies the benefits of affirmative 
action. Today, Watson Rice is one of the nation's largest and oldest 
firms owned and managed by diverse partners, with 125 professionals 
operating in four states and the District of Columbia.
  Few would have predicted that back in 1971, in downtown Cleveland, 
two fledgling accountants operating in one room, at a shared desk 
sitting face to face, with a single adding machine and one telephone 
line, would develop a firm that now earns annual billings approaching 
$9 million.
  Tom Watson and Bob Rice, however, share this American success story. 
Garnering their first fees from a dry cleaning establishment, a grocery 
store, and a funeral home, they now operate a formidable enterprise 
well known today as Watson Rice LLP.
  The African-American founders of Watson Rice LLP found opportunity in 
the pro-active policies of President Carter's administration that 
welcomed the services of qualified firms staffed with multicultural 
professionals. Mr. Watson and Mr. Rice first and foremost reached out 
to the regional offices of established accounting firms to learn from 
experienced senior professionals. Mr. Rice recalls that period for the 
exceptionally generous mentors at Big 8 firms like Deloitte Haskins.
  Watson Rice's first sizable contract, from the U.S. Department of 
Labor, enabled the firm to move to their own offices in downtown 
Cleveland and to start adding staff. Business from the U.S. Department 
of Commerce and from the U.S. Environmental Protection Agency followed, 
and then from several other Washington agencies.
  In 1976, Tom Watson met Ron Thompkins, a Florida-based professional 
partner in a firm which developed a considerable practice specializing 
in health care services. This firm later was merged into Watson Rice to 
mutually strengthen operations in government, non-profit and joint 
venture practices. The Miami branch since has doubled its number of 
staff professionals.
  The late 1970s also were a time when Tom Watson first met Bennie 
Hadnott, a specialist in quality control and training for government 
audits. That meeting led to another merger, with Hadnott fully blending 
into Watson Rice--ultimately to become its Managing Partner based in 
New York. The firm's government practice grew rapidly, generating $1 
million in fees during the first two years of the new affiliation. 
Contracts with the Departments of Labor and Energy provided substantial 
revenue, especially from reviews of oil company pricing practices 
during the Mideast embargo of petroleum.
  The growing New York practice generated an impressive and diverse 
client roster, including the New York City Health & Hospital Services, 
Coca-Cola Bottling Company, the NAACP Legal Defense Fund, the NYC 
Department of Aging, and eight McDonald's franchises. Hadnott also 
served on the Mayor's Financial Committee during the Dinkins 
Administration of New York City.
  In 1982, Watson Rice contracted with the Resolution Trust Corporation 
to help close Carteret Savings, one of New Jersey's largest banks. The 
firm opened offices in Rutherford, NJ, at first for the 60 members of 
its staff assigned to the program, and later to represent prestigious 
regional operations, such as the Newark Public Schools, the Urban 
League, and statewide long term care facilities. Bennie Hadnott, while 
still active in the firm, recently passed its leadership to a new and 
dynamic managing partner, Raymond P. Jones. The emphasis at the firm 
continues to be training and excellence, with Watson Rice at the 
cutting edge of establishing a paperless accounting practice, a leader 
in its industry. Mr. Speaker, I salute Watson Rice LLP and I ask my 
fellow Members of Congress to join me in recognizing this firm's 30th 
anniversary.

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