A Call to Action!
Minority Contracting Programs
in Jeopardy...
What if you woke up one day and the government decided
that there was no disparity in the procurement process
for minority owned businesses, the 8(a) program was
wiped away, and the world now operated on “an even
playing field?” Sound far fetched? Well, it isn't!
ALL aspects of federal
contracting favoring minority owned businesses have
been turned upside down by a recent injunction issued
by the U.S District Court San Antonio Division on
February 26, 2009 broadly interpreting a U.S. Federal
Circuit Court order. The case was the Rothe Development
Corporation vs.The U.S Department of Defense and The
U.S. Air Force. The injunction and the District Court’s
order was based upon a decade-long lawsuit by Rothe
Development, Inc. that challenged the constitutionality
of minority preference in the military and space program
contracting processes. Basically, the ruling said
the statistical data Congress used to authorize the
military's minority contracting program (a disparity
study) was insufficient and outdated. Rothe Development,
owned by a San Antonio Anglo woman, sued the government
after it was not awarded a computer-and-communications
contract at a federal facility, even though the firm's
original bid was $180,000 lower than an 8(a) company
owned by a South Korean couple.
The same discrimination statistical data that was
used in the Rothe Development case is used throughout
the federal system – U.S. Small Business Administration,
the U.S. Transportation Department, etc. The ruling
on its surface appears to lay the ground work for
challenging of other preferential program contracts
issued after January 1, 2006 -- the last time Congress
authorized the minority preferential contracting law.
Should the ruling be allowed to stand or new statistical
data not be updated, there could be a significant
impact on all aspects of minority business contracting
both in the public sector and eventually the private
sector.
Initial Tasks at Hand...
In an effort to assess and respond to the situation,
the Advanced Management Education Program (AMEP) alumni
from the National Minority Supplier Development Council
Inc.® (NMSDC®) Kellogg program and the Unity Group
(see notes below on the groups composing the Unity
Group) have joined together. AMEP has hired consultant,
Anthony Robinson to:
What You Can Do to Help...
Consultants, data collection and storage , reports,
coordination with congressional and executive staff,
conference calls, educational activities, etc. all
cost money.
We are reaching out to MBEs (and others committed
to minority business inclusion) to write a
personal check for at least $25.00
to help in this effort. Make
initial check payable to AMEP prior to May 15, 2009
and mail it to NMSDC – Attention AMEP, 1040 Avenue
of the Americas, 2nd Floor, New York, New York 10018.
After May 15, 2009 you may also go
online to www.MBEPAC.org
and make additional donations or mail check to the
MBE- PAC, Bank of America Plaza, 901 Main Street,
Suite 6200, Dallas, Texas, 75202.
This is a very small amount to insure that minority
inclusion is not written out of our landscape by the
stroke of a single court case. Your check will entitle
you to a consistent update on the activities of AMEP
and the Unity Group related to this issue.
Finally...
The U.S. House Small Business Committee, headed by
U.S. Rep. Nydia Velazquez, D-New York, is looking
into steps Congress can take to restore the legal
status of the program. Your emails, letters, phone
calls, etc. to your congressional representatives
concerning this matter are also warranted.
Let's not sleep through this important endeavor.
Take action today to secure your future and that of
coming generations!
Respectfully submitted,
Terri Quinton
National MBE Input Committee Chair
Technical
Group