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Adversity.Net Special Report - Last Updated March 18, 2000 |
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| DOT STATE PROGRAMS:
Below is a brief, partial sampling of some of the individual state programs which
have been strong-armed by U.S. DOT into excluding non-minority businesses from federal
transportation contracting opportunities. Only a few state programs are included
here -- it would require a whole, separate web site to list them all! There are
hundreds of city and state "DOT Minority Set-Aside" programs in effect and each
one of these has an office dedicated to minority contracting. Most of them also have
a web site devoted to that purpose. NOTE: As of Jan. 29, 1999 Bill Clinton has ordered all of the USDOT federal and state web sites to remove any explicit reference to minority preferences from their web pages. See especially Clinton Steps Up Racial Goals. --------------------------- ALASKA: The Alaska DOT maintains offices and a web site specifically for "certified DBEs in the Directory. This directory includes Male Minority Firms(MBE), Female Minority Firms(MWBE), and Female Caucasian Firms(WBE)." (Link http://www.dot.state.ak.us/external/state_wide/dbe/dbe.html)
Alaska DOT’s capital and operating budget for 1996 was $594 million. Alaska was not
kind enough to delineate budget expenditures to minority firms. See also Link at: --------------------------- ARKANSAS: Ancestral home of Bill Clinton. The Arkansas Highway and Transportation Department has a very active Office of Disadvantaged Business Enterprise. According to their on-line report for November 1998 AHTD had awarded minority contracts and subcontracts totalling $16,652,955.80! You may download AHTD's minority contract reports by going to http://www.ahtd.state.ar.us/Contract/ProgCon/General/DBE.HTM ----------------------- CALIFORNIA: It is no surprise that California has dozens of individual state and local offices of "Minority Business Enterprise" (under various names), many of which are concerned with federal and state transportation dollars. One of California’s favorite euphemisms for racial quota programs is the "Business Enterprise Program" whose state-approved slogan is "Paving the way with more accessible opportunities." Honest! "Paving", get it? Highways, roads, DOT, and, er, "paving"! California voters' rejected racial quotas when they passed Proposition 209. However, this state's DOT, prodded by the federal government, continues to use racial set-asides in spite of the new state law against it. See California's DOT site for a listing of their minority set-asides: http://www.dot.ca.gov/hq/bep/ --------------------------- DISTRICT OF COLUMBIA (WASHINGTON, DC): Washington DC has one of the highest concentrations of minority residents of any northeastern state (80% or more of DC residents), and the city is a bastion of liberal democratic politics. DC’s own version of the DBE program follows: "DC Department of Human Rights and Local Business Development: Minority Business Opportunity Commission" FACT SHEET "The LSDBE Program is a program established pursuant to legislation approved by the District of Columbia City Council and signed into law on December 29, 1992 (The "Equal Opportunity for Local, Small and Disadvantaged Business Enterprises Act of 1992"). The LSDBE Program establishes a 50% goal for District government contracts with local small business enterprises and provides a preference for local and business enterprises in all available areas of District government contracting. Under this program, applicants are eligible for certification in the following classifications: "Local Business Enterprises (LBE): LBE means a business enterprise whose principal office is located physically in the District of Columbia, licensed by the District and subject to District of Columbia taxes. "Disadvantaged Business Enterprise (DBE): A DBE is an LBE, or has been determined to meet the criteria for waiver of requirement to be a LBE, which is operated, owned and controlled by an economically disadvantaged individual who owns at least 51% of the company's ownership and voting interests. For the purposes of this program, an economically disadvantaged person is a socially disadvantaged person whose ability to compete in the free enterprise system has been impaired due to diminished capital and credit line of business and competitive market area who are not socially disadvantaged. Socially disadvantaged individuals are those who can clearly demonstrate that they have reason to believe they have been subjected to prejudice or bias because of their identity as members of a group without regard to their qualities." See Link: http://www.ci.washington.dc.us/dhr_lbd/olbd/certification/guide/step1_factsheet.htm ---------------------------------- DELAWARE (WILMINGTON): At least Wilmington, Delaware offers some hope that non-minority firms can be considered "disadvantaged". The language of their ordinance is very similar to that of the feds and of the other states, but note in particular the bolded phrases below: "DBE Certification Program: The DBE Certification Program allows the solicitation and assistance to disadvantage businesses to participate in the procurement process and performance of City contracts. "A Disadvantage Business Enterprise (DBE) is a small business concern (1) which is at least fifty-one percent (51%) owned and operated by one or more socially or economically disadvantage individuals. (2) the businesses daily operations shall be managed and controlled by one or more of the socially or economically disadvantaged individuals who own it. "The City of Wilmington directs contracting and subcontracting opportunities toward economically and socially disadvantaged individuals who are among : "(1) the chronically unemployed or underemployed. To this end, the City has identified two demographic sub groups in its population (African Americans and Hispanics) which have unemployment rates fifty (50) percent above the prevailing State of Delaware unemployment rates. "(2) In determining disadvantage individuals, the City may review the net worth of individuals regardless of race, color, creed, sex or national origin. A presumption of economic disadvantage if the net worth of each of the individuals who together own and control fifty-one percent or more of the disadvantaged business enterprise, exclusive of up to fifty thousand dollars ($50,000.00) of equity in his or her primary residence, is less than one hundred dollars ($100,000.00)." See Link: http://www.ci.wilmington.de.us/new.htm --------------------- FLORIDA (ORLANDO) - 02/21/97 - Minority, Women Business Programs at Orlando Show Record Increases ... "More than $46 million of revenue was generated by or disbursed to Disadvantaged Business Enterprise (DBE), Minority and Women Business Enterprise (MWBE) and Local Minority and Women Business Enterprise (LMWBE) firms at Orlando International Airport in Fiscal Year 1996. "According to a Minority and Women Owned Business Enterprise Participation Report recently released by the Greater Orlando Aviation Authority, minority businesses were able to maximize their opportunities in concessions, purchasing and construction." White businesses and contractors were thus excluded from $46 million in government business just for the airport project! Imagine how many more millions or billions of dollars of Florida transportation money was denied to white business owners for other transportation projects! See Link: http://www.state.fl.us/goaa/
FLORIDA (FORT LAUDERDALE): "SMALL/MINORITY BUSINESS AFFAIRS" Office of Equal Opportunity "The Office of Small/Minority Business Affairs serves to coordinate the implementation of Broward County's Small Disadvantaged Business Enterprise Affirmative Action Program. The County's objective is to ensure that minority and women-owned businesses receive a fair share of County contracts. The office also serves as the County's liaison to the small business community." See Link: http://www.co.broward.fl.us/eoi00500.htm ----------------------- More Florida ... FLORIDA (BROWARD COUNTY): "Through the years Broward County Government has maintained its active role in facilitating the growth and development of Small Disadvantaged Business Enterprises (SDBEs). "In an effort to better serve the community, the Board of County Commissioners enacted Ordinance 93-17 which updated Broward County Government Small Disadvantaged Business Affirmative Action Program. The new ordinance enhances the existing program and adds new methods of assisting SDBEs. "The program involves encouraging minority and women business participation in the county's central procurement system. The methods by which this is accomplished include the use of goals in contracts and the use of contract set-asides. "A Small Disadvantaged Business Enterprise is defined as a small business concern that is at least fifty-one (51) percent..." See Link: http://www.co.broward.fl.us/eoi00600.htm
FLORIDA (BROWARD COUNTY): "ABOUT THE SMALL DISADVANTAGED BUSINESS ENTERPRISE DIRECTORY" "... Our updated directory of Small Disadvantaged Business Enterprise (SDBE) should prove to be a valuable tool for contractors, and the firms listed within the directory." In other words, if you want a gov’t contract with Broward County, you’d better hire some of the SDBE’s (minorities) listed in their directory! See Link: http://www.co.broward.fl.us/eoi00800.htm
FLORIDA (General): Some state DOT-racial programs are a little more candid than others. For example, Florida reports "(The Florida) DOT has not met its MBE construction goal and has not met selected race/gender goals contained within the four industry categories. (Florida) DOT officials have attributed not meeting all of their MBE goals to such factors as too few MBEs available to perform the work needed, MBEs not being the lowest bidder for contracts requiring acceptance of the lowest bid, and difficulty in locating MBEs matching the race/gender compositions specified in statute." In other words, Florida DOT admits that they can’t find enough minority contractors to meet the U.S. DOT’s racial quotas! What did they expect when they started issuing racial guidelines for state contracts? Ominously, the Florida report goes on to say this: "However, [Florida's] DOT may be able to increase its use of MBE construction contractors by changing its bidding procedures and require prime contractors to formally commit to using certified minority contractors prior to executing a fixed capital outlay construction contract." So, Florida DOT has plans on the board to put the racial-quota problem squarely on the backs of the qualified non-minority contractors by requiring them to find the minorities that Florida can’t! Brilliant. See Link: http://www.oppaga.state.fl.us/reports/trans/r12234s.html ----------------------- HAWAII -- Department of Transportation Disadvantaged Business Enterprise (DBE) Directory "We are pleased to make available the Disadvantaged Business Enterprise (DBE) Directory - a listing of certified Disadvantaged Business Enterprises in the State of Hawaii (and those firms in other states wishing to be identified as such in this State). "The purpose is twofold: "1. To comply with Section 2345(e) of Title 49, Code of Federal Regulations, Part 23; and "2. To facilitate bidders and proposers in their efforts to meet the DBE requirements for federally assisted Department of Transportation (DOT) projects through the identification of certified DBEs. "Our policy is to support to the fullest extent possible the participation of DBEs as defined in Title 49 CFR, Part 23, in the performance of contracts financed in whole or in part with Federal DOT funds." See Hawaii Link at: http://www.hawaii.gov/dot/ ---------------------------- MORE HAWAII: "A Disadvantaged Business Enterprise (DBE) means a small business concern which is at least 51 percent owned and controlled by one or more socially and economically disadvantaged individuals who are U.S. citizens. "These individuals include minorities, women and those individuals found to be socially and economically disadvantaged by the Small Business Administration (SBA). "The U.S. Department of Transportation encourages all recipients of Federal funds (generally to the state and local governments) to provide maximum opportunity for Disadvantaged Business Enterprises (DBEs) to participate in these contracts. The State of Hawaii Department of Transportation (HDOT) and the City and County of Honolulu have established DBE participation goals for Federally funded contracts. Contractors assist Federal funds recipients in meeting these DBE participation goals by being certified DBEs themselves or by using the services and/or products of subcontractors / vendors / suppliers which are certified DBE firms." See Link at: http://www.co.honolulu.hi.us/ ------------------------------ MARYLAND (12-16-98): The Maryland Department of Transportation’s MBE program is illustrative: The MDOT forces non-minority contractors to hire state-certified minorities (MBE’s) for specific dollar amounts or percentages of the state contract upon which they are bidding! In other words, the non-minority contractor loses control over their selection of sub-contractors. "White" contractors must make racial hiring and subcontracting decisions based upon racial criteria established by the state’s MBE program. The economic hammer MDOT wields over non-minority contractors (with much financial help from USDOT) is very, very large: The Maryland DOT procures nearly $2 billion worth of goods and services every year!!! That’s just Maryland State! Most state DOT MBE programs utilize the same or similar definition as Maryland does: "A MBE is a business that is at least 51% owned and controlled by a minority person or persons. A minority is defined as an individual who is African American, Hispanic American, Asian American, Native American, women and the disabled." MDOT’s racial quotas are funded with your tax dollars from: motor fuel taxes, motor vehicle excise (titling) taxes, motor vehicle fees (registrations, licenses and other fees), and federal-aid (largely from U.S. DOT). In addition, the Trust Fund also includes corporate income taxes, operating revenues (e.g., transit fares, port fees, airport fees -- each time you purchase an airline ticket, a percentage goes into DOT’s racial quota programs), and bond proceeds. Federal-aid (U.S. DOT) projections are based on current appropriations and the match required to meet capital program cashflow requirements. Maryland Summary: YOUR federal and MD state tax dollars are being used to bully private, non-minority transportation contractors into making racially based hiring decisions. If you’re a non-minority and you want to do business with Maryland’s DOT, you’ve got to make those required racial hires! See Link: http://www.mdot.state.md.us/mbe/overview.html ---------------------- MISSOURI & ILLINOIS (ST. LOUIS): "St. Louis Regional Transit web site. Bi-State Development Agency, operators of the St. Louis area's network of light rail, bus and paratransit van transportation,..." "The Disadvantaged Business Enterprise Program At Bi-State Development Agency" "Disadvantaged Business Enterprise (DBE) participation programs are implemented under the authority of federal law by the state agencies and authorities which receive federal funds through the U. S. Department of Transportation. The Bi-State Development Agency (BSDA) receives such funds. "BSDA places DBE goals in many of our projects to encourage participation by socially and economically disadvantaged businesses in all phases of our contracting opportunities. Regulations require participating DBE firms to be certified by BSDA." See Link Missouri/Illinois Link at: http://www.bi-state.org/dbe.htm St. Louis is even kind enough to sponsor what they euphemistically call "contractor / DBE seminars" in which white-owned businesses are told point blank: if you want a contract with us, here’s how to hire the right number of minorities and minority businesses -- oops, we mean Disadvantaged Business Enterprises. See St. Louis Link at: http://www.bi-state.org/contract-pro.htm -------------------------- NORTH CAROLINA (UNIVERSITY OF): "The University of North Carolina, the Small Business and Technology Development Center (SBTDC) is the primary organization through which the State of North Carolina provides counseling and technical assistance to the business community. "The SBTDC offers specialized market development assistance in the areas of government procurement, international business development, and new product and technology development. In addition to extensive business counseling, special focus training programs on topics such as "Equal Access to Credit" & "Minority, Women and Disadvantaged Business Enterprise Certification" are presented periodically across the state." See UNC Minority Assistance Link at: http://www.sbtdc.org/sbtdcmin.html ---------------------- OREGON: Oregon’s version of racial quota contracting is called the "Oregon Office of Minority, Women and Emerging Small Business (OMWESB)" The office offers three types of certifications: - Disadvantaged Business Enterprise (DBE) Oregon’s web site doesn’t list any such aid programs for businesses owned by whites. See Oregon's Minority Link at: http://www.cbs.state.or.us/external/omwesb/index.html ---------------------------- PENNSYLVANIA (PHILADELPHIA): Finance, Office of the Director of / Minority Business Enterprise Council "The primary mission of the Minority Business Enterprise Council (MBEC) is to ensure that the City of Philadelphia's system for contracting for goods and services includes minority, women, disabled, and disadvantaged business enterprises (M/W/DS/DBE, respectively). MBEC creates an environment of inclusion where minorities, women, and disabled business persons are given equal access to business opportunities with the City. "The Minority Business Enterprise Council's major objectives are to increase the number of certified M/W/D: - DBEs in underutilized commodities, industries and marketplaces; to increase to number of certified M/W/D; - DBE contractors in all markets where City dollars are spent, to increase participation of M/W/DBEs on City contracts to continued interdepartmental and quasi-public agency relations, technical assistance to vendors, and communications with Council and Mayor's Offices; to increase monitoring of contracts to assure compliance with contract terms by prime and sub-contractors; and to identify and breakdown barriers that have prevented minority, women, disabled and disadvantaged businesses from entering the economic mainstream." See Philadelphia Minority Link at: http://www.phila.gov/phils/Docs/Inventor/graphics/agencies/A062-9.htm ---------------------------- TEXAS: Texas DOT spends approx. $2 billion annually. At the Texas 2nd annual BOSS (Business Opportunity Symposium Series), a major focus was teaching minority-owned businesses how to take advantage of racial quotas to get business from the state at the expense of white-owned businesses. Of course, U.S. DOT and its Office of Small and Disadvantaged Business Utilization (OSDBU) were major sponsors of the conference. See Texas Minority Link at: http://www.dot.state.tx.us/tdotnews/advisory/970603-1.htm ----------------------------
END of DOT State Program Review - March 18, 2000 |
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| Clinton Steps Up DOT Racial Goals Jan. 29, 1999 |
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