Question

1. The federal government made a law that 23% of all construction contracts, due to the 14^th Amendment must be rendered to minority companies. What is the issue?

Answer 1

Since 1960s, minority participation "goals" have been an integral part of federal policies to promote racial and gender equality in contracting on federally financed construction projects and in connection with other large federal contracts.

Federal contract "set-asides" and minority sub-contracting goals evolved from Small Business Administration programs to foster participation in the federal procurement process by small disadvantaged businesses, or small businesses owned and controlled by "socially and economically disadvantaged" individuals. Minority group members and women are presumed to be socially and economically disadvantaged under the Small Business Act, while non-minority contractors must present evidence to prove their eligibility. "Goals" or "set-asides" for minority groups, women, and other "disadvantaged" individuals have also been routinely included in federal funding measures for education, defense, transportation, and other activities over much of the last two decades.