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The State of Minority- and Women- Owned ... - Cleveland.com

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Legal St<strong>and</strong>ards for Government Affirmative Action Contracting Programs<br />

Next, the level <strong>of</strong> specificity at which to define beneficiaries must be addressed. <strong>The</strong> <strong>State</strong> <strong>of</strong><br />

Ohio’s Program was specifically faulted for lumping together all “minorities,” with the court<br />

questioning the legitimacy <strong>of</strong> forcing African American contractors to share relief with recent<br />

Asian immigrants. 142<br />

Third, program remedies should be limited to those firms that have a nexus to the harms sought<br />

to be ameliorated. Some courts have held that state <strong>and</strong> local programs must provide pro<strong>of</strong> that<br />

the individual owner <strong>of</strong> a firm seeking to benefit from the program has suffered<br />

discrimination. 143<br />

Failure to make “neutral” changes to contracting <strong>and</strong> procurement policies <strong>and</strong> procedures that<br />

disadvantage all small businesses may result in a finding that the program unduly burdens non-<br />

M/WBEs. 144 However, “innocent” parties can be made to share some <strong>of</strong> the burden <strong>of</strong> the<br />

remedy for eradicating racial discrimination. 145 To hold otherwise “would be to render strict<br />

scrutiny effectively fatal, in contravention <strong>of</strong> Justice O’Connor’s clear statements to the<br />

contrary.” 146<br />

Race-based programs must have duration limits. 147 A race-based remedy must “not last longer<br />

than the discriminatory effects it is designed to eliminate.” 148 As held by the Sixth Circuit,<br />

“[n]arrow tailoring also implies some sensitivity to the possibility that a program might someday<br />

have satisfied its purposes.” 149 One <strong>of</strong> the factors leading to the court’s holding that the City <strong>of</strong><br />

Chicago’s M/WBE Program was no longer narrowly tailored was the lack <strong>of</strong> a sunset<br />

142 Drabik II, 214 F.3d at 737.<br />

143 See, e.g., Associated General Contractors <strong>of</strong> Ohio, Inc. v. Drabik, 50 F.Supp.2d 741, 766 (S.D. Ohio 1999)<br />

(“Drabik I”) (no “consideration given to whether the particular MBE seeking a racial preference has suffered<br />

from the effects <strong>of</strong> past discrimination by the state or prime contractors.”); Main Line Paving Co., Inc. v. Board<br />

<strong>of</strong> Education, 725 F.Supp. 1349, 1362 (E.D. Penn. 1989) (“program contains no provisions to identify those who<br />

were victims <strong>of</strong> past discrimination <strong>and</strong> to limit the program’s benefits to them”).<br />

144 See Engineering Contractors Assoc. <strong>of</strong> South Florida, Inc. v. Metropolitan Dade County, 943 F.Supp. 1546,<br />

1581-1582 (S.D. Fla. 1996) (“Engineering Contractors I”) (County chose not to change its procurement<br />

system).<br />

145 Concrete Works IV, 321 F.3d at 973; Wygant v. Jackson Board <strong>of</strong> Education, 476 U.S. 267, 280-281 (1986);<br />

Adar<strong>and</strong> VII, 228 F.3 at 1183 (“While there appears to be no serious burden on prime contractors, who are<br />

obviously <strong>com</strong>pensated for any additional burden occasioned by the employment <strong>of</strong> DBE subcontractors, at the<br />

margin, some non-DBE subcontractors such as Adar<strong>and</strong> will be deprived <strong>of</strong> business opportunities”); cf.<br />

Northern Contracting, Inc. v. Illinois Department <strong>of</strong> Transportation, 2005 U.S. Dist. LEXIS 19868, *5 (Sept. 8,<br />

2005) (“Northern Contracting II”) (“Plaintiff has presented little evidence that it [sic] has suffered anything<br />

more than minimal revenue losses due to the program.”); Western <strong>State</strong>s, 407 F.3d at 995.<br />

146 Adar<strong>and</strong> VII, 228 F.3 at 1183 (citing Adar<strong>and</strong> III, 515 U.S. at 237).<br />

147 Drabik I, 50 F.Supp.2d at 766 (“<strong>The</strong> 1980 MBE Act is unlimited in duration.… <strong>The</strong>re is no evidence that, at any<br />

time during the nearly two decades the Act has been in effect, the General Assembly has ever reconsidered<br />

whether a <strong>com</strong>pelling state interest exists which would justify the continuation <strong>of</strong> a race-based remedy.”).<br />

148 Adar<strong>and</strong>, 515 U.S. at 238.<br />

149 Drabik II, 214 F.3d at 737.<br />

NERA Economic Consulting 47

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