As you are probably aware, the completed Hamilton County Disparity Study demonstrated that there were statistically significant disparities in the utilization of minority and women-owned businesses by Hamilton County versus the availability of such companies in our region over the past five and a half years. This now puts us in a position to take corrective actions to eliminate these disparities and we are working to do so.
It is important that we share with you the legal issues we are working to address as we create our implementation plans and strategies and acquire the necessary data monitoring and management tools.
In order to be legally defensible, it is important that our Disparity Study recommendations meet the following legal standard:
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Compelling Governmental Interest - Governments must show substantial evidence of discriminatory barriers that racial minorities and women face that impede participation in government contracting. When objective data shows that the disparities are substantial, this then creates a compelling governmental interest in developing programs that support the ability of businesses owned by women and minorities to compete on an equal basis.
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Strict Scrutiny - Federal programs that involve racial and gender classifications must meet the strict scrutiny standard of review to withstand constitutional challenge. This is the most exacting standard of review, and it requires, among other things, evidence supporting the conclusion that such measures are necessary to further the compelling governmental interest in remedying the effects of past and present bias or discrimination.
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Narrowly Tailored Remedies - The courts have identified the following elements of narrow tailoring: the efficacy of alternative remedies, the flexibility and duration of the race- and gender-conscious remedies, the relationship of the numerical goals to the relevant labor market, and the impact of the remedy on third parties.
Here are some of the items we are currently working on:
- Finalization of resolutions for Commissioners’ approval that will set overall Small, Minority, and Women-owned business goals for Hamilton County going forward,
- Development of data management tools that will set contract-specific and subcontract-specific SBE, MBE, and WBE goals,
- Completion of a Disparity Study Implementation “Rules and Guidelines” handbook for training of Hamilton County departments and staff,
- Acquisition of the necessary purchasing and procurement software (for the first time in Hamilton County this software will include diversity and equity components) that will be needed for all of our data management, and reporting needs
The overall percentages reported in the Disparity Study contractor availability data were 29% for both minority and women businesses combined, and the individual goals are 16% for minority-owned businesses and 13% for women-owned businesses. Presuming Board approval, we will reexamine our current small business enterprise goals of 30% for construction contracts, 15% for professional services, and 15% for goods and services.
We want our businesses and community stakeholders to understand that our efforts are based on best practices used around the country. We are balancing both the urgency of eliminating disparities in our work while implementing effective policies, procedures, and practices, and also training our departments and staff on new data management tools to ensure success for Hamilton County.
Sincerely,
Robert Bell
Director
