The Washington Post has reported that the Trump administration has moved to dismantle one of the federal government’s largest and longest-standing affirmative action programs, siding with two businesses that challenged its constitutionality.
In a motion filed in the U.S. District Court for the Eastern District of Kentucky, the Justice Department said that a Transportation Department program that has carved out an estimated $37 billion for minority- and women-owned businesses violates the equal protection clause of the Constitution. If a judge approves the proposed settlement, the Disadvantaged Business Enterprise Program (DBE) will be prohibited from awarding contracts based on race and sex, effectively ending its founding mission.
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In an interview with Tony Franco, Managing Partner at PilieroMazza, a Washington-based law firm that represents government contractors, Mr. Franco said that he was “not surprised the administration would settle a case like this … because we know how they feel about diversity, equity and inclusion programs of all types. He added that, “this is one of those programs that is illustrative of the kind of programs that were set up by the federal government years ago in order to equal the playing field.”
According to the Washington Post, Mr. Franco and other government contracting experts said the settlement, if approved, leaves room for the program to continue in some fashion, allowing, for example, preferences to be based on economic disadvantage instead of race or gender.
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Excerpt taken from the article “Trump Administration Moves to Upend $37B Affirmative Action Program” by Julian Mark for The Washington Post. Visit this link to view the full article (subscription required).
About Tony Franco
In addition to serving as Managing Partner of PilieroMazza, Tony has an active practice in the Firm’s Government Contracts Group where he has over 30 years of experience representing government contractors and commercial businesses. His practice encompasses all aspects of federal government contracting. Tony also works closely with attorneys in the Firm’s Business & Transactions Group on corporate transactions and the Labor & Employment Group to address employer-employee challenges in the highly regulated market of government contracting. Tony also works with the Firm’s Litigation & Dispute Resolution Group, which assists clients with commercial and employment disputes that often arise when clients are doing business with third parties. Read more here.
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