Submitted by Alfred D. Swailes
(Source: Black Business Task Force)
Washington, D.C., has long been a cradle for Black-owned businesses that have served as the backbone of economic empowerment and community resilience. From the era of segregation to today, these enterprises have broken barriers, fostered economic self-reliance and created opportunities amid systemic challenges. Institutions like Industrial Bank and Ben’s Chili Bowl symbolize this legacy, having provided essential services, employment, and cultural pride. However, this rich history has faced challenges, with Black-owned businesses navigating obstacles like gentrification and limited access to resources. As the city moves forward, a renewed focus on equity and inclusion is critical to safeguarding this legacy and fostering future growth.
The courts have played a pivotal role in shaping policies around minority and women-owned businesses. Landmark cases like City of Richmond v. J.A. Croson Co. highlighted the complexities of affirmative action in public contracting. The case arose in the 1980s when the City of Richmond’s Minority Business Utilization Plan mandated a 30% subcontracting requirement for mino-rity businesses. The Supreme Court ruled the plan unconstitutional, stating that generalized assertions of past discrimination could not justify rigid racial quotas, even if the intent was to remedy inequities. Similarly, the O’Donnell Construction v. District of Columbia case brought into question the Minority Contracting Act, ultimately deeming it unconstitutional for lack of narrowly tailored measures to address specific discrimination. These cases underscore the challenges of creating effective, legally sound programs to support a minority owned business while adhering to constitutional principles.
Recent efforts, like the 2021 Disparity Study advocated for by the Black Business Task Force, introduced by Councilmember Kenyan McDuffie, and commissioned under Mayor Muriel Bowser, have aimed to tackle these challenges head-on. The study revealed significant underrepresentation of minority and women owned businesses in DC government contracting. While some Certified Business Enterprises (CBE) secured large contracts, many struggled to access opportunities, highlighting systemic gaps in procurement processes. The study called for race and gender measures to address these disparities and proposed strengthening programs like the CBE framework. With initiatives like the Inclusive Innovation Equity Impact Fund and the Commercial Property Acquisition Fund, the current administration has demonstrated a commitment to equity, but further actions are required to ensure sustainable growth for minority owned businesses. As demonstrated by the fact that a non-CBE contractor preformed the project of the Black Lives Matter Plaza in DC. More importantly, the contractor was not a Black, or women owned business.
To prevent further deterioration of minority and women owned businesses, the Black Business Task Force has called for decisive action. As recommended by the 2021 Disparity Study, a new study should be conducted in 2026 that includes detailed data on how funds outsourced is spent. The 2021 study only looked at money that was spent directly in the CBE programs and did not consider how companies that were awarded contracts subcontracted the work and if the work was given to minority and women owned businesses. By not considering subcontractors in the 2021 study, we do not have concrete data on how money was spent on minority and women owned businesses. This is a problem because we need the data in order to justify implementing an MBE program that supports Black, and women owned businesses.
Building on the legacy of visionary leaders like Mayor Marion Barry, who fervently advocated for economic inclusion, Washington, D.C., must recommit to fostering a robust, equitable business ecosystem. Transparent procurement processes, strategic funding initiatives, and comprehensive policy reforms are essential to dismantling systemic inequities and unlocking the potential of minority and women-owned businesses. Now is the time for decisive action to ensure that the next chapter of D.C.’s entrepreneurial narrative is one of inclusivity, resilience, and shared prosperity. Let us champion and empower the businesses that embody the heart and promise of our community.
The Black Business Task Force is a 501(c)(4) organization. Its mission is to spearhead the advancement of equal economic opportunity and revenue for Black-owned and Black led businesses in the District of Columbia. This organization advocated for and supported the Disparity Study conducted by DMPED that looked at how government contracts and procurements are awarded to women and minority owned businesses. Now the organization is working to inform Black owned and Black led businesses about the results of the Disparity Study and encourage the District of Columbia to improve the contracting processes based on its findings. Blackbusinesstaskforce.org
