Although more than two months have passed, countless minority-
and women-owned businesses in California are still reeling from
Gov. Pete Wilson's executive order that terminated all
affirmative action programs and regulations guiding state
contracting opportunities. But entrepreneurs nationwide will also
feel the impact, as other states are expected to follow
California's lead.
"It's devastating to businesses," says Mary Ann
Mitchell, chairman of the National Black Business Council and
founder of Computer Consulting-Operations Specialists (CC-OPS) Inc.
in Culver City, California. "Working for the state, even when
we had affirmative action, was a nightmare. Can you imagine what
it's going to be like now?" Since its inception in 1985,
CC-OPS has landed several government jobs--one of which turned sour
after Wilson's decision.
The emotions shared by Mitchell and other small-business owners
failed to dissuade the governor. His decision is backed by the 1996
majority passage of anti-affirmative action Proposition 209, and
the March rejection by a federal court to reevaluate its ruling
regarding contracting preferences.
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"The 9th Circuit Court of Appeals ruled the contracting
provisions regarding minority- and women-owned businesses in the
state contracting codes were unconstitutional," explains Lisa
Kalustian of Gov. Wilson's office. "Instead of granting
preferences based on membership in a group, we need to be sure
everyone has the kind of health care, education and access to
opportunities they need to be able to compete and win on
merit."
Between 1994 and 1995, California state contracts totaled $2.7
billion. Of that, affirmative action programs secured only $310
million (11 percent) for minorities and $210 million (7.5 percent)
for women. Many entrepreneurs now worry that without a mandatory
threshold, such figures will slump in coming years.
But Gov. Wilson, confident that equal opportunity exists without
affirmative action, hopes to quell nationwide outcries by
implementing an aggressive outreach program. "Everyone will
have the same opportunity to bid and know what's
available," Kalustian contends.
That's of little comfort to entrepreneurs like Mitchell.
"It would be fair if the economic conditions were the
same," she says. "It would be fair if we were all on the
same, level playing field."
Contact Sources
Computer Consulting Operations Specialists Inc., (310)
417-5170, http://www.ccops.com
Meckleburg County Work Release and Restitution Center,
901 Elizabeth Ave., Charlotte, NC 28204, fax: (704) 336-3533
Office of Gov. Pete Wilson, (916) 445-1455, http://www.ca.gov/