HR10216-118

Introduced

To end preferences for disadvantaged individuals and businesses in Government contracts, and for other purposes.

118th Congress Introduced Nov 21, 2024

Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.

Summary

What This Bill Does

This bill removes all race- and ethnicity-based preferences from federal government contracting. It repeals the Small Business Administration's Section 8(a) program for socially and economically disadvantaged businesses, eliminates minority contracting goals at the Department of Transportation, and bans all executive agencies from considering race or ethnicity when awarding contracts.

Who Benefits and How

Small businesses that are not currently classified as socially or economically disadvantaged could see more open competition for government contracts. Federal agencies gain simplified contracting procedures by removing disadvantaged-business set-aside requirements. Businesses owned by women and veterans retain their separate preference categories.

Who Bears the Burden and How

Minority-owned small businesses that currently benefit from SBA 8(a) set-asides and race-conscious contracting goals would lose preferential access to government contracts and procurement opportunities. The Minority Business Development Agency established under the Minority Business Development Act of 2021 would be eliminated entirely.

Key Provisions

  • Repeals the SBA Section 8(a) program provisions for socially and economically disadvantaged small business concerns
  • Reduces the airport improvement project disadvantaged business goal from 10 percent to 5 percent and redefines eligibility to exclude race-based criteria
  • Adds an explicit prohibition on racial and ethnic preferences in all government contracts and defense contracts
  • Repeals the Minority Business Development Act of 2021

Evidence Chain:

This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers.

At a Glance

What This Bill Does

Eliminates race- and ethnicity-based preferences in federal government contracting and grant programs by repealing SBA Section 8(a) disadvantaged-business provisions, removing minority contracting goals from the Department of Transportation and other agencies, and prohibiting executive agencies from considering race or ethnicity when awarding contracts.

Key Policy Areas

Government Operations, Small Business, Transportation, Defense

Primary Purpose

Eliminates race- and ethnicity-based preferences in federal government contracting and grant programs by repealing SBA Section 8(a) disadvantaged-business provisions, removing minority contracting goals from the Department of Transportation and other agencies, and prohibiting executive agencies from considering race or ethnicity when awarding contracts.

Policy Domains

Government Operations Small Business Transportation Defense

Whole Bill

Identified Gains
Contextual inference, no direct clause citation
  • Non-minority small businesses
  • Federal contracting agencies
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Identified Costs
Contextual inference, no direct clause citation
  • Minority-owned small businesses
  • Minority Business Development Agency
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Legislative Progress

Introduced
Introduced Committee Passed
Nov 21, 2024

Mr. Grothman (for himself, Mrs. Luna, Mr. Owens, Mr. Tiffany, …

Stakeholder Effects

cui bono?

How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.

Minority-Owned Business
5 mentions across 5 clauses
-5 negative

Minority-owned businesses in airport contracting, Minority-owned businesses seeking federal contracts, Minority-owned defense subcontractors

Government
2 mentions across 2 clauses
+1 positive -1 negative

Executive agencies, SBA

Positive-direction: SBA

Negative-direction: Executive agencies

Small Business
1 mention across 1 clause
+1 positive

Non-minority small businesses

Women-Owned Business
1 mention across 1 clause
?1 uncertain

Women-owned businesses

HUBZone Business
1 mention across 1 clause
?1 uncertain

HUBZone businesses

Defense
1 mention across 1 clause
+1 positive

Defense contractors

Federal Contracting
1 mention across 1 clause
+1 positive

Federal contractors

5/7
sections analyzed
Full impact breakdown

Bill Structure & Actor Mappings

Who is "The Secretary" in each section?

Domains
Government Operations Small Business Transportation Defense
Actor Mappings
"the_secretary"
→ Secretary of Transportation
"the_administrator"
→ Administrator of the Small Business Administration

Key Definitions

Terms defined in this bill

1 term
"disadvantaged business concern" §3

Redefined to mean a concern owned and controlled by women or a qualified HUBZone small business concern, removing race-based criteria.

We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.

Learn more about our methodology