Southside city councilmembers are pushing to increase patronage of Disadvantaged Business Enterprises (DBEs) aims to boost Black businesses, but the DBE designation doesn’t specifically target them.
In the last ten months, the council has unashamedly pushed to increase DBE participation in city projects. They have focused their push on increasing DBE goals on the mistaken notion that increased DBE means increased black business participation.
To align actions with intent, the city must clarify DBE’s scope and set explicit goals for Black-owned businesses alongside DBE targets.
What DBE Includes
The federal DBE program supports businesses owned by socially and economically disadvantaged groups. Eligible owners include women, Black Americans, Hispanic Americans, Native Americans, Asian-Pacific Americans, and others, with a personal net worth cap of $1.88 million. While Black Americans qualify, DBE is not exclusive to Blacks alone. A contract awarded to any qualifying group—say, a woman-owned business or a disabled person—counts toward DBE goals but may not support Monroe’s focus on Black businesses.
Specific Goals for Black Businesses
Monroe’s intent to uplift Black businesses, which face unique barriers from systemic racism and unequal capital access, requires precision. Relying solely on DBE goals dilutes this focus, as funds may flow to other groups. The city should adopt a dual-goal approach:
-
Black Business Target: Mandate a percentage, like 15%, of contract dollars for certified Black-owned businesses to directly address their challenges.
-
DBE Goal: Maintain a separate DBE target, such as 20%, to ensure broader inclusion.
This framework ensures accountability and measurable progress toward equity.
Vague commitments to “DBE participation” risk uneven outcomes, leaving Black businesses underserved. Specific targets provide transparency, letting residents track how funds address inequities. Clear benchmarks hold leaders accountable and align spending with Monroe’s priorities.
Moving Forward
The city’s commitment to Black businesses signals a dedication to equity. But intent needs precision. By setting distinct Black business and DBE goals, Monroe can turn vision into impact, ensuring Black entrepreneurs and other disadvantaged groups gain fair economic opportunities.
