United States Department of Transportation
i
Legal Standards for the Establishment and Implementation of a Disadvantaged Business Enterprise Program by the Texas Department of Transportation
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1993-11-01
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[PDF-2.74 MB]
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Edition:Interim Report
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Abstract:This study was undertaken at the request of the Texas Department of Transportation in response to its obligations under Senate Bill 352, 72nd Texas State Legislature (Texas Revised Statutes, Article 6669) to conduct a fact-finding study in support of a state-funds contracting and procurement program for businesses owned by minorities and women. We have had joint responsibility for this study. To assist in carrying out the assignment, we recruited a number of economic, financial, business, legal, and policy experts from both the public and private sectors. This draft report was prepared under our supervision by Dr. John R. Allison, Graduate School of Business, The University of Texas at Austin. Professor Allison serves as the Mary John &: Ralph Spence Centennial Professor of Business Administration, Chairman of the Business Law section, Associate Chairman of the Department of Management Science and Information Systems, and Director of the Center for Legal and Regulatory Studies. He was assisted by Mr. David Pryor, Staff Research Assistant. This brief has been prepared in order to help the Texas Department of Transportation reconcile the mandate of the Texas State Legislature to implement a state-funds procurement program for disadvantaged business enterprises (DBE's) with the constitutional strictures set forth by the decision of the U.S. Supreme Court in Richmond v. Croson and developed in case law since then. The rigorous legal analysis contained herein describes, as precisely as possible, the parameters under which the TxDOT must operate in order to construct a constitutionally valid, enforceable goals program for state-funded contracting, subcontracting and procurement.
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