Mississippi House Bill HB1391

Mississippi 2023 Regular Session

• Introduced: 1/16/23
• Refer: 1/16/23
• Failed: 1/31/23

Caption

Minority set-aside contracts; prohibit municipalities from utilizing.

Impact

The impact of HB 1391 could be substantial for local economies, particularly those that rely on minority set-aside contracting as a mechanism to promote diversity in business opportunities. Critics of the bill argue that it undermines efforts towards achieving equality and economic empowerment for minority communities. By removing this support, the bill may exacerbate existing disparities by making it more difficult for minority-owned businesses to compete for government contracts, which could lead to a decrease in the overall diversity of suppliers used by municipalities.

Summary

House Bill 1391 aims to prohibit municipalities in Mississippi from entering into any minority set-aside contracts, which are designed to provide business opportunities to minority-owned businesses. The bill defines a 'minority business' as any business that is owned by a majority of individuals who are U.S. citizens or permanent resident aliens and belong to specific racial or ethnic groups including Asian, Black, Hispanic, or Native American. This legislative move is significant as it seeks to eliminate a particular avenue through which local governments can support minority businesses in the state, thereby potentially affecting their economic viability.

Contention

Notable points of contention surrounding HB 1391 include debates regarding the necessity and fairness of minority set-aside contracts. Proponents of the bill may argue for the need to create a competitive bidding environment that does not favor any particular group, suggesting that market forces should determine the allocation of contracts. Conversely, opponents contend that such measures are necessary to correct historic injustices and systemic inequalities that continue to disadvantage minority-owned businesses. This debate touches on larger societal questions of equity and the role of government in rectifying past inequities.