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Minority business owners oppose recommended changes to Houston subcontracting program

Houston City Hall
Houston City Hall on Monday, May 22, 2023. (Houston Landing file photo / Joseph Bui)

Hispanic- and Asian-owned businesses could be transferred out of parts of the city of Houston’s minority subcontracting program, a move advocates criticized as a detriment to the progress minority businesses have made, but city officials say may be necessary to continue the program.

A recommendation to move those businesses out of certain categories and into a race-neutral small business enterprise program, as well as other changes to Houston’s decades-old program, were contained in a disparity study discussed at a city council committee this week. 

An ongoing lawsuit claiming the minority- and women- owned business enterprise program illegally gives money on the basis of race has put Houston on a deadline to consider changes to the program. Without implementing the recommendations of the most recent study, the program could be forced to shutter, officials said Wednesday. 

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