Governor Kaine Signs Executive Order to Enhance State Spending with Small, Women- and Minority-owned Businesses
Governor Kaine Signs Executive Order to Enhance State Spending with Small, Women- and Minority-owned Businesses
- Highlights Governor's commitment to improve Commonwealth's SWAM performance -
RICHMOND - Governor Timothy M. Kaine today issued an Executive Order to improve the Commonwealth's performance in contracting with small businesses and those owned by people of color and women (SWAM).
Executive Order 33 includes directives that are designed to remove potential structural impediments to SWAM participation, and to encourage new thinking and active recruitment programs that will lead to increased SWAM participation in the procurement of goods and services, including among subcontractors. The Order builds upon legislation adopted by the 2006 General Assembly (HB122/SB 662) which authorized the Virginia Department of Minority Business Enterprise (DMBE) to certify small, women and minority-owned businesses, while developing remedial and enhancement programs to improve the Commonwealth's performance.
"As Governor, I am making it a priority to see that every company - regardless of size, regardless of who owns it - has the opportunity to compete on a level playing field to secure state government contracts," said Governor Kaine. "Simply stated, that is what Virginia's SWAM program is all about, and the Executive Order I am signing today allows the executive branch to enhance and implement initiatives that will further our overall SWAM efforts. Every Cabinet secretary and agency director that I have hired understands this is our priority, and has committed to it."
For the Fourth Quarter of Fiscal Year 2006, state agencies reported spending $27.8 million (2.29%) with minority-owned firms, $24.6 million (2.03%) with woman-owned businesses, and $123.9 million (10.2%) with small businesses. Evidence published in a 2004 Disparity Study indicated that .44% of the state's procurement dollars were spent with minority-owned vendors, and .83% with women-owned businesses.
"These efforts represent a more aggressive approach to increasing the amount of business the Commonwealth does with businesses owned by people of color and women," said Del. Dwight C. Jones, chairman of the Legislative Black Caucus. "The Caucus applauds Governor Kaine's strong support of this effort, because the strength of Virginia's economy is based in large part on the competitiveness of the small business community, and most minority and women owned businesses are small."
The Governor was joined at today's event by Senator Yvonne Miller and Delegates Frank Hall, Steve Landes, Bob Marshall, Jennifer McClellan, Jack Reid, and Onzlee Ware. The Governor also highlighted the efforts of Delegates Algie Howell, Don McEachin, and Rosalyn Dance on the SWAM issue.
This past spring, the federal government released some good news about the progress of minority businesses in America. Their growth is outpacing the national average. Between 1997 and 2002, the number of businesses owned by African-Americans jumped 45%, Hispanic-owned firms increased 31%, the number of Asian-American owned companies grew 24%, and the number of companies owned by women is increasing at twice the rate of the national average.
"Just as it is in so many areas, diversity in our business sector strengthens Virginia's entire economy," said Virginia Secretary of Administration Viola Baskerville. "A basic sense of fairness must be at the core of all government policies."
"To encourage our young people - the next generation of business owners - it's important to send the message that if they have the courage and the work ethic to run a business, we will work to ensure they have opportunity," said House of Delegates Minority Leader Franklin Hall.
http://www.governor.virginia.gov/MediaRelations/newsReleases/viewRelease.cfm?id=208