Harris County's minority- and women-owned business contracting program will stay in place after commissioners took no action Thursday, Aug. 6, to modify or suspend it, Community Impact reported. A Spring couple whose federal lawsuit killed Houston's version has a pending case against the county program, leaving local contractors in legal limbo.
The decision came after roughly an hour of public comment and a lengthy closed executive session at Commissioners Court. Commissioner Tom Ramsey, the Precinct 3 Republican who represents much of the Spring area, had pushed to suspend the program while the county develops what spokesperson Amery Reid called "a simpler and legally sound approach."
The other four members did not join him.
The program, established in November 2020, sets an aspirational goal of directing 30% of county contract dollars to minority- and women-owned firms. A disparity study by Colette Holt & Associates had found that only 9% of Harris County contracting dollars reached those businesses, even though they made up 28% of the available market.
Spring plaintiffs loom over program's future
Gerald and Theresa Thompson of Spring, who own Landscape Consultants of Texas Inc., successfully sued the city of Houston over its similar MWBE program. U.S. District Judge David Hittner ruled July 29 that Houston's program violated the Equal Protection Clause of the 14th Amendment, finding that a city disparity study identified unequal outcomes but not explicit discrimination, a standard now required after the U.S. Supreme Court's 2023 decision limiting affirmative action.
The Thompsons have a separate, pending lawsuit against Harris County's program, according to the Houston Chronicle. Their attorney, Joshua Thompson of the Pacific Legal Foundation, said after the July 29 ruling: "This ruling vindicates our color-blind Constitution and reaffirms that public contracts should be awarded based on merit, not race."
Business owners defend program at public comment
Steve Fraga, owner of Tejas Office Products, told commissioners the program does not hand out contracts. "The program provides us opportunity. We still have to be financially sound. We still need to run our companies like a majority-owned company," Fraga said.
Asheli Atkins, president and CEO of the Greater Houston Black Chamber, cited Houston city data showing that while MWBE firms account for over 28% of city contracts, Black business owners capture only 5.5%.
Commissioner Rodney Ellis, who championed the program and created the Department of Economic Equity and Opportunity to administer it, said the county should be "expanding opportunities so that everyone in our community can thrive" rather than, as he put it, undercutting small businesses during an affordability crisis.
County Attorney Abbie Kamin indicated she believes the county can defend its version, telling the Houston Chronicle there is "a lawful and durable path forward" that satisfies constitutional requirements.
What's next
No future Commissioners Court date for revisiting the program was announced. The Thompson v. Harris County lawsuit remains active, and the timeline for that case is unclear. The program requires larger firms and white-male-owned businesses that win county contracts to subcontract a portion of work to certified MWBE firms.
Commissioners also faced a $129 million budget gap at Thursday's meeting.
