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An Executive Digest of the Industry: New Rules May Help Women-Owned Firms Get Federal Contracts

New Rules May Help Women-Owned Firms Get Federal Contracts

The guidelines aimed at getting women-owned businesses the minimum 5% of government contracts initially mandated in 1994 will focus on 83 industries, including residential construction.

Holli Dorr

Holli Dorr, owner of Hollister Construction Co. in Anaheim, hopes the Small Business Administration program's rules will help her company receive a contract to build military housing. (Gary Friedman / Los Angeles Times)




In 1994, Congress passed a law requiring that a minimum of 5% of the money spent on government contracts go to the nation's businesses that are majority-owned by women.

That was great news for women who believed they had never received a fair share of those contracts.

But the government didn't reach that mandated goal, and six years later Congress passed the Equity in Contracting for Women Act to give women-owned businesses more traction getting federal contracts.


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That program was never implemented. Disagreements, including a lawsuit, held it up, and advocates for the businesses accused federal officials of foot-dragging. The closest the government ever came to meeting the goal was 3.4% in fiscal 2008. Recently, however, there was new hope that the full 5% could finally become a reality. New rules for a Small Business Administration program to get contracts to women-owned businesses are going through final review by the agency.

Karen Mills, head of the SBA, told a congressional committee last month that it's almost ready to go live..........read more


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