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Table of Contents <br />I. Executive Summary ................................................ 1 <br />A. Summary of the Strict Constitutional Standards Applicable to Minority and Woman Business <br />Programs.................................................................... <br />1 <br />B. Study Methodology and Data .................................................... <br />2 <br />C. Study Findings................................................................. <br />3 <br />1. Experiences with Obtaining City Contracting Opportunities ................................. <br />3 <br />2. Utilization, Availability and Disparity Analyses for the City ................................... <br />4 <br />3. Analysis of Economy -Wide Race and Gender Disparities in the City's Market ................... <br />9 <br />4. Qualitative Evidence of Race and Gender Barriers in the City's Market ....................... <br />10 <br />D. Recommendations ............................................................ <br />11 <br />1. Implement Race -and Gender -Neutral Measures ......................................... <br />11 <br />2. Implement Race -and Gender -Conscious Measures ....................................... <br />14 <br />3. Develop Performance Standards and a Review Process .................................... <br />16 <br />II. Legal Standards for Contracting Affirmative Action Programs ............ 19 <br />A. Summary of Constitutional Equal Protection Standards .............................. 19 <br />B. Elements of Strict Scrutiny...................................................... 21 <br />C. Establishing a "Strong Basis in Evidence" for South Bend's Minority- and Women -Owned <br />Business Enterprise Program ................................................... <br />26 <br />1. Define South Bend's Market Areas ..................................................... <br />27 <br />2. Examine Disparities between South Bend's Utilization of M/WBEs and M/WBE Availability ...... <br />28 <br />3. Examine the Results in South Bend's Unremediated Markets ............................... <br />31 <br />4. Analyze Economy -Wide Evidence of Race- and Gender -Based Disparities ..................... <br />32 <br />5. Evaluate Anecdotal Evidence of Race -and Gender -Based Barriers ........................... <br />34 <br />D. Narrowly Tailoring a Minority -Owned and Women -Owned Business Enterprise Procurement <br />Program for South Bend ...................................................... <br />35 <br />1. Consider Race- and Gender -Neutral Remedies ........................................... <br />36 <br />2. Set Targeted M/WBE Goals........................................................... <br />37 <br />3. Ensure Flexibility of Goals and Requirements ............................................ <br />38 <br />4. Review Program Eligibility Over -Inclusiveness and Under -Inclusiveness ...................... <br />38 <br />5. Evaluate the Burden on Third Parties ................................................... <br />39 <br />6. Examine the Duration and Review of the Program ........................................ <br />41 <br />III. Qualitative Evidence of Race and Gender Barriers in the City of South Bend's <br />Market...........................................................43 <br />A. Business Owner Interviews..................................................... 44 <br />0 2020 Colette Holt & Associates, All Rights Reserved. v <br />