    [Public Papers of the Presidents of the United States: William J. Clinton (1998, Book I)]
    [June 24, 1998]
    [Page 1042]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Statement Announcing the Benchmarking Process in Federal Procurement
    June 24, 1998

        Today I am pleased to announce policies that continue my commitment
    to expand economic opportunity for all Americans. These new guidelines
    for Federal procurement are designed to remedy discrimination in a
    carefully targeted way. These reforms, which continue my promise to
    mend, not end affirmative action, expand opportunities for small
    disadvantaged businesses.
        These new guidelines allow small disadvantaged businesses to receive
    a price credit of up to 10 percent in bidding for Federal contracts. The
    credits will be available only in industries that show the ongoing
    effects of discrimination. The Department of Commerce identified these
    industries through a process called benchmarking, which compares the
    actual share of Federal procurement by small disadvantaged firms to the
    share that would be expected in the absence of discrimination. Limiting
    credits to these industries satisfies constitutional requirements while
    targeting our efforts in areas where disparities still exist.
        This program is based on authority given the administration by
    Congress in 1994. These credits will help level the playing field for
    firms that have suffered from discrimination. However, they do not
    ensure that any firm will win a contract. Small disadvantaged businesses
    must compete with all other businesses to win Federal contracts.
        The steps we are taking today comply with legal requirements and
    preserve competition, while serving to remedy discrimination.