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Leon County
Board of County Commissioners Agenda Item#25 June 9, 2026 |
| To: | Honorable Chairman and Members of the Board |
| From: | Vincent S. Long, County Administrator |
| Title: | First and Only Public Hearing to Repeal Chapter 2, Article IX, of the Code of Laws of Leon County, Florida (Code), entitled “Purchasing and Minority/Women Business Enterprise Participation Program Policy,” and Additional Actions Necessary to Comply with Senate Bill 1134 |
| Review and Approval: | Vincent S. Long, County Administrator |
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Department/Division Review and Approval: |
Ken Morris, Assistant County Administrator Daniel Krumbholz, Assistant County Attorney Melanie Hooley, Director, Purchasing |
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Lead Staff/ Project Team: |
Nicki Hatch, Assistant to the County Administrator for Legislative and Strategic Initiatives Cameron Williams, Management Analyst |
Statement of Issue:
This item requests the Board conduct the first and only public hearing to consider repealing Chapter 2, Article IX, of the Leon County Code entitled, “Purchasing and Minority/Women Business Enterprise Participation Program Policy” (Purchasing and MWBE Ordinance) and take the following actions necessary to comply with the passage of Senate Bill (SB) 1134, as approved by the 2026 Florida Legislature and signed by the Governor on April 22, 2026, which prohibits local governments from funding, promoting, or taking official action as it relates to diversity, equity, and inclusion (DEI) as defined by the act; and voids any existing ordinance, resolution, rule, regulation, program, or policy that conflicts with the legislation as of the January 1, 2027 effective date:
Together, these recommendations seek to initiate the compliance process for SB 1134 and reflect the first of many implementation steps required by the County in advance of the January 1, 2027, effective date. In addition to these recommended actions, a cross-departmental workgroup of County employees is working to ensure compliance in their respective work areas. This includes proposed revisions to the Leon County Code of Laws, policies, and enabling resolutions regarding the composition of citizen advisory committees which will be brought back to the Board for consideration this Fall.
Fiscal Impact:
This item has no fiscal impact; however, significant staff time will be required to fully implement the provisions of SB 1134. Any fiscal impacts associated with future programmatic or policy revisions will be provided to the Board through the budget development process and agenda items to be brought back to the Board this Fall.
Staff Recommendation:
Option #1: Conduct the first and only public hearing to approve the repeal of Chapter 2, Article IX, of the Code of Laws of Leon County, Florida, entitled “Purchasing and Minority/Women Business Enterprise Participation Program Policy”.
Option #2: Authorize the County Administrator, or designee, to incorporate the new certification requirements as provided in SB 1134 and suspend the use of the Minority and Women Business Enterprise policies in County solicitations and contracting documents, while maintaining race- and gender-neutral Small Business Enterprise Program activities.
Option #3: Authorize the County Administrator, or designee, to execute the necessary revisions to existing County agreements anticipated for renewal on January 1, 2027, or thereafter, to ensure compliance with SB 1134, subject to legal review and approval by the County Attorney.
Report and Discussion
Background:
This item requests the Board conduct the first and only public hearing to consider repealing the Purchasing and MWBE Ordinance and take the following actions necessary to comply with the passage of SB 1134, as approved by the 2026 Florida Legislature and signed by the Governor on April 22, 2026, which prohibits local governments from funding, promoting, or taking official action in support of DEI; and voids any existing ordinance, resolution, rule, regulation, program, or policy that conflicts with the law as of the January 1, 2027, effective date:
Together, these recommendations seek to initiate the compliance process for SB 1134 and reflect the first of many implementation steps required by the County in advance of the January 1, 2027 effective date. In addition to these recommended actions, a cross-departmental workgroup of County employees is working to ensure compliance in their respective work areas. This includes proposed revisions to Leon County Code of Laws, policies, and enabling resolutions regarding the composition of citizen advisory committees which will be brought back to the Board for consideration this Fall.
Senate Bill 1134
On April 22, 2026, the Governor signed SB 1134, entitled Official Actions of Local Governments, (Chapter 2026-43, Laws of Florida) which prohibits local governments from funding or promoting, directly or indirectly, or taking official action related to DEI. Specifically, local governments are prohibited from adopting or enforcing ordinances, resolutions, rules, regulations, programs, or policies related to DEI. The bill defines “DEI” as any effort to: 1) Manipulate or otherwise influence the composition of employees with reference to race, color, sex, ethnicity, gender identity, or sexual orientation other than to ensure that hiring is conducted in accordance with state and federal antidiscrimination laws; 2) Promote or provide preferential treatment or special benefits to a person or group based on that person’s or group’s race, color, sex, ethnicity, gender identity, or sexual orientation; or 3) Promote or adopt training, programming, or activities designed or implemented with reference to those categories. The term does not include the use of equal opportunity or equal employment opportunity materials designed to inform a person about the prohibition against discrimination based on protected status under state or federal law. Existing ordinances, rules, regulations, programs, or policies that conflict with the adopted legislation will be void as of January 1, 2027. As a result, this item outlines the required actions and provides several recommendations to ensure compliance.
The legislation goes even further to prohibit the County from expending any funds, regardless of the source, to establish, support, sustain, or staff a DEI office or officer, and from allowing funds to be used by employees, contractors, and others to promote DEI initiatives. The penalties and potential legal liability for violating the legislation are severe. A County Commissioner or other county official acting in their official capacity who violates these prohibitions commits misfeasance or malfeasance in office. Acting in an official capacity is defined as “performing or purporting to perform a function, duty, or responsibility assigned by law, rule, or policy to a public officer or public employee, or otherwise exercising or claiming to exercise the authority of such office or employment.” There is no intent or negligence language in the legislation, which means that a strict liability standard may apply. Residents may also bring legal actions in circuit court seeking declaratory and injunctive relief, damages, and costs for alleged violations.
On May 12, 2026, the Board approved scheduling the first and only public hearing for June 9, 2026, to initiate the compliance process for SB 1134 by repealing the Purchasing and MWBE Ordinance. Repealing the Ordinance allows the County to take additional measures necessary for compliance. This agenda item provides additional recommendations for Board consideration and next steps to meet the January 1, 2027, compliance deadline.
On May 12, 2026, the Board also requested an agenda item to consider obtaining outside legal counsel to determine whether the County has standing and a good faith basis to challenge the constitutionality of SB 1134. Counties and cities in Florida, through their respective statewide associations, are similarly exploring the constitutionality of SB 1134. The Florida Association of County Attorneys will also convene later this month to address legal matters of interest with other county governments and are anticipated to discuss constitutional challenges to SB 1134. As requested by the Board, an update and preliminary analysis on the constitutionality of SB 1134 will be provided to the Board at an upcoming regular meeting.
MWBE and SBE Programs
While the legislation will have a broad impact throughout the County organization that will require revisions to County Codes, policies, web pages, training materials, procedures, forms, etc., the most discernible programmatic change will be to the County’s MWBE Program. Leon County has long operated a narrowly defined race- and gender-based MWBE Program to enhance procurement opportunities with the County for small businesses. It is one of the few remaining race- and gender-based programs among local governments in Florida. Today, the MWSBE Program operates as a joint office of the County and City under the Office of Economic Vitality (OEV).
The MWBE Program operates based on the legal defensibility of a disparity study prepared by a third-party which must demonstrate factual predicate evidence of significant disparity and the program must be narrowly tailored to satisfy the legal foundation for administering a race- and gender-based procurement program. Based on the market data provided by the disparity study, the program assigns aspirational goals for contracting with MWBEs by procurement category. The aspirational goals cannot be mandated by the County.
The County, City, and Intergovernmental Agency have each adopted the disparity study findings which establish the aspirational contracting goals for our community and is commonly referred to as the Consolidated MWSBE Policy. Each party utilizes the results of the disparity study in their procurement processes so that there is one standard of race- and gender-based aspirational goals in the local market. MWBE aspirational goals are applied during the pre-solicitation phase, and respondents must either meet the assigned goal or provide documentation demonstrating good faith efforts to do so. Given the correlation between the MWBE Program and the County’s procurement functions, this item provides recommendations to repeal Chapter 2, Article IX, of the Code (Purchasing and MWBE Ordinance), suspend the application of MWBE provisions provided in County policies for future competitive solicitations, and revise existing vendor contracts anticipated for renewal on or after January 1st to ensure compliance with SB 1134.
OEV also manages the SBE program which was created by the County in 2006 to foster growth in economy by encouraging small businesses to gain experience, knowledge, and training to compete and secure contracts with Leon County. Unlike the MWBE Program, the SBE Program is race- and gender-neutral and is structured to reserve procurement opportunities for exclusive competition among SBEs within certain contracting categories (construction, architecture & engineering, professional services, materials and supplies, etc.), so long as there is sufficient availability of said businesses to compete for County contracts. This ensures that local small businesses compete with companies of comparable size, capacity, and net worth. Reserving projects in this manner helps expand contracting opportunities for SBE firms while maintaining competitive pricing.
During the Board’s October 22, 2024, Workshop on Proposed Revisions to County Policy No. 96-1, “Purchasing Policy,” the Board approved increasing procurement thresholds for Leon County projects identified for the SBE Program in response to changing market conditions which have increased project costs. At that time, the Board increased the value of projects reserved for SBEs from $50,000 to $300,000, providing additional opportunities for small businesses to compete for County projects. It is important to note that all OEV-certified MWBE firms are also certified as SBEs in the OEV database. Based on the recommendations presented in this item, a substantiative rewrite of the Consolidated MWSBE Policy to enhance the SBE program will be brought back to the Board in the Fall.
Analysis:
Repeal of the Purchasing and MWBE Ordinance
Chapter 2, Article IX, of the Leon County Code provides for the Purchasing and MWBE Ordinance which provides for preference in purchasing and contracting, and requires the adoption of Purchasing and MWBE Policies which detail the requirements and procedures to be followed by the County in purchasing goods, products, and services. The County’s Purchasing and MWBE Policies are separate policies with corresponding references related to the MWBE Program requirements and procedures, preferences in purchasing and contracting, and the overall solicitation process. Given the use of race- and gender-related aspirational goals and preferences, repeal of the Purchasing and MWBE Ordinance is required so that the Board can authorize the suspension of MWBE policies related to new competitive solicitations and vendor contracts.
Repeal of the Purchasing and MWBE Ordinance, combined with the inclusion of new certification requirements and the suspension of MWBE policies related to new solicitations and contracts, are necessary to initiate the County’s compliance efforts related to SB 1134 and reduce potential legal exposure associated with maintaining policies or programs that may conflict with the law. As described in the next section, the repeal of the Purchasing and MWBE Ordinance will not impact the County’s continued support for small businesses through race- and gender-neutral programs and initiatives permitted under state law.
Attestation Requirements and Suspension of MWBE Policies in New Solicitations
The Leon County Purchasing Policy, Policy No. 96-1, provides that County procurement activities will be conducted in compliance with the Consolidated MWSBE Policy. The Purchasing Policy also encourages employees to seek out and utilize certified minority, women-owned, and small business enterprises in the procurement process when available, and provides that, whenever practicable, at least one of the three quotes or bids for Small Purchases, Purchasing Quotes, and Informal Bids shall be secured from certified minority, women, and small business enterprises.
As previously described, the County’s MWBE Policy is commonly referred to as the Consolidated Policy because it provides for one set of aspirational goals and procedures to determine good faith effort. However, the policy is adopted separately by the County, City, and Intergovernmental Agency. The Consolidated MWSBE Policy includes both an MWBE Program and an SBE Program. The Policy expressly states that the SBE Program is race- and gender-neutral and intended to promote utilization of SBE firms, while the MWBE Program is race-and gender-based. The Policy further provides for the use of aspirational goals and project-specific goals to encourage MBE and WBE participation in solicitations where subcontracting or sub-consulting opportunities are available.
Under the current solicitation process, project-specific MWBE goals are established by the MWSBE Division of OEV before solicitations are advertised. Respondents are required to meet the project-specific goal or provide documentation of good faith efforts to engage MWBE firms. Since these aspirational and project-specific goals are established with reference to minority-owned and women-owned business status, the County cannot continue applying these race- and gender-related contracting measures given the passage of SB 1134.
Although SB 1134 will not become effective until January 1, 2027, the County’s procurement process often begins months before a contract is executed or work is performed. Accordingly, this item recommends suspending the use of MWBE policies, including aspirational goals and good faith efforts, for County solicitations so that the awarding of vendor contracts in the next few months do not require rebidding or include DEI provisions which must later be removed to comply with SB 1134. Similarly, this item recommends including SB 1134’s certification requirements into County solicitation documents for potential contract recipients to certify that County funds will not be used in violation of any of SB 1134’s provisions including to promote DEI initiatives, and requiring their employees, contractors, volunteers, vendors, or agents to ascribe to, study, or be instructed using materials relating to DEI. The recommended action will provide clear direction to prospective vendors and contractors regarding the County’s transition away from DEI-related provisions and ensure future solicitations are compliant with SB 1134.
The suspension of MWBE policies is limited to the race- and gender-related components for new County solicitations and contracts. Specifically, the suspension would apply to the use of MBE and WBE aspirational goals, project-specific MWBE goals based on race or gender, and associated good faith effort requirements tied to MBE and WBE participation in County solicitations. The suspension would not apply to the race- and gender-neutral SBE Program. The SBE Program is intended to promote the utilization of small business enterprises and the County’s Purchasing Policy also separately recognizes Informal Bids for Small Business Enterprise Program Reserved Projects, providing an existing race- and gender-neutral procurement tool that may continue to support small business participation. Accordingly, County staff will continue to support small businesses through race- and gender-neutral measures, including technical assistance, outreach, certification assistance, business development resources, and other strategies designed to increase local business capacity and competitiveness.
Looking ahead, a restructuring of the Consolidated MWSBE Policy, the County’s Purchasing Policy, and the SBE Program will be brought back to the Board in the Fall in coordination with OEV to expand utilization and contracting opportunities for small businesses, enhance technical assistance and resource identification initiatives, and provide tailored programs to build additional capacity among small businesses.
Revise Existing Vendor Agreements/Contracts Anticipated for Renewal
In addition to suspending the use of MWBE aspirational goals and revising County solicitation documents to include the new attestation requirements which will prevent the County from entering into new vendor agreements with prohibited DEI language, this item seeks Board authorization to similarly revise existing County agreements anticipated for renewal on or after January 1, 2027.
The County often enters into agreements with parties that may include a one- or two-year term with optional renewals. In general, most agreements limit the original term and renewal options to no more than five years of total service so that a new competitive solicitation can gauge the market and get the best service available in the most cost-efficient manner. Existing agreements anticipated for renewal on or after January 1, 2027, will require removal of DEI provisions and parties will be required to certify that County funds will not be used in violation of SB 1134 including to promote DEI initiatives and requiring the contractors’ employees, volunteers, vendors, or agents to ascribe to, study, or be instructed using materials relating to DEI. These revisions would also include the removal of MWBE participation plans, aspirational or project-specific MWBE goals, good faith effort documentation, MWSBE reporting requirements, or other contract terms that may require, fund, promote, score, monitor, or otherwise implement DEI-related activities using County funds.
Accordingly, a cross-departmental workgroup of County employees is reviewing existing vendor agreements, amendments, grant agreements, anticipated renewal terms, and related procurement documents to determine which agreements require revision.
The recommended action will allow the County to maintain public services and project delivery schedules while ensuring that County agreements are brought into compliance. Contracts and agreements scheduled to terminate prior to January 1st do not require intervention. Should a party decline to execute a contract amendment, refuse to provide the required certification or attestation, or otherwise choose to end its contractual relationship with the County, any resulting service or contract need would be addressed through the procurement process.
Next Steps
This item requests the Board conduct the first and only public hearing to consider repealing the Purchasing and MWBE Ordinance and provides recommendations to initiate the compliance process for SB 1134. Repeal of the Purchasing and MWBE Ordinance, combined with the inclusion of new certification requirements and the suspension of MWBE policies for future County solicitations and contracts, are necessary to initiate the County’s compliance efforts related to SB 1134 and reduce potential legal exposure associated with maintaining policies or programs that may conflict with the law.
The penalties and potential legal liability for violating the legislation are severe. A County Commissioner acting in their official capacity who violates these prohibitions commits misfeasance or malfeasance. There is no intent or negligence language in the legislation, which means that a strict liability standard may apply. Residents may also bring legal actions in circuit court seeking declaratory and injunctive relief, damages, and costs for alleged violations.
As described throughout this analysis, the repeal of the Purchasing and MWBE Ordinance will not impact the County’s continued support for small businesses through race- and gender-neutral programs and initiatives permitted under state law. Looking ahead, a restructuring of the Consolidated MWSBE Policy, revisions to the County’s Purchasing Policy, and modifications to the SBE Program will be brought back to the Board in the Fall in coordination with OEV to expand utilization and contracting opportunities for small businesses, enhance technical assistance and resource identification initiatives, and provide tailored programs to build additional capacity among small businesses.
In addition to the actions recommended in this agenda item, a cross-departmental workgroup of County employees is working to ensure compliance in their respective work areas. This includes proposed revisions to Leon County Code of Laws, policies, and enabling resolutions regarding the composition of citizen advisory committees which will also be brought back to the Board for consideration this Fall. Staff will also revise County web pages, training materials, procedures, forms, etc. on an as-needed basis to ensure compliance.
Options:
Recommendation:
Options #1 through #3.
Attachments: