On Monday, Michigan Attorney General Michael Cox issued an opinion claiming that the City of Grand Rapids' recently adopted policy granting construction bid discounts to people of color-owned and women-owned businesses is a violation of Proposal 2. Cox asserts that the program, which the City based on federal and state "disadvantaged business enterprise" designations, is unacceptable and must be changed.
The program gave discounts to companies whose subcontractors are socially or economically disadvantaged due to their size, lack of credit opportunities, or social standing in the community. Cox charges that the city's policy gives preferential treatment to people of color and women because it has the "presumption that they are socially disadvantaged, while all other socially and economically disadvantaged persons must bear the burden of proving their status by a preponderance of the evidence." According to reporting in the Grand Rapids Press, City Manager Kurt Kimball says that the city will abide by Cox's opinion and will alter the program. In the opinion, Cox stated that the program could continue as long as language is amended to "preclude reliance on race and sex."
The opinion was the first issued by Attorney General Cox on compliance with the anti-affirmative action Proposal 2 since it was passed by Michigan voters in November of 2006. It was issued in response to an inquiry by state Representative Fulton Sheen of Plainwell, who asked the Attorney General to examine whether or not Grand Rapids' policy granted "preferential treatment" on the basis of race and gender.