The Role of Minority Firms and 8(a) Companies in Educational Research and Development.

Over the last decade, minority firms and individuals have become increasingly more active in the process of educational research and development (R&D) activities. The future of such involvement appears to be one of continued increase, both because of the response of the marketplace and the growth in the number of firms owned by minority individuals. Such firms may be eligible to participate in special procurement programs established at local, State, or Federal levels. At the Federal level, the Small Business Administration's 8(a) Procurement Program enables firms to compete for Federal procurements on a restricted set-aside basis whereby firms are guaranteed a certain portion of the budgetary expenditures of an agency. For a firm to be eligible, 51% of its ownership must be held by minority individuals who can prove that they are socially or economically disadvantaged. However, criteria for determining such eligibility are mainly subjective. All minority firms, whether eligible for 8(a) or not, can compete for other Federal, State, and local contracting opportunities. Recent Federal enactments have mandated that minority firms receive a certain percent of government dollars. (Author/WI)