ASSESSING AFFIRMATIVE ACTION: City of Richmond v. J.A. Croson Co. STRICTLY SCRUTINIZES MINORITY BUSINESS SETASIDE PLANS I. INTRODUCTION Affirmative action programs,1 implemented in increasing numbers over the last twenty years, have raised complex constitutional questions, and the Supreme Court has employed inconsistent standards to evaluate them.2 One such affirmative action program involves laws that require a certain percentage of municipal public works contracting to be set aside for minority business enterprises (MBEs).5 In City of Richmdnd v. J.A. Croson Co.,4 the Supreme Court, by subjecting an MBE set-aside pro- gram to strict scrutiny, has jeopardized the viability of MBE setasides and affirmative action in general.5 Indeed, the Court is adopting too literally Justice Harlan's century old notion that the Constitution is "color-blind." '6 Striking down affirmative ac1. See e.g., L. TRIBE, AMERICAN CONSTITUTIONAL LAW 1521 (2d ed. 1988). Affirmative action programs are designed to eradicate the effects of past discrimination. Id. The term affirmative action is often referred to as "reverse discrimination" and "benign discrimination." Id. 2. See generally id. at 1521-44. Some of these standards include: What standard of review is to be used? Id. What level of scrutiny is correct? Id. Should the scrutiny be the same for all classifications based on race? Id. Compare Regents of the Univ. of Calif. v. Bakke, 438 U.S. 265 (1978) (four justices applying intermediate scrutiny) and Fullilove v. Klutznick, 448 U.S. 448 (1980) (no consensus as to level of scrutiny) with Wygant v. Jackson Bd. of Educ., 476 U.S. 267 (1986) (plurality of Court advocating strict scrutiny) and Johnson v. Transp. Agency, 480 U.S. 616 (1987) (no level of scrutiny, decided .on statutory grounds), illustrating the lack of consensus on any level of scrutiny. 3. See Pub. L. No. 83-163, 67 Stat. 232 (July 30,1952), amended by Pub. L. No. 85536, 72 Stat. 384 (July 18, 1958), codified as 15 U.S.C. 631. Use of set-asides originates from the Small Business Act of 1953. 4. 488 U.S. 469 (1989). 5. Connecticut Law Tribune, May 8, 1980, at 12 col. 1 (positing that Croson is "death knell" for MBE set-asides). 6. In Plessy v. Ferguson, 163 U.S. 537, 559 (1890) Justice Harlan argued in dissent that: The white race dooms itself to be the dominant race in this country. . . .But in the view of the Constitution, in the eye of the law, there is in this country no superior, dominant, ruling class of citizens. There is no caste here. Our Constitution is color-blind. . .. Id. BRIDGEPORT LAW REVIEW [Vol. 11:237 tion programs is equally blind to discriminatory realities.7 Racial discrimination by government s violates the equal protection clause of the fourteenth amendment.9 The Supreme Court, since Brown v. Board 9f Education," has consistently invalidated laws and other governmental action that foster discrimination.1 1 But, as Professor Tribe has argued, "[i]n matters of race, at least, the threat of invidious prejudice and oppression comes from private as well as public sources, and the government must sometimes take the side of the oppressed. '12 Often the effects of past discrimination are not reversed, 1 3 and affirmative action programs are implemented in an attempt to remedy lingering prejudice. Where government action appears to discriminate to the disadvantage of minorities, the Court evaluates governmental action by using a "strict scrutiny" standard under which government action is acceptable only if it is necessary to achieve a compelling purpose. 4 The Supreme Court in Regents of the University of California v. Bakke began to realize that "benign" discrimination, necessary to remedy past discrimination, is different.'" Therefore, the Court adopted a less strict standard of 7. See Choper, Continued Uncertainty as to the Constitutionality of Remedial Racial Classifications:Identifying the Pieces of the Puzzle, 72 IOWA L.REv. 255 (1987) (commenting on the significance of using racial classifications to remedy prior racial discrimination) [hereinafter Choper] and Comment, Fullilove v. Klutznick: Do Affirmative. Action Plans Require CongressionalAuthorization?,38 WASH. & LEE L. REV. 1315 (1981) (citing the persistent judicial concern of racial discrimination). 8. See, e.g., Korematsu v. United States, 523 U.S. 214, 235-40 (1944) (discrimination against persons of Japanese ancestry) and Yick Wo v. Hopkins, 118 U.S. 356, 365-74 (1886) (alien of Japanese ancestry seeking protection of U.S. laws). 9. U.S. CONsT. amend. XIV, sec. 1. Section 1 of the 14th Amendment to the United States Constitution provides, in pertinent part that "[n]o state shall deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws." Id. 10. 347 U.S. 483 (1954) (invalidating laws that foster segregation in public schools). 11. See id. at 488. 12. L. TRIBE, CONSTITTIONAL CHOICES 221 (1986). 13. See, e.g., Swan v. Charlotte-Mecklenburg Bd. of Educ., 402 U.S. 1, 16 (1971) and Green v. County School Bd., 391 U.S. 430, 439 (1968) (effects of past discrimination require Court intervention and imposition of remedies). 14. See J. NOWAK, R. ROTUNDA, & J. YOUNG, CONSTITUTIONAL LAW 530-31 (1986) [hereinafter CONSTITUTIONAL LAW]. As a general rule, in order to survive strict scrutiny, a program requires a "compelling purpose" which has a "necessary basis" and there must be a "tight fit" in the means/end relationship. Id. 15. 438 U.S. 265, 320 (1978). 1990] J.A. CROSON CO. review for affirmative action. 16 Justice Powell proposed strict scrutiny; four justices *proposed intermediate review; and four justices did not even reach the constitutional issue. 17 Since the Court upheld federal MBE set-asides" in Fullilove v. Klutznick, 9 thirty-six states and 190 municipalities have enacted such plans. 20 The statutory scheme in force in the State of Connecticut is similar to those in the majority of states.21 After much speculation among academics,22 the Supreme Court, in Croson, refused to extend the "special" treatment accorded to benign racial classifications and placed them under the stricter Brown-type analysis.23 Following Croson, courts will now be compelled to strike down MBE statutes.24 This Comment will chart the Supreme Court's past affirmative action decisions, 5 illustrating how the Court, during the past two decades, has vacillated between different levels of scru16. Regents of the Univ. of Calif. v. Bakke, 438 U.S. 265, 320 (1978) (medical school admissions quota struck down). 17. CONSTITUTIONAL LAW, supra note 14 at 520-31. 18. See infra notes 45-55 and accompanying text for a discussion of the various Justice's positions in Fullilove. 19. 448 U.S. 448 (1980). 20. N.Y. Times, June 20, 1989, at All col. 1 (Atlanta authorizing a $517,000 study to find support for that city's set-aside plan). 21. The Connecticut statutory scheme is compiled in a series of statutes, CONN. GEN. STAT. §§ 32-90 through 32-9n, 7-148u, 4a-61, 4a-62. See infra notes 188-96 for the text of those statutes. 22. See, e.g., Note, The Non-perpetuation of Discrimination in Public Contracting:A Justificationfor State and Local Minority Business Set-Asides After Wygant, 101 HARV. L. REV. 1797 (1988) (proposing that courts should seek justification for affirmative action plans in non-perpetuation of discrimination) [hereinafter Note] and Days, Fullilove, 96 YALE L.J. 453, 477 (1987) (a principled approach to minority setasides) [hereinafter Days]. 23. See Brown, 247 U.S. at 488. In a Brown-type analysis the Court will require government to provide a compelling purpose and necessary basis for any type of discriminatory action. Id. 24. See Ward's Cove Packing v. Antonio, 109 S.Ct. 2115 (1989) (placing new & insurmountable obstacles before workers bringing suit for employment discrimination under Civil Rights Act of 1964) and Martin v. Wilks, U.S. , 109 S.Ct. 2180 (1989) (entitling white firefighters to challenge hiring and promotion policy on basis of racial preferences). 25. E.g., Bakke, 438 U.S. at 286 (medical school admissions quota); Fullilove, 448 U.S. 448 (federal MBE set-aside plan); Wygant v. Jackson Bd. of Educ., 476 U.S. 267 (1988) (layoff preference for minority school teachers); United States v. Paradise, 480 U.S. 149 (1987) (judicial remedy designed to remedy past discrimination); and Johnson v. Transp. Agency, 480 U.S. 616 (1987) (voluntary affirmative action plan begun by employer). BRIDGEPORT LAW REVIEW [Vol. 11:237 tiny, ultimately returning to strict scrutiny.26 The Comment will then analyze the six Croson opinions in the decision,2 7 relating each Justice's position to his or her past affirmative action decisions. Finally, the Comment will argue that the position espoused by the Croson Court ignores the difficult economic position faced by MBEs, and that the decision may well be the end for MBE set-aside programs similar to the one enacted in Connecticut.2 II. BACKGROUND The Supreme Court first examined 29 affirmative action programs in Regents of the University of California v. Bakke.3 0 In Bakke, the Medical School of the University of California at Davis reserved sixteen seats for minority applicants.3 1 Allan Bakke, 26. See CONSTITUTIONAL LAW, supra note 14 at 531-33. Ordinary scrutiny requires that a law have a "legitimate" purpose and be merely "rationally related" to that purpose. Id. Only a "loose fit" between means and end is required. Id. Intermediate scrutiny requires that a law have an "important purpose" and that it have a "substantial basis." Id. 27. Croson, 488 U.S. at 475. Justice O'Connor delivered the opinion of the court. Id. Justices Stevens and Kennedy filed opinions concurring in part and concurring in the judgment. Id. Justice Scalia filed an opinion concurring in the judgment. Id. Justice Marshall filed a dissenting opinion. Id. Justice Blackmun filed a dissenting opinion with Justice Brennan. Id. 28. See infra notes 188-96 for the text of the relevant Connecticut statutes. 29. Two earlier cases deserve mention. They both involved potential affirmative action issues, which the Court chose, not to address. See DeFunnis v. Ogedard, 416 U.S. 312 (1974) (rejecting a challenge to a law school admissions program on grounds of mootness) and United Jewish Organizations v. Carey, 430 U.S. 144 (1977) (upholding legislative redistricting controlled by racial population). 30. 438 U.S. 265 (1978). 31. Id. at 272-75. Davis had two types of admissions programs for the enteriiIg class of 100 students: the regular admissions program and the special admissions program. Id. at 272-73. Under the regular admissions program, candidates with an overall undergraduate grade point average below 2.5 on a scale of 4.0 were rejected. Id. Interviews were given to about one out of six eligible applicants and following the interview, each applicant was rated on a scale of I to 100 by each of the committee members. Id. at 274. The full admissions committee then offered admissions to eligible applicants on the basis of their review of the applicant's file and, if applicable, his interview score. Id. The full committee considered and acted upon the applications as they were received. Id. The special admissions program was operated by a separate committee, a majority of whom were members of minority groups. Id. The 1973 and 1974 application forms asked candidates whether they wished to be considered as "economically and/or educationally disadvantaged" and members of a "minority group." Id. at 274-75. If an applicant of a minority group was found, by the committee, to be "disadvantaged," he was rated in a manner similar to the one employed by the regular admissions committee. Id. at 274-75. How- 1990] J.A. CROSON CO. who was not a member of one of the specified minority groups, was denied admission. 2 Bakke felt that his rejection was due to the special admissions program, 33 and brought suit in California state court.3 ' The Supreme Court of California held that the admissions plan violated the equal protection clause of the four35 teenth amendment, and compelled Bakke's admission. The Supreme Court of the United States, by a 5-4 vote, specifically struck down the Davis admissions plan. 6 But the Court, also by a 5-4 vote, ruled generally that educational institutions may take race into consideration when carrying out admissions 3 8 programs.37 Justice Powell was the swing vote in each instance. Bakke yielded no majority for any particular standard of review for "benign" discrimination. Four justices did not even reach the constitutional issue; they decided the case on the ground that the Davis plan violated the Civil Rights Act of 1964.39 Justice Powell concluded that since the plan included a racial preference, strict scrutiny was the proper standard of review to apply.40 In applying his test, Justice Powell found no ever, special candidates, were not required to meet the 2.5 grade point cut off and were not ranked against candidates in the general admissions process. Id. at 275. The special committee continued to recommend candidates until 16 special admissions seats were filled. Id. During a four-year period 63 minority students were admitted under the special program, but no disadvantaged whites were admitted under the same process even though many applied. Id. 32. Id. at 277. 33. Id. at 276-77. In fact, Bakke applied twice. Id. at 276. He was denied admission in both 1973 and 1974. Id. at 277. It was only in 1974 that Bakke had sufficient credentials under the regular admissions program. Id. 34. Bakke, 438 U.S. at 278. Bakke's suit contained three major allegations against the Davis program. Id. He claimed that Title VI of the Civil Rights Act of 1964, the equal protection clause of the fourteenth amendment to the United States Constitution, and the applicable portion of the constitution of the State of California had been violated by the university. Id. 35. Regents of the Univ. of Calif. v. Bakke, 18 Cal. 3d 34, 132 Cal. Rptr. 680, 553 P.2d 1152 (1976), afl'd in part, rev'd in part 438 U.S. 265 (1978). 36. Bakke, 438 U.S. at 308-421. Justice Powell held that the Davis program violated equal protection. Id. at 324. Justice Stevens, joined by Chief Justice Burger, and Justices Stewart and Rehnquist held that the program violated the Civil Rights Act of 1964. Id. at 408-21. 37. Id. at 357-80. Justices Powell, Brennan, White, Marshall, and Blackmun held that the use of race is permissible in creating admissions criteria. Id. 38. Id. 39. Id. at 411-21. 40. Bakke, 438 U.S. at 287-99. BRIDGEPORT LAW REVIEW [Vol. 11:237 compelling interest for the Davis program. 4 ' Four other justices, in separate opinions, seemed to favor an intermediate level of scrutiny.42 They voted to uphold the Davis program as an acceptable example of affirmative action programs that relied on racial goals or preferences.4 3 Two terms later44 the Court decided Fullilove v. Klutznick.45 That case involved a challenge to the federal MBE setaside portion of the Public Works Employment Act.46 This time all nine justices reached the constitutional issue, but again, no majority of the justices ascribed to any particular standard of review for upholding the validity of the set-asides. 47 Chief Justice Burger wrote the plurality opinion, which was joined by Justices Powell and White.4 8 Chief Justice Burger did not adopt a particular standard of review; instead he felt that the set-aside plan would easily have survived even the strictest scrutiny. 49 Aside from only applying a particular standard of review, Justice Powell was concerned with remedying identifiable past discrimination."0 In concurrence, Justice Powell, consistent with the standard he applied in Bakke, closely examined evidence of 41. Id. at 288-320. Justice Powell examined four possible interests: (1) The schools attainment of a minimum percentage of a particular racial class; (2) the state's eradicating the effects of prior "identified" discrimination; (3) the Plan producing more physicians who would care for the minority sector; and (4) the school's attainment of a diversified student body. Id. 42. Id. at 324 (Brennan, Marshall, White, & Blackmun, JJ., concurring in the judgment in part and dissenting in part). 43. Id. at 357-61. 44. A discussion of United Iron Workers of Am. v. Weber, 443 U.S. 193 (1979), is omitted as it involved a challenge to an affirmative action program under the Civil Rights Act of 1964, and any consideration of the equal protection clause is absent from the court's opinion. Id. 45. 448 U.S. 448 (1980). 46. Pub.L. 95-28, 91 Stat. 116 (1977). The Act was an amendment of the Local Public Works Capital Development and Investment Act of 1976, Pub.L. 94-269, 90 Stat. 999 (1976). 47. Fullilove, 448 U.S. at 453. 48. Id. at 473-78. The Chief Justice concluded that federal public works projects could be funded under the unique spending and commerce powers afforded to the federal government. Id. at 478. 49. Id. at 478-82. In fact, the Chief Justice termed the analysis be conducted in a "careful" manner. Id. This claim is supported by the Chief Justice contrasting the program at issue with the scrutiny used by Justice Powell in Bakke. Id. at 480. 50. It is interesting to note how Justice White's position changed. In Bakke, he agreed with Justice Powell's strict scrutiny. Bakke, 438 U.S. at 362. In Fullilove, he agreed with the less strict scrutiny of Justice Burger. Fullilove, 448 U.S. at 453. 1990] J.A. CROSON CO. past discrimination in the construction industry as a whole. 1 Justice Powell's application of strict scrutiny found that the setaside plan was necessary to accomplish the compelling governmental objective of eradicating the effects of past identified discrimination.2 Justice Marshall remained true to the intermediate scrutiny position he advocated in Bakke.5 The federal program at issue in Fullilove passed his middle-level review. Finally, Justices Stewart and Rehnquist applied strict scrutiny,54 and took the position that "[u]nder our Constitution, the government may never act to the detriment of a person solely because of that person's race. . . . In short, racial discrimination is by definition invidious discrimination."5 5 After Fullilove, the constitutionality of affirmative action programs seemed safe. Remedial action would be permitted only when justified by a finding of past "societal" discrimination. 6 The use of quotas was acceptable, 57 and a majority of the justices would apply an intermediate form of constitutional scrutiny. 8 The Supreme Court did not revisit a "pure" affirmative action issue59 until Wygant v. Jackson Board of Education. In Wygant case, benign discrimination took the form of employment lay-off preferences that granted black public school teach51. 52. Fullilove, 448 U.S. at 511 (Powell, J. concurring). Id. at 510 (Powell, J., concurring). Justice Powell applied the same test that he applied in Bakke, requiring a compelling governmental interest. Id. (Powell, J., concurring). 53. Id. at 517 (Marshall, J., concurring). Justice Marshall's opinion was joined by Justices Brennan and Blackmun. Id. (Marshall, J., concurring). 54. Id. at 557 (Stevens, J., dissenting). Justice Stevens' approach in dissent was not as strict as Justices Stewart and Rehnquist. Id. (Stevens, J., dissenting). He argued that "[riacial characteristics may serve to define a group of persons who have suffered a spe- cial wrong and who, therefore, are entitled to special reparations. . . dissenting). ." Id. (Stevens, J., 55. Fullilove, 448 U.S. at 525 (Stewart, J., dissenting). 56. Fullilove, 448 U.S. at 480-92. 57. See Bakke, 438 U.S. at 320, where the use of quotas was explicitly rejected by Justice Powell. Id. 58. See id. at 265 and Fullilove, 448 U.S. at 453. Justices Brennan, Marshall, and Blackmun, and possibly Justice White would consistently apply intermediate scrutiny. Id. I state that this is a majority because the other justices are split. 59. Once again, a discussion of FirefightersLocal Union No. 1784 v. Stetts, 467 U.S. 561 (1984) is omitted because of its emphasis on the Civil Rights Act of 1964. 60. 476 U.S. 267 (1986). BRIDGEPORT LAW REVIEW [Vol. 11:237 ers more protection than their white counterparts." The sense of security engendered by Fullilove was short-lived, as a plurality of the Court used strict scrutiny to strike down the lay-off scheme.62 -Justice Powell, author of the plurality opinion, posited that strict scrutiny was to be applied to all laws that discriminated against a suspect classification of people who had not been discriminated against in the past.6 3 The plurality then examined three governmental interests that might have been sufficiently "compelling" to justify the lay-off preference, rejecting each. 4 First, the court held that eradicating the effects of past societal discrimination was "too amorphous a basis for imposing a racially classified remedy. . . . [and therefore] insufficient -and over-expansive."65 Second, the school board's desire to provide minority students with "role models '6 6 was held insufficient. 6 7 The Court held that, if allowed, the "role model" theory might hurt black 61. Wygant, 476 U.S. at 270-71. Article XII of a collective bargaining agreement between the school and teachers provided: [i]n the event that it becomes necessary to reduce the number of teachers through layoff from employment by the Board, teachers with the most seniority in the district shall be retained, except that at no time will there be a greater percentage of minority personnel laid off than the current percentage of minority personnel employed at the time of the layoff. In no event will the number given notice of possible layoff have greater than the number of positions to have eliminated. Each teacher so affected will be called back in reverse order for positions for which he is certificated maintaining the above minority balance. Id. 62. Id. at 268. The plurality opinion was authored by Justice Powell, joined by Chief Justice Burger, and Justice Rehnquist. Id. Justice O'Connor concurred in part and concurred in the judgment. Id. at 269, 284. Justice White concurred in the judgment. Id. at 294. 63. Quoting his opinion in Bakke, Justice Powell wrote that "'[r]acial and ethnic distinctions of any sort are inherently suspect and thus call for the most exacting judicial examination." Id. at 273-74. Justice Powell also held that any racial classification must be justified by a compelling governmental interest, whose means must be narrowly tailored to the achievement of that goal. Id. 64. Id. 65. Id. at 276. 66. Swan v. Charlotte-Mecklenberg Bd. of Educ., 402 U.S. 1, 16 (1971) (giving guidance to lower courts and school boards concerning techniques of desegregation). The role model theory essentially stands for the proposition that minority students will place a greater emphasis on education if they are taught by their own ethnic peers. Id. The root of this theory is cited by the Court as having been developed in Swan. Id. 67. Wygant, 476 U.S. at 275-76. 1990] J.A. CROSON CO. students, because it might justify school systems with a small black student body hiring fewer black teachers.6 8 The Court also indicated that the "role model" theory might cause practical problems, since it could be used to justify almost any governmental objective."9 Finally, the Court examined the school board's asserted objective of remedying the effects of their past discrimination. 0 Here, too, the school board failed, as it could not satisfy the Court's requirement that there be "convincing evidence," "sufficient evidence," or a "strong basis in evidence" that remedial action was necessary.7 1 The Court reached this holding even though the trial court arguably had not determined the amount of discrimination in the Jackson School District."2 The two concurrences seemed, in spirit, consistent with Jus68. Id. The Court required that: [iun particular, a public employer like the Board must ensure that, before it embarks on an affirmative-action program, it has convincing evidence that remedial action is warranted. That is, it must have sufficient evidence to justify the conclusion that there has been prior discrimination.., the trial court mdst make a factual determination that the employer had a strong basis in evidence for its conclusion that remedial action was necessary. The ultimate burden remains with the employees to demonstrate the unconstitutionality of an affirmative- action program. But unless such a determination is made, an appellate court reviewing a challenge by non-minority employees to remedial action cannot determine whether the race-based action is justified as a remedy for prior discrimination. Id. 69. Id. at 275-78. The plurality avoided passing on the specific issue of whether the remedying of past discrimination was a compelling objective. Id. at 278 70. Id. at 277-78 71. This discussion raises yet another theme in the analysis of affirmative action programs. The Supreme Court is seemingly concerned with the burden placed on the government's showing a compelling interest. 72. Wygant, 476 U.S. at 278, n.5. Justice Powell, in a footnote, indicated Justice Marshall's contention that "the plurality has too quickly assumed the absence of a legitimate factual predicate . . . for affirmative action in the Jackson schools. ... Id. In support of that assertion, Justice Marshall engaged in an unprecedented reliance on nonrecord documents provided to the courts by the respondent. Id. at 278. Justice Powell stated that this collective citation to factual materials not considered by the District Court or the Court of Appeals below is unusual enough by itself and that much of the material relied on by Justice Marshall was the subject of the previous lawsuit in Jackson II, where the court concluded that it "had not been established that the board had discriminated against minorities in its hiring practices." Id. at 279. "Moreover, as noted in Jackson I ... the Board expressly denied that it had engaged in employment discrimination." Id. BRIDGEPORT LAW REVIEW [Vol. 11:237 tice Powell's opinion. Justice O'Connor" centered her analysis on the original hiring policy, concluding that it was possible for a preferential lay-off policy to be valid, provided that hiring occurred properly.7 4 The other concurring opinion, authored by Justice White, stated that discriminatory lay-offs (even benign ones) were virtually unconstitutional per se.75 All four dissenters remained consistent with their past positions. Justices Marshall, Brennan, and Blackmun joined to argue that under intermediate scrutiny, the lay-off plan's means were sufficiently tailored to the goals employed.7 6 Justice Stevens' dissent took a different, more practical look at the problem." He did not advocate a particular level of scrutiny, but argued that the Board's goal was "inclusionary," in that it sought to bring minority teachers into the system to properly provide role models for the children. 8 In all, the Wygant decision provided a warning to those seeking to implement affirmative action programs, cautioning them first to analyze instances of past discrimination in order to document the basis for the plan.79 In fact, Wygant stands for the proposition that in the employment area, only well documented, specific findings of past discrimination will justify benign gov73. Justice O'Connor, appointed by President Ronald Reagan in 1981, replaced Justice Stewart who sided with Justice Rehnquist in holding that strict scrutiny should be applied in affirmative action cases. See, e.g., Fullilove, 448 U.S. at 453. 74. Wygant, 478 U.S. at 286 (O'Connor, J., concurring in part and concurring in the judgment). 75. Id. at 295 (White, J., concurring). In his view the case was easy to analyze. Id. (White, J., concurring). If it would not be permissible to "discharge whites and hire blacks until the latter comprised a suitable percentage of the work force . . ." then the lay-off policy would also violate equal protection. Id. (White, J., concurring). 76. Id. at 295-97 (Marshall, Brennan, & Blackmun, JJ., dissenting). 77. Id. at 313 (Stevens, J., dissenting). 78. Wygant, 476 U.S. at 314-16 (Stevens, J., dissenting). Justice Stevens noted that in public education a school board may reasonably conclude that an integrated faculty is better able to provide benefits to the student body than an all white, or nearly all white faculty could provide. Id. at 315 (Stevens, J., dissenting). Such an integrated faculty aids in teaching one of the most important lessons taught in American public schools which is that the diverse ethnic or cultural backgrounds do not identify essential differences among human beings. Id. (Stevens, J., dissenting). He further notes that it is far more convincing and effective for a white child to be taught by an integrated faculty that color, like beauty, is "only skin deep" rather than the white child learning this lesson from a white teacher, Id. at 316 (Stevens, J., dissenting). 79. See Note, supra note 22, at 1808-11 (proposing that courts should seek justification for affirmative action plans in the non-perpetuation of discrimination, and suggesting that a firm evidentiary basis is required for survival after Wygant). 1990] J.A. CROSON CO. ernmental discrimination.8 0 Two other recent decisions are worthy of mention."1 In the 2 the Court first, U.S. v. Paradise," upheld numerically-oriented promotion preferences as a judicial remedy for identified past discrimination in the Alabama State Police Department." A 5-4 Court upheld the District Court's order; Justice Marshall, joined by Justices Brennan, Blackmun, and this time Stevens, 4 held that even under strict scrutiny, the court order would be upheld. 5 In the second decision, Johnson v. Transportation Agency, 88 the Court, by a 6-3 vote, upheld a voluntary affirma80. See Wygant, 476 U.S. at 275 (noting, however, that in Wygant, Justices Powell, Rehnquist, and O'Connor, and Chief Justice Burger held that the remedy of prior identified discrimination may be the only form of tolerable affirmative action). 81. Two cases decided under Title VII of the Civil Rights Act of 1964 are omitted here. See Local 28, Sheet Metal Workers Int'l Ass'n v. Equal Employment Opportunity Comm'n, 478 U.S. 421 (1988) (upholding judicially-ordered 29 percent admission goal for a union) and Local Number 93, Int'l Ass'n of Firefighters v. Cleveland, 478 U.S. 501 (1986) (upholding similar plan). 82. 480 U.S. 149 (1987). 83. Id. at 154-63. Specifically, in 1972 a federal district court found that Alabama had been blatantly discriminating against blacks, for nearly four decades, in hiring for State Trooper positions. Id. at 154. During the entire 37-year history of the state patrol system, there had never been a black trooper. Id. The district court therefore imposed a hiring quota and forbade further discrimination. Id. at 154-55. The department then dragged its feet in promoting newly-hired blacks to the higher ranks and twelve years after instituting a hiring quota, not a single one of the 131 highest-ranking officers in the department was black, and only 4 of the 66 corporals (the lowest officer rank) were black. Id. at 163. Therefore, the district court imposed a temporary one-for-one requirement which ordered that for every white promoted to corporal, a black must also be promoted, so long as qualified black candidates were available. Id. at 158, 163. 84. Paradise,480 U.S. at 153, 189. Justice Brennan announced the decision of the Court and delivered an opinion in which Justices Marshall, Blackmun, and Powell joined. Id. at 153. Justice Stevens concurred in the judgment. Id. at 189. 85. Id. at 151. In general, the Court found that the race-conscious relief ordered by the district court was justified by the government's compelling interest in eradicating the police department's pervasive, systematic, and obstinate discriminatory exclusion of blacks. Id. In fact, the Court noted that the record amply demonstrated that the Department's intentional discrimination and promotional procedure was so discriminatory, that it resulted in an upper rank structure that totally excluded blacks and even excluded blacks from competing for promotions. Id. The Court also found that the district court's enforcement order was supported by the societal interest in compliance with federal court judgments since the Department had a consistent history of resistance to the district court's orders. Id. Relief, such as the one-for-one promotional requirement, was imposed after the Department failed to abide by the court order since it was narrowly tailored to serve its purposes, both as applied to the initial corporal promotions and as a continuing contingent order with respect to the upper ranks. Id. 86. 480 U.S. 616 (1987). BRIDGEPORT LAW REVIEW [Vol. 11:237 tive action plan by an employer in the absence of identified prior discrimination. 7 It is important to note that Johnson was not a constitutional decision; instead, it was decided under Title VII of the 1964 Civil Rights Act. 8 However, the decision indicated that the Court might again relax the strictness of affirmative action program analysis.8 9 III. A. THE CROSON DECISION The Facts On April 11, 1983, the city of Richmond, Virginia adopted the Minority Business Utilization Plan" (The Plan) requiring contractors who wished to bid on Richmond construction projects to subcontract thirty percent of the contract amount to an MBE.9 1 The Plan's stated purpose was to remedy past discrimination in the construction industry.9 2 The Plan did not apply if the contractor was itself an MBE or if the City waived the requirement.9 3 The Plan expired on June 30, 1988. 9" The Plan gave the Richmond Department of General Services authority to adopt procedures for waiver of the 30 percent 87. Id. at 619. Justice Brennan delivered the opinion of the Court, in which Justices Marshall, Blackmun, Powell, and Stevens joined. Id. Justice Stevens filed a concurring opinion. Id. Justice O'Connor filed an opinion concurring in the judgment. Id. Justice White filed a dissenting opinion. Id. Justice Scalia filed a dissenting opinion, in which Justices Rehnquist and White partially joined. Id. 88. Id. at 639-40. Although other cases decided under the Civil Rights Act of 1964 have been omitted, a discussion of Johnson is included in the text. 89. Paradise,480 U.S. at 185, and Johnson, 480 U.S. at 640, both decided in the 1987 Term, illustrate that the Court may be reversing its strict Wygant position, as the two affirmative action programs under attack were upheld by more than a plurality. 90. Ordinance No. 83-69-59 (codified in Richmond, Va., City Ordinance, § 12156(a) (1985)). 91. Richmond, Va., City Code, § 12-23 (1985). Minority group members were defined as "[c]itizens of the United States who are Blacks, Spanish-speaking, Orientals, Indians, Eskimos, or Aleuts." Id. 92. Croson, 822 F.2d at 1363. After the speakers at the Richmond City Council meeting were done, the members of the Council discussed the nationwide background of benign programs. Id. Thereafter assertions were made that there was discrimination in the Richmond construction industry. Id. 93. Richmond, Va., City Code, § 12-126(a) (1985). 94. Croson, 488 U.S. at 478 n.1 (citing Memphis Light, Gas & Water Div. v. Craft, 436 U.S. 1, 8-9 (1978)). "The expiration of the ordinance has not rendered the controversy between the city and Croson moot. There remains a live controversy between the parties over whether Richmond's refusal to award Croson a contract pursuant to the Ordinance was unlawful and thus entitles Croson to damages." Id. 1990] J.A. CROSON CO. requirement.9 5 According to the regulations, a waiver would be allowed only after a showing that the contractor made every "feasible" attempt at procuring an MBE.9 s The Director of General Services was vested with the authority to make final determinations.9 7 The Richmond City Council adopted the Plan after conducting a public hearing.9 8 Proponents of the set-aside provision relied on a study that indicated that, while the general population of Richmond was 50 percent black, only .67 percent of the city's prime construction contracts had been awarded to minority businesses in the five year period from 1978 to 1983.11 In October 1983, the J.A. Croson Company (Croson) bid for the installation of plumbing fixtures at the city jail.10 0 Croson, a non-MBE contractor, determined that it could meet the Plan requirements by purchasing certain plumbing fixtures from an MBE. 10 1 Croson contacted Continental Metal Hose (Continental), a local MBE, but could not get a firm price for the required 02 fixtures.1 95. Richmond, Va., Ordinance No. 83-69-59 (April 11, 1983) (revised July 12, 1983). 96. See id. The Plan required that the contractor illustrate that she had made every reasonable attempt to procure an MBE, and that those MBEs contacted were either unable or unwilling to help. Id. The Plan also required that the contractor document her attempt at finding an appropriate MBE. Id. 97. J.A. Croson Co. v. Richmond, 779 F.2d 181, 196 (4th Cir. 1985) vacated 478 U.S. 1016 (1986) on remand 822 F.2d 1355 (4th Cir. 1987) afl'd 488 U.S. 469 (1989). The Director was vested with the power to make the final determination on the waiver request. Id. 98. Croson, 488 U.S. at 479. Seven members of the public spoke to the merits of the Ordinance: five were in opposition, two in favor. Proponents of the set-aside provision relied on a study which indicated that, while the general population of Richmond was 50 percent black, only .67 percent of the city's prime construction contracts had been awarded to minority businesses in the five-year period from 1978 to 1983. Id. 99. Id. at 479-480. 100. Id. at 481. 101. See Brief for Appellee at 5, City of Richmond v. J.A. Croson Co., 488 U.S. 469 (1989) (No. 87-998). The required plumbing fixtures were specially designed for use in a penal institution, and only two manufacturers met the required specifications. Id. The cost of the fixtures represented approximately 75 percent of the cost of the project. Id. Croson's regional manager, Eugene Bonn, determined that the only way in which to satisfy the City's requirement that 30 percent of the contract be awarded to an MBE was to order the fixture from a minority owned supplier. Id. 102. Croson, 488 U.S. at 482. On September 20, Bonn contacted five or six MBEs that were potential suppliers of the fixtures. Id. "After contacting three local and state agencies that maintained lists of MBEs, many of the MBEs contacted by Bonn expressed an interest in the project or in tendering a quote." Id. On October 12, 1983, the day the bids were due, Bonn again telephoned a group of MBEs, at which time, Melvin BRIDGEPORT LAW REVIEW [Vol. 11:237 Croson was the only bidder on the project and was awarded the contract on October 13th. 0 s Later that month, Croson requested a waiver of the MBE requirement. 0 4 The City denied instead to rebid the prothe request for waiver 05 and elected 10 7 ject.0 6 Croson then brought suit. The District Court, applying intermediate scrutiny, upheld the Richmond ordinance. 0 8 The Court of Appeals for the Fourth Circuit affirmed. 09 Croson sought certiorari from the United States Supreme Court, which summarily vacated the judgment and remanded the case for consideration in light of Wygant."0 On remand, and without briefing or argument on the impact of Brown, president of Continental Metal Hose (Continental), a local MBE, expressed his desire to participate in the project. Id. Brown contacted two suppliers of the specified fixtures for a price quotation. Id. One supplier, Ferguson Plumbing Supply, which is not an MBE, had already made a quotation directly to Croson, and refused to quote the same fixtures to Continental. Id. A second supplier contacted by Brown was an agent of Bradley, one of the two manufacturers of the specified fixtures. Id. This agent was not familiar with Brown or Continental, and stated that before a quote could be made to either Brown or Continental, a credit check was required which would take at least 20 days to complete. Id. 103. Id. 104. Brief for Appellee at 7, City of Richmond v. J.A. Croson Co., 488 U.S. 469 (1989) (No. 87-998). 105. Id. 106. Croson, 778 F.2d at 184. Croson requested that General Services review the city's decision. Id. The request was denied because the Richmond City Code only provided for review of decisions that resulted in one party receiving an award of a contract over another, not decisions to rebid a project. Id. 107. Id. at 182, n.1. The original action was filed with the Circuit Court of the City of Richmond. Id. It was' later removed to the District Court for the Eastern District of Virginia. Id. 108. Id. The district court utilized the three-part test derived from South Florida Chapter of Association Gen. Contractors of Am. v. Metropolitan Dade County, 723 F.2d 846, 851-52 (11th Cir.), cert. denied, 469 U.S. 871 (1984), which held; (1) that the governmental body has the authority to pass such legislation; (2) that adequate findings have been made to ensure that the governmental body is remedying the present effects of past discrimination rather than advancing any racial or ethnic group's interest over another; and (3) that the use of such classifications extends no further than the established needs of remedying past discrimination. Id. 109. Croson, 779 F.2d at 183. The Fourth Circuit made 3 findings: (1) Since the Plan would increase the number of subcontractors in the future, the Plan was not beyond the scope of the Council's powers, and hence violative of art. I, sec. 11 of the Virginia Constitution; (2) The Council had made sufficient findings .to support the Plan; and (3) The statistical disparity between the minority population and the number of contracts awarded to MBEs is sufficient evidence to support the ordinance. Id. at 183-90. 110. Croson, 478 U.S. at 1016. 1990] J.A. CROSON CO. Wygant,11 the original court of appeals panel reversed itself by applying strict scrutiny. 1 2 Richmond then appealed to the Supreme Court."'3 B. The Opinion The Supreme Court affirmed the second Fourth Circuit decision 6-3, with Justice O'Connor delivering the opinion of the Court. 1 4 After setting forth the facts and procedural history of the case, Justice O'Connor turned to justifying the choice of the Wygant strict scrutiny analysis over the Fullilove intermediate scrutiny standard. 5 She began this portion of her opinion by citing the conflict generated by each proponent's position 11 6 In 111. Brief for Appellant at 11, City of Richmond v. J.A. Croson Co., 488 U.S. 469 (1989) (No. 87-990) (citing to Wygant as reason for reconsideration). 112. Croson, 488 U.S. 485-487. The Supreme Court noted that the appellate court's majority expressed that the "core" of the Wygant holding was that a municipality that wished to employ a racial preference could not rely on broad assumptions of historical discrimination to show that a plan was justified by a compelling governmental interest. Id. The lower court interpreted the requirement that "[flindings of societal discrimination will not suffice; the findings must concern 'prior discrimination by the governmental unit involved,'" and concluded that if a plan is supported by a compelling governmental interest, so would every other plan that had been enacted in the past or that would be enacted in the future. Id. at 485-486. The lower court then determined that the 20 percent figure was chosen arbitrarily in that it was not "tied to the number of minority subcontractors in Richmond or to any other relevant number." Id. at 486. 113. City of Richmond v. J.A. Croson Co., 478 U.S. 1016 (1988) (case remanded and vacated to Fourth Circuit Court of Appeals). 114. Croson, 488 U.S. at 476. Justice O'Connor announced the judgment of the Court and delivered Parts I, III-B, and VI of the opinion, in which Chief Justice Rehnquist, and Justices White, Stevens, and Kennedy joined, an opinion with respect to Part II, in which Chief Justice Rehnquist and Justice White joined, and an opinion with respect to Part III-A and V, in which Chief Justice Rehnquist, and Justices White and Kennedy joined. Id. Justices Stevens and Kennedy filed opinions concurring in part and concurring in the judgment. Id. Justice Scalia filed an opinion concurring in the judgment. Id. Justice Marshall filed a dissenting opinion, in which Justices Brennan and Blackmun joined. Id. Justice Blackmun filed a dissenting opinion, in which Justice Stevens joined. Id. 115. U.S. 486-492. 116. U.S. 486-492. Justice O'Connor began her opinion by noting that the parties and their supporting amici battled over the scope of the city's power to adopt legislation designed to address the effects of past discrimination. Id. The appellees, relying on the Wygant decision argued that the city must limit any race-based remedial efforts of its own prior discrimination. Id. The appellees' position was essentially the position taken by the Court of Appeals below. Id. Appellant argued that the Fullilove decision was controlling, and as a result the city of Richmond had sweeping legislative power to attack and define the effects of prior discrimination in its local construction industry. Id. Justice O'Connor speaking for the majority of the Court stated that ". . . neither of these BRIDGEPORT LAW REVIEW (Vol. 11:237 setting out the Fullilove holding, Justice O'Connor emphasized that the federal set-aside was promulgated under section five of the fourteenth amendment. 117 "That Congress may identify and redress the effects of society-wide discrimination does not mean that, a fortiori, the States and their political subdivisions are free to decide that such remedies are appropriate. 11 8 Justice O'Connor concluded that the Court's "treatment of an exercise of congressional power in Fullilove cannot be dispositive here.""" Justice O'Connor had to get Fullilove out of the way lest anyone think that the Court was bound to adopt its less restrictive standard of review. By distinguishing Fullilove, Justice O'Connor defined the standard lower courts are to apply in the future when deciding the constitutionality of affirmative action programs.12 0 Aside from the confusion the lower court exhibited over the Fullilove/Wygant choice, other circuit courts had gone in a variety of directions.' 2 ' The early cases adopted the view advocated by Justice Marshall in Bakke and Fullilove. 22 At the same time, the Sixth Circuit was examining other constitutional grounds. 23 Then, after Wygant, the circuits, followed the Supreme Court and switched to a strict scrutiny standard.124 With two rather stark alternatives can withstand analysis." Id. 117. Croson, 488 U.S. at 487. 118. 488 U.S. at 489. 119. Id. 120. Id. (only Wygant is left from which to derive doctrine). 121. Croson, 488 U.S. at 476. Initially, lower federal courts, relying largely on the decision in Fullilove, applied the Fullilove standard of review in assessing the constitutionality of state and local minority set-aside provision under the equal protection clause of the fourteenth amendment. Id. However, since the Wygant decision, the lower federal courts had attempted to apply its standards in evaluating the constitutionality of state and local programs which allocate a portion of public contracting opportunities exclusively to minority owned businesses. Id. 122. See, e.g., Schmidt v. Oakland Unified School Dist., 662 F.2d 550, 559 (9th Cir. 1981) (applying Bakke/Fullilove intermediate scrutiny standard to affirmative action plan requiring "responsible bidders" for school district contracting); Arrington v. Associated Gen. Contractors, 403 So.2d 893, 902 (Ala. 1981), cert. denied, 455 U.S. 913 (1982) (applying less restrictive standard of scrutiny to set-aside plan); and South Florida,723 F.2d at 852 (applying intermediate scrutiny to MBE set-aside). See supra notes 30-55 and accompanying text, for a discussion of Bakke and Fullilove. 123. See, e.g., Ohio Contractors Ass'n v. Keip, 713 F.2d 167, 172 (6th Cir. 1983) (decided on equal protection grounds) and Southwest Wash. Chapter, Nat'l Elec. Contractors Ass'n v. Pierce County, 100 Wash.2d 109, 121-122, 667 P.2d 1092, 1099 (1983) (decided on equal protection grounds). 124. See, e.g., Michigan Road Builders Ass'n, Inc. v. Milliken, 834 F.2d 583 (6th 1990] J.A. CROSON CO. one short passage, the Court sent a message that future affirmative action cases would be subject to a more stringent standard 12 5 of review. Justice O'Connor then set out the requirements of review.' 26 A remedial plan must pursue an "important" remedial goal. The means chosen must "fit" the goal so closely that there is no possibility that the motive for the classification is illegitimate. 2 ' Justice O'Connor's version of strict scrutiny also called for a "firm" evidentiary basis for the remedial classification. 2 ' Justice O'Connor then applied the standard. She held that by not sufficiently showing any type of identified past discrimination, Richmond had failed to demonstrate an important governmental interest sufficient to justify the Plan. 29 Her analysis of the proffered "end" goal of the Plan rejected four arguments. The Court first disposed of the argument that past discrimination in the construction industry was an adequate justification for the Plan, concluding that the argument failed "in establishing identified discrimination in the Richmond construction 30 industry.' Second, that the Plan called itself "remedial" was not in itCir. 1987) (applying Wygant evidentiary requirements to substantiate an MBE setaside) and Associated Gen. Contractors of Calif. v. City and County of San Francisco, 813 F.2d 922 (9th Cir. 1987) (striking down MBE set-aside plan while upholding woman business enterprise set-aside on Wygant grounds). 125. Croson, 488 U.S. 469, 492. With one fell swoop the Court did away with the earlier, more tempered analysis like Bakke and Fullilove. Id. 126. Id. at 493. The Court held the following: [A]bsent searching judicial inquiry into the justification for such race-based measures, there is simply no way of determining what classifications are "benign" or "remedial" and what classifications are in fact motivated by illegitimate notions of racial inferiority or simple racial politics. Indeed, the purpose of strict scrutiny is to "smoke out" illegitimate uses of race by assuring that the legislative body is pursuing a goal important enough to warrant the use of a highly suspect tool. The test also insures that the means chosen "fit" this compelling goal so closely that there is little or no possibility that the motive for the classification was illegitimate racial prejudice or stereotype. Id. 127. Id. at 493-497. This standard is a synthesis derived from the Court after Justice O'Connor reviewed the Bakke, and Wygant decisions, ruling that societal discrimination and the role model theory are deficient in light of the danger of stigmatic harm carried by classifications based on race. Id. 128. Id. at 493. 129. Croson, 488 U.S. at 497. In fact, Justice O'Connor held that the plan suffered from the same two defects that the Wygant Court held fatal. Id. 130. Id. at 498. BRIDGEPORT LAW REVIEW [Vol. 11:237 self enough to justify a 30 percent set-aside. 1 ' It is here that Justice O'Connor rejected the various statistical arguments which compared the number of MBEs in a market with the amount of city construction dollars and the percentage of MBE participation in awards.3 2 Third, the Court also attacked Justice Marshall's position in dissent that discriminatory findings may be "shared" from jurisdiction to jurisdiction as lacking prece33 dential authority.1 Finally, the Court examined the minority groups, other than blacks, which the Plan sought to protect. 3 4 The Court found "absolutely no evidence of past discrimination" as to these groups, and their inclusion in the Plan diminished the City's credibility in the Court's eyes. 3 5 Justice O'Connor also analyzed the "means" requirement of strict scrutiny and held that the Plan was not tailored narrowly enough. 3 6 The Court pointed to the Plan's inclusion of MBEs from anywhere in the country and its requirement of the rigid 30 percent quota as reasons for in37 validating the Plan. 131. Id. at 499 (citing Weinberger v. Wiesenfield,.420 U.S. at 648, n.16). Justice O'Connor wrote that "[t]he District Court accorded great weight to the fact that the city council designated the plan as 'remedial.' But the mere recitation of a 'benign' or legitimate purpose for a racial classification, is entitled to little or no weight.'" Id. 132. Id. at 501. Justice O'Connor indicated that where special classifications are necessary, the relevant statistics used to demonstrate discriminatory exclusion are the number of minorities qualified to undertake the particular task. Id. O'Connor noted that, in this case, the city does not even know how many MBEs in the relevant market are qualified to undertake prime or subcontracting work in public construction projects. Id. at 502. She further noted that the city alsb does not know what percentage of total city dollars minority firms now receive on prime contracts. Id. 133. Croson, 488 U.S. at 505. The Court criticized Justice Marshall for believing that Richmond should identify the discrimination it seeks to remedy in its own jurisdiction as being an administrative headache. Id. The Supreme Court noted that it had never approved of the extrapolation of discrimination in one jurisdiction from another. Id. 134. See supra note 91 for a discussion of the definition of minority groups. 135. Croson, 488 U.S. at 505-506. Specifically, Justice O'Connor held that: [i]t may well be that Richmond has never had an Aleut or Eskimo citizen. The random inclusion of racial groups that, as a practical matter, may never have suffered from discrimination in the construction industry in Richmond, suggests that perhaps the city's purpose was not in fact to remedy past discrimination. Id. at 506. 136. 488 U.S. at 506-507. 137. Id. at 508. The Court held that the city's ohly interest in maintaining a quota system would seem to be simple administrative convenience. Id. The interest in avoiding the bureaucratic effort necessary to tailor remedial relief to these who truly suffer the J.A. CROSON CO. 1990] In conclusion, Justice O'Connor held that a set-aside program would be constitutional only if the action served to rectify the effects of prior identified discrimination, as opposed to societal discrimination, and satisfied various questions of proof.138 Essentially the Court backed down from its stringent strict scrutiny formula. Justice O'Connor leaves us with a form of non13 9 fatal strict scrutiny, a novel concept. C. Concurrences The Croson decision contained three separate concurrences by Justices Stevens, Scalia, and Kennedy, respectively.140 Justice Stevens' opinion argued that instead of quibbling over the proper standard of review, courts should identify characteristics of disadvantaged classes and create a remedy geared toward erasing those characteristics."" Justice Stevens' opinion is coneffects of prior discrimination could not, in the Court's eyes justify a rigid demarcation drawn on the basis of some type of suspect classification. Id. Examining the Richmond plan, the Court found that a Black, Hispanic, or Oriental MBE from anywhere in the country could enjoy an absolute preference over other Richmond citizens based solely on race. Id. The Court thought it obvious that such a program would not be sufficiently narrow in tailoring to remedy the effects of past discrimination. Id. 138. Id. at 509. The Court began backing-off its stringent position by stating that "[nlothing we say today precludes a state or local entity from taking action to rectify the effects of identified discrimination within its jurisdiction." Id. The Court claimed that if the city of Richmond could find evidence that non-minority contractors were systematically excluding minority businesses from subcontracting opportunities, the city could take action to end the discriminatory exclusion. Id. Justice O'Connor further held that local government has many ways of dealing with individual instances of racially motivated refusals to employ minority contractors. Id. Under properly drafted laws, a city would not be wrong in penalizing the discriminator and providing some form of relief to the victim of such discrimination. Id. Even if there is no evidence of discrimination, a city can employ many race-neutral devices and increase the accessibility of city contracting opportunities to small entrepreneurs of all races. Id. at 509-510. Some of these include: simplification of bidding procedures; relaxation of bonding requirements; and training and financial aid for disadvantaged entrepreneurs of all races. Id. Such actions would open the public contracting market to all these who have suffered the effects of past discrimination. Id. at 510. 139. Croson, 488 U.S. at 509-510. The concept is novel because true strict scrutiny is usually fatal. 140. Id. at 511 (Stevens, J., concurring in part and concurring in the judgment), Id. at 519 (Kennedy, J., concurring in part and concurring in the judgment), and id. at 519 (Scalia, J., concurring in the judgment). 141. Croson, 488 U.S. at 514 (Stevens, J., concurring). Specifically, in this case, Justice Stevens argues that the: approach convinces me that, instead of carefully identifying the characteristics of the two classes of contractors that are respectively favored and disfavored BRIDGEPORT LAW REVIEW [VoI. 11:237 sistent with his past pronunciations. 4 " He presents the most sensible, practically based analysis for dealing with affirmative action problems by advocating the only solution geared to iden143 tifiable victims. Justice Stevens makes two other points. First he questions the claim that the public interest in the efficient performance of construction contracts will be served by granting a preference to minority business enterprises. 4 4 Justice Stevens posits that "there is not even an arguable basis for suggesting that the race of a subcontractor or general contractor should have any relevance to his or her access to the market." '4 5 Second, Justice Stevens believes that courts are better equipped than political entities to identify the important characteristics of a disadvantaged class. 14 6 Accordingly, in fashioning an effective remedy, courts 47 can best point out those who discriminated in the past. Justice Scalia's concurrence was also consistent with his past opinions. 4s He agreed with the majority that strict scrutiny is the proper standard of review, but argued that a non-fatal form of strict scrutiny cannot be effective. 49 To Justice Scalia a by its ordinances, the Richmond City Council has merely engaged in the type of stereotypical analysis that is a hallmark of violations of the Equal Protection Clause. Whether we look back at the class of persons benefitted by the ordinance or at the disadvantaged class, the same conclusion emerges. Id. at 514-515 (Stevens, J., concurring). 142. See, e.g., United States v. Paradise, 480 U.S. 149, 189 (1987) (Stevens, J., concurring in the judgment), Johnson v. Transportation Agency, 480 U.S. 616, 640 (1987) (Stevens, J., concurring), Wygant v. Jackson Bd. of Educ., 478 U.S. 267, 313 (1986) (Stevens, J., dissenting) and Fullilove v. Klutznick, 448 U.S. 448, 533 (1980) (Stevens, J., dissenting). 143. See Days, supra note 22, at 468-69 for a discussion of the quality of Justice Stevens' opinions. 144. Croson, 488 U.S. at 512 (Stevens, J., concurring). 145. Id. at 513 (Stevens, J., concurring). 146. Id. (Stevens, J., concurring). 147. Id. at 513-514 (Stevens, J., concurring). Justice Stevens argues that the judicial system and not the legislatures are best equipped to identify past wrongdoers and to fashion remedies that will create the conditions that presumably would exist had there been no discrimination in the first place. Id. (Stevens, J., concurring). Therefore, in cases involving the review of judicial remedies imposed against persons who have been proved guilty of violations of law, Justice Stevens would, in racial discrimination cases, give the courts the same broad discretion that courts enjoy in other areas of the law. Id. at 732 (Stevens, J., concurring). 148. See, e.g., Johnson, 480 U.S. at 655 (Scalia, J., with whom the Chief Justice and Justice White joins dissenting). 149. Croson, 488 U.S. at 520 (Scalia, J., concurring). Even though Justice Scalia did J.A. CROSON CO. 1990] benign racial classification is permissible only where it is necessary to undo the government's own discrimination. 150 In short, Justice Scalia prefers that there be no affirmative action.1 5' In his concurrence Justice Kennedy sympathized with Justice Scalia's position, 52 but agreed with the majority.' 53 Justice Kennedy argued that strict scrutiny is the most effective level of review for two reasons. 54 Strict scrutiny, to Justice Kennedy, would foster both race neutrality and be consistent with the Court's recent precedents. 55 D. Dissent Justice Marshall's dissenting opinion was joined by Justices Brennan and Blackmun 5 ' and is consistent with his past posinot join any particular part of the majority opinion, he begins his opinion by claiming that he "agree[s] with much of the Court's opinion, and, in particular, with its conclusion that strict scrutiny must be applied to all governmental classifications by race, whether or not the asserted purpose is 'remedial' or 'benign.'" Id. (Scalia, J., concurring). 150. Id. at 525 (Scalia, J., concurring), Justice Scalia argued that the Court has, in past cases discussing school desegregation, "made it clear that the remedial power extends no further than the scope of the constitutional violation." Id. (Scalia, J., concurring). Justice Scalia agreed with the Court's dictum. Id. (Scalia, J., concurring). He argued that there exists a fundamental difference, the effects of "societal" discrimination and the effects of "identified" discrimination. Id. (Scalia, J., concurring). Justice Scalia differed with the majority by stating that there is no argument that would justify raceconscious action which would enable a race-neutral remedy to be found. Id. (Scalia, J., concurring). There is nothing that would prevent Richmond from according a contracting preference to identified victims of discrimination. Id. (Scalia, J., concurring). In an effort to justify a racial classification, a governmental entity would have to identify actual victims of discrimination in fashioning a remedy. Id. (Scalia, J., concurring). 151. Id. (Scalia, J., concurring). 152. Croson, 488 U.S. at 518 (Kennedy, J., concurring). Justice Kennedy posits the following: [t]he moral imperative of racial neutrality is the driving force of the Equal Protection Clause. Justice Scalia's opinion underscores that proposition, quite properly in my view .... His opinion would make it crystal clear to the political branches, at least those of the States, that legislation must be based on criteria other than race. Id. at 518-519 (Kennedy, J., concurring). 153. Id. at 519 (Kennedy, J., concurring). Justice Kennedy "accept[s] the less absolute rule contained in Justice O'Connor's opinion, a rule that is based on the proposition that any racial preference must face the most rigorous scrutiny by the courts." Id. (Kennedy, J., concurring). 154. Id. (Kennedy, J., concurring). 155. Id. at 519 (Kennedy, J., concurring). 156. Only Justice Marshall's dissent is discussed in the text as it contains the best analysis of the issue. Justice Blackmun's dissent is only one paragraph and agrees in BRIDGEPORT LAW REVIEW [Vol. 11:237 tions. 157 The opinion makes three basic points. First, it argues that in matters of local affairs, municipalities are best equipped to handle problems of local discrimination.' 5" This position lends support to Justice Marshall's second point that since municipalities should handle discrimination, courts should defer to their judgment and uphold affirmative action plans if intermediate scrutiny is satisfied. 159 Justice Marshall finds a plethora of governmental interests sufficient to justify the Plan. 16 0 Some of those include the City's concern in erasing past discrimination, preserving autonomy over spending decisions, and giving appropriate deference to the City Council's decision.' 61 Finally, Justice Marshall agrees with Richmond's argument that the Fullilove 62 standard should be used.1 IV. ANALYSIS In Croson the Supreme Court's positions regarding benign discrimination solidified. As Wygant presaged, a majority of the Supreme Court now applies strict scrutiny in affirmative action cases.L6 3 Three justices will consistently advocate an intermediate level of review so that affirmative action programs can survive. 6 Only Justice Stevens has established a framework of principle with Justice Marshall's. See id. at 560 (Brennan, J., dissenting) and id. at 528 (Marshall, J., Brennan, and Blackmun, JJ., dissenting). 157. See, e.g., Bakke, 438 U.S. at 278-356; Fullilove, 448 U.S. at 517-522; Wygant, 476 U.S. at 295-312; and Johnson, 480 U.S. at 619-40. 158. Croson, 488 U.S. at 533 (Marshall, J., dissenting). 159. Id. at 535 (Marshall, J., dissenting). Justice Marshall, citing his past decisions wrote that his "view has long been that race-conscious classifications designed to further remedial goals 'must serve important governmental objectives and must be substantially related to the achievement of these objectives' in order to withstand constitutional scrutiny." Id. (Marshall, J., dissenting). 160. Croson, 488 U.S. at 527-528 (Marshall, J., dissenting). 161. See id. at 534-549 (Marshall, J., dissenting). 162. Id. at 551-560 (Marshall, J., dissenting). 163. This proposition is derived from the opinions of Chief Justice Rehnquist in Bakke, Fullilove, Wygant, Johnson and Croson; Justices White's and O'Connor's opinions in Wygant, Johnson, and Croson; Justice Scalia's opinions in Johnson and Croson; and Justice Kennedy's opinion in Croson. In Justice O'Connor's Croson opinion, she serves to "reaffirm the view expressed by the plurality in Wygant that the standard of review under the Equal Protection Clause is not dependent on the race of those burdened or benefited by a particular classification." Croson, 488 U.S. at 493 (citing Wygant, 476 U.S. at 279-280). 164. Note the consistent position taken by Justices Marshall, Brennan, and Blackmun in all the affirmative action cases discussed in the text at pp.4-11, including Bakke, J.A. CROSON CO. 1990] analysis that will best evaluate the merits and effectiveness of an 65 affirmative action program.1 Most early commentary on the Croson decision suggests that affirmative action programs are indeed in jeopardy.166 In fact, the Croson Court has adopted a virtually per se rule of invalidity for affirmative action plans. 6 7 This is true even though Justice O'Connor takes some of the "bite" out of her version of strict scrutiny at the end of her opinion."6 8 The Croson Court is not entitled to ignore the difficult situation faced by minority businesses in this country.6 9 For the most part, mere economic hardship is not a constitutional concern, as economic classifications are not invidious under the equal protection clause. 70 Furthermore, studies have shown that minority-owned companies suffer private discrimination in many industries, and government must be free to correct such discrimination - which is invidious - through sensible economic mea- sures.17 ' The most effective way to do so is through the use of carefully tailored affirmative action programs that seek to eradicate identified wrongdoers. Croson's burdens of showing a com72 pelling interest in remedying past discrimination are too great. The constitutional and evidentiary standards set out by the Court will cost governmental entities too much time and taxpay73 ers too much money. Fullilove, Wygant, Johnson, and Croson. 165. Accord Justice Stevens' positions in the cases that appear in supra note 149 and his positions as developed at supra note 145 and accompanying text. 166. See Connecticut Law Tribune, May 8, 1989, at 12-15. In fact, three articles in the same issue of the Connecticut Law Tribune take relatively the same position. Id. 167. The other Croson opinions agree that the majority is using a rather strict form of scrutiny. See Croson, 488 U.S. at 511-515 (Stevens, J., concurring); id. at 499 (Kennedy, J., concurring); id. at 519 (Scalia, J., concurring); and id. at 528 (Marshall, J., dissenting). 168. Croson, 488 U.S. at 509-510. Recall Justice O'Connor's position in which she took a lot of the "bite" out of the strictness of the strict scrutiny standard used in the case by admitting that certain set-asides and affirmative action plans in general may survive the court's inquiry. Id. 169. See, e.g., Bates, Minority Business Set-Asides: Theory and Practice, in U.S. Commission on Civil Rights, I Selected Affirmative Action in Employment and Business Set-Asides 145-52 (1985) (discussing the difficulty of MBEs to receive financing when attempting to secure loans) [hereinafter Bates]. 170. See, Bates, supra note 169. 171. Id. 172. Connecticut Law Tribune, May 8, 1989, at 13, col. 1. 173. See infra notes 204-05 and accompanying text for a discussion of Croson's BRIDGEPORT LAW REVIEW [Vol. 11:237 Commentators have suggested various theories that a court can use when dealing with reverse discrimination issues." 4 One theory suggests non-perpetuation as a justification for MBE setasides,'175 while another would require a searching inquiry into remedial alternatives. 176 While these are sound theories, what the authors ignore is the elementary conflict before the Court. On one hand is the traditional discrimination analysis, which finds its roots in Justice Harlan's "color-blind" pronunciations, and is accepted by the Brown Court.17 7 On the other hand is the more recently adopted Bakke-type analysis of Justice Brennan and his three colleagues. 7 8 The Croson Court has seemingly adopted the former view by favoring rigid scrutiny. 7 9 This is an unfortunate choice because the Court is ignoring the difficult economic situation faced by MBEs and affirmative action, the Brown Court did not envision. 1 0 The most sensible approach to determine whether affirmative action programs violate equal protection is that advocated costly ramifications in Atlanta, Ga. 174. See, e.g., Choper, supra note 7, at 255 (commenting on significance of using racial classifications to remedy prior racial discrimination); Days, supra note 22, at 477 (a principled approach to minority set-asides); and Note, supra note 22, at 1808 (proposing that courts should seek justification for affirmative action plans in non-perpetuation of discrimination). 175. See Note, supra note 22, at 1808, 1811 (suggesting that non-perpetuation of discrimination can serve as compelling governmental interest and so predicting outcome of Croson case). 176. See Days, supra note 22, at 477 (arguing that state and local governments should be required to compile data on plan in their locale). 177. See, e.g., Korematsu v. United States, 323 U.S. at 235-40 (Japanese internees) and Brown v. Bd. of Educ., 347 U.S. at 483 (1952) (school desegregation). See supra note 8, and accompanying text for a discussion of Justice Harlan's "color-blind" pronunciations. See also Brown, 347 U.S. at 355. 178. See Bakke, 438 U.S. at 358-79 (applying intermediate scrutiny level of review). 179. Croson, 488 U.S. at 529 (Marshall, J., dissenting). Justice Marshall made the following statement in his Croson dissent: Today's decision marks a deliberate and giant step backward in this Court's affirmative action jurisprudence. Cynical of municipality's attempt to redress the effects of past discrimination .... the majority launches a grapeshot attack on race- conscious remedies in general. The majority's unnecessary pronouncements will inevitably discourage or prevent governmental entities, particularly states and localities, from acting to rectify the scourge of past discrimination. This is the harsh reality of the majority's decision, but it is not the Constitution's command. Id. (Marshall, J., dissenting). 180. Id. at 528-560 (Marshall, J., dissenting). 1990] J.A. CROSON CO. by Justice Stevens. *8 ' Instead of emphasizing a required quantity of evidence to justify remedial action, as does Justice O'Connor,' 82 Justice Stevens is more concerned with the quality of evidence and analysis conducted by a plan's proponent.'8 Justice Stevens' position also reflects his rejection of a threetiered system of review. To him, all equal protection review should be a form of "rational basis" review. Under the Court's view, one can envision municipalities racing to conduct surveys and plan market studies to prove the existence of industry discrimination in an effort to support their set-aside programs.' Justice Stevens' approach is more constructive, as it burdens those who have discriminated in the past and benefits those minorities truly in need of assistance. 8 5 V. IMPACT The Croson decision may serve to strike down many existing MBE set-aside programs. 8 6 For example, Croson's impact may be fatal to the MBE set-aside scheme in force in the State of Connecticut.'8 7 Connecticut's statute is typical of the thirtysix states and 190 municipalities that have a set-aside plan.' 8 The Connecticut plan reserves a set-aside for various minority 181. See id. at 510-517 (Stevens, J., concurring). See also, Paradise,480 U.S. at 189 (Stevens, J., concurring in the judgment); Johnson, 480 U.S. at 439-40 (Stevens, J., concurring); Wygant, 476 U.S. at 313 (Stevens, J., dissenting); and Fullilove, 448 U.S. at 533 (Stevens, J., dissenting). 182. Croson, 488 U.S. at 497-508 (O'Connor, J., opinion of the Court). 183. See, id. at 513-514 (Stevens, J., concurring). See also supra note 147 and accompanying text for a discussion of Justice Stevens' evidentiary requirements. 184. See supra notes 143-47 and accompanying text for a discussion of Croson's evidentiary requirements that would create great burdens on municipalities. 185. See Days, supra note 22, at 469 (discussing Fultilove decision). The author states that "[a]lthough one can disagree, as I do, with Justice Stevens' conclusion that procedural flaws in the enactment of a minority set-aside provision rendered it unconstitutional, the force of his critique is hard to ignore." Id. 186. See supra note 24 and accompanying text for a discussion of the impending doom for MBE set-asides. 187. Id. 188. CONN. GEN. STAT. § 32-9e(a)(3) (1989), provides the following: Minority business enterprise' means any small contractor fifty-one per cent or more of the capital stock, if any, or assets of which is owned by a person or persons (1) who are active in the daily affairs of the enterprise; (2) who have the power to direct the management and policies of the enterprise; and (3) who are members of a minority, as such term is defined in subsection (a) of section 22-9n. Id. BRIDGEPORT LAW REVIEW [Vol. 11:237 groups, and also for women."' Connecticut's set-aside plan is designed to assist small contractors, as well as MBEs. 190 The statute reserves twenty-five percent of the average of the total public works contracts to be awarded to Small Business for award to MBEs.' The award of contracts is by law left exclusively to the discretion of the agency granting the award. 92 The amount a single MBE is allowed to receive in one year is limited, 93 and the statutes allow 189. CONN. GEN. STAT. § 32-9n(a) (1989), defining minority to mean: . . . (1) Black Americans, including all persons having origins in any of the Black African racial groups not of Hispanic origin; (2) Hispanic Americans, including all persons of Mexican, Puerto Rican, Cuban, Central or South American, or other Spanish culture or origin, and all persons having origins in the Iberian Peninsula, including Portugal, regardless of race; (3) woman;. (4) Asian Pacific Americans and Pacific islanders; or (5) American Indians and persons having origins in any of the original peoples of North America and maintaining identifiable tribal affiliations through membership and participation or community identification. Id. 190. CONN. GEN. STAT. § 32-9e(a)(1) (1989), provides, 'Small contractor' means any contractor, subcontractor, manufacturer or a service company (A) which has been doing business and has maintained its principal place of business in the state for a period of at least one year prior to the date of application for certification under this section, (B) which had gross revenues not exceeding three million dollars in the most recently completed fiscal year prior to such application and (C) at least fifty-one percent of the ownership of which is held by a person or persons who are active in the daily affairs of the business and have the power to elect the management and policies of the business. Id. 191. CONN. GEN. STAT. § 32-9e(b) (1989), provides, [T]he head of each state agency... shall set aside in each fiscal year, for award to small contractors ... contracts or portions of contracts for the construction, reconstruction or rehabilitation of public buildings, the construction and maintenance of highways and the purchase of goods and services. The total value of such contracts or portions thereof to be set aside by each such agency shall be at least twenty-five per cent of the average of the total value of all contracts let by the head of such state agency for each of the previous three fiscal years.... Contracts or portions thereof having a value of not less than 25% of the total value of all contracts or portions thereof to be set aside shall be reserved for award to minority business enterprises. Id. 192. Id. 193. CONN. GEN. STAT. § 32-9e(e) (1989), provides, [i]n no case shall the commissioner of economic development recommend, nor shall any small contractor be awarded, any such contract or contracts, the total amount of which exceeds $1,500,000 in any one fiscal year. 1990] J.A. CROSON CO. municipalities to enact set-aside ordinances patterned on the state plan.' Connecticut's statutes leave the adoption of regulations regarding the mechanics of the bidding process within the discretion of the Commissioner of Administrative Services.1 95 Finally, there exists a Minority Business Enterprise Review Committee, whose duty is to insure compliance with the set-aside statutes. 196 The constitutionality of Connecticut's MBE set-aside statute is not secure given the Croson Court's pronouncements regarding evidentiary and scrutiny requirements. 19 7 Evidence of prior discrimination in the construction industry, essential to establishing the necessary basis prong of strict scrutiny, can best be found in a statute's legislative history.'9 8 Yet the legislative history of the relevant Connecticut statutes reveals no discussion at the Committee, House of Representatives, or Senate levels of instances of discrimination in the construction industry in Connecticut.'9 9 Therefore, the Connecticut set-aside statutes will probably not pass the Croson Court's demanding analysis. 00 194. See CONN. GEN. STAT. § 7-148u(b) (1989). 195. CONN. GEN. STAT. § 4a-61 (1989), states: [t]he commissioner of administrative services, with the advise of the commissioner of economic development, shall adopt regulations, in accordance with chapter 54, establishing procedures for the award of contracts concerning minority business enterprises by the state or any political subdivision of the state other than a municipality. Id. 196. CONN. GEN. STAT. § 4a-62(a) (1989), requires the following: There is established a minority business enterprise review committee.... The committee shall conduct an ongoing study of contract awards, loans and bonds made or guaranteed by the state or any political subdivision of the state other than a municipality for the purpose of determining the extent of compliance with the provisions of the normal statutes concerning contract awards, loans and bonds for minority business enterprises, including the set-aside program for such business enterprises. Id. 197. See supra notes 128-33 and accompanying text for a discussion of the Croson Court's requirements. 198. See Croson, 488 U.S. at 495-504 (example of how the Court looked to legislative history to find information regarding prior discrimination). 199. See Act Concerning a Set-Aside Programfor Small Contractors:Hearings on Bill No. 581 Joint Standing Committee on State and Urban Development, 128-26 (1976), H-178 Connecticut General Assembly House Proceedings,Vol. 19, Part 7, 294750 (daily ed. April 20, 1976), and S-115 Connecticut General Assembly, Senate Proceedings, Vol. 19, Port 3, 1230-36 (daily ed. April 20, 1976). 200. See supra note 138 and accompanying text for a discussion of the Croson Court's evidentiary requirements. BRIDGEPORT LAW REVIEW [Vol. 11:237 Since Connecticut's statutes cannot satisfy Croson's evidentiary requirements, the State will not be able to argue that its plan is sufficiently narrow in tailoring.01 As a result, the Connecticut statutes will have failed both prongs of the Croson analysis. 20 2 Furthermore, the Connecticut plan will not pass even Justice Stevens' constitutional test. The absence of legislative analysis will preclude the state from advancing the position that 20 3 its statutes protect identifiable victims. Connecticut will be left with two options. First, the state will have at its disposal various race-neutral devices insuring the accessibility of public works contracting to MBEs. °4 Second, the state can search for past instances of discrimination. In fact, this choice was recently made by the city of Atlanta, Georgia.20 5 In an effort to satisfy the Croson Court's requirements, Atlanta recently authorized a study, at a cost of $517,000, to determine if discrimination occurred and whether it still exists in that city's construction industry.20 6 One can only speculate about the feasibility and costliness of such studies in Connecticut and elsewhere.20 7 VI. CONCLUSION The United States Supreme Court in Croson has clearly established the constitutional requirements for benign discrimination analysis by adopting strict scrutiny as the standard of review. 20 8 In the future, affirmative action programs will have to meet an important remedial goal and be supported by a necessary basis. 209 By adopting such a rigid requirement, the Court has jeopardized the future of existing MBE set-aside plans such 201. 202. 203. Croson, 488 U.S. at 491-492 (defining strict scrutiny). Id. See supra note 143 and accompanying text for a discussion of Justice Stevens' test. 204. Croson, 488 U.S. at 509. In light of the Court's "backing down," the only portion of CONN. GEN. STAT. § 32-9e that should be declared unconstitutional relates to a set-aside for MBEs. The portion of that section concerning "small businesses" should be left alone. 205. See N.Y. Times, June 20, 1989, at All, col. 1. 206. Id. 207. See supra note 173 and accompanying text for a discussion of the costliness of the Croson decision. 208. Croson, 488 U.S. at 491-492. 209. Id. at 720-27. 1990] J.A. CROSON CO. as Connecticut's. 210 Justice Stevens proposes the most appropriate standard for affirmative action analysis.2 1 ' Justice Stevens' proposition is such that benign programs will survive his form of scrutiny while truly discriminatory programs will fail. But for now, equal protection issues will be scrutinized in a "color-blind" fashion, and American society will continue to be divided by color as long as that is so. Fred N. Knopf 210. See supra notes 199-203 and accompanying text for a discussion of the Connecticut set-aside statutes. 211. Croson, 488 U.S. at 511-515 (Stevens, J. concurring).