SBA Proposes Rule to End Race-Based Admissions in 8(a) Business Development Program

The U.S. Small Business Administration (SBA) has released a proposed rule aimed at eliminating racial discrimination in its 8(a) Business Development Program. The new rule would dismantle the previous race-based admissions framework, requiring all applicants to provide verifiable, fact-based evidence of social disadvantage instead of relying on racial minority group membership for eligibility. This move seeks to ensure equal treatment and prevent the program from being used for partisan or DEI preferences.