Why DEI Is Not a Threat - Especially in Federal Contracting

In the federal marketplace, Diversity, Equity, and Inclusion (DEI) isn’t a trend or a threat - it’s a built-in part of how all Federal Agencies are required to do business. Although the term DEI is not specifically used in Federal Government Procurement, there are specific Regulaions that require Federal Agencies to include Small Businesses in the Federal Acquisitions process. It's called "Set-Asides" for all small business groups.

Set-Asides are clearly defined in the Federal Acquisition Regulation (FAR), Subpart 19.5. This Regulation continues to date and can not be changed without an act of Congress.

Set-Asides play a direct role in how the government sets goals for small business participation, including Minority-owned, Women-owned, Service Disabled Veteran-owned, 8A firms, Small Disadvantaged firms and HUBZone-certified businesses.

These programs aren't about lowering standards - they're about removing barriers so the best-qualified vendors have access to compete. 

What This Means for You:

• Agencies need diverse suppliers to meet their small business set-aside goals.

• Set-Asides support fair competition, helping more businesses access contract opportunities.

• Set-Asides provide the Federal Governent with access to multiple, qualified Small Businesses that meet procurement requirements.                                                       
• Set-Asides also allow Federal Buyers to obtain the best pricing from mulitiple qualified Small Businesses as opposed to, depending on large corporate Federal Contractors.

• Small Businesses that align with these values often build stronger relationships with Federal Buyers who are committed to inclusive procurement practices.

✅ The Bottom Line:

Set-Asides do not take opportunities away - it’s about opening the door to more qualified vendors (Small Businesses). Across Federal Procurement, Set-Asides help agencies meet mission goals while ensuring all capable businesses have a chance to succeed.

Federal & State Buyers understand that Set-Asides are not just about leveling the playing field - it’s about smart strategy for conducting great business with integrity.