The DEI State and Government Waste
State agencies are engaging in rampant DEI practices to the tune of billions per year, and Texas law is filled with DEI.
The Comptroller's Historically-Underutilized Business Program, or HUB, is the #1 DEI program in the state of Texas, and it's run by our elected officials. The HUB program covers the entire state government. It requires agencies to prefer ethnic minority and female-owned contractors for projects. Our agencies are required to attempt to give business to a minority, and if they don't must prove that they tried to.
Even for contractors hired by the state to do work, they are required to use DEI to hire minority-owned subcontracting businesses. Once again, if the contractors fail to do so, they must prove that they tried very hard to hire a minority to do the work. The State even has a program just for minority subcontractors, which requires contractors to mentor and provide resources to the DEI subcontractors.
The worst part? This program spends $5 billion per biennium. Over the last five years, the number tops $12 billion.
This isn't the only expensive, state-sponsored DEI program, however. TxDOT has it's own Disadvantaged Business Enterprise (DBE) program. Under this program, TxDOT is required to give out contracts to minorities. Just as with HUB, TxDOT's "DBE Supportive Services Program" provides exclusive resources and training to minority contractors.
This program tops $1 billion per year, with several million per year devoted to these exclusive minority training resources.
That's not all. The Texas Higher Education Coordinating Board (THECB) has its own DEI program that hands money directly to minorities.
The Minority Health Research and Education Grant Program (MHGP) ostensibly funds research on issues especially affecting the health of minorities. Whatever. The big issue is the latter half of the program: Education Grants. Apart from funding research especially for minorities, THECB gives grants exclusively to minorities through this program to attend college. Our state is giving 7-figure handouts directly to minorities every year just for their race.
Together, these three programs amount to roughly $4 billion per year, $8 billion per biennium, and $19 billion over the last five years - all just for DEI payments!
This is obviously shocking for a red state. But the question arose - if this is easily found online, there must be more to the DEI story. And it gets worse.
A survey of various state agency documents will reveal that they explicitly affirm their intent to use "diversity" practices in hiring. For example:
DSHS's strategic plan shows something interesting. Their workforce report breaks down their employees by race and includes a "utilization report" which analyzes the minorities that are underrepresented in the agency. Curious.
As it turns out, these requirements are actually found in state law. Our Legislature is requiring state agencies to engage in DEI hiring practices, contrary to President Trump and Governor Abbott's executive orders.
The State Auditor's Office (SAO) provides guidelines for state agencies' mandatory workforce reports. The use of diversity hiring practices in the workforce is an explicit recommendation in their guidebook.
The HUB program is so large that it has its own section of state law - Government Code Chapter 2161 (it defines "economically disadvantaged people" as those who are women or non-white). But the rest of these legal requirements on the agencies are found elsewhere.
Texas Labor Code Ch 21 contains multiple provisions regarding mandatory DEI practices.
- Section 21.452 requires agencies to "develop and implement personnel policies and procedures" that comply with DEI requirements, "including personnel selection procedures that incorporate a workforce diversity program."
- Section 21.504 requires state agencies to give the Texas Workforce Commission an annual report on the diversity within their agency.
We already have the requirement for state agencies to incorporate workforce diversity, and report annual progress on this mission to the Workforce Commission. But here's the worst part: Section 21.502 says that, if a state agency's report shows there aren't enough minority employees, they must implement a plan to recruit women and ethnic minorities. The Workforce Commission (TWC) is empowered to monitor the agencies and ensure they implement these DEI practices.
President Trump and Governor Abbott have both made it clear that DEI does not belong whatsoever in our state - especially in our state government. However, these state agencies are following the requirements of Texas law. The Legislature must repeal these statutes which entrench DEI in our government at incredible taxpayer expense.
We would encourage you to call your representatives and senators and demand that they take these actions. If they refuse, we support Governor Abbott in his efforts to rid the state of DEI and encourage him to call a special session to remove these statutes. If the Legislature refuses to ban taxpayer-funded DEI in our government - especially after Governor Abbott's order - he should force them to address the issue through a special session of the Legislature.
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