04, 2026
World

North Carolina Minority Business Leaders Demand New State Contracting Protections Following Closure of HUB Office

Following the state government’s decision to dismantle North Carolina’s Office for Historically Underutilized Businesses, dozens of Black and minority entrepreneurs, civic organize

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North Carolina Minority Business Leaders Demand New State Contracting Protections Following Closure of HUB Office

Following the state government’s decision to dismantle North Carolina’s Office for Historically Underutilized Businesses, dozens of Black and minority entrepreneurs, civic organizers, and advocates gathered in Greensboro to demand new, structured opportunities to participate in state contracting. The meeting highlighted growing anxiety within the minority business community over how commercial contracts will be awarded without specialized administrative support.

The town hall forum, hosted at the International Civil Rights Center and Museum, was coordinated by The Collective. This coalition brings together prominent regional advocacy and commerce groups, including the Greensboro Business League, the Greater Durham Black Chamber of Commerce, and the NC Black Alliance, to represent the interests of diverse business owners across the region.

Participants delivered a unified and direct message to state officials, emphasizing that minority-owned and small enterprises must not lose access to lucrative public sector contracts. Leaders warned that without clear pathways, the dissolution of specialized state oversight threatens to undermine decades of progress made by small business operators across North Carolina.

To resolve the immediate uncertainty, the coalition called upon state leadership to transfer all enterprises previously certified under the discontinued HUB initiative directly into North Carolina’s Small Business Enterprise program. The Small Business Enterprise program is designed to facilitate contracting opportunities for small commercial ventures throughout the state, offering a potential alternative pathway for impacted vendors.

In addition to transferring existing certifications, the coalition urged Governor Josh Stein’s administration to formally establish a new Advisory Council on Black Affairs. Advocates stressed that such a body is necessary to provide institutional representation, monitor state procurement trends, and ensure equitable access to government commerce.

The policy demands follow recent legislative actions that brought an end to the HUB division as part of North Carolina’s 2026 state budget. During the broader budgetary process, Republican lawmakers in the House overrode several vetoes from Governor Stein, successfully passing legislation that slashed state government expenditures designated for diversity, equity, and inclusion initiatives.

The legislative measures were included in a broader $34 billion state spending plan that incorporated cuts to diversity programs alongside various other state funding provisions. These sweeping policy shifts marked a major turning point in how North Carolina manages vendor diversity and public contracting.

The eliminated HUB office had a long history in state governance, having been established in 1999 through an executive order issued by then-Governor Jim Hunt. For more than twenty-five years, the agency served as a central mechanism to assist minority-owned and small business operations in competing for both municipal and state government contracts.

Under the traditional HUB framework, participating businesses received targeted training programs and gained direct notifications regarding newly available state bidding solicitations. Certified businesses were also listed in a publicly accessible, searchable directory, making it easier for large commercial contractors and government procurement managers to locate qualified partners.

Following the enactment of the new budget provisions, the state officially ceased recognizing HUB credentials for state procurement purposes. Officials from the North Carolina Department of Administration clarified that while minority-owned companies remain legally eligible to bid on state contracts, previous HUB certifications will not be renewed going forward.

The loss of certified status has caused significant concern among business operators who relied on the program to build credibility and establish strategic subcontracting relationships. Entrepreneurs pointed out that the HUB registry provided an essential foundation for engaging with larger prime contractors who look for verified partners.

Contractors shared firsthand accounts of the sudden disruption, including Gerald Carr, chief executive officer of Charlotte-based All-Pro Builders and Restorations. Carr explained that he had long worked closely with the HUB agency whenever his construction firm needed assistance navigating the bidding system or partnering with other builders.

Carr revealed that the administrative disruption carried swift financial consequences for his company, which lost a contract valued at more than $400,000 just three days after the HUB office was formally shut down. He described the commercial procurement environment as a complex landscape where sudden rule changes place unassisted small firms at a steep disadvantage.

The forum featured panel discussions that brought together business executives and state legislators, including Representative Amos Quick III and Senator Gladys Robinson, both Democrats representing Guilford County. They appeared on stage alongside Carr and Michelle Clark Jenkins to address the practical and political challenges confronting business owners in the post-HUB era.

At the time the HUB office was dismantled, more than 6,000 active enterprises were registered in its system. In an effort to ease the shift, the Department of Administration announced a new business accelerator program intended to assist affected business owners and accelerate the process of obtaining general small-business certifications.

Despite the introduction of the transition accelerator, business leaders and coalition organizers maintain that formal program transfers and persistent state-level advocacy remain crucial. The Collective plans to continue pressing administrative and legislative leaders to implement durable safeguards so that minority-owned businesses retain fair access to North Carolina’s commercial future.

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PENULIS rizky-amelia

Reporter Senior. Meliput dinamika politik nasional, kebijakan publik, dan isu parlemen selama 8 tahun. Alumni FISIP UI.

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