How President Joe Biden’s Policies Will ‘Reduce The Barriers’ Black America Faces

President Joe Biden’s first overseas trip is dominating headlines today, but the initiatives he announced last week to aid African American families and businesses are still resonating with Black America. For a closer look at the impact of the Biden Administration’s plans, TheVillageCelebration invited Ron Busby, president of the U.S. Black Chambers of Commerce, to share his thoughts. 

TVC:    What is the Black Chambers of Commerce assessment of the Biden Administration’s plan to narrow the racial wealth gap?

Busby: USBC supports the Biden Administration’s commitment to narrowing America’s racial wealth gap, and recognizes that efforts to reduce the barriers Black-owned businesses face can only serve to better the American economy overall.
Over the last decade, we have led the way in advocating that the federal government provide more contracting and procurement opportunities to Black firms. As such, USBC commends the Biden Administration’s prioritization of increasing the Small Disadvantaged Business contracting goal from 5 percent to 15 percent, which will increase the share of federal contracts for small, minority businesses.

 During the commemoration of the centennial anniversary of the Tulsa race massacre on June 1st, President Biden also committed $31 billion to scale up efforts to support minority-owned small businesses and $10 billion for the Community Revitalization Fund which aims to support community-led civic infrastructure projects in urban, suburban, and rural areas that would spark local economic activity and build community wealth. USBC strongly believes that Black entrepreneurship works, and that when policymakers engage in productive dialogue centered around the need for Black business economic certainty, America at large benefits.

TVC:    How will increasing the federal government’s contracts with small-disadvantaged businesses benefit Black America?

Busby: Black businesses can compete in every market, continue to drive American economic innovation, and supply necessary goods and services across the country when sufficiently capitalized. Governments on all levels must commit to supporting Black-owned businesses, as they are often community’s largest spenders.

By decreasing barriers to entry and working with Black Chambers of Commerce across the United States, the federal government can assist the necessary revival of Black America’s businesses. Doing so will benefit Black America writ-large as increasing partnerships between the federal government and small disadvantaged Businesses leads to market competition and a boost in economic certainty for Black-owned businesses—a core value in the effort to bolster the American economy.

TVC:  The White House is unveiling a program called the Unlocking Possibilities to address a lack of affordable housing. How does home ownership factor into building wealth for Black Americans

Busby: Home ownership is an important step toward ensuring the building and retaining of wealth for Black Americans. Under the Biden-Harris Administration’s recently announced Unlocking Possibilities Program, $5 billion will be earmarked for grants that award funding to American communities that make an effort to reduce barriers to affordable housing. The initiative also expands home options for those with lower or moderate incomes.

At USBC, we are committed to placing the health and wealth of Black America at the forefront of policy decisions, and we know that homeownership is an important factor in deciding where the bulk of America’s wealth lies.

 DATA: According to the 2019 Survey of Consumer Finances, the median white family had eight times the wealth of the median Black family. We believe that reparations to Black America can be best delivered through entrepreneurship and opportunity, and programs that increase the number of Black homeowners is a step in the right direction.

TVC:   One component of the effort is to provide capital for African American businesses which is often a challenge for entrepreneurs. What message is the Biden Administration sending about the importance of inclusion?

 Busby: At USBC, we firmly believe that businesses need capital to grow. Access to capital is the first and an important pillar in promoting the success of America’s Black-owned businesses, and Black-owned businesses must be allowed to access capital without the historic barriers that have continually denied investment in Black America. Last week, President Biden outlined steps toward ensuring equitable business opportunities. USBC is leading the way to ensure that Black business owners take advantage of the capital and investment opportunities in the coming months and year.

We are currently focused on working with the Administration and encouraging all federal officials to advance the following policy initiatives that will allow Black-owned businesses to thrive by increasing emphasis on studying and ensuring that Black-owned businesses are equitably granted federal contract/procurement opportunities and by ensuring any infrastructure policy that makes its way through Congress includes opportunities for Black businesses at all levels of development, including a focus on advancing decades-old infrastructure in Black communities, in particular.

For more information on Ron Busby and the U.S. Black Chambers of Commerce, visit www.usblackchambers.org.