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<law><site_title>Virginia Decoded</site_title><site_url>https://vacode.org</site_url><law_id>59798</law_id><section_number>2.2-4310</section_number><catch_line>Discrimination prohibited; participation of small, women-owned, minority-owned, military family-owned, and service disabled veteran-owned businesses and employment services organizations</catch_line><edition url="https://vacode.org/2025/" slug="2025" current="TRUE" last_updated="">2025</edition><referred_to_by><reference>2.2-1604</reference><reference>2.2-1605</reference><reference>2.2-1609</reference><reference>2.2-1610</reference><reference>2.2-4310.1</reference><reference>2.2-4310.2</reference><reference>2.2-4310.3</reference><reference>2.2-4343</reference><reference>23.1-1002</reference><reference>33.2-1819</reference><reference>44-146.17</reference><reference>56-575.16</reference><reference>9.1-108</reference><reference>9.1-112</reference></referred_to_by><structure><unit label="title" level="1" order_by="1" identifier="2.2">Administration of Government</unit><unit label="subtitle" level="2" order_by="1" identifier="II">Administration of State Government</unit><unit label="part" level="3" order_by="1" identifier="B">Transaction of Public Business</unit><unit label="chapter" level="4" order_by="1" identifier="43">Virginia Public Procurement Act</unit><unit label="article" level="5" order_by="1" identifier="2">Contract Formation and Administration</unit></structure><text>
						<section id="A"><p><span class="prefix-number">A.</span> In the solicitation or awarding of <span class="dictionary">contracts</span>, no <span class="dictionary">public body</span> shall discriminate against a bidder or <span class="dictionary">offeror</span> because of race, religion, color, sex, sexual orientation, gender identity, national origin, age, disability, status as a <span class="dictionary">service disabled veteran</span>, status as a <span class="dictionary">military family</span>, or any other basis prohibited by state <span class="dictionary">law</span> relating to discrimination in employment. Whenever solicitations are made, each <span class="dictionary">public body</span> shall include businesses selected from a list made available by the Department of <span class="dictionary">Small Business</span> and Supplier Diversity, which list shall include all companies and organizations certified by the Department. <a id="paragraph-218998" class="section-permalink" href="https://vacode.org/2.2-4310/#A"><i class="fa fa-link"/></a></p></section>
						<section id="B"><p><span class="prefix-number">B.</span> All public bodies shall establish programs consistent with this chapter to facilitate the participation of small businesses, businesses owned by women, minorities, and <span class="dictionary">service disabled veterans</span>, <span class="dictionary">military family</span>-owned businesses, and <span class="dictionary">employment services organizations</span> in procurement transactions. The programs established shall be in writing and shall comply with the provisions of any enhancement or remedial measures authorized by the Governor pursuant to subsection C or, where applicable, by the chief executive of a local governing body pursuant to &#xA7; <a class="law" title="Participation of small, women-owned, and minority-owned businesses" href="/15.2-965.1/">15.2-965.1</a>, and shall include specific plans to achieve any goals established therein. State agencies shall submit annual progress reports on (i) small, women-owned, and <span class="dictionary">minority-owned business</span> procurement; (ii) <span class="dictionary">service disabled veteran</span>-owned business procurement; (iii) <span class="dictionary"><span class="dictionary">military family</span>-owned business</span> procurement; and (iv) <span class="dictionary">employment services organization</span> procurement to the Department of <span class="dictionary">Small Business</span> and Supplier Diversity in a form specified by the Department of <span class="dictionary">Small Business</span> and Supplier Diversity. All state agencies shall cooperate with the Department of <span class="dictionary">Small Business</span> and Supplier Diversity&#x2019;s annual review of their programs pursuant to &#xA7; <a class="law" title="Powers and duties of Department" href="/2.2-1605/">2.2-1605</a> and shall update such programs to incorporate any feedback and suggestions for improvement. <span class="dictionary">Contracts</span> and subcontracts awarded to <span class="dictionary">employment services organizations</span> and <span class="dictionary">service disabled veteran</span>-owned or <span class="dictionary">military family</span>-owned businesses shall be credited toward the <span class="dictionary">small business</span>, <span class="dictionary">women-owned business</span>, and <span class="dictionary">minority-owned business</span> contracting and subcontracting goals of state agencies and contractors. The Department of <span class="dictionary">Small Business</span> and Supplier Diversity shall make information on <span class="dictionary">service disabled veteran</span>-owned or <span class="dictionary">military family</span>-owned procurement available to the Department of Veterans Services upon request. <a id="paragraph-218999" class="section-permalink" href="https://vacode.org/2.2-4310/#B"><i class="fa fa-link"/></a></p></section>
						<section id="C"><p><span class="prefix-number">C.</span> Whenever there exists (i) a rational basis for <span class="dictionary">small business</span> or <span class="dictionary">employment services organization</span> enhancement or (ii) a persuasive analysis that documents a statistically significant disparity between the availability and utilization of women-owned and minority-owned businesses, the Governor is authorized and encouraged to require state agencies to implement appropriate enhancement or remedial measures consistent with prevailing <span class="dictionary">law</span>. Any enhancement or remedial measure authorized by the Governor pursuant to this subsection for state public bodies may allow for small businesses certified by the Department of <span class="dictionary">Small Business</span> and Supplier Diversity or a subcategory of small businesses established as a part of the enhancement program to have a price preference over noncertified businesses competing for the same <span class="dictionary">contract</span> award on designated procurements, provided that the bid of the certified <span class="dictionary">small business</span> or the business in such subcategory of small businesses established as a part of an enhancement program does not exceed the low bid by more than five percent. <a id="paragraph-219000" class="section-permalink" href="https://vacode.org/2.2-4310/#C"><i class="fa fa-link"/></a></p></section>
						<section id="D"><p><span class="prefix-number">D.</span> In awarding a <span class="dictionary">contract</span> for services to a small, women-owned, or <span class="dictionary">minority-owned business</span> that is certified in accordance with &#xA7; <a class="law" title="Powers of Director" href="/2.2-1606/">2.2-1606</a>, or to a business identified by a <span class="dictionary">public body</span> as a <span class="dictionary">service disabled veteran</span>-owned or <span class="dictionary"><span class="dictionary">military family</span>-owned business</span> where the award is being made pursuant to an enhancement or remedial program as provided in subsection C, the <span class="dictionary">public body</span> shall include in every such <span class="dictionary">contract</span> of more than $10,000 the following:
			&#x201C;If the contractor intends to subcontract work as part of its performance under this <span class="dictionary">contract</span>, the contractor shall include in the proposal a plan to subcontract to small, women-owned, minority-owned, and <span class="dictionary">service disabled veteran</span>-owned and <span class="dictionary">military family</span>-owned businesses.&#x201D; <a id="paragraph-219001" class="section-permalink" href="https://vacode.org/2.2-4310/#D"><i class="fa fa-link"/></a></p></section>
						<section id="E"><p><span class="prefix-number">E.</span> In the solicitation or awarding of <span class="dictionary">contracts</span>, no <span class="dictionary">state agency</span>, department, or institution shall discriminate against a bidder or <span class="dictionary">offeror</span> because the bidder or <span class="dictionary">offeror</span> employs ex-offenders unless the <span class="dictionary">state agency</span>, department, or institution has made a written determination that employing ex-offenders on the specific <span class="dictionary">contract</span> is not in its best interest. <a id="paragraph-219002" class="section-permalink" href="https://vacode.org/2.2-4310/#E"><i class="fa fa-link"/></a></p></section>
						<section id="F"><p><span class="prefix-number">F.</span> As used in this section:
			&#x201C;<span class="dictionary">Employment services organization</span>&#x201D; means an organization that provides community-based employment services to individuals with disabilities that is an approved Commission on Accreditation of Rehabilitation Facilities (CARF) accredited vendor of the Department for Aging and Rehabilitative Services.
			&#x201C;<span class="dictionary">Military family</span>&#x201D; means (i) a member of the uniformed forces, as defined in 10 U.S.C. &#xA7;&#xA0;101(a)(5), of the United States or a reserve component thereof named under 10 U.S.C. &#xA7;&#xA0;10101, (ii) a veteran as defined in 38 U.S.C. &#xA7;&#xA0;101(2), or (iii) a dependent as defined in 50 U.S.C. &#xA7;&#xA0;3911(4) except that the support provided by the service member to the individual shall have been provided 180 days immediately preceding an alleged action that if proven true would constitute unlawful discrimination under this section instead of 180 days immediately preceding an application for relief under 50 U.S.C. Chapter 50.
			&#x201C;<span class="dictionary"><span class="dictionary">Military family</span>-owned business</span>&#x201D; means a business that is at least 51 percent owned by one or more persons within the definition of &#x201C;<span class="dictionary">military family</span>&#x201D; or, in the case of a corporation, partnership, or limited liability company or other entity, in which at least 51 percent of the <span class="dictionary">equity</span> ownership interest in the corporation, partnership, or limited liability company or other entity is owned by one or more individuals who are persons within the definition of &#x201C;<span class="dictionary">military family</span>&#x201D; and both the management and daily business operations are controlled by one or more individuals who are persons within the definition of &#x201C;<span class="dictionary">military family</span>&#x201D;.
			&#x201C;<span class="dictionary">Minority individual</span>&#x201D; means an individual who is a citizen of the United States or a legal resident alien and who satisfies one or more of the following definitions: <a id="paragraph-219003" class="section-permalink" href="https://vacode.org/2.2-4310/#F"><i class="fa fa-link"/></a></p></section>
						<section id="F1" class="indent-1"><p><span class="prefix-number">1.</span> &#x201C;<span class="dictionary">African American</span>&#x201D; means a person having origins in any of the original peoples of Africa and who is regarded as such by the community of which this person claims to be a part. <a id="paragraph-219004" class="section-permalink" href="https://vacode.org/2.2-4310/#F1"><i class="fa fa-link"/></a></p></section>
						<section id="F2" class="indent-1"><p><span class="prefix-number">2.</span> &#x201C;<span class="dictionary">Asian American</span>&#x201D; means a person having origins in any of the original peoples of the Far East, Southeast Asia, the Indian subcontinent, or the Pacific Islands, including but not limited to Japan, China, Vietnam, Samoa, Laos, Cambodia, Taiwan, Northern Mariana Islands, the Philippines, a U.S. territory of the Pacific, India, Pakistan, Bangladesh, or Sri Lanka and who is regarded as such by the community of which this person claims to be a part. <a id="paragraph-219005" class="section-permalink" href="https://vacode.org/2.2-4310/#F2"><i class="fa fa-link"/></a></p></section>
						<section id="F3" class="indent-1"><p><span class="prefix-number">3.</span> &#x201C;<span class="dictionary">Hispanic American</span>&#x201D; means a person having origins in any of the Spanish-speaking peoples of Mexico, South or Central America, or the Caribbean Islands or other Spanish or Portuguese cultures and who is regarded as such by the community of which this person claims to be a part. <a id="paragraph-219006" class="section-permalink" href="https://vacode.org/2.2-4310/#F3"><i class="fa fa-link"/></a></p></section>
						<section id="F4" class="indent-1"><p><span class="prefix-number">4.</span> &#x201C;<span class="dictionary">Native American</span>&#x201D; means a person having origins in any of the original peoples of North America and who is regarded as such by the community of which this person claims to be a part or who is recognized by a tribal organization.
				&#x201C;<span class="dictionary">Minority-owned business</span>&#x201D; means a business that is at least 51 percent owned by one or more <span class="dictionary">minority individuals</span> who are U.S. citizens or legal resident aliens, or in the case of a corporation, partnership, or limited liability company or other entity, at least 51 percent of the <span class="dictionary">equity</span> ownership interest in the corporation, partnership, or limited liability company or other entity is owned by one or more <span class="dictionary">minority individuals</span> who are U.S. citizens or legal resident aliens, and both the management and daily business operations are controlled by one or more <span class="dictionary">minority individuals</span>, or any historically black college or university as defined in &#xA7; <a class="law" title="Definitions" href="/2.2-1604/">2.2-1604</a>, regardless of the percentage ownership by <span class="dictionary">minority individuals</span> or, in the case of a corporation, partnership, or limited liability company or other entity, the <span class="dictionary">equity</span> ownership interest in the corporation, partnership, or limited liability company or other entity.
				&#x201C;<span class="dictionary">Service disabled veteran</span>&#x201D; means a veteran who (i) served on active duty in the United States military ground, naval, or air service, (ii) was discharged or released under conditions other than dishonorable, and (iii) has a service-connected disability rating fixed by the United States Department of Veterans Affairs.
				&#x201C;<span class="dictionary"><span class="dictionary">Service disabled veteran</span> business</span>&#x201D; means a business that is at least 51 percent owned by one or more <span class="dictionary">service disabled veterans</span> or, in the case of a corporation, partnership, or limited liability company or other entity, at least 51 percent of the <span class="dictionary">equity</span> ownership interest in the corporation, partnership, or limited liability company or other entity is owned by one or more individuals who are <span class="dictionary">service disabled veterans</span> and both the management and daily business operations are controlled by one or more individuals who are <span class="dictionary">service disabled veterans</span>.
				&#x201C;<span class="dictionary">Small business</span>&#x201D; means a business, independently owned and controlled by one or more individuals, or in the case of a cooperative association organized pursuant to Chapter 3 (&#xA7; <a class="law" title="Organization of cooperative associations; purposes; name; par value stock required" href="/13.1-301/">13.1-301</a> et seq.) of Title 13.1 as a nonstock corporation, controlled by one or more members, who are U.S. citizens or legal resident aliens, and together with <span class="dictionary">affiliates</span>, has 250 or fewer employees, or annual gross receipts of $10 million or less averaged over the previous three years. One or more of the individual owners or members shall control both the management and daily business operations of the <span class="dictionary">small business</span>.
				&#x201C;<span class="dictionary">State agency</span>&#x201D; means any authority, board, department, instrumentality, institution, agency, or other unit of state government. &#x201C;<span class="dictionary">State agency</span>&#x201D; shall not include any county, city, or town.
				&#x201C;<span class="dictionary">Women-owned business</span>&#x201D; means a business that is at least 51 percent owned by one or more women who are U.S. citizens or legal resident aliens, or in the case of a corporation, partnership, or limited liability company or other entity, at least 51 percent of the <span class="dictionary">equity</span> ownership interest is owned by one or more women who are U.S. citizens or legal resident aliens, and both the management and daily business operations are controlled by one or more women. <a id="paragraph-219007" class="section-permalink" href="https://vacode.org/2.2-4310/#F4"><i class="fa fa-link"/></a></p></section></text><history>1982, c. 647, &#xA7;&#xA7; 11-44, 11-48; 1984, c. 279; 2000, c. 628; 2001, c. 844; 2003, c. 226; 2004, cc. 865, 891; 2006, cc. 831, 921; 2007, c. 787; 2008, cc. 521, 767; 2009, c. 869; 2013, c. 482; 2015, cc. 733, 765, 775; 2016, c. 525; 2017, cc. 397, 407, 578; 2018, c. 540; 2020, c. 1137; 2022, cc. 150, 301; 2025, c. 422.</history><metadata></metadata></law>
