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Texas faces legal challenge over dismantling minority/women business program, replacing it with veteran-focused initiative.
A federal lawsuit challenges Texas’ dismantling of its HUB program, which supported minority and women-owned businesses in state contracting.
Acting Comptroller Kelly Hancock used an emergency rule in December to remove about 15,000 such businesses, replacing the program with one prioritizing service-disabled veterans.
The lawsuit, filed by civil rights attorney Alphonso David, argues Hancock exceeded his authority by altering a decades-old law passed by the legislature.
Critics, including original co-author State Sen. Royce West, call the change politically driven and harmful to underrepresented entrepreneurs.
Business owners say they lost active contract opportunities.
Hancock defends the shift as fairer and constitutional, but the state has not yet responded to the legal action.
Texas enfrenta un desafío legal por desmantelar el programa de negocios de minorías/mujeres, reemplazándolo con una iniciativa centrada en veteranos.