City Council approves creation of Small Business Development Program

he Fort Worth City Council today took action that establishes a robust small business development program to increase business opportunities in Fort Worth. The vote also protects the work of hundreds of millions of dollars in current and future federal grants that support vital infrastructure projects and social support programs that nearly 40,000 Fort Worth residents rely on annually, as well as the jobs of 120 City employees who support these projects and programs.

New program strengthens small business in Fort Worth

The Fort Worth Small Business Development Program is a comprehensive initiative designed to expand access and opportunity for local small businesses and bolster partnerships with the Fort Worth Metropolitan Black Chamber of Commerce (FWMBCC), Fort Worth Hispanic Chamber of Commerce (FWHCC) and Fort Worth Chamber (FWC).

In recent months, City staff has met with the chambers of commerce, small business stakeholders and certification agencies to receive community input that has informed the plans and actions for the Fort Worth Small Business Development Program. Staff will continue stakeholder input opportunities as program development continues in the coming months.

The program will enhance small business participation in City contracts, promote procurement readiness, and provide technical assistance through partnerships and targeted support services. This effort reflects the City’s commitment to strengthening Fort Worth’s business ecosystem and aligns with federal grant guidelines and community feedback.

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City staff are working with regional certification agencies to encourage eligible Minority- and Women-Owned Business Enterprise (MWBE)-certified businesses to become certified as small businesses, using SBA definitions in order to quickly get businesses certified. Ordinance and resolution changes will allow the City to adopt a Best Value approach to support increased utilization by small businesses in City contracts, effective Sept. 1:

  • Small Business Preference: 5% bid preference on contracts up to $100,000
  • Small Business Goal: 30% utilization target (to start) for contracts over $100,000
  • Economic Incentive Goal: Inclusion of small businesses in economic development projects

Additional support services will continue, including “Doing Business with the City” workshops, prime-subcontractor matchmaking and certification assistance. The City will also leverage key existing resources that connect directly with the small business community, including the James E. Guinn Entrepreneurial Campus and the Devoyd Jennings Business Assistance Center.

This effort is strengthened by the FWMBCC, FWHCC and FWC partnership through a Memorandum of Understanding to collaborate, share resources and amplify opportunities for small businesses across Fort Worth. Together, the chambers will deliver targeted services like bonding and financial services education, procurement matchmaking, supply chain training and succession planning to broaden opportunity and support Fort Worth’s small business community. The City will be contracting with all three chambers to deliver the new program deliverables.

The City has additional plans to expand the program by issuing a Request for Proposals to create a Small Contractor Development Program and increase the pool of prequalified small businesses for City construction projects.

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Resolution aligns with requirements to preserve federal funding and continues the work of the City’s Civil Rights Office

The Small Business Development Program is being launched as the City shifts its approach on supporting business opportunities for all, helping ensure all small businesses can thrive without violating federal law.

Recent U.S. Supreme Court cases, executive orders and directives from federal agencies prohibit use of race, color, national origin, sex, religion, etc. as criteria for participation in government programs and services. Federal grant recipients, like the City, are required to certify they do not have such programs. Noncompliance would result in loss of federal funding, civil and criminal liability for City employees and the City being required to repay up to three times the grant amount.

If the City does not comply, the Fort Worth community risks losing significant federal grant funding for projects, programs and City employees, both now and in the future. Currently, the City has $277 million in active federal grant awards that play a vital role in the Fort Worth community. Those dollars go directly into programs and projects that enhance public safety, expand affordable housing, cover utilities for low-income households, improve streets, enforce civil rights and more. Many of the programs offer direct support to qualifying households, with nearly 40,000 individuals served annually by grant-funded programs through the Neighborhood Services Department. Also at risk are the jobs of 120 City employees supporting these programs whose positions are funded by federal grants.

The action at today’s City Council meeting allows the City to comply with federal grant requirements by suspending certain programs, including the Business Equity Ordinance and MWBE requirements in economic development incentive policies, while also moving forward on a more robust Small Business Development Program.

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These federal grant requirements do not currently affect federal civil rights enforcement. The City’s Civil Rights Office will continue to provide civil rights enforcement and support the Human Relations Commission (Fair Housing, Fair Employment, ADA/Reasonable Accommodation, Civil Rights Act).

Next steps

The City’s small business procurement ordinance will become effective with bids/contracts advertised on or after Sept. 1.

The City Council will vote on the contracts with the three Chambers of Commerce at the Aug. 26 City Council meeting. Pending approval, the contracts will become effective Sept. 1.

City staff will monitor program performance, explore additional opportunities to bolster the program and engage small business stakeholders in program evaluation through the first half of 2026. Based on that feedback and program performance, staff plans to bring any recommended changes to City Council in June 2026.

Learn more about the Fort Worth Small Business Development Program.

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