On the excellent Competitive Enterprise Institute blog Hans Bader, CEI counsel for special projects, reports that that equality is another victim of Katrina.
Yesterday, New Orleans Mayor Ray Nagin issued an executive order commanding businesses seeking federally-funded disaster relief administered by the City of New Orleans to award at least 50 percent of their business to local businesses and at least 35 percent to minority and women-owned businesses. Assistance will now be denied those businesses that contract based on merit, rather than discriminating based on race or geographic origin.
Bader reports further that this quota definitely violates court rulings from the Fifth Circuit, probably also violates the Louisiana Constitution, and probably also violates the Privileges and Immunities Clause.
Way to go, Ray!
