Federal DEI restrictions are creating confusion, upending safety and costing jobs in Orange County

A company previously awarded a contract to operate red-light cameras in Orange County is protesting that award’s reversal, and the matter is expected to be discussed at next week’s County Commission meeting.

At the center of the controversy are federal restrictions on local diversity, equity and inclusion (DEI) programs and their impacts on local policymaking that is leading to uncertainty, job loss and delayed safety programming.

Verra Mobility operates red-light cameras nationwide providing end-to-end and enforcement systems that have been successful in reducing violations, including in nearby Hillsborough County. The company was the top-scoring vendor in a competitive bid process in Orange County and was ultimately awarded the county’s contract.

However, the company’s proposal included a scoring category for certified minority and women-owned subcontractors from Central Florida, a category that has been integral in the past and utilized broadly across localities regardless of political leanings.

But questions arose about compliance with an executive order restricting DEI programs requiring federal grant recipients to assert they have no such programs or face fines, and even potential criminal charges. Orange County receives $100 million in recurring federal grants, so a lot is on the line.

The executive order — and a subpoena^[1] from the state over its own anti-DEI Department of Government Efficiency — prompted Orange County Commissioners to begrudgingly suspend a vendor program^[2] for women and minority vendors in order to be in compliance.

Such is the board’s prerogative, and even obligation to constituents. However, the cancellation moved the goalposts on Verra Mobility’s proposal for the county’s red-light camera program and established no recourse to update the bid.

After removing the women- and minority-owned business scoring, Verra Mobility was no longer the top scorer — the company went from nearly 348^[3] points to less than 298^[4], moving it from the No. 1 spot to No. 2, behind NovoaGlobal.

Verra Mobility’s initial proposal was based on a scoring system that has now been trashed, and while the county is being diligent in protecting its access to federal resources, it has failed to offer a fair process, something officials even acknowledged at a public protest meeting regarding the bid.

Had the county rebid, Verra Mobility — and all other bidders — would have been able to create proposals based on current requirements, and Verra Mobility may have been able to adapt enough to maintain its top-scoring position.

The issue may seem catty to some — as long as a program is implemented by a reputable vendor, what’s the big deal?

Except that the deal is, indeed, quite large. Local businesses staffed up in anticipation of the work, including Prime Electrical, Just Write Consulting and other subcontractors that are now losing planned revenue and staffing investments because the Verra Mobility award was rescinded.

Just Write CEO Melissa Myers has extensive experience working with Orange County, including as a former member of its Minority and Women Business Enterprise Advisory Board. She pointed to something that other small-business leaders have privately expressed, that the bid cancellation has eroded confidence in the county procurement process and weakened long-standing protections for minority-owned firms.

“I’ve spent years advocating for equitable access to opportunity for small and minority-owned businesses. The rescoring and denial of our protest not only hurt my company, but it also sent a clear message to dozens of qualified firms that the rules can change mid-process, with no chance to compete fairly,” she said.

“We earned that contract on merit. To be removed without the opportunity to rebid undermines both trust in the system and the spirit of inclusion that Orange County once stood for.”

And she’s not alone. Julio Fuentes, President and CEO of the Florida State Hispanic Chamber of Commerce, called the Orange County issue a troubling trend unfolding statewide.

“When politics are injected into procurement, it creates uncertainty that shuts out small, minority-owned businesses. These companies are the backbone of Florida’s economy, not a political talking point,” he said.

Orange County appears to be among the first local governments to have a local safety project impacted by federal DEI compliance, but it will undoubtedly not be the last.

Local governments are clearly navigating challenging decisions when it comes to responding to both state and federal mandates affecting policymaking. The issue here is less about Orange County canceling anything with even a whiff of DEI, and more about ensuring that its changes are clearly — and, more importantly, fairly — implemented.

Orange County should rebid its red-light camera program, allowing all interested vendors to submit proposals that respond to actual bid criteria — not to previous iterations that are no longer relevant.

Until it does that, the county will send a message to any future vendor that goalposts move, and that’s an uncertainty we already know kills opportunity and enterprise.