Del. Eleanor Holmes Norton (D), the District’s representative in Congress, has introduced legislation that would require all federal agencies to publicly disclose how much they spend on advertising contracts with small, disadvantaged businesses and those owned by women and minorities.
The bill, called the Federal Government Advertising Equity Accountability Act, would compel agencies to include the prior year’s spending and the upcoming year’s projections in their annual budget justifications to Congress.
“As one of the largest advertisers in the United States, the federal government has an obligation to ensure fair access for minority and women-owned media companies,” Norton said. “My bill would ensure that federal agencies are striving to reach minorities and women, who often receive the news from smaller media outlets that serve more specific communities.”
Norton’s renewed effort follows years of documented disparities.
In a 2024 report, the Government Accountability Office (GAO) revealed that only 15% of federal advertising contract obligations went to small, disadvantaged businesses and those owned by minorities and women. From fiscal years 2014 to 2023, the federal government spent $14.9 billion on advertising contracts, yet only about $2.1 billion went to such firms.
GAO’s analysis showed that during the same period, Black-owned businesses received about $256 million, or 21% of the $1.2 billion in federal advertising contracts obligated to minority-owned firms. Still, Black-owned media received only a fraction of that, with earlier reports suggesting they secured no more than $10 million of the total $14.9 billion spent.
“Black American-owned businesses were awarded $256 million (21%) of the $1.2 billion in federal advertising contracts obligated to minority-owned businesses from FYs 2014 through 2023,” Jessica Lucas-Judy, director of Strategic Issues for GAO, clarified in an email to the Black Press last year. “When looking at the number of businesses, 148 Black-owned businesses were awarded advertising contracts during that time period. I double-checked with my team; the data from FPDS identified Black-owned businesses generally, rather than Black-owned newspapers/media outlets specifically. I think the only way to find the information you’re looking for would be to review each individual contract.”
In 2007, GAO found that just 5% of $4.3 billion in advertising dollars at five agencies—the Departments of Defense, Treasury, Health and Human Services, the Interior, and NASA—went to minority-owned businesses. Those numbers barely improved over the next decade, prompting Norton and several Members of Congress to request updated reports in 2016 and 2022.
The longtime delegate said her bill would codify what the House Appropriations Committee has already been informally requiring from many agencies for the past several years.
“This legislation will make that requirement permanent and extend it to all federal agencies,” she said. “The regular collection of information on federal advertising contracts with small, disadvantaged businesses and businesses owned by women and minorities is essential to bridging the gap between what current statistics show and a more inclusive advertising landscape.”
The proposal would not only promote transparency but also allow agencies to evaluate progress toward equitable contracting. Norton has previously joined Democratic lawmakers like Hank Johnson of Georgia, Barbara Lee of California, and Val Demings of Florida, in calling on the federal government to address inequities in federal advertising spending.
A prior GAO study found that over a five-year period, the federal government spent more than $5 billion on advertising, yet Black-owned businesses received only $51 million, or just over one percent. Those findings, combined with the 2024 GAO report, reinforced Norton’s argument that the government must do more to ensure fair access for minority and women-owned media companies.
“The federal government is the largest advertiser in the United States, and it has an obligation to ensure equitable access to its contracts for small disadvantaged businesses and those owned by minorities and women,” Norton stated. “GAO’s findings show that there is still much progress to be made.”
Norton urged her colleagues to support the Federal Government Advertising Equity Accountability Act, calling it a necessary step toward transparency and fairness in how federal agencies spend billions of taxpayer dollars on advertising.
“The promotion of equity in advertising, and in all areas of government, must be a continuous effort,” she said. “It is fundamental to the mission of every federal agency.”
