McMaster announced the decision Monday, directing state agencies to stop using numerical targets that encouraged a portion of state con-
tracts to go to minority-owned firms. He called the move a step toward fairness and transparency in the state’s procurement process.
“The state should not be in the business of picking winners and losers based on demographics,” McMaster said in a statement. “All businesses deserve to compete on a level playing field.”
The policy shift ends a program put in place in the
1980s, when South Carolina and other states adopted diversity benchmarks to expand opportunities for historically underrepresented businesses. State reports show that minority-owned businesses have received a small but steady share of public contracts in recent years.
Civil rights advocates and Democratic lawmakers criticized McMaster’s decision, arguing that the state’s goals
helped address barriers that continue to limit minority participation in public contracting.
“This decision reverses years of progress and sends a troubling message to minority entrepreneurs,” said Rep. Annie McDaniel, a Democrat from Fairfield County.
Supporters of the governor’s move, including some business associations, said it will reduce bureaucracy and
billions of dollars to nonprofits, educational institutions, and organizations advancing equity and opportunity. Her giving philosophy centers on trust-based philanthropy— empowering institutions to use resources where they are most needed to achieve meaningful and lasting impact.
Voorhees University, founded in 1897, continues to build on its historic legacy of providing accessible, highquality education rooted in faith, excellence, and service. This new chapter of investment will further enhance the university’s ability to deliver transformative learning experiences and strengthen its role as a beacon of opportunity in higher education.
ensure contracts are awarded strictly on merit, not race or gender.
McMaster’s order also directs state agencies to continue outreach and training programs for small and disadvantaged businesses but without formal diversity benchmarks. Agencies are expected to phase out reporting requirements over the next several months.