Summary: A review of five federal agencies provided data on radio, television, newspaper, and magazine advertising services purchased from outside sources and the amount of advertising spent in black-owned enterprises. The agencies reviewed were Defense, Housing and Urban Development, Postal Service, Transportation, and Treasury.
The data provided by the agencies on expenditures in black-owned media enterprises were not audited for accuracy. Total advertising costs for the agencies were taken from a 1975 General Accounting Office report. A precise relationship cannot be made between black-owned and total procurements because the total procurement figures are for earlier years. Three of the agencies (Housing and Urban Development, Transportation, and Treasury) appear to have policies of giving special attention to minority enterprises. The Department of Transportation's applicable regulation states that this extra consideration may be extended if, as a result, there is some increased cost to Department programs. The approach of Defense and Postal Service is to make advertising procurements based on cost effectiveness without regard to enterprise ownership.
