FOR IMMEDIATE RELEASE                                          CR
MAY 6, 1997                                        (202) 616-2777
                                               TDD (202) 514-1888

            ADMINISTRATION ISSUES PROPOSED REGULATIONS
  REFORMING THE USE OF AFFIRMATIVE ACTION IN FEDERAL CONTRACTING

     WASHINGTON, D.C. --  The Justice Department today announced
that a proposed regulation will be published in the Federal
Register modifying the way in which government uses race-conscious
affirmative action when awarding contracts.

     The proposed regulation is designed to ensure that affirmative
action in federal procurement comports with the constitutional
standards set forth by the Supreme Court' 1995 decision in the
Adarand case, and is consistent with the President's commitment to
"mend," rather than "end," affirmative action.
  
     The proposed regulation, to be published Friday, implements
reforms to affirmative action in federal procurement recommended by
the Justice Department last May.  A final regulation is expected to
be published in the early fall of 1997.

     At the same time that the proposed regulation is issued, the
Justice Department will publish its response to comments that it
received on its May 1996 reform proposal.  
     
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