Full opinion text
MEMORANDUM DECISION ON REMAND KANE, Senior District Judge. Following remand from the United States Supreme Court and the Tenth Circuit Court of Appeals, Plaintiff Adarand Constructors, Inc., a highway construction company, seeks declaratory and permanent injunctive relief against Frederico Peña, Secretary of the Department of Transportation (DOT), Rodney E. Slater, Administrator of the Federal Highway Administration (FHA), Vincent F. Sehimmoller, Administrator of Region VIII of the FHA and Larry C. Smith, Division Engineer of the Central Federal Lands Highway Division (CFLHD). Adarand asserts the race-conscious subcontracting compensation clause (SCC) program used by the CFLHD is unconstitutional, violating the due process and equal protection guarantees of the Fifth and Fourteenth Amendments, as well as the civil rights, privileges and immunities secured by the laws of the United States, and the provisions of Title VI, § 601 of the Civil Rights Act of 1964, 42 U.S.C. § 2000d. Pending are the parties’ cross-motions for summary judgment following remand. See Adarand Constructors, Inc. v. Peńa (Adarand III), 515 U.S. 200, 237, 115 S.Ct. 2097, 2118, 132 L.Ed.2d 158 (1995). In remanding the case, the Supreme Court held that all programs imposing race-based classifications must be adjudicated under the “strict scrutiny” standard. Id. at 227, 115 S.Ct. at 2113. “In other words, such classifications are constitutional only if they are narrowly tailored measures that further compelling governmental interests.” Id. While the Court ruled on the proper standard to be applied to the case at bar, it declined to render an opinion on the underlying merits. It opted instead to “remand the case to the lower courts for further consideration in light of the principles we have announced.” Id. In explaining its decision to remand, the Court noted that certain “unresolved questions” involving the “complex regulatory regimes implicated by the use of subcontractor compensations clauses” needed to be addressed. It submitted to the lower courts the question of “whether any of the ways in which the government uses subcontractor compensation clauses can survive strict scrutiny.” Id. at 240, 115 S.Ct. at 2119. The prudence of remanding this case to the trial court is difficult to perceive. Both parties have stipulated to the absence of any dispute of material fact (Cross Mot. Summ. J. Tr., Dec. 20, 1996 at 29-30), and the “unresolved questions” posed by Justice O’Connor in Adarand III concern only issues of statutory construction relating to “the details of the complex regulatory regimes” and a number of “apparent diserepanc[ies]” the Court found in the application of the statutes and regulations involved. 515 U.S. at 238-39, 115 S.Ct. at 2118. While it is true that the decision to require strict scrutiny “alters the playing field in some important respects,” id., it is equally true that the higher courts are better equipped to decide as a matter of law whether, under the proper interpretation, the statutes involved can be described as in furtherance of a compelling interest and narrowly tailored to meet that interest. As such, concerns of judicial efficiency and the desire to resolve disputes quickly would have favored the resolution of the remaining legal issues by the higher courts. Following the remand, the Tenth Circuit Court of Appeals entered an order stating that, its own judgment having been vacated and, upon consideration of the Supreme Court’s judgment, the cause was remanded to this court for further proceedings. Again, in light of the lack of a genuine issue as to any material fact, the rationale for the circuit court’s remand to this trial court eludes me. Be that as it may, the parties have briefed the issue presented upon remand, namely, whether the Defendants’ use of the SCC is constitutional. An amici curiae brief has been filed by the Minority Business Enterprise Legal Defense and Education Fund, Inc. and the Mid-Peninsula Minority Contractors Association. Oral argument was heard. Jurisdiction exists under 28 U.S.C. § 1331 and § 1343. I grant Adarand’s motion for summary judgment, and deny that of the Defendants. I issue an injunction enjoining the Defendants from administering, enforcing, soliciting bids for, or allocating any funds under the SCC program. This effectively precludes the implementation of the statutes or regulations that grant presumptive eligibility for government preference in contracting on the basis of race, i.e., the use of presumptions of social and economic disadvantage in § 8(d) of the Small Business Act, 72 Stat. 384, as amended, 15 U.S.C. § 631 et seq., (SBA) and the use of percentage goals found in and promulgated pursuant to § 644(g) of the SBA, the Surface Transportation and Uniform Relocation Assistance Act of 1987 (STURAA) and the Intermodal Surface Transportation Efficiency Act of 1991, Pub.L. No. 102-240, 105 Stat.1914 (ISTEA.) These enactments, either per se, or through their implementing regulations, allow presumptive eligibility for a “preferred status” in federal subcontracts based on race. I. Factual and Procedural Background In 1989 the CFLHD, which is part of the DOT awarded the prime contract for a highway construction project in Colorado to Mountain Gravel & Construction Company. When Mountain Gravel solicited bids from subcontractors for the guardrail portion of the contract, Adarand, a Colorado-based highway construction company, specializing in guardrail work, submitted the low bid. Gonzales Construction, owned and operated by Frankie Gonzales, also submitted a bid. According to the prime contract, Mountain Gravel would receive additional compensation from the government if it hired subcontractors certified as small businesses controlled by “socially and economically disadvantaged individuals.” Whereas Gonzales is certified as such a business, Adarand is not. Despite Adarand’s low bid, Mountain Gravel awarded the subcontract to Gonzales. An affidavit of Mountain Gravel’s Chief Estimator states the company would have accepted Adarand’s bid were it not for the additional payment received by hiring Gonzales. Having lost the guardrail subcontract to Gonzales, Adarand filed a complaint seeking declaratory and permanent injunctive relief against DOT and other federal officials, claiming violation of its equal protection rights by the race-based presumptions inherent in the use of subcontracting compensation clauses.. The parties filed cross-motions for summary judgment. Judge Carrigan, now retired, granted the Defendants’ motion. Relying on Fullilove v. Klutznick, 448 U.S. 448, 100 S.Ct. 2758, 65 L.Ed.2d 902 (1980), he held the challenged federal program serves appropriate governmental objectives and was narrowly tailored to achieve the objectives of STAA and STURAA. Adarand Constructors, Inc. v. Skinner (Adarand I), 790 F.Supp. 240, 243-45 (D.Colo.1992). The Tenth Circuit Court of Appeals affirmed on grounds different from those relied on by Judge Carrigan. Adarand Constructors, Inc. v. Peńa (Adarand II), 16 F.3d 1537, 1539 (10th Cir.1994). It held the district court mistakenly determined the challenged program was authorized by STAA and STURAA, whereas, as stipulated for the purposes of the appeal, the SCC program is authorized by § 502 of the SBA, 15 U.S.C. § 644(g). Thus, the appeals court said, the constitutionality of STAA and STURAA was not at issue. Nevertheless, it held the analysis of the SCC program under the SBA was identical to the district court’s analysis under STAA and STURAA Id. at 1543. Applying the “lenient standard, resembling intermediate scrutiny” adopted in Fullilove, as further developed in Metro Broadcasting, Inc. v. FCC, 497 U.S. 547, 110 S.Ct. 2997, 111 L.Ed.2d 445 (1990), to assess the constitutionality of a federal race-conscious program, the court of appeals upheld the use of SCCs. Relying on these cases, the court reasoned the federal government, acting under authority of Congress and § 5 of the Fourteenth Amendment, can legislate affirmative action programs more freely than state or local governments. Adarand II, 16 F.3d at 1545. Further, the appeals court rejected as without legal authority Adarand’s argument that a federal agency such as the CFLHD must make specific findings of past racial discrimination to justify the SCC program. Id. Whereas Judge Carrigan had found the SCC program constitutional because it was similar to that upheld in Fullilove and was narrowly tailored to achieve its remedial objectives, the circuit court concluded the program was constitutional because eligibility was not based solely on racial or ethnic status but on economic disadvantage. Id. at 1547. Further, the SCC program was “ ‘appropriately limited in extent and duration’” as required by Fullilove in that it was subject to regular “ ‘reassessment and reevaluation by Congress.’ ” Id. (quoting Fullilove, 448 U.S. at 489, 100 S.Ct. at 2780.) The circuit court emphasized, because the SCC program did not compel contractors to subcontract with disadvantaged business enterprises (“DBEs”), but rather induced them to do so, it could not be said to violate equal protection requirements. Id. Finally, it acknowledged the lesson in Fullilove that “ ‘[i]t is not constitutional defect in this program that it may disappoint the expectations of nonminority firms.’ ” Id. (quoting Fullilove, 448 U.S. at 484, 100 S.Ct. at 2778). The United States Supreme Court granted certiorari to examine whether the proper standard of review had been applied by the Tenth Circuit. The Court vacated the circuit court’s holding and held “[f]ederal racial classifications, like those of a state, must serve a compelling governmental interest and must be narrowly tailored to further that interest.” Adarand III, 515 U.S. at 239, 115 S.Ct. at 2118. It remanded the case for evaluation in light of its conclusion that federal affirmative action programs, such as that at issue here, are subject not to intermediate, but to strict scrutiny review. Id. Writing for the majority, Justice O’Connor set forth the relevant federal laws and regulations at issue, and determined that Ada-rand had standing to challenge and obtain relief from SCC programs. Id. at 204-11, 115 S.Ct. at 2102-05. The Court then reviewed its previous decisions involving the Fifth Amendment’s Due Process Clause and the Fourteenth Amendment’s Equal Protection Clause. Id. at 213-14, 115 S.Ct. at 2106. Tracing the Court’s treatment of governmental classifications that have affected classes of people who have suffered societal discrimination, Justice O’Connor restated the principle of Bolling v. Sharpe 347 U.S. 497, 499, 74 S.Ct. 693, 694, 98 L.Ed. 884 (1954) that the equal protection components of the Fifth and Fourteenth Amendments are indistinguishable. Adarand III, 515 U.S. at 213-17, 115 S.Ct. at 2106-08. The majority emphasized it has consistently held that government racial classifications, whether created by federal or state governments, must be subjected to the “most rigid judicial scrutiny.” Id. at 216, 115 S.Ct. at 2107 (quoting Toyosaburo Korematsu v. United States, 323 U.S. 214, 216, 65 S.Ct. 193, 194, 89 L.Ed. 194 (1944)). The Court noted it’s struggle over the past twenty years to formulate the proper standard of review for affirmative action and minority assistance programs but had resolved the issue at least in part in Richmond v. J.A Croson Co., 488 U.S. 469, 109 S.Ct. 706, 102 L.Ed.2d 854 (1989). Adarand III, 515 U.S. at 219-21, 115 S.Ct at 2109-10. Justice O’Connor opined the Court’s previous cases had analyzed governmental racial classifications with “skepticism,” “consistency,” and “congruence.” Id. at 223-24, 115 S.Ct. at 2111. According to the majority, the Court’s decision in Metro Broadcasting, Inc. v. FCC, 497 U.S. 547, 110 S.Ct. 2997, 111 L.Ed.2d 445 (1990) deviated from the long-standing principle that both federal and state governments are held to the same equal protection duty when it held that “benign” racial classifications created by the federal government are subject to intermediate scrutiny. Adarand III, 515 U.S. at 223-26, 115 S.Ct at 2111-12. Metro Broadcasting, Justice O’Connor wrote, ignored the essential precept that all governmental racial classifications, federal and state, must be strictly scrutinized. Id. The majority overruled Metro Broadcasting to the extent that a standard of review less than strict scrutiny would be applied in any racial classification, whether created by federal, state or local government. Id. at 227-28, 115 S.Ct. at 2113. In conclusion, Justice O’Connor announced the application of strict scrutiny to all, including federal, racial classifications, would ensure that only those which are narrowly tailored to serve a compelling governmental interest are tolerated. Finally the majority stated it wished to dispel the notion that “strict scrutiny is ‘strict in theory, but fatal in fact.’ ” Id. at 237, 115 S.Ct. at 2117 (quoting Fullilove, 448 U.S. at 519, 100 S.Ct. at 2795) (Marshall, J., concurring in judgment). The ease was remanded to the lower courts for determination of the constitutionality of the SCC under a strict scrutiny standard. II. Standards for Summary Judgment Under Federal Rule of Civil Procedure 56(c), [sjummary judgment is appropriate if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law. When applying this standard, we examine the factual record and reasonable inferences therefrom in the light most favorable to the party opposing summary judgment____ While the movant bears the burden of showing the absence of a genuine issue of material fact, the movant need not negate the non-movant’s claim but need only point to an absence of evidence to support the non-movant’s claim. If the movant carries this initial burden, the non-movant may not rest upon its pleadings, but must set forth specific facts showing a genuine issue for trial as to those dispositive matters for which it carries the burden of proof. An issue of material fact is genuine if a reasonable jury could return a verdict for the non-movant. Kaul v. Stephan, 83 F.3d 1208, 1212 (10th Cir.1996) (quoting Wolf v. Prudential Ins. Co., 50 F.3d 793, 796 (10th Cir.1995)); see also Celotex Corp. v. Catrett, 477 U.S. 317, 325, 106 S.Ct. 2548, 2553-54, 91 L.Ed.2d 265 (1986); Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 256, 106 S.Ct. 2505, 2514, 91 L.Ed.2d 202 (1986). III. Directives upon Remand. Justice O’Connor noted several issues which must be addressed in determining whether any of the ways in which the government uses subcontractor compensation clauses can survive strict scrutiny. Adarand III, 515 U.S. at 237-38, 115 S.Ct. at 2118. According to the majority opinion, the circuit court, following Metro Broadcasting and Fullilove, analyzed the case in terms of intermediate scrutiny. It did not address whether the interests served by the use of subcontractor compensation clauses are compelling. Id. Nor, Justice O’Connor said, did the Tenth Circuit address the issue of narrow tailoring in terms of strict scrutiny cases which have asked, for example, “whether there was ‘any consideration of the use of race-neutral means to increase minority business participation’ in government contracting.” Id. (quoting Croson, 488 U.S. at 507, 109 S.Ct. at 729). The circuit court also did not consider “whether the program was appropriately limited such that it ‘will not last longer than the discriminatory effect it is designed to eliminate.’” Id. (quoting Fullilove, 448 U.S. at 513, 100 S.Ct. at 2792-93). Justice O’Connor found “unresolved questions remain concerning the details of the complex regulatory regimes implicated by the use of subcontractor compensation clauses.” Id. Whereas the SBA’s 8(a) program requires individualized inquiry into the economic disadvantage of every participant, 13 C.F.R. § 124.106(a) (1996), the DOT regulations implementing STURAA § 106(c) require no such individualized inquiry by the certifying authority, 49 C.F.R. § 23.62 (1995); 49 C.F.R. pt. 23, subpt. D, App. C (1995). Nor, the Court noted, are the regulations clear as to whether 8(d) subcontractors must make individualized showings or whether the race-based presumption applies to social as well as economic disadvantage. See 13 C.F.R. § 124.106(b) (1996) (seemingly requiring such contractors to make an individualized showing), as compared with 48 C.F.R. § 19.703(a)(2) (1995) (apparently allowing them to invoke the race-based presumption for social and economic disadvantage). Adarand III, 515 U.S. at 238, 115 S.Ct. at 2118. Justice O’Connor further noted “an apparent discrepancy between the definitions of which socially disadvantaged individuals qualify as economically disadvantaged for the 8(a) and 8(d) programs.” Id. Regulations relating to 8(a) participants require a showing that such person’s ability to compete has been impaired “as compared to others in the same or similar line of business who are not socially disadvantaged.” 13 C.F.R. § 124.106(a)(l)(i) (1996). Those governing 8(d) programs merely require a showing “as compared to others in the same or similar line of business.” § 124.106(b)(1). The majority directed the lower courts to consider if distinctions such as these may have relevance to the question of whether the way in which the government uses subcontractor compensation clauses can survive strict scrutiny. IV. The Complex Regulatory Regimes. In the First Amended Complaint, filed January 22, 1996, Adarand seeks, inter alia, a declaration that § 105(f) of STAA, § 106(c) of STURAA § 1003(b) of ISTEA, § 8(d) of the SBA (15 U.S.C. § 637(d)) and 15 U.S.C. § 644(g), the regulations promulgated thereunder, and the contract provisions promulgated pursuant to those statutes and regulations are unconstitutional as applied to highway construction in the State of Colorado and thus deprive Adarand of its constitutional rights. (First Am. Compl. ¶¶ 6, 8-21, 31, and Prayer for Relief). ■ In brief, Adarand states it has challenged as unconstitutional “all of the statutory provisions from which [the] Defendants claim authority to award highway construction contracts in Colorado on the basis of race.” (PL’s Reply Mem. at 1 n. I). This is somewhat broader than the Supreme Court’s characterization of the issue before this court, namely “whether any of the ways in which the federal government uses subcontractor clauses can survive strict scrutiny____” Adarand III, 515 U.S. at 238, 115 S.Ct. at 2118. As the Court noted, this case concerns “complex regulatory regimes implicated by the use of subcontractor compensation clauses.” Id. First, a number of provisions in the SBA are implicated. According to the SBA it is the policy of the United States that small business concerns, small business concerns owned and controlled by socially and economically disadvantaged individuals, and small business concerns owned and controlled by women shall have the maximum practicable opportunity to participate in the performance of contracts let by any Federal agency, including contracts and subcontracts____ 15 U.S.C. § 637(d)(1). In order to achieve these goals, § 637(d) (the “8(d) program”) requires that certain language be included in all contracts, with three limited exceptions, let by federal agencies. The required clause includes the policy statement set out above, and further states: “The contractor hereby agrees to carry out this policy in the awarding of subcontracts to the fullest extent consistent with the efficient performance of this contract.” 15 U.S.C. § 637(d)(3)(B). A “small business concern owned and controlled by socially and economically disadvantaged individuals” is defined as a small business concern “which is at least 51 per centum owned by one or more socially and economically disadvantaged individuals,” and “whose management and daily business operations are controlled by one or more of such individuals.” 15 U.S.C. § 637(d)(3)(C)(i) and (ii). The SBA also requires the following contractual language: The contractor shall presume that socially and economically disadvantaged individuals include Black Americans, Hispanic Americans, Native Americans, Asian Pacific Americans, and other minorities, or any other individual found to be disadvantaged by the Administration pursuant to section 8(a) of the Small Business Act. Contractors acting in good faith may rely on written representations by their subcontractors regarding their status as ... a small business concern owned and controlled by socially and economically disadvantaged individuals____ 15 U.S.C. §§ 637(d)(3)(C), 637(d)(3)(E). The finding “by the Administration” in the quoted passage refers to certification by the Small Business Administration under the 8(a) set aside program. See 15 U.S.C. § 637(a). Unlike the 8(d) program described above, which mandates the inclusion of the described clause in contracts between federal agencies and general contractors, the 8(a) program substantially alters the federal contracting process by allowing the Administration to act as an intermediary between a contracting agency and the end contractors who are to perform the work. Compare 15 U.S.C. § 687(a) with 15 U.S.C. § 637(d). When the 8(a) program is invoked, the Administration may “enter into contracts with the United States Government and any department, agency, or officer thereof ... to furnish articles, equipment, supplies, services, or materials ... or to perform construction work for the Government.” 15 U.S.C. § 637(a)(1)(A). The Administration will then “arrange for the performance of such procurement contracts by negotiating or otherwise letting subcontracts to socially and economically disadvantaged small business concerns ____” who have been certified as § 8(a) program participants. 15 U.S.C. § 637(a)(1)(B). Section 637(a)(l)-(21) and the implementing regulations at 13 C.F.R. §§ 124.100-124.113 (1996) provide an elaborate set of guidelines to be used by the Administration in deciding whether a business is eligible for the 8(a) program, including general definitions of social and economic disadvantage. Under the SBA, “socially disadvantaged” persons are those “who have been subjected to racial or ethnic prejudice or cultural bias because of their identity as a member [sic] of a group without regard to their individual qualities.” 15 U.S.C. § 637(a)(5). The regulations augment this definition, stating that, in the absence of evidence to the contrary, individuals claiming membership in certain racial groups, including Black Americans, Hispanic Americans, Native Americans, and Asian Pacific Americans, are presumptively designated as socially disadvantaged for the purposes of the SBA. 13 C.F.R. § 124.105(b) (1996). Individuals who are not members of the designated groups, but who desire to participate in the 8(a) program must establish, “on the basis of clear and convincing evidence,” that they meet a five part test in order to be certified as socially disadvantaged. 13 C.F.R. § 124.105(c) (1996). The first part of this test is that the claimed social disadvantage “must stem from ... color, ethnic origin, gender, physical handicap, [or] long-term residence in an environment isolated from the mainstream of American society ____‘” § 124.105(e)(l)(i). In addition, the regulations require that an individual not belonging to one of the specified groups prove that “he or she has personally suffered social disadvantage,” that the claimed disadvantage is “rooted in treatment which he or she has experienced in American society, not in other countries,” is “chronic and substantial, not fleeting or insignificant,” and has “negatively impacted on his or her entry into and/or advancement in the business world.” § 124.105(c)(1) (ii) to (v). “Economically disadvantaged” individuals are defined by § 8(a) of the SBA as socially disadvantaged persons “whose ability to compete in the free enterprise system has been impaired due to diminished capital and credit opportunities as compared to others in the same business area who are not socially disadvantaged.” 15 U.S.C. § 637(a)(6)(A). As the Supreme Court recognized in Adarand III, the regulations provide two different standards for designation as “economically disadvantaged,” depending on whether the question arises under the 8(a) program or the 8(d) mandates. 515 U.S. at 207-08, 115 S.Ct. at 2103. Section 124.106(a) defines economic disadvantage for the purposes of the 8(a) program by comparing the individual seeking certification with “others in the same or similar line of business who are not socially disadvantaged ....” 13 C.F.R. § 124.106(a) (1996) (emphasis added). By contrast, § 124.106(b), which applies to “the section 8(d) Subcontracting Program and other programs requiring SBA’s determination of disadvantaged status,” requires the Administration to compare an individual seeking designation as “economically disadvantaged” only with “others in the same line of business----” 13 C.F.R. § 124.106(b) (1996). Under both § 124.106(a) and § 124.106(b), the Administration determines economic disadvantage by examining “[t]he personal financial condition of the individual(s) claiming disadvantaged status, including that individual’s access to credit and capital; the financial condition of the applicant concern; and the applicant concern’s access to credit, capital and markets.” 13 C.F.R. § 124.106(a)(2) (1996); 13 C.F.R. § 124.106(b)(1) (1996). However, for the purposes of the 8(d) and other programs requiring SBA’s determination of disadvantaged status, the Administration is required to “apply standards to each factor that are less restrictive than those applied when determining economic disadvantage for the purposes of the 8(a) program.” 13 C.F.R. § 124.106(b)(1) (1996) (emphasis added). According to the regulations, this approach “corresponds to the Congressional [sic] intent that partial or complete achievement of a concern’s 8(a) program business development goals should not necessarily preclude its participation in other Federal [sic] procurement programs for ... socially and economically disadvantaged individuals.” 13 C.F.R. § 124.106(b)(1) (1996). This “less restrictive” examination may be at odds with the plain language of the SBA itself, insofar as the 8(d) provisions direct prime contractors to “presume that socially and economically disadvantaged individuals include [the specified racial groups] or any other individual found to be disadvantaged by the Administration pursuant to section 8(a) of the Small Business Act.” 15 U.S.C. § 637(d)(3)(C). This language, standing alone, grants the presumption of both social and economic disadvantage (and thus eligibility for programs relying on the 8(d) usage of these terms) to members of the listed minority groups without reference to their economic status, in addition to allowing those actually found to be economically disadvantaged under the requirements of § 8(a) to qualify. As Justice O’Connor noted, a further set of regulations implementing the 8(d) program supports this reading by stating that “[individuáis who certify that they are members of named groups (Black Americans, Hispanic Americans, Native Americans, Asian-Pacific Americans, Subcontinent-Asian Americans) are to be considered socially and economically disadvantaged.” Adarand III, 515 U.S. at 207, 115 S.Ct. at 2103 (quoting 48 C.F.R. § 19.001 (1996)); see also 48 C.F.R. § 19.703(a)(2) (1996) (allowing individuals “who certify that they are members of [the] named groups ... [to] represent themselves as socially and economically disadvantaged”). Clearly, the SBA statutory language creating the 8(d) program is inconsistent with certain regulations governing certification of social and economic disadvantage in addition to the regulations themselves being mutually inconsistent. This leaves “some uncertainty as to whether the 8(d) subcontracting program requires an individualized showing of economic disadvantage.” Adarand III, 515 U.S. at 207, 115 S.Ct. at 2103. While the regulations at 13 C.F.R. 124.106(b) (1996) inquire into the actual financial condition of the applicant, the plain language set forth in § 637(d) of the SBA and the regulations at 48 C.F.R. 19.001 (1996), do not require such an inquiry in determining eligibility for the 8(d) program. This demonstrates that the framework of the SBA permits the promulgation of regulations which, like § 8(d) itself, allow a presumption of both social and economic disadvantage based entirely on membership in certain racial groups. Under both the 8(a) and the 8(d) programs, the race-engendered presumptions of disadvantage may be rebutted if a third party comes forward with evidence that the participant in question is not, in fact, socially or economically disadvantaged. See 13 C.F.R. §§ 124.111(c)-(d) and 124.601-609 (1996). Adarand points out that only third parties may come forward to initiate a rebuttal of presumptive disadvantage, and that no such duty falls upon the Defendants or any other governmental entity. The SBA further provides “[t]he President shall annually establish Government-wide [sic] goals for procurement contracts awarded to ... small business concerns owned and controlled by socially and economically disadvantaged individuals____” 15 U.S.C. § 644(g)(1). This goal “shall be established at not less than 5 percent of the total value of all prime contract and subcontract awards for each fiscal year.” Id. In addition, the SBA requires each federal agency to establish goals for the participation by small business concerns owned and controlled by socially and economically disadvantaged individuals in procurement contracts of such agency. 15 U.S.C. § 644(g)(2). These goals “shall realistically reflect the potential of ... small business concerns owned and controlled by socially and economically disadvantaged individuals ... to perform such contracts and to perform subcontracts under such contracts.” Id. As the Court noted in Adarand III, 515 U.S. at 205-07, 115 S.Ct. at 2102, the goals described in 15 U.S.C. § 644(g)(1) and (2) are in furtherance of the policy stated in 8(d)(1), that small business concerns owned and controlled by socially and economically disadvantaged individuals have the maximum opportunity to participate in the performance of contracts let by any federal agency. The FHA’s own goal as applied to its Federal Lands Highway Program (FLHP), ánd thus to contracts let by the CFLHD was “somewhere around 12[to] 15 percent” at times pertinent to this litigation. (Defs.’ Supp’l Ex. Supp. Mot. Summ. J., Depo. James L. Robinson, CFLHD Engineer, (“Robinson Depo.”) at 44, line 16.) Statements on the record also indicate that when this goal was not met, CFLHD officials would receive a “chat from a supervisor.” Id at 45, line 19. In addition to the minimum 5 percent goal provided by the SBA and the 12 to 15 per cent goals adopted by the FHA and applied to the CFLHD pursuant to § 644(g) of the SBA, the contract at issue was also subject to goals included in STURAA and ISTEA, both DOT appropriations measures. It is undisputed that the initial funding for the West Dolores project and the contract at issue was provided by the Highway Trust Fund under STURAA. ISTEA later superseded STURAA and provided the funding for change orders and supplemental agreements for the West Dolores project. Section 106(c)(1) of STURAA requires that “not less than 10 percent” of the funds appropriated under the act “shall be expended with small business concerns owned and controlled by socially and economically disadvantaged individuals.” 101 Stat. 145. IS-TEA, in § 1003(b), adopts the 10 percent goal found in STURAA. 105 Stat. 1919. Significantly, both STURAA and ISTEA state the term “socially and economically disadvantaged individual[s]” has the meaning of such term under § 8(d) of the SBA “and relevant subcontracting regulations promulgated pursuant thereto.” STURAA § 106(c)(2)(B), 101 Stat. 146; ISTEA § 1003(b)(2)(B), 105 Stat. 1919-1920. Accordingly, under STURAA and ISTEA, the race-based presumption contained in 15 U.S.C. .§ 637(d) applies for the purposes of determining both social and economic disadvantage, although the somewhat contradictory regulations promulgated pursuant to the SBA also apply. Thus, business concerns owned and controlled by Black Americans, Hispanic Americans, Native Americans, Asian Pacific Americans, in addition to other groups or individuals certified under the more restrictive tests provided by the SBA’s 8(a) program are considered both socially and economically disadvantaged for the purposes of STURAA and ISTEA 101 Stat. 146; 105 Stat. 1919-20; 15 U.S.C. § 637(d)(3)(C); 13 C.F.R. § 124.106(b) (1996). The Secretary of Transportation, pursuant to the requirements in STURAA, established “minimum uniform criteria for State governments to use in certifying whether a concern qualifies” for purposes of meeting the act’s goals for disadvantaged businesses. STU-RAA § 106(c)(4), 101 Stat. 146. These regulations require the certifying authority to presume both social and economic disadvantage (i.e., eligibility to participate) if the applicant belongs to the listed racial groups (or is a woman). 49 C.F.R. § 23.62 (1995); 49 C.F.R. pt. 23, subpt. D, App. C (1995). As with the SBA programs, third parties may come forward with evidence to rebut the presumption of disadvantage for any particular business. 49 C.F.R. § 23.69 (1995). The SCC challenged by Adarand in this action was developed by the FHA under the FLHP as a means to comply with the minimum 5 percent goals provided by § 644(g) of the SBA, the 12 to 15 percent goals adopted by the FHA pursuant thereto, and the 10 percent goals set forth in STURAA and IS-TEA. A uniform version of the SCC was established by the Administrator of the FLHP in early 1981. (Defs.’ Stmt. Undisp. Mat. Facts ¶ II.A31.) The SCC at issue reads: 108.01 Subcontracting. This subsection is supplemented to include a Disadvantaged Business Enterprise (DBE) Development and Subcontracting Provision as follows: Monetary compensation is offered for awarding subcontracts to small business concerns owned and controlled by socially and economically disadvantaged individuals ____ A small business concern will be considered a DBE after it has been certified as such by the U.S. Small Business Administration or any State Highway Agency [sic]. Certification by other Government [sic] agencies, counties, or cities may be acceptable on an individual basis provided the Contracting Officer [sic] has determined the certifying agency has an acceptable and viable DBE certification program. If the Contractor [sic] requests payment under this provision, the Contractor [sic] shall furnish the Engineer [sic] with acceptable evidence of the subcontraetor(s) [sic] DBE certification and shall furnish one certified copy of the executed subcontracts). Compensation is provided to the Contractor [sic] to locate, train, utilize, assist, and develop DBE’s to become fully qualified contractors in the transportation facilities construction field. The Contractor [sic] shall also provide direct assistance to disadvantaged subcontractors in acquiring necessary bonding, obtaining price quotations, analyzing plans and specifications, and planning and management of the work.... The Contractor [sic] will become eligible to receive payment under this subcontracting compensation provision when the dollar amount (based on final subcontracted amount) of the disadvantaged business enterprise subcontract(s) awarded exceeds 10 percent of the original contract amount. The Contractor [sic] will be paid an amount computed as follows: 1. If a subcontract is awarded to one DBE, 10 percent of the final amount of the approved DBE subcontract, not to exceed 1.5 percent of the original contract amount. 2. If subcontracts are awarded to two or more DBEs, 10 percent of the final amount of the approved DBE subcontracts, not to exceed 2 percent of the original contract amount. (Defs.’ Mot. Summ. J., Ex. 1 at 1-24, 1-25.) Mountain Gravel, the prime contractor in this case, had to hire a subcontractor certified as a DBE in order to benefit from this SCC. In addition, the terms of the SCC allowed the additional financial benefits to attach to Mountain Gravel only where more than 10 percent of the original contract amount was awarded to one or more DBEs. As explained, DBE certification can come from one of three basic sources, all part of the statutory authority giving rise to the use of SCCs. First, a business may be granted DBE status as an ancillary benefit to meeting the requirements for certification as a participant in the SBA’s 8(a) program. 15 U.S.C. § 637(a). A business so certified,, while entitled to a presumption of social disadvantage if owned and controlled by individuals belonging to certain minority groups, is still required to prove actual economic disadvantage. Id. However, a business like Ada-rand, which is not owned by members of the listed racial groups is required to meet a rigid five-part test before a finding of social disadvantage can be made. 13 C.F.R. § 124.105(c) (1996). Second, a business can be certified as a DBE under the less restrictive requirements set forth in the SBA’s 8(d) provisions. 15 U.S.C. § 637(d). The statutory language enacted by Congress appears to grant a race-based presumption of both social and economic disadvantage, such that one could conceivably be certified as a DBE under the 8(d) program on the basis of race alone. Id. However, as noted, the regulations appear to require some showing of actual economic disadvantage — albeit under some lesser standard than required for the same finding under § 8(a). See 13 C.F.R. § 124.106(b) (1996). Third, a concern can be certified by a state highway agency pursuant to the DOT regulations, which like the 8(d) SBA provisions, provide for race-based presumptions of both social and economic disadvantage. 49 C.F.R. § 23.62 (1995); 49 C.F.R. pt. 23, subpt. D, App. C (1995). Under the SCC at issue, “a small business concern will be considered a DBE after it has been. certified as such by the U.S. Small Business Administration or any State Highway Agency. Certification by other Government [sic] agencies ... may be acceptable on an individual basis ...” (Defs.’ Mot. Summ. J., Ex. 1 at 1-24.) At the time of the challenged award, the CFLHD did not itself certify businesses as DBEs. Gonzales was certified as a DBE by the State of Colorado Department of Highways in 1985 pursuant to STURAA and the implementing DOT regulations. See 49 C.F.R. § 23.62 (1995); 49 C.F.R. pt. 23, subpt. D, App. C (1995) (Stmt. Mat. Facts Not Disp. ¶ 36; Defs.’ Stmt. Undisp. Mat. Facts, ¶ 19.) In granting Gonzales DBE certification, the State of Colorado presumed that Frankie Gonzales was both socially and economically disadvantaged. (Stmt. Mat. Facts Not in Dispute ¶ 35.) V. Standing. Adarand seeks a declaration that § 105(f) of STAA, § 106(c) of STURAA, § 1003(b) of ISTEA, § 8(d) of the SBA (15 U.S.C. § 637(d)) and 15 U.S.C. § 644(g) and the regulations promulgated thereunder, and the contract provisions promulgated pursuant to those statutes and regulations are unconstitutional as applied to highway construction in the State of Colorado and thus deprive Ada-rand of its constitutional rights. (First Am. Compl. ¶¶ 6, 8-21, 31, and Prayer for Relief). In reviewing the issue of standing, the Supreme Court concluded Adarand has standing to seek forward looking relief against any future use of subcontractor compensation clauses. Adarand III, 515 U.S. at 211-12, 115 S.Ct. at 2105. Based on the deposition testimony of Adarand’s general manager to the effect that the company bid on every guardrail project in Colorado, the Court found Adarand had “made an adequate showing that sometime in the relatively near future it will bid on another government contract that offers financial incentives to a prime contractor for hiring disadvantaged subcontractors.” Id. The Court noted it is not necessary for the aggrieved party to allege that it ‘“would have obtained the benefit but for the barrier in order to establish standing.’ ” Id. (quoting General Contractors v. Jacksonville, 508 U.S. 656, 113 S.Ct. 2297, 124 L.Ed.2d 586 (1993)). This renders any dispute of fact as to the reason why Mountain Gravel awarded the contract to Gonzales rather than to Adarand neither material to, nor preclusive of, the entry of summary judgment. On the issue of standing, the Defendants assert Plaintiffs description of the alleged components of the race-based program encompasses § 8(a) of the SBA, 15 U.S.C. § 637(a), and the DOT “federal aid” grants to state and local governments funded, in part, by STURAA and ISTEA. These allegations, the Defendants argue, are beyond the scope of this litigation because Adarand has limited its constitutional challenge to highway construction contracting in Colorado. (Am. Compl., Prayer for Relief, ¶¶ 1, 2.) Further, the Defendants state, Adarand has not alleged nor offered any evidence that it could have bid on any DOT federal aid or 8(a) projects in Colorado. Accordingly, the Defendants maintain Adarand lacks standing to challenge 15 U.S.C. § 637(a) and its implementing regulations nor any aspect of STURAA, ISTEA, or 49 C.F.R. Part 23 (1995) that goes beyond the SCC. In reply, Adarand states its challenge is not solely to the SCC but to all of the statutory provisions from which the Defendants claim authority to award highway construction contracts in Colorado on the basis of race. It maintains each of the statutes and regulations it cites in the Amended Complaint are at issue. STURAA and ISTEA provided the funding for the West Dolores Project on which Adarand was denied the guardrail subcontract; both statutes incorporate the presumption for minority groups listed in 15 U.S.C. § 637(d) and other groups listed in 13 C.F.R. § 124.105(b) (1996). The SBA, 15 U.S.C. § 637(d)(1), (2), and (3), states that DBEs “shall have the maximum practicable opportunity to participate in the performance of contracts let by any Federal agency,” and all such contracts shall include certain language, including the statement that “[t]he contractor shall presume that socially and economically disadvantaged individuals include Black Americans, Native Americans, Asian Pacific Americans, and other minorities, or any other individual found to be disadvantaged” Further, the SBA, 15 U.S.C. § 644(g) states each federal agency shall set goals for DBE participation that will represent “the maximum practicable opportunity.” Adarand notes the regulations implementing the SBA are found at 13 C.F.R. § 124.101 et seq. (1996), 48 C.F.R. § 19.000 (1995) and 48 C.F.R. § 52.219-8 (1996). Section 124.101 states that to participate in the 8(a) program, an individual must meet all the requirements set forth in § 124.102 through § 124.109. 13 C.F.R. § 124.101 (1996). Section 124.105 defines “social disadvantage” and states that members of certain minority groups are presumed to be “socially and economically disadvantaged.” 13 C.F.R. § 124.105 (1996). Adarand points out 48 C.F.R. § 19.001 (1996) is the definition section, containing a definition of small, disadvantaged business concern, while § 19.703 states that to be eligible as a subcontractor under the program, a concern must be a small business or a DBE and that “Black Americans, Hispanic Americans, Native Americans, Asian-Pacific Americans, Subcontinent-Asian Americans” are presumed to be DBEs. Further, 48 C.F.R. § 52.219-8 (1996) has the same presumption as 15 U.S.C. § 637(d). Finally, Adarand asserts, 49 C.F.R. Part 28 (1995) implementing STURAA and ISTEA, 49 C.F.R. § 23.53 (1995) sets forth the requirements to qualify as a DBE (referred to as “MBE”), and § 23.62 presumes certain minority groups to be both “socially and economically disadvantaged” and forbids the State of Colorado from investigating either the social or economic status of members of those groups. Adarand states these are the statutory provisions the Defendants claim gave them authority to award contracts in the Colorado highway industry based on race. Because this lawsuit implicates all the aforesaid statutes and regulations, Adarand argues it has standing to challenge each of these statutory provisions. The SCC, Adarand declares, is one method the Defendants use to implement the race-based statutes at issue, and therefore each of the statutes is unconstitutional as applied in this case. The Supreme Court concluded Adarand has standing to seek forward-looking relief in the form of declaratory and injunctive relief against any future use of subcontractor compensation clauses. Adarand III, at 211-12, 115 S.Ct. at 2105. The Court noted the facts of the case “implicate a complex scheme of federal statutes and regulations to which we now turn.” Id. at 205, 115 S.Ct. at 2102. It then discussed the relevant statutes and regulations as set out above. In concluding the majority opinion, Justice O’Connor noted “unresolved questions remain concerning the details of the complex regulatory regimes implicated by the use of subcontractor compensation clauses.” Id. at 238, 115 S.Ct. at 2118. The Court then reiterated the various statutes and regulations at issue. It has therefore determined that Adarand has standing to challenge the race-based program involving use of SCCs, and, by implication, all those statutes and regulations forming the basis of such program. This includes the race-based presumptions of disadvantage that form the basis for DBE certification in most circumstances, as well as the SBA, STURAA, and ISTEA provisions that establish percentage “goals” for federal contract participation by concerns presumed eligible. Adarand does not challenge the SBA’s 8(a) program, 15 U.S.C. § 637(a), in and of itself, although the FLHP uses that program to meet the DBE participation goals established by § 644(g) of the SBA and § 106(c) of STU-RAA. Nor do I believe Adarand would have standing to do so, since the 8(a) program does not involve the use of SCCs. Nevertheless the 8(a) program, 15 U.S.C. § 637(a), and regulations promulgated thereunder are implicated to the extent that the definitions of “social and economic disadvantage” contained therein are used to supplement the definition of those terms under the SBA’s § 8(d) program and implementing regulations. VI. Strict Scrutiny. In remanding this case to the lower courts, the Court directed them to determine “whether any of the ways in which the Government uses subcontractor compensation clauses can survive strict scrutiny.” Adarand III, 515 U.S. at 238, 115 S.Ct. at 2118. “[A]ll governmental action based on race ... should be subjected to detailed judicial inquiry to ensure that the personal right to equal protection of the laws [under the Fifth or Fourteenth amendment] has not been infringed.” Adarand III, at 227, 115 S.Ct. at 2112. “All racial classifications, imposed by whatever federal, state, or local government actor, must be analyzed by a reviewing court under strict scrutiny. In other words, such classifications are constitutional only if they are narrowly tailored measures that further compelling governmental interests.” Id. The strict scrutiny test involves two questions. The first is whether the interest cited by the . government as its reason for injecting the consideration of race into the application of law is sufficiently compelling to overcome the suspicion that racial characteristics ought to be irrelevant so far as treatment by the government is concerned. The second is whether the government has narrowly tailored its use of race, so that race-based classifications are applied only to the extent absolutely required to reach the proffered interest. A “compelling” interest is required “because racial characteristics so seldom provide a relevant basis for disparate treatment, and because classifications based on race are potentially so harmful to the entire body politic....” Fullilove, 448 U.S. at 533-535, 100 S.Ct. at 2803-04 (Stevens, J., dissenting). The use of race must be “narrowly tailored” to the achievement of that interest because racial preferences create both a benefit and a burden, and when the burden touches “upon an individual’s race or ethnic background, he is entitled to a judicial determination that the burden he is asked to bear on that basis is precisely tailored to serve a compelling governmental interest.” Regents of the Univ. of Cal. v. Bakke, 438 U.S. 265, 299, 98 S.Ct. 2733, 2753, 57 L.Ed.2d 750 (1978) (opinion of Powell, J). The strict scrutiny test is thus a recognition that while classifications based on race may be appropriate in certain limited legislative endeavors, such enactments must be carefully justified and meticulously applied so that race is determinative of the outcome in only the very narrow circumstances to which it is truly relevant. See Wygant v. Jackson Bd. of Educ., 476 U.S. 267, 273-74, 106 S.Ct. 1842, 1847, 90 L.Ed.2d 260 (1986) (plurality opinion of Powell, J.) (“‘Any preference based on racial or ethnic criteria must necessarily receive a most searching examination to make sure that it does not conflict with constitutional guarantees’ ”) (quoting Fullilove, 448 U.S. at 491, 100 S.Ct. at 2781). A. Compelling Governmental Interest. Compelling interest is the linchpin of constitutionality under strict scrutiny. The narrow tailoring requirement comes into play only when the governmental action under review is shown to be supported by such interest. Justice O’Connor noted “[t]he Court of Appeals did not decide the question of whether the interests served by the use of subcontractor compensation clauses are properly described as ‘compelling.’” Adarand III, 515 U.S. at 237, 115 S.Ct. at 2118. In remanding the ease, however, the Court did not give any meaning to the phrase “compelling interest,” either by a definition or by illustration. In view of my conclusion that the SCC program is not narrowly tailored so as to pass strict scrutiny muster, the following determination concerning compelling governmental interest may be regarded as obiter dicta. Nevertheless, I consider the discussion of compelling interest to be important, particularly in light of the lacuna left by the Court on the subject when it remanded the case. There appears to be only one compelling interest recognized by the Supreme Court to justify racial classifications, namely remedying past wrongs. See Croson, 488 U.S. at 493, 109 S.Ct. at 722 (plurality opinion) (“[ujnless [racial classifications] are strictly reserved for remedial settings, they may in fact promote notions of racial inferiority and lead to a politics of racial hostility”). However, “ ‘[s]ocietal discrimination, without more, is too amorphous a basis for imposing a racially classified remedy.’ ” Id. at 497, 109 S.Ct. at 724 (quoting Wygant, 476 U.S. at 276, 106 S.Ct. at 1848). Further, consideration of race or ethnicity by a university for the purpose of achieving a diverse student body is not a compelling interest under the Fourteenth Amendment. Hopwood v. Texas, 78 F.3d 932, 944 (5th Cir.1996) (citing Powell J.’s opinion in Bakke, noting that, although it was not binding, no case since has accepted diversity as a compelling state interest under a strict scrutiny analysis). Adarand argues the Defendants have not shown a compelling governmental interest in the use of race to award federal contracts, asserting that they admit there has been no previous discrimination by them on the basis of race in awarding of federal highway construction contracts in Colorado. Relying on Croson’s requirement that there must be specific findings of past state-sponsored discrimination before adopting a race-based remedy, Adarand maintains Congress has adopted such a remedy in the absence of any history of state-sponsored discrimination. Adarand further argues the evidence proffered by the Defendants to support the adoption by Congress of the race-based program reveals at most two isolated incidents of discrimination. Moreover, Adarand states the officials who managed the federal government highway construction program in the states that comprise the CFLHD testified they knew of no studies or evidence that showed discrimination in the highway construction industry in Colorado. Citing Croson, 488 U.S. at 497, 109 S.Ct. at 723-24, and Wygant, 476 U.S. at 276, 106 S.Ct. at 1848, Adarand claims there must be particularized findings that the federal government has discriminated on the basis of race in the awarding of federal highway construction contracts in Colorado. According to Adarand, the Defendants have not presented any particularized findings of discrimination by federal actors in the highway construction industry. The Defendants argue Adarand has misconstrued Croson and Wygant and failed to recognize Congress’ unique role as the national legislature. They state Adarand’s reliance on Croson and Wygant is misplaced as it fails to recognize the fundamental differences between the national legislature, which authorized the programs at issue here, and the state and local bodies which promulgated the programs at issue in those cases. According to the Defendants, Congress has the authority and obligation to address the nationwide problem of discrimination against DBEs in the construction industry with national legislation. While Adarand III clarified that affirmative action programs enacted by Congress are subject to strict scrutiny, the Defendants contend the Court did not question Congress’ authority under § 5 of the Fourteenth Amendment, the enforcement clauses of the Thirteenth and Fifteenth Amendments, the Commerce Clause or Spending Power, to impose broad measures for remedying discrimination that impacts victims nationwide. The Defendants maintain the Court has consistently distinguished the broad constitutional authority given Congress to remedy discrimination from the limited power of state and local governments. “That Congress may identify and redress the effects of society-wide discrimination does not mean that, a fortiori, the States and their political subdivisions are free to decide that such remedies are appropriate. Section 1 of the Fourteenth Amendment is an explicit constraint on state power, and the states must undertake any remedial efforts in accordance with that provision.” Croson, 488 U.S. at 490, 109 S.Ct. at 720 (emphasis in original). Since Congress’ scope of authority differs from that of states and local governments, the Defendants argue, the evidence required to demonstrate a compelling governmental interest to exercise its authority will likewise be different. It is the Defendants’ position that Congress is not required to make the specific detailed analysis set forth in Croson to demonstrate a compelling governmental interest for Congress’ action under a strict scrutiny standard of review. Adarand responds that all of the arguments made by the Defendants that Congress has unique powers to remedy nationwide discrimination were already rejected by the Supreme Court in Adarand III (“The Court’s concept of ‘congruency1 assumes that there is no significant difference between a decision by the Congress of the United States to adopt an affirmative action program and such a decision by a State or a municipality. In my opinion that assumption is untenable. It ignores important practical differences between federal and state or local decision makers.” Adarand III, 515 U.S. at 249, 115 S.Ct. at 2123 (Stevens, J. dissenting)). Moreover, Adarand states the dissents filed in Adarand III reflect the majority opinion rejected the argument that Fullilove controls the decision of this court. (“The statutory scheme must be treated as constitutional if Fullilove v. Klutznick is applied.” Id. at 265, 115 S.Ct. at 2131 (Souter J., dissenting.)). Finally, Adarand relies on the majority’s remark that “to the extent (if any) that Fullilove held federal racial classifications to be subject to a less rigorous standard, it is no longer controlling,” Adarand III, 515 U.S. at 235, 115 S.Ct. at 2117. Thus, states Adarand, the strict scrutiny standard of review required of Congress is the same as that required of state or local governments. The Defendants reply there is no dispute that congressionally-enacted affirmative action programs are subject to strict scrutiny. However, they state, the issue is whether congressional actions should be assessed as if Congress were limited to the same powers and jurisdictional scope as a local government entity, as Adarand argues. It is the Defendants’ position that Congress, unlike state and local governments, legislates on a nationwide basis that must be recognized by this court. This, the Defendants maintain, is not inconsistent with the strict scrutiny standard, but is rather a factor be taken into account in applying it. The diametric arguments of the parties concerning what constitutes a compelling governmental interest for Congress and the evidence required to establish such interest are not surprising. They reflect the majority’s failure in Adarand III to define the parameters of Congress’ powers under § 5 of the Fourteenth Amendment “to enforce, by appropriate legislation, the provisions of this article.” U.S. Const. amend. XIV, § 5. While Justice O’Connor unified state and federal race-conscious remedies under one analytical standard, her opinion failed to define the parameters of Congress’ Section 5 powers. Noting that various members of the Court have taken different views of Congress’ Section 5 powers, Justice O’Connor stated “[w]e need not, and do not, address these differences today.” Adarand III, 515 U.S. at 231, 115 S.Ct. at 2114. Not surprisingly, Justice O’Connor side-stepped this issue of Congress’ acknowledged unique Section 5 powers, since addressing it would have opened a Pandora’s box that would have significantly weakened the notion of congruence. Later in the same paragraph, however, the majority'Stated that “Justice Stevens’ suggestion that any Member of this Court has repudiated in this case his or her previously expressed views on the subject ... is incorrect.” Id. Thus, it appears that Justice O’Connor’s assertion in Croson, that Congress has the ability under Section 5 to recognize and address racial discrimination, has been left undisturbed. Given the uncertainty as to the extent to which courts should defer to Congress’ Section 5 authority, I nevertheless find no support for Adarand’s contention that the Defendants’ use of the SCC in Colorado will pass constitutional muster only if Congress made particularized findings of discrimination in the highway industry in Colorado. Ada-rand’s reliance on Croson in this regard is misplaced. There, Justice O’Connor noted other governmental entities might have to show more than Congress before undertaking race-conscious measures: “The degree of specificity required in the findings of discrimination and the breadth of the discretion in the choice of remedies may vary with the nature and authority of the governmental body.” Croson, 488 U.S. at 489, 109 S.Ct. at 719 (quoting Fullilove, 448 U.S. at 515-16, n. 14, 100 S.Ct. at 2794, n. 14 (Powell, J., concurring)). Further, Justice O’Connor stated: “The city [of Richmond] is not just like the federal government with regard to the findings it must make to justify race-conscious remedial action.” Croson, 488 U.S. at 491, 109 S.Ct. at 720. In Oregon v. Mitchell, 400 U.S. 112, 91 S.Ct. 260, 27 L.Ed.2d 272 (1970), the Court recognized Congress’ authority to legislate nationwide remedies to nationwide problems. There, the State of Arizona argued that application of a congressional ban on the use of literacy tests nation