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DETROIT, Mich. – Vice President Kamala Harris joined top administration officials on Monday for a pivotal Detroit visit, marking the second leg of the Biden-Harris Administration’s Economic Opportunity Tour aimed at bolstering economic growth, funding for entrepreneurs and community engagement for underserved communities. Accompanying the Vice President was Acting Secretary of Labor Julie Su, Deputy Secretary of Commerce Don Graves, and Secretary of Energy Jennifer Granholm, who is also a former governor of Michigan. In addition to White House Senior officials, The Black Wall Street Times was part of the White House Press Pool, traveling with the Vice President aboard Air Force Two to Detroit.
Vice President Harris Visits Detroit’s Joe Louis Southern Kitchen on Woodward Avenue
The Vice President’s visit to Detroit began at Joe Louis Southern Kitchen on Woodward Avenue, a Black-owned establishment operated by Johnny Cannon and Joe Louis II. Upon her entry during the bustling lunch rush, she was greeted with enthusiastic “Skee-Wee” cheers from her Alpha Kappa Alpha sorority sisters.
The proprietors shared with the Vice President that the restaurant was nearing its third anniversary and expressed their ambition to grow their business into a franchise.
“For me it’s getting the capital and trying to build this brand into a franchise model. Ultimately, we are looking to hire and pay a little bit above what the average pay is for servers. And more importantly getting engaged with the community — having the capital to expand this brand and being able to take this good food all over the country,” Joe Louis explained to the Vice President amidst a throng of national reporters and patrons.
“Most people don’t start off without enough capital and therefore they kind of shoot themselves in the foot with not being able to hire the right people or the right services to keep a clean establishment. And more importantly, bringing good people in and being able to afford to pay them a livable wage,” Joe Louis II added.
In the midst of media scrutiny and the vigilant eyes of the Secret Service, Vice President Kamala Harris still found a moment for a personal interaction with a young diner, offering a heartfelt hug.
Shortly thereafter, Vice President Harris proceeded to the Charles H. Wright Museum of African American History, where she addressed a large audience of Black Americans as part of the Economic Opportunity Tour trip to the home of Motown.
Economic Opportunity Tour: VP Harris Unites Leaders and Officials to Empower Entrepreneurs and Families
Lt. Governor Gilchrist introduced the Vice President, praising the Biden-Harris administration for uplifting previously marginalized communities.
The Economic Opportunity Tour gathers entrepreneurs, business owners, and community leaders with officials from various U.S. government departments. These include Commerce, Energy, Housing, Labor, Treasury, and the Small Business Administration (SBA). The tour aims to ensure entrepreneurs and families have access to information and support to tap into available resources. The tour began in Atlanta, Georgia, last week. On Monday, it stopped in Detroit, Michigan. Both cities have significant Black populations in two crucial swing states for the 2024 Presidential Election.
Commitment to Economic Empowerment
During her address, the Vice President highlighted the administration’s dedication to economic empowerment, focusing on efforts to support communities that have historically encountered barriers. She outlined the administration’s investments in infrastructure, clean energy, manufacturing, and supply chains, which are intended to drive economic growth.
“Over the past three years, the President and I have invested now trillions of dollars in America’s infrastructure, in clean energy and a clean energy economy, in manufacturing, and in supply chains,” she said.
Support for Black Entrepreneurs
The Vice President highlighted efforts to support Black entrepreneurs, who often face barriers in accessing capital. Initiatives like the Economic Opportunity Coalition aim to invest billions in community banks. These banks serve minority and women entrepreneurs, helping them access funds for business expansion.
“Our work is also guided by the understanding that there are certain communities that have faced, historically and currently, profound obstacles to acquire that opportunity,” the Vice President said. She then adds, “And I’ll tell you over the last three years, both in the White House and at the Vice President’s Residence, I have convened Black entrepreneurs from around the country to solicit their advice and leverage their expertise as to how we can have the greatest impact with the billions of dollars that we are investing and to identify the challenges they face in building financial security and wealth, including disparities in access to capital and lending, disparities in homeownership and access to government contracts, to obstacles like student loan debt and medical debt.”
“Black entrepreneurs do not lack for ideas or ambition but often lack the capital that is necessary to turn an idea into a thriving business, to invest in inventory, hire employees, to scale up. In fact, Black entrepreneurs are three times as likely to not apply for a loan, for fear they’re going to be turned away from a bank,” she underscored at the Economic Opportunity Tour event.
VP Harris’ Economic Opportunity Coalition Pours $3 Billion into Community Banks for Minority Entrepreneurs
Two years ago, VP Kamala Harris founded the Economic Opportunity Coalition, involving 31 companies and nonprofits. Notable members include Bank of America, MasterCard, and the Ford Foundation. The coalition aims to invest $3 billion in community banks, renowned for assisting minority and women entrepreneurs. This builds on her 2020 senatorial efforts securing an extra $12 billion for community bank capital investment.
Expansion of Government Contracts for Black and Minority-owned Businesses
Black Americans encounter obstacles in obtaining government contracts due to limited networks and high capital demands. Racial bias and the complex nature of the procurement process further hinder Black-owned businesses from competing effectively. Despite programs aimed at supporting minority-owned enterprises through certifications and set asides, the challenges persist. Efforts continue to be necessary to address these disparities and ensure equitable opportunities in government contracting for Black entrepreneurs.
During her address, the Vice President explained that she and President Joe Biden aim to increase federal contracts for minority-owned businesses by 50 percent. This effort aims to provide these entrepreneurs with stable, long-term opportunities for growth and income.
“We are on track to meet our goal by the end of next year, which means thousands more minority entrepreneurs with contracts worth hundreds of thousands and even millions of dollars — contracts which can last up to five years with the option to renew for 10, 20, and 30 years. Think about what that means in terms of a sustained investment and all of the folks that, over a period of time, will benefit,” Vice President Harris stated.
Vice President Harris Highlights Contrast with Previous Administration in Support for Entrepreneurs
Vice President Kamala Harris didn’t fail to take a jab at the former administration. “Now, I also want to point out — because there is a contrast here between us and the last administration. The last administration invested in access to tax cuts for billionaires. We are investing in access to capital for entrepreneurs,” which garnered applause.
VP Addresses Commitment to Expanding Homeownership and Racial Inequities at Economic Opportunity Tour Stop
VP Harris emphasized promoting homeownership as vital for building intergenerational wealth, especially among Black Americans. Efforts include financial assistance for first-time homebuyers and measures to combat racial bias in home appraisals.
“To strengthen America’s economy, we are also helping more people buy a home. Homeownership is one of the most powerful engines of intergenerational wealth. It builds equity, which can help pay for a child’s college education or provide equity that then can be used as startup capital to start a business. But as a result of lasting legacies of structural inequities — such as segregation, redlining, and so-called urban renewal — today, Black Americans are 40 percent less likely to own a home,” an acknowledgement of historical wrongs.
The National Association of Realtors reports that the U.S. homeownership rate reached 65.5% in 2021. However, Black Americans maintain a significantly lower rate at 44%. Over the past decade, this rate has increased by only 0.4%. In comparison, the homeownership rate for White Americans stands at 72.7%. This disparity of nearly 29 percentage points marks the widest gap in Black-White homeownership rates in ten years.
“So, to help address these disparities in our budget, President Biden and I outlined a blueprint to provide folks who are first in their family to buy a home with $25,000 toward a down payment — to give families up to $400 a month to help with a mortgage; and to build 2 million units of affordable housing to lower costs for homebuyers and renters,” she declared which also received cheers and applause from the crowded hall.
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Advancing Economic Equity: Debt Forgiveness and Its Impact under the Biden-Harris Administration
The Biden-Harris administration prioritizes debt forgiveness to boost economic freedom and wealth accumulation. They have successfully canceled approximately $500 million in medical debt, benefiting hundreds of thousands of Americans.
They’ve implemented a policy to prevent medical debt from affecting credit scores. This helps people get loans for cars, homes, or businesses without obstacles. Vice President Kamala Harris praised these measures. She highlighted their impact on boosting Black-owned businesses. Also, she noted a historic low in Black unemployment rates. These achievements surpass records from the Trump and Obama administrations.
“We are also implementing a rule — and this is critically important — we are also implementing a rule that medical debt cannot be used in calculating your credit score, which means medical debt cannot be the reason someone is denied a car loan, a home loan, or a small-business loan.”
The last point VP Kamala Harris on this leg of the Economic Opportunity Tour was the record growth in Black-owned businesses and substantial job creation for Black workers. Since 2019, Black wealth has surged by 60 percent. Additionally, the Biden-Harris Administration achieved the lowest Black unemployment rate ever, surpassing rates from previous administrations.