This report documents the low economic status of minorities and women in Cleveland by examining inadequacies in the city's affirmative action plan, deficiencies in Cleveland's contract compliance program, and inconsistencies in the Federal government's civil rights enforcement effort. Four major problems with Cleveland's affirmative action plan are described: (1) the failure to identify specific problem areas in Cleveland's employment policies and practices which account for underutilization of women and minorities; (2) the failure to establish and implement action programs that would eliminate discrimination against women and minorities; (3) the statement of goals for only a one year period; and (4) the failure of the city to devote sufficient resources for implementation of an adequate affirmative action plan. Underutilization is described as the biggest factor in contract compliance deficiencies. It is stated that several of the largest beneficiaries of city business employ no minorities or women in professional, technical or administrative positions and most do not employ minorities or women at a rate that is even close to their representation in the Cleveland labor market. Also noted are inconsistencies in Federal agency grant requirements and regulations enforcement. Recommendations for redressing these problems are made. Appended are responses by various Cleveland officials and organizations to the charges of discrimination made in this report. (Author/EB)