Disparity Studies

• Connecticut Disparity Study: Phase 2

  June 01, 2014

  Published by Connecticut Academy of Science and Engineering for the Connecticut General Assembly and the Government Administration and Elections Commission

  A disparity study of Connecticut's Small and Minority Business Enterprise Set-Aside Program was conducted. In Phase 2 the study reviewed Diversity Data Management System Specification and Review Agency Procedures; Practices Related to System Implementation; Best Practices Review and Analysis; and Establishing MBE/WBE Program Requirements. The study concluded that Connecticut can be a national leader as an advocate for MBE and WBE business opportunities by considering the implementation of a series of actions: Adopt an organizational structure with a focal point for the MBE and WBE Program; Enact legislative initiatives for the near term that separate the MBE and WBE Program from the state’s SBE Set-Aside Program; Implement administrative changes to provide greater transparency and consistency within goal-setting and monitoring processes; Collect comprehensive data about contracts and all payments made to contractors, whether prime or subcontractors, across agencies and branches of government; Increase the use of race-neutral measures to expand the number of businesses that participate in government contracting; and Consider the federal DBE regulations as guidance for implementation and administration of the MBE and WBE Program. Based on the results of periodic statistical analyses, if a statistically significant disparity resulting from discrimination exists, then a legislatively mandated MBE and WBE Program should be continued.

• District of Columbia Department of Small and Local Business Development Comparative Analysis: Minority and Women-Owned Business Assessment

  October 01, 2019

  Published by CRP, Inc.

  In fulfillment of a legislative mandate pursuant to the authority set forth in the Establishment of the Minority- and Women-Owned Business Assessment Program, the District of Columbia’s Department of Small and Local Business Development (DSLBD) commissioned CRP to evaluate if there is a specific evidentiary foundation against minority- and women-owned businesses; assess if there are disparities between the availability and utilization of minority and women-owned prime contractors and subcontractors and, if there are, describe and analyze the most relevant causal factors; and determine if there are statistically significant disparities in the utilization of minority- and women-owned businesses by prime contractors on government-assisted projects awarded. Since the lack of available data made it impossible for the authors to appropriately complete a disparity study meeting industry standards, the authors’ work outlined the steps that the District of Columbia would need to engage in to conduct a disparity study by industry standards. Implementation of these recommendations, coupled with administrative support, will provide the District with an actual gauge of the state of procurement in the city, particularly related to the equitable participation of minority- and women-owned businesses in procurement and contracting transactions.

• Georgia Department of Transportation Disparity Study

  August 01, 2016

  Published by Griffin & Strong, P.C. for the State of Georgia

  Georgia Department of Transportation (GDOT) study demonstrated the ongoing need for analysis and evaluation of a state’s DOT efforts to ensure equitable availability and access to public contracting opportunities for minority and women-owned businesses. The study analyzed the contracting and subcontracting activities of GDOT, its prime contractors, and grantees during the three (3) year period from FY2012 to FY2015 in order to determine whether, due to race, ethnicity, or gender status there exists a statistically significant disparity between the percentage of available DBEs in GDOT’s marketplace and the percentage of these firms that have been awarded contracts from GDOT or its prime contractors.The 2016 GDOT Disparity Study identified three key conclusions on the participation and utilization of minority and women-owned businesses to contract with GDOT: the certification process was considered daunting and long for many contractors; there might not be “buy-in” to the program amongst all of GDOT’s staff, and some believe that good faith efforts are not proving to be effective.

• Hawaii Department of Transportation 2019 Availability and Disparity Study

  March 01, 2020

  Published by Keen Independent Research

  Hawaii Department of Transportation (HDOT) study demonstrated the ongoing need for analysis and evaluation of a state’s DOT’s efforts to ensure equitable availability and access to public contracting opportunities for minority and women-owned businesses. The disparity study was launched in March 2018. Keen Independent completed an Availability Study report in July 2019 before publishing the full Availability and Disparity Study report in March 2020. The 2019 HDOT Availability and Disparity Study analyzed whether there is a level playing field for minority and women-owned firms in Hawaii to contract with HDOT for construction, professional services, goods, other general services, and airport concessions; and overall goals for disadvantaged business enterprises (DBE) participation in its federally funded contracts.

• Louisville & Jefferson County Metropolitan Sewer District (MSD) Disparity Study

  July 01, 2018

  Published by Mason Tillman Associates, Ltd

  Minority Business Enterprise (MBE) programs are designed to ensure that minority-owned businesses are afforded equal access to public contracting opportunities. MBE programs can contain both race-conscious and race neutral policies and procedures to achieve the objectives of the program. Prime contractor utilization between July 1, 2010 and June 30, 2015 in four industry sectors (construction, construction-related services, engineering and professional services, and materials/commodities and services) were studied. The distribution of total prime purchase orders by dollar amount for all industries indicated minority-owned businesses. Minority females and minority males received 1.15% and 8.92% respectively. The disparity analysis summary found disparities for African Americans and Hispanic Americans related to construction prime purchase orders valued at $10,001 to $20,000. It also found disparity related to construction prime purchase orders among African Americans, Hispanic Americans, Asian-Indian Americans, Asian Pacific Americans for purchase orders valued at $20,001 to $1,710,000. Anecdotal findings included: barriers created by MSD managers and inspectors, bid shopping, good old boy network, difficulty meeting bonding and insurance requirements, difficulty obtaining financing, late payments. The study concluded that minority business disparity exists by industry sector but it is not all inclusive of all minority sub-groups.

• Madison Public Works Disparity Study

  April 01, 2015

  Published by Keen Independent Research for City of Madison, Wisconsin

  This study assisted in determining if there is a level playing field for minority and women-owned firms when competing for the City of Madison’s public works contracts and subcontracts. About 2 percent of businesses related to public works construction contracting in Dane County are owned by racial and ethnic minorities. About 7 percent of public works contracting businesses are owned by non-minority women. Minority residents comprise 15 percent and women are 49 percent of the Dane County workforce. The study team identified 600 City-funded public works contracts totaling $331 million awarded from 2008 through 2013. Minority-owned firms received about $6 million in City-funded public works contract dollars from 2008 through 2013, including subcontracts. The study team concluded that the small business enterprise (SBE) Program encouraged MBE and women-owned businesses (WBE) utilization to the point that there were no disparities between the utilization and dollar-weighted availability of minority and women-owned firms on City-funded contracts. This is because of low current availability of minority and women-owned firms for this work after considering the types and sizes of prime contracts and subcontracts. Therefore, it appears that the SBE Program alone does not create a level playing field for minority and women-owned firms in City public works contracting.

• MBDA Disparity Studies

  New disparity studies are available paying attention to the metrics that exist in public procurement and contracting that affect minority business. https://www.mbda.gov/research-and-data/research/disparity-studies...

• Miami-Dade County Comprehensive Disparity Study, Final Report

  May 01, 2015

  Published by Mason Tillman Associates, Ltd.

  The authors performed a disparity analysis on all prime contracts and subcontracts awarded by Miami-Dade County (Florida) from January 1, 2007, to December 31, 2011. The analysis found statistically significant underutilization (“disparity”) at both the prime contract and subcontract levels for several minority groups. Disparity was found for African American, Asian American, Hispanic American, and Women Business Enterprise construction prime contractors on contracts valued under $250,000. Race and gender-neutral recommendations are offered to increase M/WBE access to the County’s prime and subcontracts and to track, monitor, report, and verify M/WBE prime contractor and subcontractor utilization. These recommendations are address administrative strategies, pre-award, post-award, website, and data management recommendations.

• Minority, Women, and Small Business Enterprise Disparity Study for the City of Tallahassee, Leon County, Florida and Blueprint Intergovernmental Agency

  June 01, 2019

  Published by MGT Consulting Group

  A study commissioned by the City of Tallahassee produced factual evidence to support the continuation of a race and gender-conscious local MWBE procurement program based on findings of MWBE utilization as prime contractors or subcontractors and using statistical data for five business categories. The Study analyzed procurement trends and practices for the study period of October 1, 2012 through September 30, 2017. The expenditure utilization analysis showed that non-MWBE prime firms are utilized at substantially higher rates than their MWBE counterparts. Spending by the MWBE classifications was 1.88 percent for Non-minority Women firms, 1.05 percent for African American firms, 1.81 percent for Hispanic American firms, and 0.02 percent for Asian American firms. For the City’s construction subcontractors, MGT estimated that 79.14 percent or $54.3 million of spending went to non-MWBE firms, while only 20.86 percent or $14.3 million when to MWBE firms.

• State of Indiana 2020 Disparity Study

  December 01, 2020

  Published by BBC Research & Consulting

  The study evaluated the State of Indiana’s Minority and Women’s Business Enterprises (M/WBE) Program. The Indiana Department of Administration (IDOA) operates the State of Indiana’s M/WBE Program, which is designed to encourage the participation of minority and women-owned businesses in state contracting and create a fair, competitive, and equitable environment for those businesses. The program comprises various measures to encourage the participation of minority and women-owned businesses in state contracting. Some of those measures are race and gender-neutral, which are designed to encourage the participation of all businesses in state contracting, and other measures are race and gender-conscious, which are designed to specifically encourage the participation of minority and women-owned businesses in state contracting (e.g., using MBE/WBE participation goals to award individual contracts). IDOA also operates the Indiana Veteran-owned Small Business (IVOSB) Program, which is designed to encourage the participation of veteran-owned businesses in state contracting and help ensure that those businesses can build productive relationships throughout relevant contracting industries.

• State of New York 2016 MWBE Disparity Study Policy Review Final Report Volume II

  May 01, 2017

  Published by Mason Tillman Associates, Ltd.

  Volume II of the State of New York's Policy Review Report provided race and gender-neutral recommendations to mitigate the disparities in MWBE participation on state contracts. The study recommended enhancements to the MWBE Program Components of by streamlining the MWBE certification process, (1) modifying the certification application for new businesses, (2) reviewing the certification application for completeness within 30 days, (3) authorizing and training the entrepreneurial assistance program to certify certification applications as complete, (4) providing pre-application training sessions, (5) establishing a hotline number and website to receive public reports of certification fraud, (6) establishing penalties for submission of fraudulent applications, (7) developing a “train the trainer” program, and (8) revamping the recertification application requirements and required documents.

• State of New York 2016 MWBE Disparity Study Volume I

  June 01, 2017

  Published by Mason Tillman Associates, Ltd.

  The State of New York’s disparity study analyzed the state’s underutilization of Minority and Woman-owned Business Enterprises (MWBE) at the prime contract and subcontract levels across four industries: construction, construction-related services, non-construction related services, and commodities and other services. The study found that MWBE utilization was disproportionately lower than MWBE availability in every category of state contracting. The study specifically found disparities across racial groups including Black Americans, Asian-Pacific Americans, Asian-Indian Subcontinent Americans, and Hispanic Americans. The prime contract utilization analysis examined $63,391,070,587 of the State’s procurements and expenditures on prime contracts awarded during the April 1, 2010, to March 31, 2015, study period. A total of 56,065 prime contracts were analyzed, which included 10,134 for construction, 2,785 for construction related services, 5,427 for non-construction related services, and 37,719 for commodities and other services. The State subcontractor utilization analysis examined $644,483,321 expended on subcontracts awarded by the State’s prime contractors from April 1, 2010, to March 31, 2015. A total of 4,295 subcontracts were analyzed, which included 2,857 for construction, 1,025 for construction-related services, and 413 for non-construction related services.