Published on 02/20/2025
<p>New York City Comptroller Brad Lander has issued his office's Annual Report on M/WBE Procurement for fiscal year 2024. The report reviews the utilization of minority- and woman-owned business enterprises (M/WBEs) in City procurement with the intent of ensuring equity in contract spending. The report found persistent inequities in contracting, with a mixed showing versus the previous fiscal year.<br /><br />Specifically, City-certified M/WBEs received 6 percent of the total $34.6 billion in City spending, reflecting an increase from the previous year's 5 percent; however, the total dollar amount received by M/WBEs has declined relative to what they received two years previously, and is roughly equivalent to what they received in the previous fiscal year. Additionally, while an M/WBE participation level of 17 percent was reached on contracts and purchase orders subject to M/WBE goals, which represents an increase from the previous year's figure of 10 percent, this represents a return to the approximate figure from 2022 (the fiscal year 2023 figure of 10 percent being abnormally low due to the influence of a single large construction contract).<br /><br />The Comptroller's report went on to mention that while contract awards made to M/WBEs via the small purchase method are up to an average of $245,000, relative to the previous year's average of $185,000, but that these averages fall notably short of the maximum allowable small purchase method award threshold, which stands at $1.5 million. The recent increase in the threshold was recommended in the previous year's Comptroller report; however, this was the only recommendation in that report that was fully adopted by the City.<br /><br />The report made a number of new recommendations this year for remedying disparities and inequities in City contracting, including: establishing prequalified lists of M/WBEs at all City agencies (to date, only six City agencies have established such lists); making more frequent use of the small purchase method on higher-dollar contracts; and creating a "one-stop shop" for current and upcoming bid opportunities that will help make data more centralized and accessible for M/WBEs.<br /><br />Read the press release from the Comptroller's Office at https://comptroller.nyc.gov/newsroom/nyc-comptrollers-annual-report-finds-that-city-contracting-with-minority-women-owned-business-enterprises-continues-to-falter-under-adams-administration/.<br /><br />Read the Report at https://comptroller.nyc.gov/reports/annual-report-on-fy-24-mwbe-procurement/.</p>
