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Contracting disparities persist nationwide for MBEs, says MBDA study

A report published yesterday by the U.S. Department of Commerce, Minority Business Development Agency (MBDA) has found that minority businesses are not taking part in government contracting at the levels expected based on their availability to work on publicly-funded projects.

"Our goal in releasing this report is to advance the dialogue surrounding contracting disparities and use the findings as a catalyst for creating policy and innovative solutions. It's critically important that MBEs, advocacy groups and policy makers have access to this information," said MBDA National Deputy Director Albert K. Shen. "This report also underscores the power of data and the fact that we still have a lot of work to do to ensure MBEs have fair and equal access to contracting opportunities."

The findings come after an examination of 100 disparity studies conducted by state and local governments from across the country over the last ten years.

Among the barriers facing MBEs, according to the study, are explicit discrimination by prime contractors, contract bonding and insurance requirements, and lack of timely bid notifications.

The entire report can be found at http://www.mbda.gov/sites/default/files/ContractingBarriers_AReviewofExistingDisparityStudies.pdf