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The State of Minority- and Woman-Owned Business Enterprise: Evidence from New York

29 April 2010
By Dr. Jon Wainwright et al.

Report and Program Recommendations, Prepared for the New York State Department of Economic Development

The New York State Department of Economic Development commissioned NERA to conduct a statewide disparity study under Executive Law § 312-a regarding the participation of minority and women-owned business enterprises in state contracts. In the resulting report, The State of Minority- and Woman-Owned Business Enterprise: Evidence from New York, NERA examined the past and current status of minority-owned and women-owned business enterprises (MWBEs) in the geographic and product markets for contracting and procurement in the state of New York. A team led by NERA Senior Vice President Dr. Jon Wainwright performed an extensive statistical analysis and survey of anecdotal evidence and found both qualitative and quantitative evidence of business discrimination against M/WBEs in the State's relevant market area.

In an accompanying report, Recommendations for a Revised Minority- and Women-Owned Business Enterprise Program, NERA outlines its recommendations based on the findings of the first study. The report's recommendations include:

  • Increase Vendor Communication and Outreach
  • Ensure Prompt Payments on New York’s Prime Contracts and Subcontracts
  • Adopt a New York Small Business Target Market Program
  • Adopt a Guaranteed Surety Bonding and Financing Program
  • Implement the Mentor-Protégé Program Statute
  • Expand the Capital Access Pilot Program
  • Improve Contracting and Procurement Data Collection and Retention Procedures
  • Continue and Revise Race- and Gender-Conscious Policies and Procedures
  • Review Policies and Procedures for Good Faith Efforts Reviews and Waivers of Contract Goals
  • Increase Monitoring of Contract Performance
  • Develop Performance Measures for Program Success