Oregon MBE, WBE, Vetbiz Disparity Report Released

$3.2b in state contracts and procurement were analyzed.

Source : Contractor News

December 24, 2023

Author : Alex Bustillos

A Disparity Study for the State of Oregon was conducted by BBC Research & Consulting to evaluate if people of color (POC), women, and service-disabled veteran (SDV) face discrimination and inadequate access in the state’s construction, professional services, and non-professional services, goods, and supplies contracts and procurements.

BBC investigated the percentage of contract and procurement dollars during the study period, between July 1st, 2017 to June 30th, 2022.

They analyzed $3.2 billion worth of contracts and procurements that the state’s agencies awarded to businesses owned by POCs, women, and SDVs. While calculating the participation of POC, SDV, and woman-owned businesses in the contracts and procurement, the disparity study revealed that the highest participation was seen among the white woman-owned businesses, which is 6.6%, followed by 2.0% Hispanic American-owned businesses, and 1.3% of Native American owned businesses. SDV-owned businesses had only 1.3% participation in work state executive branch agencies awarded during the disparity study period.

There is a substantial disparity between the participation and availability of these three groups which were being studied. Most of the disparities were found among the native American-owned businesses for prime contracts and professional service projects. Proper analysis revealed that a significantly smaller portion of minority-owned businesses got the lion’s share of the funding. 

Image: BBC Research & Consulting 

 

BBC used the two-and-a-half standard deviation method to determine that 5 POC and women-owned businesses were awarded the most funding, while four got the least funding.

BBC recommended the following suggestions:

  1. The state should have an aspirational target for POC, women-, and SDV-owned businesses
  2. The state should use race and gender-conscious percentage contract goals; prime contractors must meet contract goals as part of their bids by using eligible, certified POC, women-, and SDVs or by showing Good Faithe Efforts (GFE).
  3. The state should encourage the participation of new minority businesses
  4. Apart from this, some other suggestions include:
  • Using alternative teaming arrangements
  • Subcontracting minimums
  • Small business contract goals
  • Small business set-aside
  • Prompt payment
  • More frequent disparity studies

Category : Disabled Veteran Businesses Disadvantaged Business Enterprises Veteran Business Women Business Enterprises

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