Boston has been one of the country’s hottest real estate markets for years, but even in this bastion of progressive politics, its regressive handling of city contracts has come under scrutiny this year after a scathing report was followed by a federal lawsuit. Boston doesn’t have a rule that requires a certain percentage of its contracts to be allocated to minority and women-owned business enterprises, and as a result, just 1.2% of the $2.1B in contracts awarded by the city between 2014 and 2019 went to Black and Latino-owned businesses, according to a 703-page study by BBC Research & Consulting published this year. “In our opinion, we didn’t need the 700-page document to do things that matter,” Black Economic Council of Massachusetts Executive Director Segun Idowu said. “Other cities, they don’t need a disparity study. They just know it’s an issue and address it.” Boston’s failure to equitably distribute its contracts is a reflection of the larger conversation taking place around MWBE programs. Government officials and small-business owners say that the programs are essential to provide business opportunities to people of color — but robust goal-setting and enforcement, as in the case of Boston, are often lacking.
In the cities where MWBE spending goals on government contracts aren’t prioritized, minority-owned businesses frequently end up losing out to White-owned businesses, because they don’t get considered in the first place.“We've repeatedly seen that when we don't have these focus goals on our contracts, the majority of contractors do not… Read the full story here. |