DBE CONTRACTING UPDATE

News for Disadvantaged Business Enterprise firms and stakeholders

July 2008

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State releases 2007 minority business report

The Wisconsin Department of Administration (DOA) recently released the State of Wisconsin Minority Business Report for fiscal year 2007. In the fiscal year that ran from July 1, 2006 to June 30, 2007, the state spent $62 million with certified Minority Business Enterprise (MBE) firms, representing just over 4% of all state purchases. This is a significant increase from fiscal year 2006, when the state spent $48 million with MBE firms for a 2.8% share. The state has a statutory goal of 5% for MBE purchasing.

WisDOT remains among those agencies that did achieve the 5% goal, marking at least the 5th straight year that the agency has reached this share. The department spent just under $3 million of its general purchasing dollars with MBE firms, representing 5.7% of all purchases. Thirteen other state agencies also met the 5% goal, although only one other department — DOA — spent more with MBE firms than WisDOT.

The state's MBE program is separate from the Disadvantaged Business Enterprise (DBE) firms, although some businesses are certified in both categories. MBE purchases apply to general state procurement, such as for office supplies and services. The state's highway program receives federal funding and is thus required to utilize the DBE program.