By Eric Reinhardt, Business Journal News Network

Date: 

New terms The new terms include extending the term of MWBE certification from 3 years to 5 years.  They also increase the agency and authority discretionary-purchasing threshold from $200,000 to $500,000 “without a formal competitive process,” per Cuomo’s news release.

In addition, the new terms also include increasing the personal net-worth cap from $3.5 million to $15 million to make more businesses eligible; authorizing the division of MWBE to organize outreach events, training and educational opportunities for MWBE firms across the state; and establishing a workforce-diversity program that requires state agencies overseeing construction projects to utilize a diverse workforce.

The new provisions will support the continued growth of the MWBE program, which has resulted in over $13 billion in contracts awarded to MWBEs since 2011. The extension and expansion of the MWBE law is “enhanced” by the signing of two additional bills, Cuomo’s office contends. The one measure authorizes the Dormitory Authority of the State of New York to create a four-year procurement pilot program to further expand contracting opportunities for MWBEs and small businesses. The second measure authorizes an increase of the threshold of New York City’s discretionary-purchasing authority from $150,000 to $500,000 making such threshold consistent with the state’s increased authority.

MWBE program recent history :In 2010, state-contract spending with MWBE firms totaled less than $100 million and MWBE utilization was just under 10 percent, Cuomo’s office said. In 2014, Cuomo set a goal of 30 percent MWBE utilization in all state contracts, and during the 2017-2018 fiscal year, the state “came closer to that goal than ever before” by reaching a utilization rate of 28.62 percent, or $2.5 billion in state contracting dollars.

Contact Reinhardt at ereinhardt@cnybj.com

 

X