Boston has used disparity research, forward procurement information and public spending data to widen access to City contracts for minority- and women-owned businesses. The approach combines supplier-diversity measures with changes to how departments plan purchases, monitor results and publish information.
A disparity study supplied the evidence for reform
Boston’s 2020 Disparity Study examined five years of contracting records and asked local businesses about their experiences and barriers. It found that minority- and women-owned businesses received 11% of the value of City contracts, although firms in those groups were estimated to be ready and able to compete for 16.9% of contracting dollars. Minority-owned businesses received about 2.5% of the City’s contracting dollars and white women-owned businesses about 8.5%, against estimated capacity of 5.7% and 11.2% respectively. Black-owned businesses faced the sharpest gap, winning roughly $12 for every $100 they might have been expected to receive. Published in February 2021, the study became the basis for an executive order, supplier-diversity planning, outreach and contract-level participation goals.
The buying plan changes when suppliers can engage
Boston’s reforms address a practical feature of public procurement: businesses are better placed to compete when they can see opportunities before a formal solicitation is published. The City’s Buying Plan gives earlier notice of planned purchases, allowing firms to decide whether to bid, build capacity, find partners or prepare paperwork. It also asks departments to look across their programmes earlier and identify expected needs for services, instructors, equipment, transport and other support. Not every purchase can be predicted, but the process creates a clearer pipeline and gives buyers more time to select an appropriate procurement route. Boston has published procurement plans as open data for three consecutive years, making forthcoming opportunities more visible to potential suppliers.
Open data links participation goals to spending
Boston applied to the Open Contracting Partnership’s Lift impact accelerator in 2023 to improve the information supporting its supplier-diversity goals. The work included key performance indicators, dashboard development and procurement forecasting, alongside stronger coordination between government units. Boston can now automatically track indicators through a public spend dashboard, while three open datasets cover contract awards, payments and future purchases. Since Lift began, the value of contracts awarded to certified M/WBE firms rose from $160.3 million to a peak of $237.5 million in FY25, and the number of contracts increased from 181 to 226. The share of total award value reached 12%, up from 9%.
The results include contracts and business support
The full reform since FY19 produced a 165% increase in the value of contracts awarded to certified firms at its FY25 high. Their award value exceeded $200 million for two consecutive years for the first time in City history in 2024-2025. The percentage of all City contract spending remained stable over the last three years, although award value decreased to $115.4 million in FY26. A separate strand of the approach was the Boston Contracting Opportunity Fund, relaunched in 2022; over its three years, grants went to 178 businesses, approximately 80% minority-owned and 34% woman-owned. City Fresh Foods also won a three-year, $17-million school meals contract in 2022, the largest non-construction contract awarded to a minority-owned business in Boston.
| Indicator | Source fact |
|---|---|
| M/WBE share of contract value in the disparity study | 11% over five years |
| Estimated M/WBE capacity | 16.9% of contracting dollars |
| Certified M/WBE award value | $237.5 million in FY25 |
| Contracts awarded to certified M/WBEs | 226 in FY25 |
| Share of total award value | 12% in FY25, up from 9% |
| FY27 Buying Plan | 688 opportunities across 56 departments |
| Estimated value of the FY27 Buying Plan | $808.3 million |
Reducing friction in the system is essential for increasing competition and lowering costs.
WHY IT MATTERS
Boston’s example shows how procurement reform can combine earlier market notice, simpler routes into eligible contracts and open performance data. The mechanism is transferable: buyers use forward plans to widen supplier awareness, then use award and payment data to test whether participation goals are being met.
Reported from open-contracting.org, 2026-09-28. The Tender Wire is published by Otnox.
