Study finds large disparities in city contracting; city launches 'Bridgeforward' plan to address gaps

BBC Research & Consulting presented results of a five‑year disparity study of Newport News contracting, telling the City Council that minority‑ and woman‑owned firms received substantially less of the city's contract dollars than their marketplace availability would predict. "Over that five‑year study period, 3.4% of the city's dollars went to white woman‑owned businesses and 1.8% went to minority‑owned businesses," said Dr. Samir Bawa, who led the analysis, and added that availability estimates suggest the shares should have been much higher.

Bawa explained the study analyzed $814 million in contracting (July 1, 2019–June 30, 2024) across construction, professional services, goods and non‑professional services using participation, availability and a disparity index. "White woman‑owned businesses showed a disparity index of 0.33 — 33 cents for every dollar of expected availability — and minority‑owned businesses only 0.12," he said, describing both as falling into a zone the report labels "substantial disparities."

Sheila White, director of finance, and Alan Archer, city manager, said staff plans to implement the report through a Bridgeforward Business Access program. Archer outlined an initial governance work group (finance, purchasing, city attorney, economic development), self‑certification data collection, unbundling large contracts, and a tiered small business program to roll out over roughly 6–12 months. He said council will later be asked to adopt a resolution and authorize funding for staff and software to support the program.

BBC recommended two principal paths: (1) a city‑specific small business enterprise program built on tiers (for example, a micro tier for firms up to $3 million in revenue and higher tiers for larger small businesses), and (2) the cautious, narrowly tailored use of MBE/WBE contracting goals tied to availability data. "These goals are commonly used by jurisdictions to increase participation, but they carry legal and implementation risks that must be carefully addressed," Bawa said.

Council members praised the analysis and pressed staff on practical constraints. One member asked whether a recent federal ruling in Chicago had struck down similar programs; Bawa said he was not aware of a specific case and that challenges usually hinge on implementation rather than facial constitutionality. Alan Archer and staff said they do not expect to need new authority from the General Assembly to implement programmatic measures, but they will subject any race‑ or gender‑based goal to legal review.

The presentation also emphasized existing vendor outreach and prompt payment efforts to ease cash‑flow burdens for small vendors; staff said invoices in good order are typically paid within about two weeks. Staff and BBC said additional technical design work — including precise goal‑setting, certification tiers, subcontracting mechanisms and a mentor‑protégé program — will follow and require council approval of funding and policy decisions.

What happens next: staff will convene the governance work group, refine implementation timelines, and return with recommended program policies and budget requests for council consideration. The council’s discussion identified access to capital and vendor outreach as priorities to pair with contracting changes.