New York (WRGB) — Governor Hochul announced that New York State reached a historic milestone in supporting minority-and women-owned business enterprises (MWBEs), disbursing a record $3.3 billion in payments during Fiscal Year 2024–25, according to the newly released 2025 MWBE Annual Report.
According to the release, the spending marks the highest MWBE utilization in program history and reflects an estimated 31.86% utilization rate—the fifth consecutive year the state has met or exceeded its nation-leading 30% MWBE goal.
The Governor also highlighted recent legislation raising the MWBE discretionary purchasing threshold to $1.5 million, a change aimed at expanding access and streamlining procurement opportunities for certified MWBE firms.
Governor Hochul said,
New York is leading the nation in uplifting minority- and women-owned businesses, and these results show what happens when we open doors to equal opportunity. With a record $3.3 billion in payments to MWBEs and a 31.86 percent utilization rate, we are proving — five years in a row — that equity and economic growth go hand in hand. By raising the discretionary purchasing threshold to $1.5 million and continuing to streamline certification, we are ensuring more MWBEs can compete, win, and thrive across our State.
In the release, State officials credited the growth in part to targeted initiatives that eliminated the MWBE certification backlog and accelerated processing times. The Division of Minority and Women’s Business Development now averages under 90 days for certifications, with some applicants receiving determinations in as little as 30 days.
Accomplishments include:
- 9,745 certified MWBE firms statewide
- 2,225 certifications or recertifications completed in FY 2024–25
- Nearly $15 billion in state procurement spending directed to MWBEs since FY 2020–21
- 12% increase in MWBE spending compared to last year
- Expanded demographic reporting, including new voluntary AAPI data
Chief Diversity Officer Julissa Gutierrez said the five-year streak reflects New York’s systemic commitment to equity, saying
Achieving our 30 percent MWBE goal for five consecutive years demonstrates that creating opportunities for all of our diverse business community is not just an aspiration but an integral part of how New York State does business. By eliminating the certification backlog and reducing processing times through innovative initiatives, we’re removing barriers and creating real pathways to prosperity for entrepreneurs who have been historically underrepresented in government contracting.
Empire State Development President and CEO Hope Knight noted that the growth underscores the capability of New York’s diverse business community. Knight said,
The remarkable growth we’re seeing — a 12 percent increase in MWBE spending over last year — reflects the strength and capability of New York’s diverse business community. With nearly $15 billion disbursed to MWBEs since 2020 and our expanded Business Growth Accelerator Program creating $106 million in procurement opportunities, we’re transforming the economic landscape of New York State and proving that supplier diversity drives innovation and competitiveness.
Throughout the fiscal year, the Division expanded its statewide presence through Regional Opportunities Expos held in Syracuse, Manhattan, and Queens. According to the release, more than 1,000 attendees participated in matchmaking sessions, workshops, and networking opportunities. The agency also hosted two statewide training webinars per month and engaged in nearly 100 regional outreach events.
State leaders praised the expansion of the MWBE program.
Sen. James Sanders Jr. said,
For years, I have championed MWBE reforms because our small businesses deserve a fair chance to compete and grow. Today’s announcement proves that when state leadership, advocates, and entrepreneurs work together, we deliver real economic impact. Governor Hochul’s expansion of the MWBE discretionary threshold and acceleration of certification timelines will open even more doors. I look forward to continuing this work so every qualified MWBE has a seat at the table, and a share in New York’s prosperity.
Assemblymember Rodneyse Bichotte Hermelyn added,
Governor Hochul continues to lead the fight for New York State’s Minority and Women Owned Business Enterprise Program. By making it easier than ever for MWBEs to procure contracts and streamlining the certification process—including the elimination of the years-long backlog—Governor Hochul has removed systemic barriers to success. I’m proud to stand alongside her and this historic achievement, which is allowing diversity in the state to prosper and be supported. Diversity in New York State is the backbone of not just our society, but our economy as well.
In the release, the MWBE program is administered by Empire State Development under Executive Law Article 15-A and focuses on certification, oversight, and capacity building to help minority- and women-owned businesses compete for state contracts and grow within New York’s economy.
