Department of Economic Development

Oversight of Selected Authorities' Programs for Minority and Women's Business Enterprises (Follow-Up Review)

Public authorities are required by State law to award a certain percentage of their contracts to businesses that are owned and operated by women or members of minority groups. The Department of Economic Development is required to certify such businesses and monitor compliance with the contracting requirement. In our prior audit report 95-S-30, we examined compliance with the contracting requirement at selected public authorities. We found that the extent to which contracts had been awarded to minority and women-owned businesses was overstated due to clerical errors and reporting errors as well as because the businesses cited by the authorities were not always certified by the Department as minority and women-owned businesses. We recommended that the Department verify the information reported by public authorities and develop a schedule for recertifying businesses to ensure that they were still owned and operated by women and members of minority groups. In our follow-up review, we found that little progress has been made in implementing our recommendations.

For a complete copy of Report 99-F-16 click here.
For a copy of the 90-day response click here.