Newport News releases MWBE disparity study

VA News - Published Jul 28, 2026

The City Council of Newport News recently received the completed findings of a disparity study ordered by the City into the experiences of minority, woman, and service-disabled veteran-owned businesses and small businesses in doing business with the City.

The study reviewed roughly $814 million in contract spending during the period of July 2019 through June 2024, and made findings of significant disparity in the availability of certain types of firms to perform work for the City relative to how much work they were awarded during the period. Findings included that minority-owned businesses received 1.8 percent of contract dollars during the period despite their availability in the region indicating they would be able to receive 15 percent of those contract dollars; white woman-owned businesses received 3.4 percent of contract dollars while having 10 percent availability; and service-disabled veteran-owned businesses received 0.3 percent while having 6.8 percent availability. The study also found that the City concentrated its spending with a relatively small number of businesses, with half of its contracts worth under $1 million going to 13% of the available businesses.

Recommendations made by the study for remedying these disparities include contract unbundling (which breaks large contracts down into smaller components for which smaller businesses are more competitive), instituting prompt payment policies (given that payment delays have an outsized effect on smaller businesses), better performance tracking and data gathering, and setting participation goals for affected groups.

"This study provides valuable information about how businesses engage with city contracting opportunities and offers a roadmap for strengthening participation moving forward," said Mayor Phillip Jones in a statement.

Read the press release from the City regarding the disparity study at https://www.nnva.gov/m/newsflash/home/detail/2550.

Find the disparity study at https://www.nnva.gov/DocumentCenter/View/44935.