The bill amends Section 37-14.1-6 of the General Laws in Chapter 37-14.1, titled "Minority Business Enterprise," to increase the minimum percentage of procurement and construction project awards designated for minority business enterprises from fifteen percent (15%) to twenty percent (20%). Of this twenty percent, the bill stipulates that at least ten percent (10%) must be awarded to minority-owned businesses and another ten percent (10%) to women-owned businesses.

The bill also provides that the director of the department of administration may establish rules for the certification process and preferences in contract awards for minority business enterprises. Additionally, any minority business enterprise certified by the U.S. Small Business Administration as an 8(a) firm will automatically be recognized as certified by the department of administration.

The provisions of this chapter will remain in effect even during a declared state of emergency. Furthermore, the state of Rhode Island is required to conduct a disparity study every five years, starting in fiscal year 2025, to assess the need for programs that enhance the participation of women and minority-owned businesses in state contracts. The act will take effect upon passage.

Statutes affected:
5683: 37-14.1-6