Bill would fund nonprofits to help businesses complete COBID certification; supporters say certification unlocks contracts

Senate Bill 569, sponsored by Senator Aaron Woods, would direct the Oregon Business Development Department to establish a program to provide grants to qualified nonprofit or community‑based organizations that assist businesses in becoming certified by the Certification Office for Business Inclusion and Diversity (COBID) as minority‑owned businesses. The bill includes an appropriation of $4,000,000 from the General Fund for the 2025‑27 biennium.

Senator Aaron Woods said the program would help minority‑owned businesses navigate the COBID certification process and compete for state and private contracts. Multiple witnesses from the Soul District Business Association and small‑business owners testified in support and provided concrete examples. John Washington, executive director of the Soul District Business Association, said prior assistance helped a cohort of businesses obtain COBID certification and access state contracting opportunities. Alex Gebruab, a small‑business navigator, recounted a custodial firm that earned a $140,000 contract after completing its certification with assistance.

Small‑business owners said the certification process can be administratively complex, with expired corporate paperwork, financial documents and application steps that can cause prospective applicants to abandon the process. Supporters argued grant funding for nonprofits would provide hands‑on assistance and reduce the backlog of businesses that start but are unable to finish certification. Tim Cowan and other supporters asked the committee to adopt clear performance criteria and evaluation measures for grant recipients.

The committee held a first public hearing and indicated the bill will receive further consideration; staff and senator Woods said they will meet with agencies and stakeholders to refine implementation details prior to any work session.