A consultant team told the Spring Independent School District Board of Trustees on Jan. 6 that the district’s procurement patterns reflect broader market barriers that limit participation by minority- and women‑owned firms. The study, conducted for the district's procurement office and covering purchases from July 1, 2018, through June 30, 2023, analyzed roughly $601.9 million in spending.
Andreas Bernal, vice president at MGT, summarized the quantitative results and said the firm found evidence of disparity in the market area rather than deliberate, discriminatory practices by the district. "We found that in the market area, there are barriers to doing business with these firms," Bernal said, citing differences in business earnings and firm availability across racial and gender categories.
The report showed that approximately 94% of dollars in the five‑year study went to nonminority-owned firms, while roughly 6% went to minority- and women‑owned businesses. By contrast, the consultant said third‑party availability data and census measures suggest a higher potential share of minority- and women‑owned firms in the relevant 14‑county market area.
Corlisha Mitchell, MGT’s director leading the qualitative work, said vendor interviews identified structural obstacles that vendors face in the region: informal or exclusionary networks that limit awareness of opportunities, lack of capital, difficulty obtaining bonding and insurance, and uneven familiarity with public procurement processes. Mitchell said vendors did not generally report intentional discrimination by Spring ISD staff.
The consultants recommended a set of race‑ and gender‑neutral remedies to increase local participation and to stand up to legal review. Key steps include: establishing a small‑business enterprise (SBE) program targeted to local and small firms; requiring prime contractors to report subcontractor demographics and subcontract awards; expanding vendor data collection and analytics; providing technical assistance and mentoring; and piloting targeted solicitations to build capacity. The consultants suggested a phased implementation and suggested an 18‑month pilot followed by a multi‑year assessment.
Board members pressed on certification and data quality. Trustee Jensen, who said she is a small‑business owner, asked whether the study’s outreach included both certified and self‑certified firms; Bernal said the outreach included directories and both certified and uncertified firms. Trustee Adams asked how the district might track subcontractor participation; the consultants recommended requiring prime contractors to report subcontractor data and expanding inventory of subcontractor demographics.
Procurement staff present on the dais, including executive director Philip Ellison, said the district will use the consultants' recommendations to inform next steps and report back with an action plan. The board did not vote on policy changes during the work session but directed staff to digest the report and coordinate a follow-up implementation plan.
What’s next: Administration said it will work with stakeholders to develop a pilot program and refine subcontractor reporting requirements; any formal policy changes or targets would be brought to the board for approval.