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Targeted Group Small Business Procurement Program

The Commissioner of Administration periodically designates businesses that are majority-owned and operated by women, persons with a substantial physical disability, or specific minorities as targeted group businesses within purchasing categories as determined by the commissioner.

Targeted Group small businesses must be certified as such by MMD in order to participate in the program. By being certified with the MMD, the business may also be eligible to participate in similar state-funded programs operated by the Minnesota Department of Transportation (Mn/DOT) and several Metropolitan Agencies.

To be certified as a Targeted Group small business, the business must be at least 51% owned by a woman, racial minority, or person with a substantial physical disability. In addition, the business must be operated and controlled on a day-to-day as well as long-term basis by the qualifying owner. In other words, ownership is not enough; operational control is also required.

Once certified, Targeted Group small businesses may be eligible for up to 6% preference in selling their products or services or bidding on construction projects to the state in accordance with the Commissioner's designation of eligible businesses. In addition, we have the authority to set goals which require prime contractors to subcontract a portion of the work to certified Targeted Group businesses on contracts for construction or consulting services.


Target Group Eligibility Tables

On June 6, 2011, the commissioner of Administration renewed the orders designating Targeted Group businesses for all state agencies conducting purchasing and contracting under Minn. Stat. Chapter 16C, for Mn/DOT's non-federal highway construction contracting & subcontracting, and for four Metropolitan Agencies. These orders replace similar orders issued on May 5, 1999, November 17, 2000, and March 16, 2010 on the same subject matter.

2009 Disparity Study

On August 4, 2008, the Commissioner of Administration for the state of Minnesota contracted MGT of America, Inc. (MGT), to conduct a Joint Availability and Disparity Study for the Minnesota Department of Administration, Minnesota Department of Transportation, Metropolitan Council, Metropolitan Airports Commission, Metropolitan Mosquito Control District, and the Metropolitan Sports Facilities Commission.

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