Illinois’ program to award more state contracts to businesses owned by minorities and women is in sharp decline, despite millions spent to expand it. A new report reveals that the number of certified businesses eligible for contracting preference has dropped by nearly half since mid-2022—falling from 5,050 to just 2,800.
The downturn began after the Commission on Equity and Inclusion implemented a new computer system last year, intended to streamline certifications. Instead, the software has crippled the program, preventing automatic recognition of businesses already certified by other government entities. Officials now scramble to reach those businesses manually.
The state created the commission in 2022, with a mandate to ensure that at least 30% of Illinois’ state contract dollars go to certified minority- and women-owned businesses. But the latest data shows the commission is moving in the opposite direction. In a further shift, white women-owned firms now make up the largest share of the certified group, replacing Black-owned businesses that previously held the lead.
Despite its mission, the commission has failed to reverse the 17-month decline in participation. It operates on a $7 million annual budget and is overseen by seven commissioners, each appointed by the governor and paid about $150,000 annually. None of them have responded to questions from The Center Square about the collapse.
Larry Ivory, president of the Illinois State Black Chamber of Commerce, publicly blasted the software decision during a commission meeting in November. He suggested the software choice may have been intentional sabotage against minority contracting. Ivory’s microphone was muted after he exceeded a three-minute speaking limit, despite no other public comments and 80 minutes left in the scheduled meeting.
Chairperson Nina Harris rejected Ivory’s additional concerns but did not address the software issue. The selected vendor for the system was a local minority-owned firm.
The commission plans to begin contacting businesses by phone in 2026 in an attempt to rebuild the certification list. But critics argue the program’s collapse raises questions about oversight, competence, and whether taxpayer funds are being wasted under the guise of equity.
