Minority businesses in Massachusetts were awarded $217 million in state contracts from state agencies last year, up more than $50 million from the year before, according to WGBH.

The report highlights data from the state’s Supplier Diversity Office, which shows that Black-owned firms received $133 million in subcontracting services from white contractors working on state projects.

That brings the minority business total to $350 million for the year, or about 5.4 per cent of state contracts, according to the report. Gov. Charlie Baker's administration had set a goal for state agencies to hire minority-owned firms for eight per cent of their contract work, according to WGBH.

“Massachusetts is home to so many incredible, diverse businesses that are the backbone of our communities and economy. We are glad that Massachusetts exceeded our goals for supplier diversity last year, with more minority-owned firms winning state contracts than ever before,” Healey said in a prepared statement. “Our administration is committed to building on this progress.”

Changes to boost Black entrepreneurship came in 2020 when Baker stated that the Supplier Diversity Office would be elevated to the status of a distinct agency, with increased authority and resources to compel other state agencies to meet contractual standards.

The shift also resulted in the creation of a new reporting system that differentiates non-profit spending from contracts with private corporations, according to WGBH.

The new office has increased transparency about what the state has accomplished.

More thorough breakdowns show that Black firms have benefited more than other groups from the state's new drive to deal with diverse contractors — an endeavour spurred in part by the racial reckoning that followed George Floyd's death in 2020, according to WGBH.

The reorganization of the Supplier Diversity Office also resulted in the development of a compliance section to investigate and confirm statewide contractors' claims of partnering with diverse enterprises.

Companies that get state contracts are normally obliged to satisfy goals for integrating minority-owned partners in the work, and they are also required to produce spending reports.

Nicole Obi, president and CEO of the Black Economic Council of Massachusetts, said her organization will closely monitor the state's efforts. The council was a vocal supporter of Baker's 2020 initiative to strengthen the Supplier Diversity Office, according to WGBH.

“While we are pleased that there has been some progress, there is still a significant amount of improvement to be made in eliminating barriers and ensuring that the state is held accountable for realizing its procurement goals with Black and other diverse businesses,” Obi told WGBH. “Without transparency on goal setting and accountability for implementing the necessary changes, the commonwealth will continue to fall short on equitable procurement.”