New York MWBE and SDVOB Certification: Status and What to Do

What it is

Empire State Development's Division of Minority and Women's Business Development (DMWBD) certifies Minority- and Women-Owned Business Enterprises (MWBEs) under Executive Law Article 15-A. The Office of General Services (OGS) Division of Service-Disabled Veterans' Business Development certifies Service-Disabled Veteran-Owned Businesses (SDVOBs). State agencies set MWBE and SDVOB participation goals on contracts and can buy from certified firms without a formal bid up to a set limit. The SDVOB law sets a 6% goal for state procurement spending.

What changed

• May 9, 2025: the FY 2025-26 budget extended the MWBE program from July 1, 2025 to July 1, 2028 (per Bond, Schoeneck & King). It raised the discretionary purchase limit for MWBEs and SDVOBs from $750,000 to $1.5 million. Certification rules did not change.
• The budget replaced the next disparity study with a policy study due May 1, 2027 (per Hancock Estabrook).
• April 29, 2026: ESD proposed rule changes to 5 NYCRR Parts 140-145. They would tighten ownership and control standards, add a Professional Declaration of Eligibility for licensed professionals, and let ESD revoke certification for fraud without a criminal conviction. Comments closed in late June 2026. We could not confirm whether the rules have been adopted.

Who qualifies

• MWBE: at least 51% owned, operated and controlled by U.S. citizens or permanent residents who are women or members of listed minority groups.
• MWBE: each owner relied on has a personal net worth of $15 million or less after allowed deductions. The firm has 300 or fewer employees and generally at least one year in business.
• SDVOB: at least 51% owned and controlled by veterans with a service-connected disability rating of 10% or more. The firm has 300 or fewer employees and is not dominant in its field.
• Out-of-state firms can apply for both. Each must have authority to do business in New York and a business presence here (taxes, New York purchases or New York payroll for SDVOB).
• MWBE: if your home state has a similar program, ESD says to get certified there first. Out-of-state firms cannot use the Fast Track partner application.

What it means for your bids

• Agencies can buy from certified MWBEs and SDVOBs up to $1.5 million without a formal competitive bid.
• MWBE rules cover state contracts over $25,000 (over $100,000 for construction). Primes submit utilization plans and must document good faith efforts or seek a waiver if they fall short.
• Only work that is a "commercially useful function" counts toward MWBE goals.

How to get certified

1. Get authority to do business in New York from the Department of State if you are out of state.
2. MWBE: apply on the Empire State MWBE Hub: https://www.mwbe.esd.ny.gov/. Fast Track applications exist for SBA 8(a) firms and some partner certifications. Recertify every five years, starting 90 days before expiration. The ESD pages we read do not state a fee or processing time.
3. SDVOB: create a NY.GOV business account and apply in SDVES: https://sdves.ogs.ny.gov/. OGS says there are no fees. It sends a notice within 30 days and decides within 60 days of a complete application. SBA VetCert firms get an expedited process. OGS reports certification lasts five years.

Watch out for

• The MWBE program ends July 1, 2028 unless extended again.
• New York City, the Port Authority and Erie County/Buffalo certify separately. ESD's application offers One Stop addendums for them; the NYC and Erie County ones are limited to firms in those areas.
• Federal DBE is a separate program.
• Free help: ESD Customer Care 646-846-7364; OGS SDVOB 518-474-2015.

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Sources

• esd.ny.gov/doing-business-ny/mwbe
• esd.ny.gov/mwbe-certification-eligibility-requirements
• esd.ny.gov/mwbe-new-certification
• esd.ny.gov/doing-business-ny/mwbe/mwbe-certification-process
• esd.ny.gov/participation-requirements-new-york-state-certified-mwbes
• esd.ny.gov/sites/default/files/media/document/MWBE-Certification-FAQ-2024.pdf
• esd.ny.gov/sites/default/files/media/document/MWBE-Reauthorization-Article-15-A-
• dos.ny.gov/system/files/documents/2026/04/042926.pdf
• ogs.ny.gov/Veterans
• ogs.ny.gov/node/46421
• ogs.ny.gov/service-disabled-veteran-certification-frequently-asked-questions
• ogs.ny.gov/veterans/service-disabled-veteran-owned-business-certification
• ogs.ny.gov/system/files/documents/2026/02/2025_sdvob_annual_report.pdf
• perb.ny.gov/node/6061
• www.hancocklaw.com/publications/mwbe-services-legal-alert-new-york-mwbe-program-extended
• www.bsk.com/news-events-videos/new-york-state-rsquo-s-mwbe-program-nbsp-new-updat

FindMyBids isn't affiliated with any certifying agency, and this isn't legal advice. Status can change quickly with court orders and new laws, so confirm with the program office before you rely on it.