Boston City Council Budget Hearing on Economic Opportunity & Supplier Diversity – April 30, 2026
Boston City Council Budget Hearing on Economic Opportunity & Supplier Diversity – April 30, 2026
The Boston City Council Committee on Ways and Means, chaired by District Six Councilor Ben Weber, held a hearing on April 30, 2026, from 10:22 AM to approximately 12:00 PM to review the FY27 operating budget for the Office of Economic Opportunity Inclusion (EOI) and the Department of Supplier Diversity. The hearing covered budget reductions, program impacts, and performance metrics, with testimony from city officials and members of the public.
Public Comments & Testimony
- Shagun (former chief, Hyde Park): Expressed strong support for restoring $1 million in legacy business funding, called for a disparity study, and praised the EOI team’s work in attracting companies like Hasbro and Lego without tax incentives. Also credited Councilor Caletta Zapata for addressing drink-spiking issues.
- Antonia Edwards (legacy resident, Dudley area): Voiced deep frustration over conditions in Nubian Square, citing only four Black-owned businesses, the opioid crisis, and lack of cultural representation. Urged the city to prioritize support for legacy businesses like Final Touch and Frugal Bookstore, and questioned the plan for the area.
- Aaron Ashley Bailey (owner of Petchikan, boutique pet care): Noted progress in access to support but highlighted gaps in consistency and execution, citing a negative experience with a city-referred accountant. Recommended better coordination, practical implementation, accountability, and alignment with trusted access points like Boston Public Libraries.
- Gregory Maynard (co-founder, Boston Policy Institute, online): Raised unanswered questions about whether letters detailing grant cuts were sent, clarified that Hasbro’s move was driven by state officials (citing reporting), questioned City Hall’s business outreach, and requested data on ARPA-funded space grant outcomes (vacant space occupied, foot traffic, sales tax, jobs).
Discussion Items
- Budget Overview & Reductions: Interim Chief Donald Wright presented the EOI cabinet’s vision and departments. The FY27 budget includes a $2.2 million cut to EOI and an 11.2% cut to Supplier Diversity. Cuts are driven by the end of ARPA funding, including $1 million from legacy business grants, $130,000 from small business activation grants, CRM software funding, and a one-time storefront revitalization grant. Two FTEs were eliminated (one moved to IGR, one reclassified into two positions).
- Legacy Business Program: Councilors expressed strong support for continuing the program (30 businesses received $30,000 each) despite funding cuts. Discussion included potential pared-down models, philanthropic partnerships, and recognition without grants. Chief Wright confirmed the grant aspect is discontinued but the office seeks cost-effective ways to honor businesses.
- Supplier Diversity Progress: Director Andrea Caruth reported 11.6% of discretionary spend ($72.5 million) went to MWBEs in FY26, up from 2% years ago, with an aspirational goal of 25%. Key barriers include vendor knowledge of procurement processes, capacity matching, and inconsistent department templates. A disparity study RFP is being prepared internally. The Scale program (ARPA-funded) provided $5 million in grants to 27 businesses; some have secured city contracts (e.g., Ancient Bakers with BPD, Noikoi Construction with house doctor contracts).
- Nightlife Economy & Drink-Spiking Training: In response to Councilor Murphy’s inquiry, Chief Wright noted about 10,000 drink covers were issued to 37 establishments since March 19, 2026, and recent engagements occurred in Seaport, South Boston, and Theater District. Training is online and voluntary. Councilor Flynn requested data on veteran-owned business grants and information on spike-drink training reports.
- Nubian Square & Commercial Vacancy Tool: Councilors Culpepper and Edwards pressed for a concrete plan for Nubian Square. Director Porcena mentioned a task force and a recent neighborhood walk. The vacancy tool is being piloted in Nubian Square and will go citywide by end of May.
- Reparations Task Force & Black Male Advancement: Councilor Flynn probed whether the $350,000 cut means the task force is ending. Chief Wright deferred to the Equity and Inclusion cabinet (scheduled for May 12). The Office of Black Male Advancement was confirmed to be under a different cabinet.
- Business Attraction: Chief Wright stated Boston does not offer tax breaks; companies come for talent and ecosystem. Hasbro, Lego, and others moved without city tax incentives. The “You Can’t Beat Boston” campaign launched in April 2026.
- ARPA Program Sunset: Several programs (Space Grant, Scale, Legacy Business grants) were one-time ARPA-funded and will conclude. The city is exploring partnerships and federal CDBG funding to maintain support.
Key Outcomes
- No formal votes were taken; the hearing was informational for the budget review process.
- Multiple councilors stated intent to advocate for restoration or alternative funding for the Legacy Business program.
- Director Caruth committed to providing an update on the disparity study timeline and to supplying data on veteran-owned business grants and drink-spike training records.
- Chief Wright agreed to provide copies of any correspondence about grant reductions and to share the Main Streets audit report (by Wolf and Company) pending legal review.
- The committee will continue budget hearings, with the Equity and Inclusion cabinet scheduled for May 12, 2026.
Meeting Transcript
Good morning. My name is Ben Weber. I'm the District Six City Councilor and the Chair of the Boston City Council Committee on Ways and Means. Today's April thirtieth, two thousand twenty-six, and the exact time is ten twenty-two AM. This hearing is being recorded. It's also being live streamed at Boston.gov/slash city dash council dash TV and broadcast on Xfinity Channel Eight, RCN Channel Eighty Two, and FIOS Channel Nine Sixty Four. The Council's budget review process will encompass a series of hearings which uh begin in April and run through June. We strongly encourage residents to take a moment to uh engage in this process in one of several ways. Um first, uh, you can view our hearing schedule on our website at Boston.gov slash council dash budget. You can attend one of our hearings uh and provide testimony either in person here in the chamber or online. Uh if you would like to testify in person, please sign up at the sign and sheet at the door. If you want to testify online, you can email either the uh uh cccc.wm at Boston dot gov, that's the committee's website, or our uh uh director of legislative budget analysis, Chris Michel on a K R I S H M A. C H O U H A N at Boston.gov. Uh you can um you can also uh when you're uh called on to testify, you'll be called on the order of arrival. You'll have two minutes uh to give your testimony. Please state your name, affiliation, where you live, and uh again, please limit your comments to two minutes. Um in lieu of testifying, you uh in person or virtually you can submit written testimony to the committee at ccc.wm at Boston.gov. Uh lastly, you can submit a two-minute video of your testimony through the forum on our website. For more information on the city council budget process and how to testify, please visit the city council's budget website at Boston.gov slash council dash budget. Today's uh or this morning's hearings uh hearing is on docket numbers zero seven three three to zero seven four zero, an overview of the FY27 operating budget for the Office of Economic Opportunity Inclusion and the Department of Supplier Diversity. Uh, this is one of the series of hearings we'll be holding on the uh fiscal year two thousand twenty-seven budget. Uh, these matters were sponsored by Mayor Michelle Wu and referred to the committee on April eighth, two thousand twenty-six. Today I'm joined by my colleagues in order of arrival, Councillor Flynn, Councillor Murphy, Councillor Culpepper, Councillor Louis Gen, and Councilor Durkin. We've received a letter of absence from Councillor Santana. So at these budget hearings, we waive uh opening statements. I'm just going to go to the panel, who I'll introduce now. Uh, we're joined by interim uh chief of economic opportunity inclusion, Donald Wright, uh, Director of Small Business, Alicia Porcena, uh, Director of Operations, uh, uh, Joe Olivia Barros, and uh director for the Department of Supplier Diversity, Andrea Caruth. Uh so I don't you have a presentation, why don't you go ahead? And uh so the floor is now yours. So I've also we've also been joined by Councillor Braden. Yes. Good morning. Chair Councillor Weber and members of the Committee on Ways and Means. It is my pleasure to come before you in the capacity of interim chief of economic opportunity inclusion, and thank you for the time to discuss our budget for the fiscal year of 2027. Clickers not chair, do you have a copy of that? Uh I don't I do. Uh you you can have my copy. Yeah, correct. Oh, okay. Having a little technical difficulty here. That's okay. If you does everyone have uh yeah, I think uh I think we leave it up to the staff to print them out. Counselor Floyd. We'll get you we'll get you in. Counselor Murphy. You ready? Yeah. Can I proceed? Yes. Okay.
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