MILWAUKEE WATER COMMONS
PUBLIC PROCUREMENT REPORT
Public Procurement and Contracting in Milwaukee's Water Sector
By Center for Neighborhood Technology and Milwaukee Water Commons
November 2025
When Milwaukee invests in water, we invest in our collective future. The replacement of nearly 70,000 lead service lines, restoration of local rivers and wetlands, and construction of flood-control infrastructure are not just engineering projects. They are major investments of public spending, and who benefits from the associated economic opportunities is largely shaped by the policies and expectations enforced by local governments.
The fundamental question is: will these investments reinforce old patterns of exclusion, or will they be a lever for building a more equitable Milwaukee powered by public dollars?
To dig deeper, Milwaukee Water Commons partnered with the Center for Neighborhood Technology on a new report: Public Procurement and Contracting in Milwaukee’s Water Sector. The research draws from 25 interviews with utilities, city staff, contractors, and advocates, and also surveys best practices from other US cities.
The findings are clear: procurement as it currently operates is a system stacked against newcomers. The processes for public contracting are difficult to navigate, requirements differ across agencies, resources for business development are limited, and businesses without existing networks often never even hear about opportunities. For small firms, especially those owned by people of color, these barriers often prove insurmountable.
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Water, Jobs, and Opportunity
In Milwaukee, combined investments in water infrastructure and waterway restoration will top a billion dollars, a substantial opportunity for local business development in the city’s water sector. Beyond benefits for businesses, these public sector contracting opportunities will also shape the water workforce. Nationally, water infrastructure investments are projected to create almost three million jobs annually. The majority of these jobs will not require a four-year degree, removing one barrier for workers historically shut out of high-wage, stable careers and offering new pathways into the water sector.
These jobs could have a big impact in Milwaukee, where decades of segregation and disinvestment have created sharp racial disparities in educational attainment and unemployment. The unemployment rate for Black residents is more than three times higher than for white residents. While 62% of jobs require at least a high school diploma, 18% of Black residents – compared to just 6% of white residents – lack one.
A System Stacked Against Inclusion
Public procurement is one of the strongest levers local governments have to change these patterns. How we design contracting processes and set workforce standards directly influences who gets hired, who grows their business, and who reaps the economic benefits of public investment.
A 2023 disparity study conducted by Griffin & Strong, P.C., an Atlanta-based consulting firm, identified statistically significant disparities by race, ethnicity, and gender in the City of Milwaukee’s contracting. The study analyzed City spending across the four-county metropolitan area from 2015 to 2019.
During this period, the City awarded $500.3 million in prime construction contracts, of which only 8.55% went to minority- and women-owned business enterprises (MWBEs) as prime contractors. When including both prime and subcontracting activity, MWBE participation accounted for 16% of total construction spending, 13% in architecture and engineering, 7% in other services, and 8% in goods.
This report identifies barriers that perpetuate exclusion, reducing access to water sector contracts for businesses owned by women and people of color.
Some of the findings include:
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Hurdles that restrict access to credit lines, bonding and insurance for small businesses with limited capital
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Passive acceptance of the use of pass-through and front companies that undermine the spirit and intent of current procurement policies
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Lack of robust outreach to underrepresented groups to increase awareness of employment opportunities in the water sector
These and other findings underscore persistent inequities in access to public contracting opportunities and highlight the need for stronger, equity-focused procurement and accountability measures within Milwaukee’s water and infrastructure sectors.
Promising Paths Forward
In the face of many challenges, Milwaukee has not been standing still on issues of equity in procurement. The Water Equity Task Force, a coalition of government agencies, utilities, nonprofits, and community groups, has been working since 2018 to connect marginalized communities to water-sector careers. Building on the momentum of that work, this report identifies several emerging calls to action.
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Better communication and outreach. Centralizing information and standardizing contracting processes would give more businesses an opportunity to compete.
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Technical assistance and shared resources. Business development programs can help underrepresented contractors build capacity and navigate the complexities of public procurement.
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Expanding MMSD’s Business Capacity Development Program. Already successful in building confidence and competitiveness for small and minority-owned firms, the Milwaukee Metropolitan Sewerage District program could be scaled across institutions by adding new partners.
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Capital fund development. Grants and low-interest loans, coupled with mentorship, would help small firms meet bonding, insurance, and staffing requirements so they can step into larger roles on water projects.
The Bigger Picture
Water connects us all. Investments in water infrastructure should reflect that connection by ensuring everyone, especially communities historically left out, can share in all the benefits.
When public dollars flow equitably, they do more than fix old systems. They build the just and resilient city we all deserve. By transforming the way we approach contracting and workforce development, we can build not only stronger water infrastructure, but a stronger, more inclusive city.