December 2025

Moving Houston Forward: How METRO's Procurement Engine Opens Doors for Small, Minority, and Women-Owned Businesses

METRO's Procurement Team.

When most people think of METRO, they picture buses and trains connecting people to jobs and opportunity. Behind that movement is another powerful engine: a procurement program that strengthens Houston’s economy by opening doors for small and minority-owned businesses.

“METRO’s commitment to inclusion isn’t a box we check; it’s how we do business,” says Karen Hudson, Deputy Chief of Procurement. “We make sure the dollars we spend circulate back into the local economy, supporting the firms that help Houston thrive.”

According to METRO’s 2020 Disparity Study, the agency was the only local entity showing no systemic contracting disparity. “That’s not by accident,” Hudson explains. “We’ve built a fair, open, and competitive system that rewards readiness and performance.”

Under Hudson’s leadership, METRO set a 35% small-business participation goal and often exceeds it. “Last year, we reached 55%, which shows how deeply small businesses are integrated into our strategy,” she says.

Through METRO Business University, the agency offers free training on safety, financing, and public contracting. Events like Meet the Buyers and the Bankers Fair connect small firms directly with project managers and lenders. “Access to capital is one of the biggest barriers, especially for women-owned firms,” Hudson says. “We bring the bankers to them.”

Small business owners attend a METRO procurement event.


Programs like Multi-Trades, IDIQ, and Mentor-Protégé help firms grow from subcontractors to prime contractors. “Some of the companies that started small with METRO are now competing with major firms and winning,” Hudson notes.

METRO procurement speaks with small business owners.

Every METRO contract includes defined small-business goals. “We’ve paid more for contracts before because a low bidder didn’t meet our small-business requirements,” Hudson says. “That’s a trade we’ll make every time. It’s a matter of principle and performance.”

Even in years when overall percentages dipped, awards to small, minority, and women-owned firms have tripled. “That’s the real measure of success,” Hudson says. “When women entrepreneurs succeed, families succeed, and communities grow stronger.”

“As Houston grows, inclusion drives innovation, and innovation drives prosperity,” Hudson adds. “We’re not just moving people; we’re moving potential.”

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