A Glimmer of DBE Hope: Your Action is Required!

This past week the Federal Transportation and Infrastructure Committee released the “BUILD America 250 Act” a five-year surface transportation reauthorization bill. Currently in the bill there is a reauthorization of the DBE program. I will admit I am surprised, given the conversations I have had with legislators in the past month. This is the first positive news I have heard regarding the program’s future.

As written, the BUILD America 250 Act reauthorizes the Disadvantaged Business Enterprise (DBE) program. It sets a national aspirational goal of at least 10% for DBE participation in transportation projects and mandates “objective criteria” for states to evaluate certifications while removing gender and minority exclusivity references.

Key DBE & Procurement Provisions

    • Program Goal: Establishes a minimum 10% national aspirational goal to be met by state and local agencies through good-faith efforts.
    • Certification Basis: Shifts the focus of DBE qualification from “discrimination” and minority- and women-owned business designations to “social and economic disadvantage”. This aligns with the USDOT’s updated interim final rule.
    • Objective Criteria: Directs the Secretary of Transportation to develop and issue objective, standardized metrics for states to use when reviewing individual DBE applications.
    • Anti-Competitive Bidding: Instructs the DOT to guide states on auditing procurement processes, identifying unfair bidding patterns, and reducing reliance on historical data for engineer estimates.

DOT’s Interim Final Rule removing race and gender as disadvantaged factors still stands. All previously certified DBE firms will still need to be reevaluated and so far, no new applications are allowed. Of the narratives received by the December deadline, there has been an uptick in approvals from the agencies with 55% overall being completed.

Does this mean the DBE will be reauthorized for certain. No. This means there is a chance. Color me cautious on celebrating too early. This is the time for ACTION from all of you!  Reach out to your congress representative and let them know that the DBE program must be on the final bill. Tell them the future of small businesses in transportation is dependent on this program. You can call them and leave a brief message, ask for a meeting with them, or send them an email. You are their client and your voice matters. AWC will continue to advocate for this program and for all our members. Feel free to contact me with questions or if you need assistance in taking ACTION.

 —B