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DBE Supportive Services Equal Employment Opportunity Office Idaho Transportation Department

USDOT Disadvantaged Business Enterprise (DBE) Program. DBE Supportive Services Equal Employment Opportunity Office Idaho Transportation Department. The DBE Program …. Is a Federal Program (USDOT) administered by a State Agency (ITD) Applies to all transportation modes

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DBE Supportive Services Equal Employment Opportunity Office Idaho Transportation Department

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  1. USDOT Disadvantaged Business Enterprise (DBE) Program DBE Supportive Services Equal Employment Opportunity Office Idaho Transportation Department

  2. The DBE Program … • Is a Federal Program (USDOT) administered by a State Agency (ITD) • Applies to all transportation modes • Highway, Aviation & Transit • Helps disadvantaged business owners compete for transportation-related contracts

  3. What’s It Supposedto Do? • Help remove barriers to DBE working on USDOT-assisted projects • Assist in the development of firms so they can successfully compete outside the program • DBE Supportive Services • Ensure only firms meeting eligibility standards can participate as DBEs

  4. What Exactly Is a “DBE”? A DBE is a small, for-profit business concern that is at least 51% owned & controlled by socially & economically disadvantaged individuals.

  5. Qualifying as a “DBE” • Firm is existing, operational & for profit • Firm is independent & self-sufficient • No “umbilical cord” relationships • Small Business Concern • Size limits based on SBA’s standards per NAICS code • Cannot exceed USDOT’s $22.41 million ceiling

  6. Presumed to be “Socially & Economically Disadvantaged” Qualifying as a “DBE” • Asian-Indian Americans • Asian-Pacific Americans • Black Americans • Hispanic Americans • Native Americans • Women

  7. Qualifying as a “DBE” Case-By-Case Basis (White Males) • Chronic & Substantial Social Disadvantage in the U.S. • Negative impact in business world because of social disadvantage

  8. Qualifying as a “DBE” HOWEVER: Presumption of “social & economic disadvantage” is rebutted if adjusted personal net worth – excluding primary residence & interest in applicant business – exceeds $1.32 Million

  9. Qualifying as a “DBE” • Owner has Operational & Managerial Control • Highest authority • No limits or restrictions • Can delegate, but still retain ultimate authority • Owners can establish at least 51% ownership • Documentation of capital contributions used to start business

  10. Becoming/Remaininga DBE • Certification Process • DBE SS Coordinator reviews app, requests additional info as needed • Committee makes eligibility determination • Decisions can be appealed • Annual “No Change” Affidavits • Cert Renewal every 3 Years • Must be certified in home state before applying in other states

  11. Why Do Applications Get Denied? • Lack of Documentation • Lack of Experience • Lack of Control • Emerging rather than Operational

  12. DBE Benefits • $800 Business Development Grants • One-on-One Bidding, Contract, Project Documentation Assistance • Free Plans & Specs for Subs • Inclusion in DBE Directories • Free Plans & Specs for Subs • Invitations to Bid from / Referrals to Prime Contractors

  13. DBE Benefits • Monthly DBE Newsletters* • Bi-weekly Business Training Calendar Emailings* • Workshops* *Available to non-DBEs, too!

  14. More Advantages of Being a DBE • DBE Participation Goal on Federal-Aid Transportation Projects (Design & Construction) • Proposed DBE Annual Participation Goal for FFY2012 is 6% for Highways, 0% Aviation, 7% Transit • Other Agencies have DBE Goals • EPA, HUD

  15. Race/Gender-Neutral • 9th Circuit Court of Appeals decision in Western States Paving Co. v. WSDOT in 2005 • DBE Program not “narrowly tailored” • State must produce evidence to support goal-setting • USDOT instructed western states to cease goal-setting until disparity studies in place • All current participation for ITD is “race/gender-neutral” • ITD currently conducting Disparity Study Update

  16. Consulting, contracting & supplying for the planning, design and construction of highways, airports & public transportation systems What Do DBEs Do For Us?

  17. Graduation Ideally, DBEs outgrow the Program: • Exceed business size or PNW limits • Build working relationships with primes outside DBE program • Acquire managerial & technical skills to successfully compete with non-DBEs

  18. Questions? Liz HealasPhone:(208) 334-8567 Toll-Free:(800) 634-7790 e-mail: elizabeth.healas@itd.idaho.govif you would like further information about the DBE Program.

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